Growing Trend of Digitization in the Healthcare and Pharmaceutical Industry
According to the International Telecommunication Union (ITU), global internet penetration rate increased from nearly 17% in the year 2005 to over 53% in the year 2019.
Consumers around the globe are increasingly using the internet to avail numerous services available around the world. Moreover, with the help of digital technologies consumers are empowering themselves for seeking information and interact with suppliers. With rising awareness amongst consumers for deriving knowledge on the drug they are purchasing, along with the power of internet, consumers are increasingly shifting towards e-pharmacies, which enable consumers gain an advantage while choosing a good or a service. Moreover, consumers also increasingly find solutions to their issues resolved by the e-pharmacies by providing comprehensive information on the drug or alternatives for the prescription drug, helping the consumer get easy access to medicines that are hard to find. Additionally, e-pharmacies also help consumers to store their medical records which also helps the consumer to avail for online medical consultation services by doctors. Apparently, consumers who are severely ill and are unable to visit the brick-and-mortar pharmaceutical store, are majorly benefitted from e-pharmacies as they can receive the drugs right at their doorsteps. Owing to such factors, consumers are increasingly shifting towards online health services which is anticipated to drive the growth of the global e-pharmacy market in the upcoming years.
Growing Adoption of E-Prescriptions in Healthcare Industry
Several hospitals around the globe are increasingly adopting the electronic prescribing technology so as to reduce paper waste and achieve the growing trend of going paperless. e-Prescriptions allow the hospitals record the historical medical data. Doctors are highly benefitted with the system as they can monitor the patient remotely without meeting the patient physically. Moreover, with the doctors providing e-prescriptions, patients get easy access to medicines directly to their doorsteps as most hospitals have business tie-ups with e-pharmacies who deliver the medicines to the patients. Additionally, it becomes easier for the patient to receive their medicines from e-pharmacies as they can easily upload their e-prescription on the e-pharmacy website without any hurdle.
Rising Concern For Counterfeit Medicines And Stringent Regulations For Selling Prescription Drugs
Government of several nations around the globe have restricted sales of pharmaceutical products online due to the fear of consumers receiving counterfeit medicines from online pharmaceutical stores. Unable to meet and comply with the rules adhered for e-pharmacies might impact the sales, which is anticipated to act as a barrier to the growth of the global e-pharmacy market.
The global e-pharmacy market is thriving on the back of growing trend for e-commerce around the globe. Apparently rising awareness amongst consumers for the benefits that can be availed from purchasing via e-pharmacies, for instance, in-depth information on drugs along with competitive pricing and attractive discounts, along with availability of drugs which are not easily available in conventional pharmaceutical stores, and growing pharmaceutical industry, all such factors are anticipated to contribute towards the growth of the global e-pharmacy market.
According to European Federation of Pharmaceutical Industries and Associations (EFPIA), exports in the pharmaceutical industry in the EU grew from USD 96739.36 Mn in the year 2000 to USD 397162.8 Mn in the year 2016.
The market is anticipated to record a CAGR of around 14.22% throughout the forecast period, i.e. 2020-2028. The global e-pharmacy market is segmented by drug type into over-the-counter (OTC) drugs, prescribed drugs and others, out of which, OTC drugs segment is anticipated to hold the largest market share as OTC drugs are the highly preferred drugs for first line of treatment. Additionally, e-pharmacies selling OTC drugs in comparison to prescribed drugs, doesn’t require the need to follow stringent norms regarding controlled drug distribution systems, and can be sold easily without much restrictions. Moreover, OTC drugs doesn’t have critical complexities for shipping, which is most often observed in prescribed drugs, for instance, the need of cold storage transportation system for shipment of insulin drug and several others.CLICK TO DOWNLOAD SAMPLE REPORT
Our in-depth analysis of the global e-pharmacy market includes the following segments:
By Platform Type
By Drug Type
By Product Type
On the basis of regional analysis, the global e-pharmacy market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and Middle East & Africa region.
North America market is anticipated to hold the largest market share on the back of growing trend amongst patients in nations such as U.S. and Canada who are adopting home care treatment and services as a result of high healthcare expenditure in hospitals. Moreover, general population of the region rely highly on online delivery of consumable goods which is also anticipated to contribute towards the growth of the market in the region in the upcoming years.
The global e-pharmacy market is further classified on the basis of region as follows:
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.