Market research company Technavio is predicting that the global testosterone replacement therapy market will decline at a compound annual growth rate of more than 3 percent during the period 2016 to 2020, with a decline rate of close to 15 percent in the Americas, where sales are predicted to fall from $2 billion to $0.9 billion by 2020.
Technavio’s report reviewed market outlook and growth prospects for the global testosterone replacement market during that time period, taking into consideration revenue generated from sales of branded and generic drugs that treat and prevent hypogonadism (low testosterone levels) and revenues to be generated from the sales of drugs that are expected to be launched during the forecast period. The report also takes into account the decline in revenue from the generalization of marketed drugs during this period.
“Promotional activities by vendors such as AbbVie and Eli Lilly led to the increase in the sales of the drugs Axiron and AndroGel by at least 10 percent. However, the therapy is associated with risks such as development of cardiovascular disease conditions. The FDA has issued a warning regarding the use of these drugs and also made it mandatory for vendors to mention the risks associated with the use of these drugs on the labels. This has led to the decline in the sales of these drugs which has, in turn, led to the overall decline in the growth of the global testosterone replacement therapy market,” says Barath Palada, a lead expert from Technavio for men’s health and genitourinary research.
Despite the decline, Technavio predicts the Americas will remain the major market for testosterone replacement therapy during the forecast period. “However, the market is continuing to decline in the Americas due to FDA warnings regarding the use of testosterone drugs. Apart from this, patent expiries of the drugs obstruct market growth in this region,” Palada says.
Manufactures of testosterone replacement therapies currently face a growing number of lawsuits in the U.S. alleging the companies marketed their drugs aggressively but failed to warn of cardiovascular risks including heart attacks, strokes and death.
Source: Business Wire