Allergy Immunotherapy Market

Allergy Immunotherapy Market Outlook

FMI estimates that the global allergy immunotherapy market could reach US$ 1.74 billion in 2023. Booming at a CAGR of 8.9% from 2023 to 2033, the market is likely to surpass US$ 4.07 billion by 2033.

The immunotherapy treatment market has gained significant attention recently due to its innovative approach to fighting cancer. However, it is important to note that a growing allergy immunotherapy market utilizes similar immunotherapy principles to treat allergies.

While allergy immunotherapy is distinct from cancer-focused immunotherapy treatment, the two have certain similarities. Both rely on the immune system to fight disease and involve biologics to stimulate an immune response. Additionally, the success of cancer immunotherapies has spurred interest in applying similar approaches to other disease areas, including allergies.

The allergy immunotherapy market is a rapidly growing sector of the healthcare industry, driven by a wide range of factors shaping the current landscape. Key drivers include the increasing prevalence of allergies, advancements in biotechnology and immunology, and rising demand for personalized medicine.

Allergy immunotherapy is a treatment to prevent allergic reactions caused by food, grass pollen, dust, and bee venom, among other causes. Allergy immunotherapy aids in controlling symptoms among people suffering from allergies such as rhinitis, asthma, and conjunctivitis, among other common allergies.

Allergy immunotherapy involves injections regularly that generally increase the dosage to develop resistance in the patient. With a progressive increase in dosage, the patient's immunity system becomes less fragile due to the increased production of blocking antibodies that fight the foreign substances that cause allergies.

Asthma is a key part of allergy because it is often triggered by allergic reactions and is closely linked to other allergic conditions. Therefore, the asthma allergy immunotherapy market is a sub-segment of the larger immunotherapy market, focused specifically on developing products for treating asthma and allergic conditions.

Shift toward more targeted and personalized treatment is a key trend in the market. The understanding of the molecular mechanisms underlying allergic reactions is growing. As a result, researchers and clinicians are developing more advanced and individualized therapies that can address each patient's specific needs. This trend also drives the development of biomarkers and diagnostic tools to help identify the underlying causes of allergies and guide treatment decisions.

Currently, there are three main types of allergy immunotherapy products in use: sublingual allergy immunotherapy (SLIT), subcutaneous allergy immunotherapy (SCIT)/injection, and oral allergy immunotherapy. Among these, SLIT offers treatment without injections instead of treating allergies with tablets.

Tablets used in the SLIT treatment treat allergies caused by ragweed, grass pollen, and dust mites and are approved by the United States Food and Drugs Administration (FDA). However, SLIT offers treatment for only one type of allergen and does not prevent curbing the possibility of developing other kinds of allergies.

This gives an edge to SCIT treatment, considered the highly effective form of allergy immunotherapy since it simultaneously prevents the development of asthma and other allergies. As people across the world grow highly sensitive to different types of allergies, the proliferating need for effective fighting methodologies is likely to drive the market on a positive growth trajectory.

2018 to 2022 Global Allergy Immunotherapy Market Outlook Compared to 2023 to 2033 Forecast

The allergy immunotherapy market is forecast to expand at a CAGR of 8.9% during 2023 and 2033 in comparison to a 2.5% CAGR registered from 2018 to 2022. The allergy shots (Immunotherapy) market dates back to the early 20th century when doctors began injecting small amounts of allergens to desensitize patients to their allergies. Since then, allergy immunotherapy has become a widely accepted and effective treatment option for many people with allergies.

In recent years, the market has experienced significant growth, driven by the increasing prevalence of allergies, the growing demand for personalized medicine, and the development of new and advanced allergy immunotherapy products. Additionally, the increasing adoption of sublingual immunotherapy (SLIT) contributes to market growth. It is a newer form of allergy immunotherapy that involves administering allergens under the tongue rather than by injection.

Overall, the historical outlook of the market has been positive, with steady growth in demand and innovation in treatment options. As a result, the market size was recorded at US$ 1.67 billion in 2022. The market is now going through a significant upswing, providing a wide range of prospects for companies working in the industry.

• Short Term (2023 to 2026): The market is likely to experience steady growth during this period owing to the increasing prevalence of allergies and the rising demand for effective treatment options. Developing novel immunotherapeutic agents, such as sublingual tablets, oral drops, and other forms of allergy immunotherapy, could also contribute to market growth.
• Medium Term (2026 to 2029): During this timeframe, the market is poised for significant expansion as new products and technologies enter the market. The introduction of advanced immunotherapy treatments, such as immunoglobulin E (IgE) inhibitors, biologics, and gene therapies, is likely to drive market growth.
• Long Term (2029 to 2033): Looking further ahead, the long-term growth prospects for the market are strong, with increasing demand from patients, physicians, and healthcare systems for personalized and effective allergy treatments. Additionally, the growing interest in precision medicine and personalized healthcare is likely to drive the development of innovative immunotherapy solutions tailored to individual patient needs.

These factors are anticipated to support a 2.3X increase in the allergy immunotherapy market between 2023 and 2033. The market is projected to be worth US$ 4.07 billion by the end of 2033, according to FMI analysts.

Increasing Incidence of Allergies Calls for Efficient Treatments

The rising prevalence of allergies year-on-year worldwide is propelling demand for effectual allergy immunotherapy. For instance, allergic rhinitis is among the extremely common allergies in the world, affecting roughly 10% to 30% of the global population.

According to the estimates of the American Academy of Allergy Asthma & Immunology, nearly 7.8% of the American population aged above 18 develop allergic rhinitis.

Likewise, in 2012, over 17.6 million adults and 6.6 million children were reported to be diagnosed with rhinitis. The number grew to 20 million adults in 2015, thus creating demand for treatments that improve the lifestyle and offer relief from the effects of the allergy.

Along similar lines, other allergies, such as asthma, skin allergies, and food allergies, are also quite prevalent across the world and continue to drive demand for immunotherapy.

In 2016, the World Health Organization (WHO) estimated that over 339 people suffer from asthma globally and attributed more than 400,000 deaths to asthma in that year. By the same token, Food Allergy Research & Education (FARE) reported that over 32 million people in the United States suffer from food allergies, necessitating emergency medical care for one person every 3 minutes to seek.

Similarly, new research by the Journal of Allergy and Clinical Immunology (JACI) estimated that 2-37% of the European population has a self-reported food allergy. As people become increasingly aware of the availability of these treatments, an increasing number of people are willing to seek treatment, driving the allergy immunotherapy market on a remunerative path.

Sabyasachi Ghosh

Principal Consultant

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High Demand for Advanced Procedures

The growing incidence of allergies and the subsequent spending on medical treatments are enabling market players to enhance their treatment offerings. Players are enhancing the existing SLIT drugs, which have proven efficient in treating airway allergies, atopic dermatitis, and a few food allergies.

Recent surveys have suggested that SLIT remains a popular choice among consumers over SCIT, despite its limitations, owing to its accessibility. Moreover, it has been noted that the prevalence of food allergy rises by 10% every year, leading to higher demand for immunotherapy for food allergies.

By the same token, oral immunotherapy is gaining prominence among medical professionals and patients, especially in the treatment of allergic rhinitis. Oral immunotherapy is primarily used to control the incidence of allergic reactions caused by accidental or unintentional allergen exposures for individuals with minimal levels of tolerance. On this premise, market players are focusing on improving their offerings on the oral immunotherapy front.

On the other hand, macroeconomic factors such as increasing levels of pollution, changing eating habits, and increased consumption of alcohol are resulting in an increased prevalence of skin and other allergies, further boosting the need for allergy immunotherapy.

Key Challenges: High Cost and Side Effects

Allergy immunotherapy is a longer process than conventional therapies, prolonging for 3 to 5 years based on the type and severity of the allergy. It is likely to instigate patients to discontinue halfway through the treatment, owing to financial constraints during the process. This is expected to pose a challenge to the growth of the market to an extent.

On these lines, it is to be noted that allergy immunotherapy is relatively more expensive than traditional medication therapies due to its lengthy nature. The annual cost of allergy treatment is around $1000, with oral therapy costing $4000, while SLIT goes beyond $7000. As a result, patients rely on healthcare insurance to cover their expenses. When not covered under insurance, those who cannot afford the treatment have no other option but to resort to temporary medication. The high cost of the treatment is limiting the adoption, thereby hindering overall growth.

On the other hand, the side effects of these treatments are expected to hold back growth. Approximately 1.5% of patients undergoing oral immunotherapy experience side effects such as respiratory, gastrointestinal, or skin-related disorders, thus further restraining the healthy growth of the market.

Mapping the Allergy Immunotherapy Market: Country-wise Analysis Sheds Lights on Market Trends

Europe Allergy Immunotherapy Market Shifts Towards Patient-centered Care with Emphasis on Quality of Life

Europe is expected to remain the leading regional market for allergy immunotherapy during the assessment period, accounting for more than half of the global market value. The region's dominance is attributed to a wide population with various allergies. The European Academy of Allergy and Clinical Immunology (EAACI) reports that over 150 million people, representing 20% of the region's population, currently suffer from chronic food allergies.

Allergic rhinitis and asthma have been identified as extremely common allergies, affecting 100 million and 70 million people, respectively. Furthermore, the organization reported that by 2025, 50% of Europe's population could be affected by allergies, thus creating a lucrative growth opportunity for the allergy immunotherapy market.

The prevalence of allergies in Europe is also mounting into a huge economic burden due to consequential productivity losses in European nations. On the back of these factors, European governments and bodies, including EAACI, are working on raising awareness among people. They are calling for better medical education and treatments, thereby positively influencing the market's growth in the region.

The German allergy immunotherapy market is undergoing noteworthy growth. Germany's well-established healthcare infrastructure and high healthcare expenditure are contributing to market growth. Moreover, the country's robust regulatory framework and favorable reimbursement policies are driving the adoption of allergy immunotherapy treatments among patients.

Pharmaceutical companies operating in the German market are developing innovative immunotherapy solutions driving the market. For instance, Germany was the first country where ALK's innovative tree SLIT-tablet, ITULAZAX®, was introduced in 2019. Owing to the high prevalence of tree pollen allergies in northern Europe, Germany is a significant market for the product. In studies, ITULAZAX® showed therapeutic advantages all during the tree pollen season. An easy-to-take, once-daily SLIT tablet, ITULAZAX® is ideal for usage at home and is convenient. It is authorized for use in patients with moderate-to-severe allergic rhinitis and/or conjunctivitis caused by pollen and whose symptoms cannot be properly managed with symptom-relieving medicine.

The United Kingdom allergy immunotherapy market is experiencing significant growth in recent years. The market is growing primarily owing to the rising prevalence of allergies, especially asthma, rhinitis, and conjunctivitis. Around 20% of the population in the United Kingdom suffers from one or more allergy disorders, making it one of the nations with the top prevalence rates in the world. 20% of the population in the country suffers from allergy rhinitis (AR), one of the more prevalent issues. The rising prevalence of respiratory conditions, including allergies, COPD, and asthma, is one of the key factors driving market expansion.

Numerous factors, such as environmental pollution, lifestyle changes, and genetic predisposition, have contributed to the rising prevalence of allergies in the United Kingdom. The market is expected to continue its growth trajectory during the forecast period, driven by growing demand for personalized treatment options, advancements in medical technology, and a favorable regulatory environment.

The government has been evaluating the framework for allergy labeling in the wake of fatal situations involving food-related allergies. The aim is to provide customers in the country who suffer from food allergies more confidence in the products they consume. This has further fueled the market growth by creating a favorable environment for innovation and the development of new treatment options.

The availability of advanced diagnostic tools, such as skin prick tests and serum-specific immunoglobulin E (IgE) tests, is boosting the adoption of these treatments. Moreover, the favorable reimbursement policies for allergy immunotherapy treatments by the National Health Service (NHS) are making these therapies more accessible to patients.

Sublingual Immunotherapy Emerges as a Popular Treatment Option in North America Allergy Immunotherapy Market

Although North America holds a relatively lower share than Europe, it is likely to remain the second highly lucrative region through the assessment period. The US is poised to remain at the forefront of the North American market, accounting for the bulk of market value owing to the high prevalence of allergies in the region.

The American College of Allergy and Asthma (ACAAI) estimates that allergies are the sixth leading cause of chronic illness in the United States, affecting more than 50 million people and resulting in expenses worth more than US$ 18 billion every year.

Moreover, children are at a higher risk of allergies. According to the 2014 National Health Interview Survey (NHIS), 8.4% of children in the United States under age 18 suffered from allergic rhinitis, 10% from respiratory allergies, 5.4% from food allergies, and 11.6% from skin allergies. Due to the aforementioned facets, the demand for allergy immunotherapy could prevail high in the future.

The United States allergy immunotherapy market is witnessing significant growth, driven by the increasing incidences of allergies and the rising demand for advanced treatment options. For instance, according to a study from the International Food Information Council published in May 2022, about 32 million individuals in the United States have reported having food allergies. About 200,000 people visit the emergency department each year due to these allergies.

Food allergies in young people were also discovered to be prevalent. Approximately 40.0% of children with food allergies are allergic to more than one food, and one in every thirteen children in the United States has been diagnosed with a food allergy. This country's need for allergy immunotherapy is anticipated to increase speedily due to such situations.

According to estimates from the Food and Drug Administration's Center for Biologics Evaluation and Research (FDA), one in five of the about one million children who are allergic to peanuts in the United States are likely to overcome their allergy. Immunotherapy, which can be administered by the patient and used as medicine in home healthcare settings, has demonstrated good and long-term effects in allergic individuals. As a result, immunotherapy has become a viable and safe alternative subcutaneous route for persistent and recurring allergies.

The adoption of subcutaneous immunotherapy (SCIT) and sublingual immunotherapy (SLIT) for treating allergies is on the rise in the United States. Additionally, the availability of customized allergy immunotherapy, such as cluster and mix therapy, is gaining traction among healthcare professionals and patients alike. These therapies offer improved efficacy and safety, leading to their increased adoption.

The increasing availability of advanced technologies, such as molecular diagnostics and genetic testing, further drives the market growth in the United States. These technologies help in accurate diagnosis and personalized treatment planning, improving patient outcomes.

The Canada allergy immunotherapy market is experiencing robust growth due to several factors. The increasing prevalence of allergies in Canada, particularly common allergens such as pollen, dust mites, and animal dander, has contributed to the market growth. According to the Canadian Allergy, Asthma, and Immunology Foundation, about 20% of People in Canada suffer from allergies, and the number is projected to continue rising.

Food Allergy Canada estimated that about three million citizens of Canada, representing 7.5% of the country's population, suffer from food allergies. As a result, the regulatory authorities of Canada are taking a proactive approach to develop and approving allergy immunotherapy products. For instance, Health Canada recently approved using sublingual immunotherapy tablets to treat grass pollen allergy. This has created a favorable regulatory environment, enabling pharmaceutical companies to bring new and innovative products.

Immunotherapy as a primary treatment option for allergies is gaining momentum in the country. Leading companies operating in the market are focusing on developing personalized treatment options that cater to the specific needs of individual patients. For instance, in 2016, Aralez Pharmaceuticals Inc. revealed the commercial release of Blexten in Canada for the management of long-term spontaneous urticarial and periodic allergic rhinitis.

Collaborative Efforts between Industry and Government Foster Innovation in East Asia Allergy Immunotherapy Market

East Asia is projected to remain a prominent region for the global allergy immunotherapy market, backed by a vast population base in China, Japan, and South Korea suffering from various kinds of allergies. Allergic rhinitis is one of the most common allergies in China and has significantly increased in the previous two decades.

Similarly, according to the Japanese Society of Pediatric Allergy and Clinical Immunology (JSPACI), oral immunotherapy is gaining tremendous traction in the region owing to its convenience, especially among patients suffering from allergic rhinitis. These factors are likely to continue to drive the market on a positive growth trajectory through the assessment period.

There is substantial evidence that the incidence of food allergies is rising in developing nations, with rates of food allergies reported in China comparable to those in Western nations. This has led to an increased demand for effective treatment options among the country’s vast population, which includes a significant proportion of young adults and children who suffer from allergies.

The strong focus of the government of China on healthcare and the expansion of the country’s healthcare infrastructure has contributed to the market growth. The government has increased investment in healthcare, including establishing specialized medical institutions and promoting research and development of innovative and effective allergy immunotherapy products.

Industry-government partnerships are also contributing to market growth. The government’s support has created a favorable environment for industry growth. This has led to significant advancements in research and development activities, new product launches, and increased investments in the market. Therefore, the China allergy immunotherapy market is poised for continued growth.

Allergy Immunotherapy Market: Understanding Market Dynamics through Segment-wise Analysis

SLIT Tablets Holds Lion's Share

The SLIT (Sublingual Immunotherapy) segment commands the key share owing to several factors. SLIT offers a convenient and safe alternative to traditional allergy shots. It also provides a non-invasive method of administering immunotherapy. Patients can self-administer SLIT at home, eliminating the need for frequent visits to the healthcare professional for injections.

SLIT has also demonstrated efficacy in reducing symptoms and improving the lives of patients with severe allergies. The treatment works by exposing patients to small doses of allergens, gradually building up their tolerance and reducing their sensitivity to the allergen over time. Additionally, SLIT has a favorable safety profile compared to traditional allergy shots, as it does not carry the risk of anaphylaxis or other severe reactions.

The growing prevalence of allergic disorders, coupled with the increasing demand for personalized treatment approaches, has fueled the growth of the SLIT market. The availability of a wide range of allergens and formulations in the SLIT segment has also contributed to its dominance in the market.

Institutional Sales Hold Dominance

By distribution channel, institutional sales are expected to channel the maximum revenue, due to high reliance on government and semi-government hospitals for treatments backed by their affordability. This is also attributed to the availability of reimbursements and supportive policies in government hospitals in developed economies. The dominance of the institutional sales segment of the market can also be attributed to several factors, including the established players with distribution networks, high barriers to entry, and regulatory requirements that favor institutional sales.

The institutional sales segment is able to leverage its expertise in managing complex logistical and regulatory challenges associated with the delivery of allergy immunotherapy products. This includes navigating complex supply chains, adhering to regulatory compliance standards, and maintaining high levels of product quality and safety.

This segment also benefits from greater bargaining power with payers and reimbursement agencies. This can result in more favorable pricing and reimbursement terms. This provides a competitive advantage over other segments of the market, particularly those that rely on retail or direct-to-consumer channels.

From Niche to Mainstream: The Promising Future of Allergy Immunotherapy Market’s Remaining Segments

Injection Remains Highly Sought-out

Based on the product type, the injection segment is poised to remain the highly sought product type, accounting for nearly 2/3rd of the market share through the forecast period. This is essentially attributed to higher effectiveness and quicker response to the medication.

Allergic Rhinitis Creates Huge Demand

Based on indication, allergic rhinitis is forecasted to capture more than 2/5h of global market value, one of the most common allergies worldwide. On the other hand, allergic asthma is expected to channel more than 1/5th of the market share, owing to the high prevalence among children.

Pollens and House Dust Mites Remain Extremely Common

Among allergens, pollens and house dust mites are expected to cumulatively account for more than 2/5th of the market share, holding a share of near-equal proportions. This is ascribed to the fact that they are highly common in living areas, thus easily affecting people across the world.

Allergy Immunotherapy Market Leaders Collaborate on Innovative Research to Develop Personalized Treatment Plans for Patients with Severe Allergies

Market players are leveraging the growing prevalence of allergies and are directing their efforts toward developing treatments for food allergies, in specific. To achieve the same, they are investing in research and development activities. On these lines, Aimmune Therapeutics (Nestle Health Science) became the first organization to procure FDA approval for its drug, PALFORZIA, to treat food allergies after receiving approval in 2020.

Several organizations are focusing on developing new products - tablets, and injections to stay ahead of the curve. On this premise, in April 2020, ALK Abello announced that Health Canada had approved once-daily ITULATEK, a sublingual tablet, for the treatment of tree pollen allergy. In September 2021, ALK stated that by 2030, it aims to increase the number of patients by at least 100,000 per year in order to provide access to allergy diagnostics, immunotherapy treatments, and/or adrenaline products.

On the other hand, growing demand is compelling market players to expand their supply capacity, which has also been observed as a key trend. On this premise, In May 2020, Stallergenes Greer announced the expansion of the supply of subcutaneous products (SCIT) to cater to the growing demand. In June 2021, after the complete restart of SCIT manufacturing in Antony, Stallergenes Greer revealed that Alustal®, its subcutaneous allergen immunotherapy (SCIT) solution, is now accessible in Italy and Spain. In January 2022, with Imperial College London, Stallergenes Greer established a research partnership to strengthen the precision medicine approach in allergen immunotherapy and for the identification of biomarkers of AIT effectiveness.

Some of the leading players in the market are

• ALK Abello
• Stallergenes Greer
• Allergy Therapeutics
• Aimmune Therapeutics
• Anergis
• Arrayit Corporation
• Biomay AG
• HAL Allergy Group
• DBV Technologies

Allergy Immunotherapy Market - Segmentation

Product:

• SLIT Tablets
  • Odactra
  • Grastek
  • Ragwitek
  • Oralair
  • Actair
  • Others
• Oral
  • Palforzia
  • Others
• Injections
• Others

Immunotherapy:

• Sublingual Immunotherapy
• Subcutaneous Immunotherapy
  • Specific Immunotherapy
• Others

Indication:

• Allergic Rhinitis
• Allergic Asthma
• Food Allergy
• Atopic Dermatitis
• Others

Allergen:

• Pollens
  • Grass Pollens
  • Weed Pollens
  • Tree Pollens
• House Dust Mites
• Mold
• Animal Dander
• Bee Venom
• Cockroaches/Insects
• Others

Distribution Channel:

• Institutional Sales
  • Government Hospitals
  • Semi-Government Hospitals
  • Private Hospitals
• Retail Sales
  • Retail Pharmacy
  • Drug Stores
  • Online Pharmacy

Region:

• North America
• Latin America
• Europe
• South Asia
• Oceania
• East Asia
• Middle East and Africa