The online pharmacy market is projected to grow at a strong CAGR of 16.8% during the forecast period (2020-2026). Increasing internet penetration is acting as the primary factor that drives the growth of the global online pharmacy market. This is attributed to the fact that smartphones are majorly used for social media accessing and gathering relevant information. Online pharmacies are becoming popular as they offer better pricing than offline stores, with increased access, lower transaction cost, convenience, and greater anonymity for consumers. Consumers sometimes feel embarrassed about ordering certain medications or healthcare products. This issue is addressed by online pharmacies allowing consumers to remain anonymous. For instance, one of the most frequently purchased online medications is Viagra, which is used for the treatment of erectile dysfunction. Furthermore, the online pharmacy offers accessibility to people with limited mobility, especially those living in remote areas.

However, digital illiteracy and lack of digital infrastructures such as digital communication, computing or data storage, Wi-Fi networks, applications, and software have limited the growth of the online pharmacy market. On the contrary, an increase in internet user base and technological development in smart devices are anticipated to offer lucrative growth opportunities for the new entrants in the online pharmacy market.

Additionally, amid the COVID-19 pandemic, the online pharmacy has been booming. Due to the lockdown imposed in most countries, an increasing number of individuals have turned to e-commerce for almost everything from food to medicines. It is still not certain, for how long the pandemic endures, thus, the prospect for growth for online pharmacy seems bright in the near fu

Segmental Outlook  

The global online pharmacy market is segmented based on medicine type. Based on medicine type, the online pharmacy market is segmented into OTC medicines and prescription medicines.  

Increased Collaboration among Stakeholders

Online pharmacies can collaborate with HealthTech and MedTech companies to increase their market share. Many major insurance companies have started partnering with online pharmacies for their outpatient department covers because of the e-billing and tracking facilities they offer. Online health consulting companies can link themselves with online pharmacies where patients will be given the option of purchasing the medicines from partnered pharmacies at a discounted price. 

Regional Outlook 

The global online pharmacy market is further segmented based on geography including North America, Europe, Asia-Pacific, and the Rest of the World. North America is expected to dominate the online pharmacy market in 2019 and is projected to sustain its dominance during the forecast period. This majorly attributed to quick adoptions for technological changes, availability of high bandwidth connection, and high digital literacy rate. Additionally, in the US, an estimated four out of five people go online before deciding to consult their doctor, and this trend is now observed in the UK as well. The National Health Service (NHS) encourages patients to use the internet when they engage with the health service, for online consultations, or to book appointments.

Global Online Pharmacy Market Growth, by Region 2020-2026

Market Players Outlook

The report covers the portfolio of key online pharmacy market players including Amazon.com, Inc. (PillPack), Carepoint Healthcare LLC (Carepoint Pharmacy), Caremark LLC (CVS Pharmacy), Express Scripts Holding Co., Giant Eagle, Inc., Shop Apotheke Europe N.V., The Kroger Company, and Walmart, Inc. These key players have adopted new service launch, continuous innovation, and acquisition as their key developmental strategies to cater to the rising demands for online pharmacy. The companies have observed internet radio as an emerging concept, which has been gaining considerable popularity in the US and other countries. 

The Report Covers

• Market value data analysis of 2019 and forecast to 2026.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global online pharmacy market. Based on the availability of data, information related to the products, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.