Pharmacy Market Trends

Growth Drivers

• Expansion of e-pharmacy and emergence of digital health platforms: The rapid adoption of e-pharmacies influenced by the consumer demand for convenience is reshaping the foundation of the global market. For instance, in February 2024 WHO announced the launch of the Global Initiative on Digital Health (GIDH) with a key focus on national transformation with a network of governments, institutions, and technical agencies aimed at advancing digital health systems worldwide. The effort marks a significant step toward more inclusive, sustainable, and technology-driven global health systems.

• Rising aging demographics: The global market is readily expanding on account of a rising aging demographics. There has been a consistent surge in age-related health conditions that has drawn the interest of nationwide leaders to make investments in this sector. For instance, as per a December 2023 Research in Social and Administrative Pharmacy article, over 55% of aged adults demonstrated satisfaction with pharmacist and doctor-led medication services. The study also highlighted the rising demand for pharmacist-led support in aging populations, hence reflecting a strong potential for pharmacies to capitalize on this sector.

• Integration of pharmacists into primary healthcare teams: This has been a principal driver for the pharmacy market, which drives a steady cash influx into the sector. In this context, the study by the National Institute of Health in September 2024, which combined four focus groups and nine interviews, identified six key themes around pharmacy integration. Stakeholders primarily associated integration with collaboration, communication, and cooperation. While community pharmacies were viewed positively, reinforcing their value within healthcare systems.

Medicare Part D Prescription Drug Spending from 2012 to 2021

Source: NLM, December 2024

Challenges

• Continuously exacerbating drug costs: Despite the existence of heightened demand, the pharmacy market still faces disparities in terms of exacerbated drug expenses. This makes it challenging for both consumers and service providers since it can limit adoption among patients from price-sensitive regions. Therefore, pharmaceutical firms witness significant disparities in operations, making it inaccessible. In the U.S., 23.8% of prescribed patients lack access due to the aspect of huge medical expenses.

• Lack of skilled workforce: The market is expanding at a rapid pace, resulting in a shortage of qualified pharmacists and pharmacy technicians. The existence of this obstacle can significantly disrupt the workflow by reducing service quality, thereby negatively influencing patient safety as well.  Therefore, these workforce shortages need to be addressed in order to maintain efficient pharmacy operations and support expanding healthcare roles. Hence, the challenge underscores the need for improved training and retention strategies.