OTC Products - Taiwan

Taiwan

The OTC Products market in Taiwan is expected to witness substantial growth in the coming years.
According to projections, the market's revenue is anticipated to reach US$11.90bn by 2024.
This growth is expected to continue at an annual growth rate of 6.70% from 2024 to 2029, resulting in a market volume of US$16.46bn by 2029.
When compared to other countries globally, it is worth noting that China is expected to generate the highest revenue in the OTC Products market, with a projected revenue of US$74.91bn in 2024.
In terms of per person revenue, the market generates approximately US$496.70 per person in Taiwan in 2024.
This figure provides insight into the economic impact of the OTC Products market on the population of Taiwan.
Taiwanese consumers are increasingly seeking out natural and organic OTC products for their health and wellness needs.

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

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Analyst Opinion

The OTC Products (Pharmacies) market in Taiwan has been experiencing significant growth in recent years.

Customer preferences: Customers in Taiwan have shown a strong preference for OTC products, which are readily available without a prescription. This preference can be attributed to several factors, including convenience, cost-effectiveness, and the increasing awareness and acceptance of self-medication. OTC products provide consumers with the option to treat minor ailments and manage their health without having to visit a doctor. Additionally, customers appreciate the wide range of OTC products available in pharmacies, which cater to various needs such as pain relief, cough and cold remedies, and skincare.

Trends in the market: One notable trend in the OTC Products (Pharmacies) market in Taiwan is the increasing demand for natural and herbal remedies. Consumers are becoming more health-conscious and are seeking products that are perceived as being more natural and less chemically based. This trend aligns with the global shift towards natural and organic products, as consumers are becoming more aware of the potential side effects associated with certain medications. Consequently, pharmacies in Taiwan are expanding their offerings to include a wider range of natural and herbal OTC products to meet this growing demand. Another trend in the market is the rising popularity of online pharmacies. With the advancement of technology and the increasing prevalence of e-commerce, consumers are turning to online platforms to purchase OTC products. Online pharmacies offer convenience, competitive pricing, and a wide selection of products, making them an attractive alternative to traditional brick-and-mortar pharmacies. This trend has prompted pharmacies in Taiwan to establish their online presence and offer their products through e-commerce platforms.

Local special circumstances: Taiwan has a well-developed healthcare system that provides universal healthcare coverage to its citizens. This system ensures that individuals have access to necessary medical services and prescription medications. However, the availability of OTC products in pharmacies allows individuals to address minor health issues without the need for a doctor's visit or a prescription. This convenience factor has contributed to the popularity of OTC products in Taiwan.

Underlying macroeconomic factors: Taiwan has a stable economy with a high standard of living. The country's strong economic growth and increasing disposable income have contributed to the growth of the OTC Products (Pharmacies) market. As consumers have more purchasing power, they are more willing to spend on healthcare and wellness products, including OTC products. Additionally, Taiwan has a rapidly aging population, which has led to an increased demand for healthcare products and services. The elderly population often relies on OTC products to manage common health issues, further driving the growth of the market. In conclusion, the OTC Products (Pharmacies) market in Taiwan is growing due to customer preferences for convenience and cost-effectiveness, the increasing demand for natural and herbal remedies, the rise of online pharmacies, the well-developed healthcare system, and the underlying macroeconomic factors such as a stable economy and an aging population.

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.