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ISR analyzed data on Phase II/III CRO selection among respondents from small and emerging sponsors. While preferred provider agreements are an important piece of the provider selection puzzle in many parts of clinical development, this is not necessarily the case among small sponsors. Only 9% of respondents from small and emerging sponsor organizations reported having formal preferred provider agreements in place for Phase II/III services. Comparing this figure to the 84% of respondents from large sponsor organizations ($1B+ annual R&D spend) and 48% of respondents at mid-size organizations ($100M-$999M R&D spend) demonstrates the size of the gap. While CROs must strive to gain preferred status at the larger organizations, this hurdle is much less likely to exist when trying to win business at small and emerging sponsors.

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