Building a Robust and Diverse Ecosystem Innovation Ecosystem in the Animal Health Industry

Innovation remains the cornerstone of growth within the global animal health industry. According to Brakke Consulting’s 2026 Annual Animal Health Innovation Overview, delivering cutting-edge new innovations continues to be a strong driver of sales in the animal health industry.¹ Whether yesterday’s parasiticide breakthroughs, today’s monoclonal antibodies for cancer and osteoarthritis pain, or tomorrow’s yet-to-be-discovered quantum leaps in technology, innovation from animal health companies allows veterinarians to offer clients better patient care.

The evolving R&D model: Corporate lab to venture-backed startup

While the need for innovation in animal health remains constant, the model for delivering it is fundamentally changing.

Historically, animal health innovation was a centrally managed process. Large corporations managed the entire lifecycle of a product, from molecular screening by internal chemists to pivotal safety and effectiveness trials led by in-house veterinarians and veterinary pathologists. Today, more innovations begin with lightly-staffed startups, funded by investors or corporate funds. These firms handle initial discovery and proof-of-concept, with a higher risk tolerance than traditional corporations. Their exit goal is often purchase by an established market leader with the commercial infrastructure to bring the innovation to the market.

‘Innovation remains central to the long-term success of the animal health industry. Identifying the right opportunities at the right time and negotiating the right deal terms can make the difference between a blockbuster launch and a missed opportunity.’

 Robert Jones, CEO, Brakke Consulting

Overcoming investment barriers: Lessons from human pharma

Animal health often faces higher hurdles for early-stage funding than human healthcare. Brakke consultant Alexis Nahama has identified five primary barriers to investment, most notably a lack of domain-specific expertise in the investment community and an over-concentration on late-stage, "de-risked" deals. He also identifies important lessons that the animal health industry can learn from our counterparts in human pharmaceuticals to build a core set of knowledgeable investors willing to invest in earlier-stage high-potential deals, using new approaches to manage risk.

Optimizing the ecosystem with talent and capital

Building this investment and innovation infrastructure for the animal health industry requires specialized knowledge applied by talented experts. Brakke’s consultants offer more than 600 years of combined experience in animal health, an independent perspective, and a network that’s second to none.

Brakke’s Genesys Capital Programs support companies and investors. Early-stage companies take advantage of Brakke’s expertise for validating business plans and support from fractional executives to facilitate the steps from early stage to exit. New and experienced investors benefit from Brakke’s deep experience with due diligence reviews and portfolio analysis. That’s why Brakke is known and respected by corporations, individual and institutional investors, and entrepreneurs across the animal health and animal nutrition industry.

Like the rest of the industry, innovation in animal health is also about people. Through Animal Health Jobs and Brakke’s executive recruiting services, we connect the industry’s most innovative and desirable employers with the experts who can lead a product through any stage of the life cycle, from ideation to sales. Our goal is to enhance the complete animal health ecosystem, not just to finish any one particular transaction. We want to ensure that the most promising innovations reach the veterinarians and animals who need them.

The outlook for innovation in 2026 and beyond

These insights are only fraction of the comprehensive review in the Brakke Consulting 2026 Annual Animal Health Industry Overview. As the sector continues to evolve, staying ahead of investment and market trends is essential for investors and founders.

If you missed our presentations at VMX in Orlando and WVC in Las Vegas, you can still access the outlook for innovation in the animal health and animal nutrition industry. To arrange a consultation or private presentation with Brakke Consulting’s experts, please contact Amanda McDavid at BrakkeConsulting.com.

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Animal Health Jobs can help you find the talent you need to turn innovative ideas into successful products. Don’t wade through piles of irrelevant applicants; come to the premier animal health jobs platform to find candidates with the experience and talents you need. Post your job openings and the top talent in the animal health and nutrition industry will come to you.

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 References

1. Brakke Consulting Sales Force Effectiveness Study 2025. Data on File.