OTC Products - Tanzania

Tanzania

Highlights

In Tanzania, the revenue in the OTC Products market is expected to reach US$566.20m by 2024.
This projection indicates a promising growth in the market.
Looking ahead, the revenue is anticipated to exhibit a steady annual growth rate (CAGR 2024-2029) of 5.82%.
Consequently, the market volume is projected to reach US$751.20m by 2029.
When comparing the revenue on a global scale, it is worth noting that China is expected to generate the highest revenue in the OTC Products market, with an estimated value of US$74.91bn in 2024.
This demonstrates the significant market potential China.
To provide a more comprehensive understanding of the market, it is also important to consider the revenue generated per person.
In Tanzania, per person revenues are expected to reach US$8.16 in 2024.
This metric helps gauge the economic impact of the OTC Products market on the population.
The demand for OTC products in Tanzania is steadily increasing due to the growing awareness about self-medication and the convenience of purchasing such products without a prescription.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The OTC Products (Pharmacies) market in Tanzania has been experiencing significant growth in recent years, driven by several key factors.

Customer preferences: Customers in Tanzania have shown a growing preference for over-the-counter (OTC) products, which can be purchased without a prescription. This preference is driven by several factors, including the convenience of purchasing OTC products directly from pharmacies, the lower cost compared to prescription medications, and the increasing awareness of self-care and preventive healthcare among consumers. Additionally, the availability of a wide range of OTC products in pharmacies allows customers to easily access medications and health products for common ailments and minor health issues.

Trends in the market: One of the key trends in the OTC Products (Pharmacies) market in Tanzania is the increasing demand for vitamins, supplements, and herbal remedies. This trend is driven by the growing interest in holistic health and natural remedies among consumers. Additionally, the rising prevalence of lifestyle diseases, such as obesity and diabetes, has led to an increased focus on preventive healthcare, with consumers seeking out OTC products that can help support their overall health and well-being. Another trend in the market is the growing demand for skincare and beauty products. As the Tanzanian population becomes more urbanized and affluent, there is a greater emphasis on personal grooming and appearance. This has led to an increased demand for OTC skincare products, such as moisturizers, anti-aging creams, and acne treatments. Furthermore, the availability of a wide range of international skincare brands in Tanzanian pharmacies has also contributed to the growth of this segment.

Local special circumstances: Tanzania has a large rural population, with limited access to healthcare facilities. This has led to an increased reliance on pharmacies for basic healthcare needs, including the purchase of OTC products. Pharmacies in rural areas often serve as the primary point of contact for healthcare services, providing advice and medication for common ailments. This reliance on pharmacies has further fueled the growth of the OTC Products market in Tanzania.

Underlying macroeconomic factors: The Tanzanian economy has been experiencing steady economic growth in recent years, which has contributed to the increasing purchasing power of consumers. This has allowed more people to afford OTC products and healthcare services. Additionally, the government has implemented policies to improve access to healthcare services, including the expansion of the National Health Insurance Fund. This has further facilitated the growth of the OTC Products market by making healthcare more affordable and accessible to a larger segment of the population. In conclusion, the OTC Products (Pharmacies) market in Tanzania is experiencing significant growth due to customer preferences for convenience and affordability, as well as the increasing focus on preventive healthcare. The demand for vitamins, supplements, herbal remedies, skincare, and beauty products is on the rise, driven by changing consumer preferences and lifestyle factors. The reliance on pharmacies in rural areas and the overall economic growth of Tanzania have also contributed to the growth of the market.

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.