Pharmacies - Tanzania

Tanzania

In Tanzania, the revenue in the Pharmacies market is projected to reach US$700.30m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 5.42%, resulting in a market volume of US$912.00m by 2029.
When compared globally, United States is expected to generate the highest revenue in the Pharmacies market, with US$387.30bn in 2024.
In terms of per capita revenue, in 2024, in Tanzania generates US$10.09 per person.
In Tanzania, there is a growing trend of pharmacies expanding their services to include holistic and traditional remedies.

Key regions: United States, China, Germany, Japan, Europe

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Analyst Opinion

The Pharmacies market in Tanzania has been experiencing significant growth in recent years.

Customer preferences: Customers in Tanzania have shown a growing preference for pharmacies as a convenient and accessible source of healthcare products. Pharmacies offer a wide range of over-the-counter medications, as well as prescription drugs, making them a one-stop shop for all healthcare needs. Customers appreciate the convenience of being able to consult with a pharmacist and receive personalized advice on medication usage and potential side effects. Additionally, pharmacies often offer other healthcare products such as vitamins, supplements, and personal care items, further increasing their appeal to customers.

Trends in the market: One of the key trends in the Tanzanian pharmacy market is the increasing number of chain pharmacies. These chain pharmacies have expanded their presence in urban areas, offering a consistent and standardized experience to customers. This trend is driven by the desire to provide high-quality healthcare products and services to a larger customer base. The presence of chain pharmacies also helps to build trust and credibility among customers, as they are more likely to recognize and trust well-known pharmacy brands. Another trend in the market is the growing emphasis on e-commerce. Online pharmacies have gained popularity in Tanzania, allowing customers to conveniently order medications and healthcare products from the comfort of their own homes. This trend has been further accelerated by the COVID-19 pandemic, as customers seek to minimize physical contact and practice social distancing. Online pharmacies offer a wide range of products, competitive pricing, and doorstep delivery, making them an attractive option for customers.

Local special circumstances: Tanzania has a growing population with increasing healthcare needs. The government has been investing in healthcare infrastructure and initiatives to improve access to healthcare services across the country. This has created opportunities for pharmacies to expand their operations and reach a larger customer base. Additionally, the rising prevalence of chronic diseases, such as diabetes and hypertension, has increased the demand for medications and healthcare products, further driving the growth of the pharmacy market.

Underlying macroeconomic factors: The Tanzanian economy has been growing steadily, leading to an increase in disposable income among the population. This has resulted in higher healthcare spending, including the purchase of medications and healthcare products from pharmacies. The government has also implemented policies to promote healthcare access and affordability, such as the introduction of a national health insurance scheme. These factors have contributed to the growth of the pharmacy market in Tanzania. In conclusion, the Pharmacies market in Tanzania has been growing due to customer preferences for convenient and accessible healthcare products, the emergence of chain pharmacies and e-commerce platforms, local special circumstances such as population growth and increasing healthcare needs, and underlying macroeconomic factors such as economic growth and government initiatives to improve healthcare access.

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.