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ePharmacy Market Size - Global Industry, Share, Analysis, Trends and Forecast 2023 - 2032

Published : Sep 2023

Report ID: ARC1746

Pages : 250

Format : ePharmacy Market Size - Global Industry, Share, Analysis, Trends and Forecast 2023 - 2032

The Global ePharmacy Market Size accounted for USD 68.3 Billion in 2022 and is estimated to achieve a market size of USD 388.6 Billion by 2032 growing at a CAGR of 19.4% from 2023 to 2032.

ePharmacy Market Highlights

  • Global ePharmacy market revenue is poised to garner USD 388.6 billion by 2032 with a CAGR of 19.4% from 2023 to 2032
  • North America ePharmacy market value occupied around USD 28 billion in 2022
  • Asia-Pacific ePharmacy market growth will record a CAGR of more than 20% from 2023 to 2032
  • Among drug type, the over the counter (OTC) drugs sub-segment generated over US$ 30.7 billion revenue in 2022
  • Based on business model, the hospital & clinics sub-segment generated around 35% share in 2022
  • Increasing penetration of the internet is a popular market trend that fuels the industry demand

ePharmacy Industry

E-Pharmacy, also known as an online pharmacy, operates as a platform where vendors sell medicines and send orders to consumers through shipping companies. Customers can easily upload prescriptions and order medicines without any hassle. It is gaining popularity due to the benefits it offers, such as allowing consumers to purchase medicines conveniently without visiting physical pharmacy stores, providing easy access to medicines, ensuring on-time delivery, and offering lower prices compared to offline pharmaceutical stores. The process is simple: a customer uploads their prescription on the e-pharmacy website, and the medicines are delivered to their doorstep.

e-pharmacy market

Global ePharmacy Market Dynamics

Market Drivers

  • Increased access to web-based and online platforms
  • Rising adoption rate of internet and healthcare apps
  • Expanding geriatric population base coupled with growing prevalence of chronic disorders
  • Lucrative offers and discounts along with easy availability of online prescription drugs

Market Restraints

  • Increasing number of illegal online pharmacies
  • Lack of stringent regulation

Market Opportunities

  • Need for ePharmacy platforms in emerging economies 
  • Increasing disposable income in Asia-Pacific 

ePharmacy Market Report Coverage

Market ePharmacy Market
ePharmacy Market Size 2022 USD 68.3 Billion
ePharmacy Market Forecast 2032 USD 388.6 Billion
ePharmacy Market CAGR During 2023 - 2032 19.4%
ePharmacy Market Analysis Period 2020 - 2032
ePharmacy Market Base Year 2022
ePharmacy Market Forecast Data 2023 - 2032
Segments Covered By Drug Type, By Product Type, By Operating Platform, By Business Model, And By Geography
Regional Scope North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
Key Companies Profiled Banner Health, CVS Health Corporation, DocMorris, Express Scripts Holding Company, Giant Eagle, Inc., OptumRx, Inc., Rowlands Pharmacy, The Kroger Co., Walgreen Co., and Walmart Stores, Inc.
Report Coverage
Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Covid-19 Analysis, Regulation Analysis

ePharmacy Market Insights

The growth of the e-pharmacy market is primarily driven by several key factors, including the widespread penetration of the internet, the rise of e-commerce, increased awareness of chronic diseases, improved healthcare infrastructure, a growing aging population, an increase in the number of patients, and a large customer base in both developed and developing countries. Additionally, changing consumer behavior, a rising demand for convenience, rapid adoption of technology in the healthcare industry, and the persistent healthcare burden in developing nations contribute to the market's expansion. There is also a growing demand for healthcare vitamins and products that traditional brick-and-mortar pharmacies find challenging to meet.

People are increasingly turning to e-pharmacies due to attractive offers such as home delivery, discounts, and a vast selection of drugs, eliminating the need to visit physical pharmacy stores. Furthermore, unmet healthcare needs in developing countries and emerging markets, a rise in the number of internet users in both rural and urban areas, an increase in smartphone usage, improved IT infrastructure, and government initiatives to make medicines more affordable and accessible are expected to drive market growth during the forecast period.

However, one notable challenge facing the market is the presence of a significant number of counterfeit e-pharmacies worldwide, which may negatively impact e-pharmacy market growth in the coming years.ePharmacy Market Growth 2023 - 2032

ePharmacy Market Segmentation

The worldwide market for ePharmacy is split based on drug type, product type, operating platform, business model, and geography.

ePharmacy Drug Types

  • Prescription Drugs
  • Over the Counter (OCT) Drugs
  • Others (Personal Care and Wellness Products)

Market for ePharmacy

Based on drug type, the market has been segmented into prescription drugs, over-the-counter (OTC) drugs, and other drugs. The over-the-counter drug segment accounts for the largest market share during the forecast period. Over-the-counter drugs are medicines sold directly to consumers without a prescription from doctors. In many countries, OTC drugs are regulated by authorized agencies to ensure they contain ingredients that are effective and safe for consumption without consulting physicians. These drugs are primarily regulated based on their active pharmaceutical ingredients (API) rather than the final product. The major factors driving the growth of this segment include easy accessibility and convenience, self-reliance in relieving minor symptoms, reduced economic burden as there is no need to consult doctors, and the immediate relief they provide. These factors are expected to drive the global market throughout the forecast period from 2023 to 2032.

ePharmacy Product Types

  • Dental
  • Skin Care
  • Vitamins
  • Cold and Flu
  • Weight Loss
  • Other

According to the product types segment, the market includes dental, skincare, vitamins, cold and flu, weight loss, and other product types. Within the product type segment, the cold and flu category emerged as the leader in terms of revenue share in previous years. Over the past few years, the growth of this segment has been attributed to the COVID-19 pandemic. During the pandemic, many people turned to online pharmacies for cold and flu medicines instead of visiting physical stores, driving market growth. Furthermore, following the cold and flu segment, the skincare segment is expected to hold the second-largest share of the e-pharmacy market.

ePharmacy Operating Platforms

  • App
  • Website
  • Others

In terms of operating platforms, the market is segmented into apps, websites, and other platforms. As per the epharmacy industry analysis, the app segment has emerged as the dominant operating platform in recent years. The increasing trend in popularity for online ordering of medicines, healthcare items, prescription drugs, and other healthcare-related products has contributed to this growth. Customers can easily download the app on their mobile phones and place orders according to their requirements. These factors are expected to contribute to the market's growth in the upcoming years.

ePharmacy Business Models

  • Hospital & Clinics
  • Home Care Setting
  • Others

According to the ePharmacy market forecast, the hospital and clinic segments have dominated the market share and are expected to maintain their dominance throughout the forecasted timeframe from 2023 to 2032. This segment encompasses both inpatient and outpatient facilities. On the other hand, homecare settings are anticipated to become the second-largest segment after the hospital and clinics segment. Homecare settings include nursing homes, home health agencies, assisted living facilities, and others. This segment has experienced significant growth during the forecast period.

ePharmacy Market Regional Outlook

North America

  • U.S.
  • Canada

Europe

  • U.K.
  • Germany
  • France
  • Spain
  • Rest of Europe

Asia-Pacific

  • India
  • Japan
  • China
  • Australia
  • South Korea
  • Rest of Asia-Pacific

Latin America

  • Brazil
  • Mexico
  • Rest of Latin America

The Middle East & Africa

  • South Africa
  • GCC Countries
  • Rest of the Middle East & Africa (ME&A)

ePharmacy Market Size

ePharmacy Market Regional Analysis

North America accounted for a high market share of the ePharmacy market, and the region is anticipated to maintain its dominance over the forecast period. Factors contributing to this dominance include the increasing trend of online orders, rapid growth in e-commerce, a rising prevalence of chronic diseases, an increase in the geriatric population, attractive offers such as price discounts, rising disposable income, authenticity, availability, assistance, the expansion of high-speed internet, and well-developed IT infrastructures. These factors are expected to contribute to the global market's growth during the forecast period.

In contrast, Asia-Pacific is expected to exhibit the highest compound annual growth rate (CAGR) in the global market over the forecast period. Factors driving this growth include the expansion of high-speed internet access in both rural and urban areas, the presence of a large patient population, increasing disease awareness among people, greater adoption of e-commerce sites, growing GDP, and robust economic growth in countries like China and India. These factors are anticipated to drive rapid growth in the coming years.

ePharmacy Market Players

Some of the top ePharmacy companies offered in our report includes Banner Health, CVS Health Corporation, DocMorris, Express Scripts Holding Company, Giant Eagle, Inc., OptumRx, Inc., Rowlands Pharmacy, The Kroger Co., Walgreen Co., and Walmart Stores, Inc.
ePharmacy Market Regional Analysis

Frequently Asked Questions

What was the market size of the global ePharmacy in 2022?

The market size of ePharmacy was USD 68.3 Billion in 2022.

What is the CAGR of the global ePharmacy market from 2023 to 2032?

The CAGR of ePharmacy is 19.4% during the analysis period of 2023 to 2032.

Which are the key players in the ePharmacy market?

The key players operating in the global market are including Banner Health, CVS Health Corporation, DocMorris, Express Scripts Holding Company, Giant Eagle, Inc., OptumRx, Inc., Rowlands Pharmacy, The Kroger Co., Walgreen Co., and Walmart Stores, Inc.

Which region dominated the global ePharmacy market share?

North America held the dominating position in ePharmacy industry during the analysis period of 2023 to 2032.

Which region registered fastest CAGR from 2023 to 2032?

Asia-Pacific region exhibited fastest growing CAGR for market of ePharmacy during the analysis period of 2023 to 2032.

What are the current trends and dynamics in the global ePharmacy industry?

The current trends and dynamics in the ePharmacy industry include increased access to web-based and online platforms, rising adoption rate of internet and healthcare apps, expanding geriatric population base coupled with growing prevalence of chronic disorders, and lucrative offers and discounts along with easy availability of online prescription drugs.

Which drug type held the maximum share in 2022?

The OTC drug type held the maximum share of the ePharmacy industry.

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