The aging baby boomer population and their increasing focus on health will continue to generate significant growth for the vitamin & dietary supplements market in 2014. In order to increase market share in this $14 billion dollars a year industry, Pharmaceutical companies are partnering with top-quality Contract Development Manufacturing Organizations (CDMOs) to improve their competitive advantage.
Focus on Marketing
A main advantage is to alleviate the high resource allocation requirement associated with bringing to market new vitamin or dietary supplement formulations. Meeting ever increasing regulatory requirements alone, can put a strain on smaller companies; But by turning to top-quality CDMOs for solutions, Pharmaceutical companies can focus on marketing while leaving the minutia of regulatory requirements and manufacturing worries to the CDMO.
Deliver High Quality Products
Additional advantages for outsourcing with a top-quality CDMO are: better economies of scale, expertise in product development, and extensive experience with quality control. One important characteristic of a successful CDMO is a focus on constantly evolving and streamlining their production process and consistently making the necessary investments in up-dating manufacturing technologies. Moreover, by leaving product development & manufacturing to CDMOs, Pharmaceutical companies can benefit from increased speed-to-market and an ability to quickly adjust to changing market demands.
As with any new vitamin or dietary supplement formulation, tighter tolerances and manufacturing consistency play a vital role in consumer trust. Top-quality CDMOs will already have in place the processes and procedures for meeting these stringent requirements and the ability to deliver high quality products.
Mitigate Short & Long Term Investment Risks
“Pharmaceutical companies can benefit tremendously from standing on the sidelines rather than participating in the manufacturing technology ‘arms race’.”
Lastly, top-quality CDMOs are better able to anticipate future advancements in manufacturing technologies and process developments. CDMOs will always be in tune with industry trends and are privy to up-and-coming trends and innovations. Pharmaceutical companies can benefit tremendously from standing on the sidelines rather than participating in the manufacturing technology “arms race”. The resulting strategy can lower a Pharmaceutical’s research & development costs, reduce their production costs and mitigate short and long term investment risks associated with in-house production and manufacturing.
Demand Higher Standards
It is clear that as the competition in the vitamin and dietary supplements market heats up, Pharmaceutical manufacturers will demand higher standards than ever before from CDMOs. The end result will benefit the consumer with better, higher quality products, and the entire process will be streamlined from conception, formulation, packaging and pricing, resulting in less effort to getting the product to the shelf and promoting it.