Companion diagnostics drive precision oncology growth and accessibility, says GlobalData

02 Jul, 2024 Companion diagnostics drive precision oncology growth and accessibility, says GlobalData

Posted in Medical Devices

Companion diagnostic (CDx) tests play a pivotal role in modern oncology by identifying specific biomarkers that guide personalized cancer treatments. These tests, such as HER2 testing in breast cancer, determine eligibility for targeted therapies like trastuzumab. The evolving landscape of CDx tests is marked by decreasing costs, driven by technological advancements and economies of scale, enhancing accessibility and effectiveness in tailored cancer care worldwide, says GlobalData, a leading data and analytics company.

GlobalData's report, "HER2 Tests Market Forecast to 2033," reveals that the market will grow at a compound annual growth rate (CAGR) of more than 1% from 2023 to 2033. This growth is owing to factors such as rising breast and gastric cancer incidence, greater disease awareness, improved accessibility to companion diagnostics in emerging economies, and technological advancements.

Tina Deng, MSc, Principal Medical Devices Analyst at GlobalData, comments: "The pricing trend of CDx tests is generally towards decreasing costs, driven by technological advancements, economies of scale, and increased competition. However, the initial cost of new and innovative tests may be higher until they achieve broader adoption and market penetration. As the adoption of CDx tests grows, the higher volume of tests performed leads to economies of scale, reducing the per-test cost. By enabling more effective and tailored treatments, CDx tests can reduce the overall healthcare costs by avoiding ineffective treatments and minimizing adverse drug reactions."

Efforts are being made to improve access to affordable companion diagnostics, particularly in developing countries. The cost of companion diagnostics can vary widely depending on the type of test, technology complexity, and regulatory requirements. Common test types include protein expression tests such as immunohistochemistry, PCR-based tests, and fluorescence in situ hybridization.

Deng concludes: "The cost of next-generation sequencing has been decreasing significantly due to improvements in sequencing technology, higher throughput, and greater efficiency. This reduction in cost is making multi-gene panels and comprehensive genomic profiling more affordable."