New Research Initiative Provides Unique Insight into Bio-Market Scientific Specialties Influence Purchasing Directions

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A research initiative spearheaded by research firm BioMarket Dynamics, and supported through collaboration with Biotechnology Focus and Laboratory Focus magazines, has shed new light on the Canadian market for laboratory, analytical, and life sciences products and supplies.

The study, conducted with readers of the publications during the spring, provides insight into the background and research priorities of members of the Canadian scientific community, and the links between research specialties and product procurement plans for 2008.

Highlights of the research findings, which are expected to form the basis of ongoing tracking research conducted by BioMarket Dynamics, include:

•A healthy mix of public and private-sector activity – In the research, public-sector organizations accounted for approximately 60% of scientists identified through the survey, with 38% of the 91 respondents addressing the question coming from academia, and 23% from government. Most of the remaining respondents are employed in industrial organizations.

•Process biotechnology is the primary area of Canadian research focus for 2008 – Respondents were asked to identify all of the different areas of research that they are active in, and then asked to identify their main area of focus for 2008. The results show that process biotechnology will be the primary area of research activity for survey respondents in 2008. There is also a high degree of focus on proteomics, drug discovery and delivery, and environmental testing; collectively, these four categories accounted for 55% of total responses provided in the survey, with the balance spread across 11 other categories.

•Investments are primarily focused on chemicals and consumables – Our research asked respondents to identify the proportions of their budgets allocated to various equipment and supply categories. At a high level, we found that just over 60% of 2008 budgets will be allocated to chemicals (22%) and consumables (39%). Equipment expenditures are expected to be allocated roughly evenly across low-cost (< $5000) laboratory equipment, higher-value lab equipment, and specialty equipment used in analytical and life sciences applications.

•Purchasing emphasis varies across scientific
applications – Although respondents representing all of the leading research specialties are more likely to be investing in supplies rather than new equipment, investment priorities vary across the different fields. Respondents who are focusing on process biotechnology and drug discovery and delivery are more likely to be purchasing chemicals than other consumables; this pattern is reversed for those focused on proteomics and environmental testing. Different specialties also lead to different equipment acquisition priorities.

Scientists from all four specialties report high levels of purchases of laboratory equipment <$5000; however, those focusing on process biotechnology and proteomics are also apt to be planning purchases of life sciences equipment, while those who specialize in environmental testing are looking to acquire analytical instruments, and those focused on drug discovery are planning to purchase both analytical products and higher-end laboratory equipment.

“When I saw these findings, it was like opening the shades in a dark room,” says Terri Pavelic, Publisher of Biotechnology Focus and Laboratory Focus. “In some areas the research confirmed what we had suspected, while in others, like the chart illustrating research specialties for 2008, we gained new insight into the Canadian research environment. We think that improving information velocity is a key to encouraging growth in the Canadian industry, and our publications will continue to work with BioMarket Dynamics to bring this information to our readers and to the public and private-sector decision makers who have been asking for this kind of insight.”

BioMarket Dynamics is currently reading “phase 2” of this research. If you have questions about the process, or want to be involved, please contact Michael O’Neil at michael.oneil@biomarketdynamics.ca.

Michael O’Neil joins BioMarket Dynamics with a rich background in a related field: he is Canada’s most senior IT industry analyst. Recognized globally as a leading IT expert, his work in Canada spans many IT-related topics, including green IT and the application of technology to business processes.

In 2007, Michael co-founded the social media site IT in Canada, for which he is CEO/CCO. He subsequently founded the ITFX Network, which distributes 18 discussion forums across multiple portal sites. The ITFX Network is continues to expand through the launch of microsites that delve into specific forum topics.