The ePharmacies can effectively address a number of customer issues such as comprehensive information on the drugs or alternative for the prescription drug, easy access for the medicines that are otherwise hard to find, medicine records, and others. With the help of ePharmacies, consumers can order the drugs conveniently from their smartphone or computer. This can significantly help patients who are severely ill and not in a condition to go to a brick-and-mortar pharmacy.
The global ePharmacy market is estimated to account for US$ 81.6 Bn in terms of value in 2020 and is estimated to reach US$ 244.0 Bn by the end of 2027.
Global ePharmacy Market: Drivers
Increasing adoption of smartphones is expected to boost growth of the global ePharmacy market over the forecast period. For instance, according to Pew Research Center, as of February 2019, 81% of U.S. adults used smartphones compared to 77% in October 2018.
Global ePharmacy Market: Opportunities
Initiatives to boost Internet connectivity is expected to offer lucrative growth opportunities for players in the market. For instance, in May 2019, SpaceX launched the first 60 operational satellites of its network of satellites called Starlink that is tasked to provide satellite Internet access.
Global ePharmacy Market: Restraints
Low adoption of Internet in underdeveloped regions is expected to hamper growth of the global ePharmacy market. For instance, according to Pew Research Center (October 2019), Sub-Saharan Africa has a lower level of internet use than any other geographic region, ranging from a high of 59% in South Africa to a low of 25% in Tanzania.
Key Takeaways:
The global ePharmacy market was valued at US$ 69.7 Bn in 2019 and is forecast to reach a value of US$ 244.0 Bn by 2027 at a CAGR of 17.0% between 2020 and 2027. Increasing adoption of Internet, and increasing demand for cost effective medications through easy resources such as online, is expected to support growth of the market.
North America held dominant position in the global ePharmacy market in 2019, accounting for 35.9% share in terms of value, followed by Europe and Asia Pacific, respectively. Presence of leading ePharmacy chains in the region is expected to support growth of the North America ePharmacy market over the forecast period.
Market Trends
The COVID-19 pandemic has shifted preference to ATM pharmacies are majority of countries are under lockdown. For instance, in South Africa, in March 2020, Right ePharmacy announced that patients can collect their monthly medicines from its ATM pharmacies.
The COVID-19 pandemic has also affected the revenue of several market players. For instance, in April 2020, Zur Rose Group AG, a Switzerland-based e-pharmacy, announced that demand in its physicians business in Switzerland has dropped due to the decree by the country's Federal Council that only urgent interventions and treatments may be performed during the COVID-19 pandemic.
Global ePharmacy Market: Competitive Landscape
Major players operating in the global ePharmacy market include, CVS Caremark, Banner Health, DocMorris NV, Ro, Zur Rose Group AG, Right ePharmacy, PlanetRx.com.Inc., Lloyds Pharmacy Ltd., Dr. Fox Pharmacy, eDrugstore.MD, MediSave, Walgreen Co, and Rowlands Pharmacy.
Global ePharmacy Market: Key Developments
October 2019: DocMorris NV partnered with The General Practitioners' Association AG to support pilot project for digital prescription transmission
January 2019: CVS Health announced that Walmart has opted to leave the CVS Caremark pharmacy benefit management commercial and managed Medicaid retail pharmacy networks
Segmentation
- By Product Type
- Prescription Products
- Over-the-Counter Products
- By Region
- North America
- Latin America
- Europe
- Asia Pacific
- Middle East
- Africa
