September 2003 – The CenterWatch Monthly : PDF
Unveiling ‘Hidden Costs’ in Clinical Trials
Investigative sites are typically taking on clinical projects that require an estimated $4,000 to $6,000 in hidden costs per study that are not remunerated by sponsors and CROs. The average investigative site is generating modest to no operating profit when hidden costs—including those for study start-up, serious adverse event management, protocol amendments and screen failures—are accounted for. This comes at a time when the growth in study grant amounts is slowing and sponsors and CROs are taking far longer to pay.
The New CRO Price Wars
Although the CRO market continues to grow steadily, competition within the sector is intensifying as companies pursue hyper-aggressive strategies to steal market share. Conditions are expected to worsen if R&D spending is impacted by a pharmaceutical industry slump. The 2003 CenterWatch survey shows that CRO-site relationship quality has floundered as CROs look to improve partnership performance while holding down project pricing.
Also in this issue:
- EU to Enlarge with 10 New Member States
- Eye on: Crohn's Disease