LONDON, Jan. 30, 2013 /PRNewswire/ -- Pharmaceutical and biotech companies are outsourcing research in order to develop innovative products that meet the rising demand for therapeutics across a range of diseases. The willingness of contract research organisations (CROs) to invest in state-of-the-art facilities to conduct clinical trials is further advancing market prospects. New analysis from Frost & Sullivan ( http://www.healthcare.frost.com), Analysis of the European Contract Research Outsourcing Markets, finds that the markets earned revenues of approximately $6.07 billion in 2011 and estimates this to reach $11.54 billion in 2018. Phase III clinical trials account for the largest share of the total CRO market in Europe. The promise of novel therapeutic options that offer enhanced efficacy and safety is underlining the appeal of CROs for the pharma and biotech industry. CROs help support greater innovation and improvements in chemical and biological drug development. They address the urgent need for enhanced therapeutics in cardiovascular, oncology, autoimmune, central nervous system (CNS), infectious, endocrine and metabolic disease areas. "Besides functionality, drugs are also tested for their efficacy and safety to ensure they meet the needs of patients across different ethnic groups and climatic zones," states Frost & Sullivan Research Analyst Deepika Pramod Chopda. "The globalised nature of CROs enables them to facilitate the process of drug development for their clients." CROs offer complete and cost-effective solutions for pharma and biotech companies that are often challenged by high development costs and lengthy approval periods. CROs could potentially offer services in drug development as well as clinical trials and testing. CROs currently account for nearly two-thirds of the Phase I to III trials conducted globally. A key limitation to the seemingly inexorable march of CROs has been the ability of large pharmaceutical and biotech companies to perform R&D and clinical drug testing in-house.