How To Do Market Research For Pharmaceutical Companies?

Pharmaceutical market research helps you make smarter, data-driven decisions across drug development, clinical trials, and market access. 

It uncovers unmet needs, benchmarks competitors, and guides pricing and positioning—so you reduce risk and increase ROI. 

Whether you're launching a new therapy or expanding into a new region, this guide shows how to turn real-world insights into strategic advantage.

What is Pharmaceutical market research?

Pharmaceutical market research is the systematic collection and analysis of data related to drugs, therapies, and healthcare markets. It helps pharmaceutical companies understand patient needs, evaluate competitor strategies, track market trends, and meet regulatory demands. 

With rising global demand for personalised medicine and biotech innovations, market research plays a critical role in guiding product development, pricing, and go-to-market strategies.

Why is market research important in the Pharmaceutical industry?

Supports Drug Development Decisions

Market research helps pharmaceutical companies identify unmet medical needs and prioritise R&D investment. By analysing patient populations, disease prevalence, and treatment gaps, companies can develop drugs that offer real therapeutic value. Aligning drug development with actual market demand reduces the risk of failed trials and wasted resources.

Improves Go-to-Market Strategy

Before launching a drug, companies need insights on pricing, physician adoption, and patient access. Market research helps refine brand messaging, assess demand, and select the most effective distribution channels. It also identifies the right stakeholders to target, physicians, hospitals, or retail chains, ensuring maximum product reach and adoption.

Ensures Regulatory and Market Fit

Pharmaceutical markets are heavily regulated, with requirements that vary by country. Market research provides clarity on regulatory pathways, approval timelines, and documentation norms. It also helps companies understand payer expectations and reimbursement scenarios, making sure the drug meets both safety standards and economic value criteria.

Enhances Competitor Analysis

Understanding competitor pipelines, launch timelines, and marketing tactics is crucial in a saturated market. Market research gives pharma companies a competitive edge by benchmarking against rivals, identifying differentiators, and anticipating threats. This intelligence shapes portfolio planning and helps companies stay ahead in innovation.

Drives Patient-Centric Innovation

With the shift toward personalised medicine and value-based care, understanding patient experiences is more important than ever. Market research uncovers patient preferences, treatment barriers, and adherence issues. This helps companies design better delivery methods, support programs, and communication strategies that improve outcomes and satisfaction.

How to conduct Pharmaceutical market research? Step by step

Step 1: Define a Clear Research Objective

Why it matters: A clearly defined objective ensures your research stays focused, saves time, and delivers answers that support business decisions.

What to do:
Start by holding a meeting with key decision-makers in your company; this could include teams from marketing, product development, regulatory affairs, and regional sales.
During this meeting:

• Discuss the main challenges you are facing. For example, you may want to find out if there’s demand for a new diabetes drug in Southeast Asia, or whether general physicians prefer oral or injectable options for arthritis treatment.

• Convert those challenges into one or two focused research questions. Avoid vague goals like “explore the market.” Instead, ask something specific, such as, “What are the top factors influencing oncologists when prescribing immunotherapy drugs in India?”

• Decide what you want the research to deliver, like a competitor pricing report, patient behavior patterns, or treatment satisfaction scores.

• Define the scope, budget, timeline, and teams that will use the findings.

Outcome: You’ll have a focused research question that guides the rest of the process and ensures your team collects only the most useful data.

Step 2: Identify the Right Target Audience

Why it matters: Your research is only useful if you speak to the right people, those who actually influence or make decisions in the pharmaceutical space.

What to do:
Figure out which groups you need insights from, based on your product and objective:

• If you are studying treatment effectiveness, target patients and caregivers.

• If you are studying prescribing behavior, target doctors, general practitioners, specialists, or surgeons.

• If you are studying hospital purchases, target pharmacy managers or procurement heads.

• For insurance-related research, include payers and policy advisors.

Then, divide them into groups by:

• Location (e.g., India, US, Europe)

• Specialty (e.g., oncology, neurology)

• Experience (e.g., senior doctors vs. junior doctors)

• Type of institution (e.g., private clinics vs. government hospitals)

Outcome: You will know exactly who to contact for meaningful feedback and insights that reflect real-world decisions.

Step 3: Select the Right Research Methods

Why it matters: Different questions need different approaches. The research method you choose will affect the quality, depth, and reliability of your insights.

What to do:
Use a mix of primary research (collecting new data) and secondary research (using existing data):

Primary Research (ideal for fresh, custom insights):

• Surveys: Ask large groups of doctors or patients questions about their experience, preferences, or awareness of treatments.

• Interviews: Speak one-on-one with healthcare professionals to understand their motivations, challenges, and prescribing habits.

• Focus Groups: Organize small discussion groups with patients or pharmacists to explore their reactions to new drug concepts or packaging.

• Product Testing or Trials: Provide a new formulation or packaging to a select group and gather feedback.

Secondary Research (ideal for benchmarking and validation):

• Use databases like FDA, EMA, or ClinicalTrials.gov to study regulations, trial outcomes, and drug safety records.

• Purchase detailed industry reports from Consainsights, IQVIA, or Statista.

• Analyze competitor activity, drug sales, and marketing strategies from published news, journals, and financial reports.

Outcome: You will have a plan that tells you what data to collect, how to collect it, and where to find it, giving your research structure and clarity.

Step 4: Design Effective Research Tools

Why it matters: The quality of your surveys, interviews, or focus group guides directly affects the quality of insights you receive.

What to do:

• Write simple, unbiased, and focused questions. Avoid using medical jargon with patients; use technical terms only when speaking with doctors.

• Use a mix of question types: yes/no, multiple choice, rating scales, and open-ended questions that ask “why” or “how.”

• Customize your tools depending on the audience. A doctor’s survey might include questions about dosage preference, while a patient’s survey may ask about side effects or price sensitivity.

• Test your tools with a small group first. This will help you check that the questions are clear and that respondents understand them as intended.

Outcome: You will be able to collect accurate, complete, and relevant data that is easy to analyze.

Step 5: Collect the Data

Why it matters: This step turns your plan into action and brings you the real-world information you need.

What to do:

• Launch surveys through email, social media, or healthcare research platforms. Make sure respondents fit your target audience criteria.

• Schedule interviews with 10–15 doctors, hospital buyers, or pharmacists. Record the sessions (with permission) for later analysis.

• Conduct focus groups in key markets like Delhi, New York, or London. Include 6–8 people per group and use a trained moderator to lead the session.

• For secondary research, visit trusted sources like Consainsights, WHO, or PubMed to gather published data, charts, or competitor analysis.

Outcome: You will now have both qualitative and quantitative data that reflect actual market behavior and stakeholder opinions.

Step 6: Analyze the Data

Why it matters: Data is only valuable when turned into patterns, trends, and actionable insights.

What to do:

• Sort your data by respondent type, country, age group, or treatment type.

• Use Excel, Power BI, or analytics tools to create charts, graphs, and heatmaps.

• Identify what most people agree on (e.g., "80% of neurologists prefer branded generics").

• Look for hidden trends, like why rural doctors prescribe differently from urban doctors.

• Compare new data with industry reports to validate or challenge assumptions.

Outcome: You will gain a clear picture of the market, uncover needs, barriers, and opportunities, and understand what drives behavior.

Step 7: Turn Insights into Strategic Actions

Why it matters: Research is only useful if it leads to clear, smart business decisions.

What to do:

• Summarize the top 5–6 insights from the research.

• Link each insight to a recommendation. For example:

• “Doctors want faster-acting painkillers → Reformulate for quicker absorption.”

• “Patients can’t afford monthly refills → Explore discount cards or smaller pack sizes.”

• Create a report that includes visuals, quotes, and a section for recommendations by department (e.g., product, marketing, regulatory).

• Make the insights easy for leaders to review and act on.

Outcome: You will have a well-structured report that guides teams on what to do next and why.

Step 8: Present the Findings and Align Teams

Why it matters: Clear communication ensures all departments understand the results and act in the same direction.

What to do:

• Share the report in a presentation with your leadership and cross-functional teams.

• Walk them through the key insights, business implications, and recommended actions.

• Assign responsibilities to each team, e.g., product will own formulation changes, marketing will test new messaging.

• Include timelines and KPIs so that actions are measurable and trackable.

Outcome: You’ll achieve alignment across your organization, leading to faster decisions and better execution.

How Consainsights Can Help You with Pharmaceutical Market Research

At Consainsights, we specialize in delivering custom pharmaceutical market research solutions that help enterprise leaders, MNCs, and healthcare innovators make confident, data-driven decisions.

Whether you're planning to launch a new drug, evaluate market access strategies, or expand into new geographies, we support every step of your research journey with precision and industry depth.

Here's how we add value to pharmaceutical companies:

Objective-Aligned Research Design

We start by understanding your exact business objective, be it market sizing, physician adoption, regulatory trends, or patient adherence. Then, our team crafts a research plan tailored to your strategic needs and decision timelines.

Access to Verified Stakeholders

We provide direct access to high-quality respondents, including:

• General physicians and specialists (oncologists, cardiologists, neurologists, etc.)

• Pharmacists, procurement managers, and hospital buyers

• Patients and caregivers across key therapeutic areas

• Regulatory consultants and KOLs in global and regional markets

Advanced Data Collection & Analytics

We collect meaningful insights using a blend of surveys, interviews, focus groups, and real-world evidence. Our analysts use advanced tools to deliver segmented, reliable, and benchmarked data that supports commercial decisions.

Global Market Coverage with Local Intelligence

Our reports cover 13,000+ markets globally, with region-specific expertise in North America, Europe, Asia-Pacific, the Middle East, and Latin America. We help you confidently adapt to regional pricing, access, and compliance landscapes.

Action-Oriented Deliverables

We deliver clean, executive-ready reports that highlight:

• Market trends and forecasts

• Prescriber behavior

• Competitor benchmarking

• Strategic opportunities

• Clear recommendations aligned to your team’s KPIs

Support Beyond Research

Our consulting approach goes beyond reporting. We help you translate insights into launch strategies, positioning frameworks, and go-to-market action plans, ensuring you not only know the “what” but also the “what next.”

When to conduct Pharmaceutical market research?

Before Starting Drug Development

Pharmaceutical companies should conduct market research before initiating drug development to validate unmet needs in the target therapeutic area. This helps identify whether doctors and patients truly require a new treatment, and what specific features, such as improved delivery or fewer side effects, would make it valuable.

Why it matters: It reduces the risk of investing in products with limited clinical or commercial value.

When Expanding into a New Market or Geography

Before entering a new country or region, pharmaceutical firms must understand local prescribing behaviors, competitive landscapes, access barriers, and regulatory requirements. Market research at this stage ensures your product is adapted to the realities of the new market.

Why it matters: It supports go-to-market planning and helps avoid delays or misalignment in pricing, messaging, or compliance.

During Clinical Development Phases

Market research conducted during Phase II or Phase III clinical trials can offer valuable insights into physician awareness, potential demand, and trial positioning. Feedback from healthcare professionals and key opinion leaders can also guide study design and patient engagement strategies.

Why it matters: Aligning trial efforts with market expectations increases the chances of clinical and commercial success.

Prior to Product Launch

Before launching a new drug or therapy, companies should conduct detailed research to understand prescriber readiness, patient interest, pricing expectations, and competitive threats. This stage is critical for shaping sales strategies, crafting brand messaging, and training field teams.

Why it matters: It ensures the product resonates with its intended audience and achieves faster market adoption.

After the Product Launch to Track Performance

Ongoing research after launch helps measure how the product is performing in the real world. This includes tracking prescription volumes, adherence rates, physician feedback, and competitor reactions.

Why it matters: It allows companies to quickly adjust their strategies, improve messaging, and respond to early market signals.

In Response to Regulatory or Policy Changes

Whenever regulatory agencies or health authorities provide significant updates, market research becomes essential to reassess the product’s market access and risk profile. This includes changes in drug approval pathways, pricing regulations, or reimbursement frameworks.

Why it matters: It helps ensure continued compliance and market viability in a shifting legal and policy environment.

Before Licensing, Partnership, or M&A Decisions

Pharmaceutical companies considering licensing agreements, joint ventures, or acquisitions should conduct market research to evaluate the commercial viability of target products. This includes demand forecasts, competition, and strategic fit.

Why it matters: It enables evidence-based deal-making and reduces the risk of overpaying for underperforming assets.

Market Segmentation in Pharmaceutical

1. Compounding Pharmacies Market by Customer Demographics

• Elderly patients require liquid formulations for chronic conditions and ease of swallowing.

• Pediatric patients often need flavored, dose-adjusted, or allergen-free medications.

• High-income groups show rising demand for wellness-focused hormonal therapy.

• In 2023, liquid formulations dominated with 66.73% market share, driven largely by these two age groups.

2. Compounding Pharmacies Market by Behavior and Usage Patterns

• Patients with chronic illnesses prefer long-term, tailored medication regimens (e.g., hormonal therapy, pain relief).

• Allergy-sensitive patients seek preservative-free, dye-free, or gluten-free compounds.

• Veterinary and wellness-focused customers increasingly demand specialized compounding.

• Retail pharmacies remained the primary access point, capturing 66.73% of the market in 2023.

3. Compounding Pharmacies Market by Geography or Region

• North America led the market at $3.59 billion in 2023, projected to grow to $5.91 billion by 2033.

• Asia Pacific followed with $1.87 billion, expected to reach $3.07 billion, driven by population growth and expanding healthcare access.

• Europe stood at $3.04 billion, with stable growth supported by strong regulations and aging demographics.

• South America and MEA had smaller bases but are gradually expanding with increased health investments.

4. Compounding Pharmacies Market by Product or Service Type

• Hormonal compounds made up 66.73% of the market in 2023, largely used in HRT and endocrine treatments.

• Pain management compounds held 27.56%, serving long-term therapy needs.

• Antibiotic preparations had a 5.71% share, a growing category due to antimicrobial customization.

• Service types were dominated by physical retail, but online pharmacies are emerging with convenience-driven growth.

5. Compounding Pharmacies Market by Formulation Type

• Liquid formulations were most popular in 2023, making up 66.73% of the market due to easier administration.

• Solid formulations accounted for 27.56%, including custom pills, capsules, and powders.

• Topical formulations held 5.71%, gaining use in dermatology and localized pain relief.

• Preference by formulation is closely linked to patient age and condition severity.

6. Compounding Pharmacies Market by Therapy Area

• Oncology accounted for 40.38% of therapy-specific demand in 2023, driven by cancer-specific regimens.

• Hormonal therapy followed with 20.82%, covering HRT, thyroid, and reproductive health.

• Pain management was at 12.86%, supported by the rise in chronic pain conditions.

• Pediatric and geriatric treatments each held 13.22%, reflecting consistent demand across age-focused care.

7. Compounding Pharmacies Market by Distribution Channel

• Retail pharmacies dominated at 66.73%, preferred for personalized consultations and local access.

• Hospital pharmacies followed with 27.56%, often providing urgent or inpatient formulations.

• While online pharmacies will account for only 5.71% of the market in 2023, they are poised for faster growth with telehealth expansion and home delivery convenience.

How can you apply Pharmaceutical market research insights to improve your strategy?

You can apply pharmaceutical market research insights to sharpen your business strategy by aligning offerings with market demands and anticipating future trends. Key ways include:

• Target high-growth segments like oncology or gene therapies to maximize ROI.

• Customize product development based on regional demand and demographic needs.

• Optimize distribution channels by analyzing consumer preferences, retail, hospital, or online.

• Adapt pricing and positioning using income-based segmentation insights.

• Invest in innovation where technology-driven or personalized solutions show upward trends.

These insights help ensure smarter investments, better patient alignment, and sustained competitive advantage.

Conclusion

Market research isn’t just helpful in the pharmaceutical industry; it’s essential. From uncovering unmet patient needs to optimizing drug launches and navigating complex regulations, research gives you the clarity to make confident, strategic decisions. 

It connects real-world insights with business priorities, helping you reduce risks, outperform competitors, and deliver meaningful healthcare solutions.

👉 Need help with pharmaceutical research? Contact us today.

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