E-commerce, sometimes referred to as "online business" or "electronic commerce," is the process of purchasing and reselling goods and services through the internet. The healthcare e-commerce market includes the sale of healthcare products and services. Medical services are increasingly utilizing e-commerce. The way people shop for healthcare products and how those products get into customers' hands are changing as a result of e-commerce. Many customers utilize the internet to shop for healthcare products instead of visiting a physical pharmacy. Customers prefer this because they can easily get any medicine, healthcare provider, or doctor consultation regarding their issues, and other services online from the comfort of their homes. In addition, online services and platforms offer discounts, low charges, and other free services, which makes e-commerce healthcare more popular among the population.
Segments of the Market
The global healthcare e-commerce market is segmented on the basis of type, application, and end-user. On the basis of type, the market is sub-segmented into drugs and medical devices. On the basis of application, the market is sub-segmented into caregiving services, telemedicine, and medical consultation. Further, on the basis of end-user, the market is sub-segmented into hospitals, clinics, and others.
Recent Developments
Alibaba Group Holding Ltd., CVS Health Corp., Ebay, Inc., Amazon.com, Inc., Medlife, DocMorris N.V., Exact Pharmacy, LLC, Lloyds Pharmacy Ltd., Flipkart Pvt. Ltd., Remdi SeniorCare, and Netmeds Marketplace Limited, among other online platforms and healthcare companies, are offering new services and technologies to customers for the ease of purchasing healthcare products or receiving consultations online. Besides, these companies are performing various growth activities such as mergers, investments, acquisitions, and others that are helping the market’s growth further. Some of the recent activities in the market include:
• In November 2022, under the P23 umbrella, P23 Health is a newly developed digital healthcare and wellness organization. P23 Labs, a well-known molecular laboratory, is P23 Health's strategic partner. P23 Labs and P23 Health's leadership expect that this strong relationship will generate the most lasting solutions and increase their industry's competitiveness. P23 Labs will cut costs and improve efficiency in laboratory operations, while P23 Health will streamline all e-commerce transactions and provide a superior user experience. P23 Health’s e-commerce platform will offer products such as at-home testing kits, wellness products, consultation services, and monthly membership and subscription options to customers.
• In November 2022, Rexall, a chain of retail pharmacies in Canada, announced the expansion of its e-commerce service offerings. The expansion is partnered with and powered by Instacart, North America’s leading grocery technology company. Customers can now access all of their favorite Rexall goods online, including over-the-counter pharmaceuticals, health and wellness, beauty and personal care, and home and convenience items, with quick and simple delivery via Instacart in as little as an hour.
• In November 2022, Amazon announced plans to expand its healthcare services in the US with the launch of its Amazon Clinic, a virtual health service. The Amazon Clinic will be available in 32 states. It is a message-based virtual care service that connects users with economical virtual care alternatives for more than 20 common health concerns, including allergies, acne, and hair loss.
• In September 2022, Flipkart, a popular online retail company, announced the launch of medicines via Flipkart Health+. Indian customers can now have access to more than 83,000 medicines and other healthcare products. In addition, Flipkart Plus members will be able to use their SuperCoins for redeeming offers.
• In July 2022, Abingdon Health plc, a leading international creator and producer of high-quality and effective fast tests, announced the launch of abingdonsimplytest.com, its new B2C e-commerce website. The Abingdon Simply Test website will provide Abingdon Simply Test and Abingdon-assured third-party-branded self-tests to UK and global consumers. All items will be regulatory-approved and produced in accordance with international quality management standards. The website offers testing for fertility, health and well-being, and infectious illnesses, among others.
Conclusion
The healthcare e-commerce business is expanding noticeably. This expansion is linked to an emerging society and the widespread use of technology in daily life. Furthermore, increases in the pharmaceutical and medical device industries in the healthcare segment benefit the growth of this market. Increased investments, improved patient facilities and services, easy accessibility, and other factors are also contributing to market expansion.
In addition to saving money and time, e-commerce provides customers with a variety of other advantages, one of which is the ability to read reviews and ratings to determine whether the services or medicines they are using or purchasing are adequate. Due to all such features and benefits, the global healthcare e-commerce market is anticipated to grow at a CAGR of 4.9% during the forecast period (2023–2029), according to OMR Research.