COVID-19 Diagnostics Market Growth & Trends

The global COVID-19 diagnostics market size is expected to reach USD 7.8 billion by 2027, registering a CAGR of 5.96% during the forecast period, according to a new report by Grand View Research, Inc. Increase in need for mass testing and efficiency in infection diagnosis are key contributors for the market growth. COVID-19 mass testing has been largely favored by European countries, which is a primary factor that can be attributed to the dominance of this region in the global market.

Large-scale operational entities in Sweden, such as Tele2, H&M, and Spotify are engaged in mass testing for distinguishing the staff who were tested positive from those not affected by the infection. The clothing company H&M arranged for mass testing of more than 4,000 employees. In addition, virologists have stated that the relatively low-death rates associated with coronavirus in Germany can be attributed to early implementation of mass testing in the country. This is further propelled by robust strategies devised by authorities to contain the spread of coronavirus in the country; in March 2020, Germany carried out mass testing reaching an average of 500,000 people every week.

Exploring the potential of novel molecular technologies in the scaling-up of coronavirus testing is expected to offer a significant momentum to the expansion of the market for COVID-19 diagnostics. For instance, CRISPR-a gene editing technology-has recently made its way into the coronavirus testing market. This gene editing technology enables detection of SARS-CoV-2 genes, via a protein, namely, CRISPR-Cas12. Acknowledging the potential of this technology in diagnosing coronavirus patients, the Food and Drug Administration (FDA) recently approved CRISPR test for coronavirus patients in U.S. This diagnostic kit has been approved under the provisions of emergency use.

Expanding pool of startup companies actively operating in the market is also expected to intensify market participant competition. This trend has been prominently observed in Asia Pacific, contributing to the fast-paced growth expected to be witnessed through 2021 to 2027. Some of the startup manufacturers of novel COVID-19 tests include Mylab, DNA Xperts Private Limited, Rokid, Bione, and SD Biosensor, among others.

COVID-19 Diagnostics Market Report Highlights

  • Oropharyngeal and nasopharyngeal swabs are estimated to dominate the market in 2020 estimated to account for a share of 53% and this sample type is anticipated to maintain its dominance through 2021 to 2027
  • Nasopharyngeal swabs are the gold standard for COVID-19 sample collection; both oropharyngeal and nasopharyngeal swabs are largely employed in PCR testing
  • Increasing popularity of at-home testing and handheld instruments targeted toward combating shortage of coronavirus test kits has been witnessed. This has propelled the expansion of point-of-care COVID-19 testing market space, which has contributed to the segment’s fast-paced growth through 2021 to 2027
  • Europe is estimated to dominate the market in 2020 estimated to account for a revenue share of 40% and is expected to maintain this dominance through 2020 to 2027. This is attributed to the robust funding for fast-track studies pertaining to clinical validation of rapid tests for COVID-19, by the European Commission and Member States
  • Robust government initiatives aimed at increasing the number of operational laboratories dedicated to coronavirus testing, especially across Asia Pacific is set to propel the growth