OTC Pharma market to reach $80.7bn in 2014: Report

The world market for over-the-counter (OTC) medicines is estimated to reach $80.7bn by 2014, according to the ‘World OTC Pharmaceutical Market 2012-2022’ report, published by London-based information provider Visiongain.

The report predicts that the overall OTC pharmaceuticals market will grow steadily from 2012 to 2022, as the revenues from the consumer healthcare products claim to have outgrown the prescription (Rx) drugs.

Demographic trends, emerging economies, self-medication awareness and expanding channels of distribution are few of the key factors that are said to boost the global demand of the OTC medicines.

The report stated that the many firms will switch from Rx to OTC as per the trend of brand line extensions and product lifecycle management (PLM) to stimulate revenue generation and unit sales globally.

Visiongain senior healthcare industry analyst Syed Ahmed said that self-medication is becoming increasingly popular as consumers globally are relying on OTC products for various medical needs including pain, flu, headaches, allergies, contraception, skin care, weight control, hair re-growth amongst others.

OTC market will achieve high revenue growth up to 2022, stimulated in particular by Rx-to-OTC switches, other reformulations and rising demand in developing countries, Ahmed added.

"In particular, the cough, cold and allergy market segment will perform strongly to 2022. The recent Allegra Rx-to-OTC switch has boosted the sector. Product launches and strong performance from existing brands will sustain high revenue growth this decade for consumer health companies. Innovative marketing and promotional campaigns will help those organisations, with Web 2.0 playing its part," said Ahmed.