Market Size of Europe Over-the-counter (OTC) Drugs Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2029 |
Historical Data Period | 2019 - 2022 |
CAGR | 5.40 % |
Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
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OTC Europe Market Analysis
The European over-the-counter (OTC) drugs market was valued at USD 35,258 million in 2021 and is expected to reach USD 48,377 million in 2027, registering a CAGR of 5.4% during the forecast period (2022-2027).
During the COVID-19 pandemic, over-the-counter (OTC) medicines witnessed unprecedented demand, owing to the restricted visits to hospitals and health professionals. The absence of medical assistance for general physical disorders paved the way for pain killers as a temporary solution. The demand from community doctors and physicians for OTC medicines also rose as they experienced a greater influx of patients. The purchase of dietary supplements and vitamins also significantly increased, as people bought these products to increase their immunity and combat the spread of COVID-19. An article titled 'Dietary Supplements and Nutraceuticals Market Growth During the Coronavirus Pandemic - Implications for Consumers and Regulatory Oversight' and published in the journal of Pharmanutrition in December 2021 indicated that the sales of vitamins in the United Kingdom increased by 63% in March 2020 compared to the same period in the previous year.
The growth of online pharmacies and the expected launch of online pharmacy services by e-commerce giants, such as Amazon, are expected to drive the market growth. The other factors driving the market growth include increasing self-medication practices and new product launches.
According to the Eurostat article on population structure and aging (updated in February 2022), around 20.8% of the people in the European Union in 2021 were aged 65 years and over. This percentage increased by 0.96% from 20.6% of the EU population in 2020. Finland had the highest elderly population among all European countries, with around 22.7% of its population over the age of 65 years. The continuous growth of the geriatric population leads to a rise in health issues related to old age. These people refrain from going to the hospitals for these issues and prefer to buy medications and treat themselves at home. Such factors are leading to the growing adoption of basic analgesic OTC products.
It has also been found that, with the rising healthcare costs, people demand better accessibility to and affordability of healthcare services. Self-medication with non-prescription drugs plays a vital role in this aspect and improves accessibility while providing cost benefits. As per an article titled 'Patterns of Prescription Dispensation and Over-The-Counter Medication Sales in Sweden During the COVID-19 Pandemic,' published in the journal of Plos One in August 2021, from February 2020 to March 2020, there were increases in the weekly volumes of dispensed medication. This peaked in the second week of March at 46%. In the same week, there was a 96% increase in the volume of OTC drugs sold, including vitamins, antipyretics, painkillers, and nasal, throat, cough, and cold preparations.
The widespread use of OTC medications is linked with significant cost benefits to the healthcare providers of various countries. OTC medicines allow consumers to take adequate care of themselves without consulting a physician/doctor, which is expected to drive the overall market growth.
The presence of the key global market players and the strengthening of local manufacturers in Europe are also expected to boost the market growth. For instance, in May 2022, Vaneeghen launched a mineral complex for plant-based joint health in the European market.
However, the high probability of drug abuse and lack of awareness among the people restrict the market growth.
OTC Europe Industry Segmentation
As per the scope of this report, over-the-counter (OTC) drugs are referred to as nonprescription drugs. These medicines can be bought by individuals without a doctor's prescription and are safe for consumption without the doctor's consent. The European over-the-counter drugs market is segmented by product type (cough, cold, and flu products, analgesics, dermatology products, gastrointestinal products, vitamins, minerals, and supplements (VMS), weight-loss/dietary products, ophthalmic products, sleeping aids, and other product types), distribution channel (hospital pharmacies, retail pharmacies, online pharmacies, and other distribution channels), and geography (United Kingdom, Germany, Italy, France, Spain, and Rest of Europe). The report offers the value (in USD million) for the above segments.
By Product Type | |
Cough, Cold, and Flu Products | |
Analgesics | |
Dermatology Products | |
Gastrointestinal Products | |
Vitamins, Mineral, and Supplements (VMS) | |
Weight-loss/Dietary Products | |
Ophthalmic Products | |
Sleeping Aids | |
Other Product Types |
By Distribution Channel | |
Hospital Pharmacies | |
Retail Pharmacies | |
Online Pharmacies | |
Other Distribution Channels |
Geography | |
Germany | |
United Kingdom | |
France | |
Italy | |
Spain | |
Rest of Europe |
Europe Over-the-counter (OTC) Drugs Market Size Summary
The European over-the-counter (OTC) drugs market is experiencing significant growth, driven by factors such as increased self-medication practices and the expansion of online pharmacy services. The COVID-19 pandemic notably boosted demand for OTC medicines as individuals sought alternatives to hospital visits for common ailments. This trend was further supported by a rise in the purchase of dietary supplements and vitamins, as consumers aimed to enhance their immunity. The market is also benefiting from the aging population in Europe, which prefers self-medication for age-related health issues, thereby increasing the adoption of basic analgesic OTC products. The presence of key global players and the strengthening of local manufacturers are expected to further propel market growth, despite challenges like the potential for drug abuse and lack of consumer awareness.
The cough, cold, and flu segment dominates the European OTC market, driven by the prevalence of these conditions, particularly among the elderly. The ease of access to OTC medications, especially in countries like the United Kingdom, where non-prescription drugs are readily available in various retail outlets, contributes to market expansion. Regulatory approvals for new non-prescription drugs, such as contraceptives, also support market growth by enhancing consumer access. The competitive landscape is characterized by major players like AstraZeneca, GlaxoSmithKline, and Bayer, who focus on branding and pricing strategies to maintain their market positions. The ongoing advancements in healthcare infrastructure and rising investments in the sector further bolster the market's growth prospects.
Europe Over-the-counter (OTC) Drugs Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Increasing Self-medication Practices
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1.2.2 Increasing New Product Launches
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1.3 Market Restraints
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1.3.1 High Probability of OTC Drug Abuse
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1.3.2 Lack of Awareness
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1.4 Porter's Five Forces Analysis
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1.4.1 Bargaining Power of Suppliers
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1.4.2 Bargaining Power of Buyers/Consumers
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1.4.3 Threat of New Entrants
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION (Market Size by Value - in USD Millions)
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2.1 By Product Type
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2.1.1 Cough, Cold, and Flu Products
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2.1.2 Analgesics
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2.1.3 Dermatology Products
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2.1.4 Gastrointestinal Products
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2.1.5 Vitamins, Mineral, and Supplements (VMS)
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2.1.6 Weight-loss/Dietary Products
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2.1.7 Ophthalmic Products
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2.1.8 Sleeping Aids
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2.1.9 Other Product Types
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2.2 By Distribution Channel
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2.2.1 Hospital Pharmacies
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2.2.2 Retail Pharmacies
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2.2.3 Online Pharmacies
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2.2.4 Other Distribution Channels
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2.3 Geography
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2.3.1 Germany
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2.3.2 United Kingdom
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2.3.3 France
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2.3.4 Italy
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2.3.5 Spain
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2.3.6 Rest of Europe
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Europe Over-the-counter (OTC) Drugs Market Size FAQs
What is the current Europe Over-the-counter (OTC) Drugs Market size?
The Europe Over-the-counter (OTC) Drugs Market is projected to register a CAGR of 5.40% during the forecast period (2024-2029)
Who are the key players in Europe Over-the-counter (OTC) Drugs Market?
Cardinal Health Inc., Bayer AG, GlaxoSmithKline PLC, Johnson & Johnson and Novartis AG are the major companies operating in the Europe Over-the-counter (OTC) Drugs Market.