OTC Products - Russia

Russia

The OTC Products market in Russia is forecasted to achieve a significant revenue milestone of US$6.25bn by the year 2024.
This projection is expected to reflect a steady annual growth rate (CAGR 2024-2029) of -6.40%, which would ultimately result in a market volume of US$4.49bn by 2029.
When compared on a global scale, it is worth noting that China is expected to generate the highest revenue in the OTC Products market, reaching a substantial figure of US$74.91bn in 2024.
In terms of per capita revenue, in Russia is projected to generate US$43.41 per person in the year 2024, showcasing the significance of this market in the country.
The demand for OTC products in Russia is increasing due to a growing middle class and an emphasis on self-care.

Key regions: Europe, Australia, United Kingdom, Germany, South Korea

Market

Region

Region comparison

Currency

Analyst Opinion

The OTC Products (Pharmacies) market in Russia is experiencing significant growth and development.

Customer preferences: Customers in Russia have shown a growing preference for over-the-counter (OTC) products in recent years. This can be attributed to several factors, including the convenience of purchasing OTC products without a prescription, the increasing awareness and acceptance of self-medication, and the availability of a wide range of OTC products in pharmacies. Additionally, the affordability of OTC products compared to prescription medications has also contributed to their popularity among customers.

Trends in the market: One of the key trends in the OTC Products (Pharmacies) market in Russia is the increasing demand for vitamins and dietary supplements. This can be attributed to the growing health consciousness among consumers, who are seeking ways to improve their overall well-being. Vitamins and dietary supplements are seen as a convenient and accessible way to supplement one's diet and address specific health concerns. Another trend in the market is the rising demand for OTC pain relievers and cold and flu medications. This can be attributed to the prevalence of these conditions among the population and the need for immediate relief from symptoms.

Local special circumstances: Russia has a well-established network of pharmacies, making OTC products easily accessible to consumers. Pharmacies are often located in close proximity to residential areas, ensuring convenience for customers. Additionally, the Russian government has implemented regulations to ensure the quality and safety of OTC products, which further enhances consumer trust and confidence in these products.

Underlying macroeconomic factors: Several macroeconomic factors contribute to the development of the OTC Products (Pharmacies) market in Russia. Firstly, the increasing disposable income of the population has allowed consumers to allocate a larger portion of their budget towards healthcare and wellness products. This has led to increased spending on OTC products. Secondly, the aging population in Russia has created a demand for products that cater to the specific health needs of older individuals, such as joint supplements and medications for age-related conditions. Lastly, the growing urbanization and changing lifestyle patterns in Russia have resulted in a higher prevalence of lifestyle-related health issues, such as stress and insomnia, leading to increased demand for OTC products addressing these concerns. In conclusion, the OTC Products (Pharmacies) market in Russia is experiencing growth and development due to customer preferences for convenient and affordable healthcare solutions. The market is witnessing trends such as increased demand for vitamins and dietary supplements, as well as pain relievers and cold and flu medications. The accessibility of pharmacies and government regulations further contribute to the market's growth. Underlying macroeconomic factors such as increasing disposable income, an aging population, and changing lifestyle patterns also play a significant role in the market's development.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on offline and online spending by consumers, including VAT. Not included are B2B and B2G sales, or other pharmaceutical sales through hospitals or retail stores such as supermarkets.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market market. As a basis for evaluating markets, we use industry associations, third-party studies and reports and survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as healthcare expenditure per country, consumer healthcare spending, GDP and internet penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, forecasts are based on historical developments, current trends, and key market indicators, using advanced statistical methods. For forecasting digital trends such as the online-pharmacy sales share we use exponential trend smoothing and the s-curve method. The main drivers are healthcare expenditure per country and consumer healthcare spending.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. GCS data is reweighted for representativeness.