The global market for over-the-counter (OTC) drugs is expected to witness a CAGR of 8.5%. The Asia-Pacific and Latin America markets are set to record the highest market growth in the forecast period.
The OTC drug market is highly competitive, but despite the limited number of active ingredients in the market, there is a huge innovation in terms of drugs, which are resulting in improving the performance, in terms of drugs forms, dosages, and usage. Many of the major players are also investing in research for the development of the new formulas to cure minor ailments and potentially get the approval for more active ingredients in the OTC drugs. There is large diversification of the products, which is targeting different age groups like children, adults, women, and old people with different new products, and is driving the OTC drugs market.
The other factors include high penetration in emerging markets, favorable regulatory framework, and inclination of pharmaceutical companies to switch from Rx to OTC drugs.
Drug abuse is the major challenge to the OTC drug market, mostly by teenagers. As these drugs are readily available in the market, they are more prone to get abused on a large scale. It is projected that nearly one in every eight or nearly 12% of teenagers abuse OTC cough syrups. Over three million adolescents and youngsters are engaged in the OTC drug abuse. It is an alarming statistic for the OTC market, which is hindering growth.
Europe is the Lucrative Market
OTC market is highly concentrated, and the United States, China, and Japan accounted for nearly 50% of the market share in 2016. The over-the-counter drugs market in China is the second largest in the world. After Asia-Pacific, Europe is the lucrative region in the global OTC drugs market. The demand in the European countries is increasing due to growing consumer appetite for self-medication.
February 2017: Sanofi announced that the United States Food and Drug Administration (FDA) has approved Xyzal Allergy 24HR as an over-the-counter (OTC) treatment for the relief of symptoms associated with seasonal and year-round allergies.
Over-the-counter (OTC) Drugs Market major players include Johnson & Johnson, Novartis International AG, Bayer, Sanofi S.A., Pfizer, GlaxoSmithKline PLC, Boehringer Ingelheim, PGT Healthcare, and Takeda, among others.
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