"Designing Growth Strategies is in our DNA"
The global Alzheimer’s drugs market size was valued at USD 3.52 billion in 2022 and is projected to grow from USD 3.69 billion in 2023 to USD 5.21 billion by 2030, exhibiting a CAGR of 5.1% during the forecast period.
Alzheimer’s disease (AD) is an irreversible, progressive neurodegenerative disorder, which is characterized by loss of memory and functional cognitive decline of the brain system. This is a fatal disease that results in degeneration and death of brain cells. Alzheimer’s disease is considered the most common cause of dementia, which severely affects a person's ability to function.
The prevalence of Alzheimer’s disease amongst the geriatric population is increasing. This has resulted in the growing demand for effective therapies to treat the symptoms of this disease. Owing to this, pharmaceutical companies, as well as research institutes, are focusing on creating a strong pipeline for drug development.
Some of the other significant factors that are responsible for the market growth include the advancements in neuroscience research, increasing funding by private as well as government entities and the development of novel therapeutic approaches. Additionally, increasing awareness regarding the disease symptoms and treatment is also estimated to drive the Alzheimer’s drugs market growth in the future.
Furthermore, the growing geriatric population is anticipated to increase the demand for treatment and management of Alzheimer’s disease and dementia.
Decreased Number of Patients Treated During Pandemic Resulted in Slower Market Growth
The COVID-19 pandemic negatively impacted the market growth, resulting in slower growth. This is majorly due to the decreased incidence of Alzheimer’s disease (AD)-treated patients during 2020 as well as the significant impact on the diagnosis and treatment of the disease.
Furthermore, factors such as the suspension of outpatient clinics to contain the spread of the disease, a high number of COVID-19-related deaths in Alzheimer’s patients living in assisted living facilities, nursing homes, and other challenges related to the management of patients with Alzheimer’s disease also has affected the market growth.
Hence, the market witnessed a comparatively lower growth rate in 2021 and 2022. Also, the market was anticipated to witness slower growth in 2023. However, with the increasing number of patients and growth rate expected to reach the pre-pandemic level, the market will witness significant growth in the coming years.
Advancements in Diagnosis and Treatment of Alzheimer’s Patients Identified as a Significant Market Trend
In recent years, with the growing patient population of Alzheimer’s disease, researchers are focused on the introduction of innovative devices and therapies for better understanding, diagnosis, and treatment of the disease. The researchers are utilizing artificial intelligence (AI), virtual reality, as well as machine learning technology to find innovative ways to analyze data and speed up clinical trials.
Furthermore, the researchers are involved in the development of new technologies to diagnose Alzheimer’s disease (AD) at the pre-symptomatic stage.
Request a Free sample to learn more about this report.
Rising Awareness Regarding Alzheimer’s Disease and its Treatment Boosts Market Growth
There has been an increasing awareness regarding Alzheimer's disease (AD) globally in recent years, with more people becoming aware of the symptoms and seeking medical attention. This has led to an increase in the diagnosis rates of Alzheimer's disease, which in turn drives the demand for Alzheimer’s drugs used in the treatment of Alzheimer's disease and related dementia.
Furthermore, healthcare organizations arranged several health campaigns to increase awareness regarding the disease.
Moreover, Alzheimer's & Brain Awareness Month (June) is a global healthcare event initiated by President of the U.S., Ronald Reagan, in 1983 to raise public awareness about Alzheimer’s disease and its impact on individuals, families, and communities. This awareness month highlights the importance of early diagnosis and also aims to urge the local authorities and private organizations to donate funds that aid in further research and care. As a part of this event, the Alzheimer’s Association encourages people to wear the purple ribbon representing the fight against Alzheimer’s disease to support individuals and families affected by the disease.
Thus, the rising awareness regarding this disease and treatment is further increasing the usage of Alzheimer’s drugs to diagnose patients effectively and is anticipated to bolster the market growth during the forecast period.
Increase in Government Funding and Initiatives to Propel Market Growth
With the growing number of Alzheimer's patients globally, there is an increasing burden on healthcare providers to manage the patient pool. Thus, the demand for effective treatment for Alzheimer’s is significantly growing. Owing to this, governments in various countries are undertaking various initiatives and providing funds for research in order to help reduce the burden of Alzheimer's disease.
Similarly, according to an article published in April 2023, the U.S. National Institute on Aging (NIA) announced the funding of USD 300.0 million for a project to build an enormous Alzheimer's research database that can track the health of Americans for ten years and enable researchers to gain new insights on the brain-wasting disease. Such initiatives are anticipated to improve early diagnosis and treatment of Alzheimer's disease, which in turn drives the market growth. The accelerated development of therapeutics that would prevent, stop, or inverse the course of Alzheimer's disease is expected to increase, which is anticipated to increase the demand for Alzheimer's drugs.
High Rate of Clinical Trials Failure to Limit Market Growth
Even though the number of candidates for Alzheimer’s disease in clinical trials is continuously increasing, the high failure rate of these trials is anticipated to restrain the market growth up to a certain extent. The failure, uncertainty, and discontinuation of Alzheimer's drugs clinical trials results in the limited availability of Alzheimer’s drugs to treat the disease. This also increases the cost of research & development, in turn hampering the market growth.
Furthermore, the high cost of Alzheimer’s disease treatment also slows down the market growth. Alzheimer’s is a significant and growing public health issue with staggering costs, mostly due to the burden of informal, unpaid caregiving, and lost productivity.
Highest Number of Approved Products Coupled with High Usage Boosted the Cholinesterase Inhibitors Segment Growth
On the basis of drug class, the market is categorized into cholinesterase inhibitors, NMDA receptor antagonist, combination drugs, and others.
The cholinesterase inhibitors segment captured the highest global Alzheimer’s drugs market share in 2022. This can be attributed to the high number of drugs approved under this segment coupled with high usage of these drugs for Alzheimer’s treatment. At present, donepezil, rivastigmine, and galantamine are a class of medications that are currently approved for the treatment of mild-to-moderate Alzheimer's disease (AD). Several studies have proven their efficacy for the treatment of the disease.
On the other hand, the others segment is anticipated to witness significant growth over the forecasted years. Increasing regulatory approvals for Alzheimer’s drugs is one of the key factors driving the segment’s growth during the forecast period.
Furthermore, Namenda (Memantine) is the only drug approved under the class NMDA receptor antagonist. Similar to majority of the other approved drugs, this is also used to treat the symptoms associated with the disease. NMDA receptor drugs are used to treat cognitive and memory deficits.
Combination drugs used to treat the disease include NAMZARIC. It is a combination of memantine hydrochloride extended-release and donepezil hydrochloride. This segment is anticipated to witness a comparatively slower growth over the forecast period.
To know how our report can help streamline your business, Speak to Analyst
Symptom Management Segment Led the Market Due to Comparatively Significant Market Presence over the Years
Based on application, the market is segmented into disease progression and symptom management.
The symptom management segment accounted for a dominating market share in 2022. This can be attributed to the fact that the majority of the currently approved drugs for the disease are focused on the management of the disease symptoms. As of now, there is no cure available for Alzheimer’s disease. The approved drugs treat cognitive symptoms as well as non-cognitive symptoms.
The disease progression segment is estimated to witness the highest CAGR during the forecast period owing to the expected high demand for Alzheimer’s drugs to manage disease progression.
The segment accounted for very less market share in 2022. Key factors responsible for this low share include the availability of a limited number of approved products for the management of Alzheimer’s disease progression. Currently, there are only two drugs that the U.S. FDA has approved.
Higher Consumption of Therapeutics from Hospital Pharmacies led to Hospital Pharmacy Segment Growth
By distribution channel, the market is categorized into hospital pharmacy, retail pharmacy & drug stores, and online pharmacy.
The hospital pharmacy segment led the global market in 2022 with the highest market share. The key factor responsible for the high market share includes the increasing procurement of prescription therapeutics from hospital pharmacies. Additionally, the outbreak of the COVID-19 virus further supplemented the segment growth due to increased hospitalizations and the use of these drugs in Alzheimer’s patients infected with COVID-19.
Alternatively, the online pharmacy segment is anticipated to grow considerably during the forecast period. This is majorly due to the increasing adoption of online digital platforms by consumers. The online pharmacy platforms make it easier for the individual to receive the medication at the doorstep.
North America Alzheimer’s Drugs Market Size, 2022 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
Based on region, the market is studied across North America, Europe, Asia Pacific, and Rest of the World.
North America held the highest market share in 2022, generating a revenue of USD 1.81 billion. The region is anticipated to dominate the market throughout the forecast period. Key factors driving the regional growth include the high prevalence of Alzheimer’s disease in the U.S., recent new drug approvals by regulatory bodies, and the availability of advanced healthcare systems in the region.
Moreover, increasing healthcare expenditure to support Alzheimer’s disease care in the region further supports the market growth. According to the Alzheimer’s Association, in the U.S., the disease is estimated to cost around USD 345 billion in 2023. This cost is expected to rise to USD 1 trillion by 2050.
On the other hand, Europe captured the second-largest share of the global market. Increasing efforts by the different governments to improve the quality of care as well as increase awareness amongst the general population have driven the European market growth.
Asia Pacific is anticipated to be the fastest-growing region in the global market. Factors contributing to the highest growth include the rapidly growing prevalence of the disease in Asian countries coupled with increasing awareness among the people.
Biogen Inc. and Eisai Inc. to Boost Market Growth with Strong Product Portfolio
The market space for Alzheimer’s drugs reflects a consolidated structure, with key players, such as Biogen Inc. and Eisai Inc., accounting for a significant market share in 2022. These companies have a substantial number of product approvals and are actively engaged in the development of innovative therapies for the management of Alzheimer’s disease.
Furthermore, other prominent players, such as Novartis AG, H.Lundbeck A/S, and others, are also adopting several growth strategies such as collaborations & partnerships, new product launches, and others, in turn contributing to the growing competition in the market. These firms are also focusing on increasing their R&D expenditure in order to develop new products to treat the disease.
An Infographic Representation of Alzheimers Drugs Market
To get information on various segments, share your queries with us
The global Alzheimer’s drugs market report provides an in-depth analysis of the industry. It focuses on market segments, such as drug class, application, and distribution channel. Besides this, it offers the global Alzheimer’s drugs market forecast in relation to the current market dynamics, the impact of COVID-19, and latest market trends. Additionally, the report consists of several factors that have contributed to the market’s growth. The report also provides the competitive landscape of the market along the pipeline analysis.
CAGR of 5.1% from 2023-2030
Value (USD Billion)
By Drug Class
By Distribution Channel
Fortune Business Insights says that the global market stood at USD 3.52 billion in 2022 and is projected to reach USD 5.21 billion by 2030.
In 2022, the market value stood at USD 1.81 billion.
The market will exhibit a steady CAGR of 5.1% from 2023 to 2030.
Currently, the cholinesterase inhibitors segment was leading the market by drug class.
The rising prevalence of Alzheimer’s disease, increasing research & development activities by major market players, rising number of approvals, and introduction of innovative therapeutic approaches are the key drivers of the market.
EISAI CO., LTD., Novartis AG, and Biogen Inc. are the major players in the market.
North America dominated the market in 2022.
The surge in the demand for effective treatment of Alzheimer’s disease, increased adoption of technologically advanced diagnostic testing, and a considerable patient population base are some of the factors expected to drive the adoption of these products.
“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”- U.S.-based biotechnology company focussing on treatment of chronic pain.
“Kudos to your team. Thank you very much for your support and agility to answer our questions.”- Europe-based provider of solutions to automate data centre operations.
“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”- India-based manufacturer of industrial and specialty intermediates with a strong global presence.
“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”- One of the largest cosmetics company in the world.
“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”- U.S. based startup operating in the cultivated meat market.
“We received the below report on the U.S. market from you. We were very satisfied with the report.”- Global hearing aids manufacturer.
“I just finished my first pass-through of the report. Great work! Thank you!”- U.S. based solar racking solutions provider.
“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”- World’s leading advisory firm.
“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”- Germany based machine construction company.
“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”- Japanese manufacturing company of stationery products.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry