Prescription Drugs - NAFTA

NAFTA

Highlights

In NAFTA, the revenue in the Prescription Drugs market is forecasted to reach US$413.90bn in 2024.
It is expected to exhibit a compound annual growth rate (CAGR 2024-2029) of 3.96%, leading to a market volume of US$502.70bn by 2029.
Among all countries, United States is projected to generate the highest revenue, amounting to US$358.90bn in 2024.
When considering the total population, the per person revenues in 2024 are estimated to be US$811.20.
The prescription drug market in the United States is driven by high demand for innovative treatments and a strong emphasis on research and development.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Prescription Drugs (Pharmacies) market in NAFTA is witnessing significant growth and development. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors are all contributing to this growth. Customer preferences play a crucial role in the development of the Prescription Drugs (Pharmacies) market in NAFTA. Customers are increasingly seeking convenience and accessibility when it comes to purchasing prescription drugs. This has led to a rise in the number of pharmacies and the expansion of their services. Customers also value personalized care and are willing to pay for additional services such as medication counseling and home delivery. Trends in the market are also driving its development. One notable trend is the increasing demand for generic drugs. Generic drugs offer a more affordable alternative to brand-name medications, making them popular among cost-conscious consumers. This trend is particularly prominent in Mexico, where the government has implemented policies to promote the use of generic drugs. Another trend is the growing popularity of online pharmacies. Customers are increasingly turning to online platforms to purchase prescription drugs, driven by the convenience and competitive pricing they offer. Local special circumstances further contribute to the growth of the Prescription Drugs (Pharmacies) market in NAFTA. In Canada, for example, the government plays a significant role in regulating the pharmaceutical industry. The country has a universal healthcare system, which provides coverage for prescription drugs to its citizens. This creates a stable demand for prescription drugs and ensures a steady revenue stream for pharmacies. In the United States, the market is highly competitive, with a large number of independent pharmacies and major retail chains. This competition drives innovation and forces pharmacies to constantly improve their services to attract customers. Underlying macroeconomic factors also play a role in the development of the Prescription Drugs (Pharmacies) market in NAFTA. The aging population in the region is increasing the demand for prescription drugs, as older individuals are more likely to require medication for chronic conditions. Additionally, the increasing prevalence of chronic diseases such as diabetes and cardiovascular diseases is driving the demand for prescription drugs. Economic growth and rising disposable incomes also contribute to the growth of the market, as individuals have more purchasing power to spend on healthcare products and services. In conclusion, the Prescription Drugs (Pharmacies) market in NAFTA is experiencing significant growth and development. Customer preferences for convenience and accessibility, the trend towards generic drugs and online pharmacies, local special circumstances such as government regulation and competition, and underlying macroeconomic factors such as the aging population and economic growth are all contributing to this growth.

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.