The global pharmacy market size is expected to grow from USD 2.4 trillion in 2024 to USD 2.5 trillion in 2025 and USD 4.1 trillion by 2035, at a CAGR of 5%

The Pharmacy Market Report Segments the Industry Into by Pharmacy Type (e-Pharmacy, Hospital Pharmacy, Retail Pharmacy), by Prescription Type (Prescription Drugs, Over-The-Counter (OTC) Drugs), by Drug Type (Branded/Patented Drugs, Generic Drugs), by Indication Type (Antibiotics, Autoimmune / Inflammatory Disorders, Cardiovascular Disorders, Dermatology, and More), and by Geography (North America, Europe, Asia-Pacific, and More).

Snapshot img

US Pharmacy Market Size 2024-2028

The US pharmacy market size is forecast to increase by USD 90.8 billion at a CAGR of 3.14% between 2023 and 2028. In the dynamic market, several drivers, trends, and challenges shape the industry landscape. The aging population in the United States is a significant growth factor, leading to an increase in pharmaceutical sales. Pharmaceutical exports, biotechnology, biosimilars, biologics, antiretroviral drugs, and vaccines are significant contributors to the sector's growth. This demographic shift also necessitates the adoption of telepharmacy services to cater to the healthcare needs of an expanding elderly population. Another trend in the market is the digitization of electronic health records (EHRs). Additionally, rising pricing in pharmaceuticals and reimbursement pressures are predefined factors influencing market growth. Quality control and licensing are essential aspects of the market, with industry associations playing a crucial role in setting standards and ensuring regulatory compliance. According to recent survey results, retail stores and hospitals remain the key distribution channels for pharmaceuticals.

Request Free Sample

The market encompasses a wide range of healthcare products, including prescription medications, over-the-counter drugs, and health supplements. Pharmacists play a crucial role in ensuring the safe and effective use of these products by patients. With the increasing adoption of technology in healthcare, digital solutions have become essential components of modern pharmacy services. The growth of retail and hospital pharmacies is significantly influenced by the demand for OTC medications and generic medicines, with projections tied to GDP performance, especially during the April-January period when items like hydroxychloroquine became prominent in the market for medical goods. One significant trend in the market is the integration of technology into various aspects of pharmacy operations.

Furthermore, these digital pharmacies offer convenience and accessibility, allowing patients to order their prescriptions and over-the-counter medications from the comfort of their homes. National health services are increasingly adopting EHRs to improve patient care and streamline operations. EHRs enable pharmacists to access patients' medical histories, allergies, and medication lists, ensuring accurate and safe prescription dispensing. Technology is also transforming the production and distribution of healthcare products. API producers are leveraging digital solutions to improve the efficiency and quality of their manufacturing processes. The use of technology in the market is expected to continue growing, driven by the need for improved patient care, increased convenience, and cost savings.

Market Segmentation

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Product

  Prescription
  OTC


Ownership

  Pharmacy chain
  Independent


Type

  Retail pharmacy
  Hospital pharmacy
  Others


Geography

  US

By Product Insights

The Prescription segment is estimated to witness significant growth during the forecast period. Pharmaceutical businesses in the United States have leveraged the power of market segmentation to better understand consumer needs and preferences in the prescription sector. This approach allows companies to develop targeted marketing strategies, optimize inventory, and enhance overall customer satisfaction. One crucial aspect of prescription-based market segmentation involves categorizing customers based on their therapeutic requirements. These categories span various health conditions, including cardiovascular health, mental health, respiratory diseases, chronic pain management, and numerous others.

Furthermore, by segmenting the market, pharmacies ensure a comprehensive range of prescription medications for each category, enabling them to offer customized treatment solutions to their clients. The Internet's increasing penetration in the US has significantly influenced market segmentation in the pharmaceutical industry. The S-curve method, a popular analytical tool, helps visualize the growth patterns of various market segments. Exchange rates and representativeness are essential factors to consider when analyzing data from Global GCS data, a valuable resource, that provides insights into consumer behavior and trends within these segments. By staying abreast of market trends and consumer preferences, pharmacies can cater to the unique needs of their clientele, ultimately driving customer loyalty and business success.

Get a glance at the market share of various segments Request Free Sample

The prescription segment was valued at USD 425.20 billion in 2018 and showed a gradual incr

The Retail Pharmacy Market Report is Segmented by Product Type (Prescription Medicines, Over-The-Counter Medicines, Health & Wellness/Personal Care Products, Medical Devices & Supplies), Pharmacy Format (Chain Pharmacies, Independent Pharmacies, Supermarket/Hypermarket In-Store Pharmacies, Online Pharmacies), and Geography (North America, Europe, and More). The Market Forecasts are Provided in Terms of Value (USD).

The global compounding pharmacy market size is estimated to grow from USD 15.6 billion in 2024 to USD 31.8 billion by 2035, representing a CAGR of 7% during the forecast period, till 2035.

Pharmacies and drug stores have endured moderate volatility in recent years. Retailers have benefited from a growing and aging population, as older consumers require medication to address chronic ailments, resulting in higher volumes of foot traffic. Similarly, the number of people with private insurance and public funding for Medicare and Medicaid has been on the rise, giving more people access to insurance and supporting demand for prescriptions, pharmacies' largest product segment. These trends, along with consumers increasingly prioritizing their health, have supported revenue gains, causing revenue to grow at an estimated CAGR of 1.1% to $609.6 billion through the end of 2025, including growth of 3.6% that year alone. Pharmacies have endured some challenges during this time, including heightened external competition from big-box stores and online-only pharmacies. With big-box stores offering consumers added convenience, pharmacies have expanded their services to offer some primary care services and grow delivery offerings. Many pharmacies and drug stores have invested in online platforms to service customers who prefer to shop online. The trend of online shopping will intensify in the coming years, and successful drugstores will be positioned to capitalize on the surge in demand. Pharmacies and drug stores have also focused on marketing personal care products, which often have higher prices, to capture additional revenue; however, unfavorable macroeconomic conditions directly harm these product lines because of their less-essential nature and higher access to substitutes. Pharmacies and drug stores will continue to benefit from the ongoing economic recovery, as cooling inflation encourages consumers to make more discretionary purchases like cosmetics and other personal care products. This growth will be fueled by the expansion of store services, including preventive care options and additional front-end offerings. As the number of insured individuals swells, many consumers will continue to fill their prescriptions because of the low out-of-pocket costs. As conditions for the industry improve, so will profit, rising along with revenue. Revenue is expected to climb at a CAGR of 2.6% to $692.0 billion through the end of 2030.

Global online pharmacy market worth at USD 98.72 Billion in 2024, is expected to surpass USD 224.79 Billion by 2034, with a CAGR of 7.9% from 2025 to 2034.

The size of the Pharmacy Market was valued at USD 543.15 billion in 2024 and is projected to reach USD 674.39 billion by 2033, with an expected CAGR of 3.14% during the forecast period. The pharmacy market is a multifaceted and dynamic industry involving the manufacturing, distribution, and dispensation of drugs and other health products. It involves the existence of multiple players, ranging from drug manufacturers and wholesalers to retail drugstores and internet pharmacies. The market plays a very significant role in making patients accessible to required medications and pharmaceutical therapy. There are a number of drivers to the pharmacy market, such as an aging population, growing rates of chronic conditions, higher health expenditure, and developments in research and development by pharmaceuticals. The market is also driven by regulatory environment, price controls, and the reimbursement model. The market is dominated by the retail pharmacy segment, with a vast network of physical pharmacies selling prescription and over-the-counter drugs, along with other health care services. Online pharmacies are gaining popularity, however, as they offer convenience and accessibility, especially in areas with poor access to health care facilities. Challenges faced by the industry are rising drug costs, mounting competition, and ensuring the safety and efficacy of drugs. Yet, the increased demand for healthcare services and ongoing innovation in pharmaceutical products are likely to propel the pharmacy market's growth in the next few years.

The global retail pharmacy market is booming, projected to reach $1.78 trillion by 2025, with a CAGR of 5.2%. Discover key trends, drivers, and restraints shaping this dynamic industry, including the rise of online pharmacies and the impact of an aging population. Explore regional market shares and leading companies.

global retail pharmacy market size was worth around USD 689 billion in 2023 and is predicted to grow to around USD 1693 billion by 2032.(CAGR) of roughly 10.5% 2024 and 2032

The compounding pharmacy market is experiencing robust growth, projected to reach a market size of $14.31 billion by 2025 and expanding at a CAGR of 5.68% from 2025 to 2033. This expansion is fueled by several key drivers. The increasing prevalence of chronic diseases requiring personalized medication regimens is a significant factor, alongside the rising demand for customized medications catering to specific patient needs, particularly in areas like pain management, hormone replacement therapy, and dermatological treatments. Furthermore, advancements in compounding techniques and technologies are enabling the creation of more effective and safer formulations. The growing acceptance of compounding pharmacies by healthcare professionals and patients, coupled with favorable regulatory environments in certain regions, also contributes to market growth. Key trends shaping the market include the increasing adoption of automation and technology for improved efficiency and accuracy, a growing focus on quality control and standardization, and the emergence of specialized compounding pharmacies focused on niche therapeutic areas. However, the market faces certain restraints including stringent regulatory requirements, concerns regarding the lack of standardized quality control across all compounding pharmacies, and the potential for higher costs compared to commercially available medications. The market is segmented by therapeutic area (pain management, hormone replacement, dermal disorders, nutritional supplements, and others), route of administration (oral, topical, parenteral, and others), and end-user (human and veterinary). Geographical analysis reveals strong regional variations, with North America (particularly the United States) expected to dominate due to high healthcare expenditure and a significant number of established compounding pharmacies. Europe and Asia Pacific are also expected to witness substantial growth driven by rising healthcare awareness and increasing adoption of personalized medicine. The competitive landscape is marked by a mix of large multinational corporations like Fresenius Kabi and B Braun Medical Inc, alongside numerous smaller independent compounding pharmacies such as Valor Compounding Pharmacy Inc, ITC Compounding Pharmacy, and Lorraine's Pharmacy. These companies are strategically focusing on expanding their service offerings, enhancing their technological capabilities, and establishing strong distribution networks to gain a competitive edge. The key players are also investing significantly in research and development to innovate and introduce new specialized compounded medications. The fragmented nature of the market presents both opportunities and challenges. While it allows for niche players to thrive, consolidation through mergers and acquisitions is anticipated to be a major trend. Furthermore, the market's future success hinges on the implementation of stricter quality control measures, improved transparency regarding pricing and efficacy, and greater collaboration between compounding pharmacies, healthcare professionals, and regulatory bodies to ensure patient safety and meet the growing demand for personalized medication solutions. The forecast period (2025-2033) will be crucial for market expansion, particularly considering the ongoing efforts to standardize processes and address existing regulatory challenges. Recent developments include: July 2022: Fagron, the leading global player in pharmaceutical compounding, acquired a 503B outsourcing facility from Fresenius Kabi in Boston. With this acquisition, Fagron expanded its United States sterile compounding footprint., June 2022: Osceola Capital, a private equity firm, announced the eighth addition to the Revelation Pharma Corporation platform by purchasing Wedgewood Pharmacy’s human health book of business. Wedgewood Pharmacy operates compounding pharmacies that offer sterile and non-sterile compounded medications for animal patients in 50 states.. Key drivers for this market are: Increasing Demand of Personalized Medicine, Shortage of Drugs; Rising Geriatric Population. Potential restraints include: Lack of Skilled Compounding Pharmacists. Notable trends are: Pain Management Segment is Expected to Dominate the Market During the Forecast Period..

Revenue from compounding pharmacies in the USA is estimated at USD 5.6 billion in 2025, with projections indicating a rise to USD 11.8 billion by 2035, reflecting a CAGR of 7.8% over the forecast period.

UAE E-Pharmacy Market is estimated to grow at a CAGR of around 15.2% during the forecast period 2024-30, rising government initiatives for the digital health revolution is the growth opportunity driving the market through 2030.

The Pharmacies & Drug Stores industry in Louisiana is expected to grow an annualized x.x% to $x.x billion over the five years to 2025, while the national industry will likely grow at x.x% during the same period. Industry establishments decreased an annualized -x.x% to x,xxx locations. Industry employment has increased an annualized x.x% to x,xxx workers, while industry wages have decreased an annualized -x.x% to $x.x million.

The Pharmacy Market size was valued at USD 1061.4 billion in 2023 and is projected to reach USD 1425.18 billion by 2032, exhibiting a CAGR of 4.3 % during the forecasts period. Pharmacy Market comprises the selling of drugs and other related products such as prescription drugs, over the counter drugs, drugs needed in emergencies, and medical related items. Pharmacies are integral centers of the administration of health care as they prescribe medicines, advice patients on treatments, and recommend various health care measures. Such employees are important because they contribute to access of effective and safe medication, proper management of diseases as well as contributing to provision of products that enhance preventive health. Some of the major trends are digitization of prescription and retailing through internet and telepharmacy, adoption of right medicine for right patient and leveraging on specialty pharmacy services for some specific therapies. Such factors as growing elderly citizens, higher rates of illnesses, and new developments in drug formulation.

Market Research Intellect presents the Compounding Pharmacy Market Report-estimated at USD 5.5 billion in 2024 and predicted to grow to USD 10.2 billion by 2033, with a CAGR of 8.5% over the forecast period. Gain clarity on regional performance, future innovations, and major players worldwide.

The Pharmacy Benefit Manager (PBM) market is booming, projected to reach $628.78 billion by 2033 with a 7.4% CAGR. This in-depth analysis explores market drivers, trends, restraints, key players (Express Scripts, CVS Health, etc.), and regional breakdowns, providing valuable insights for investors and industry professionals. Learn more about PBM market size, growth, and future projections.

The U.S. Pharmacy Marketsize was valued at USD 534.21 USD Billion in 2023 and is projected to reach USD 2052.25 USD Billion by 2032, exhibiting a CAGR of 21.2 % during the forecast period. Key drivers for this market are: Increasing Number of Surgical Procedures to Boost Market Growth. Potential restraints include: Product Recalls and Lawsuits to Hinder Market Growth. Notable trends are: Increasing Number of Hospitals and ASCs Identified as Significant Market Trend.

The E-Pharmacy Market Report is Segmented by Drug Type (Prescription Drugs and Over-The-Counter (OTC) Drugs), Product Type (Skin Care, Dental, and More), Therapeutic Area (Diabetes, Cardiovascular, and More), Platform (Mobile Users and Desktop Users), Geography (North America, Europe, Asia-Pacific, The Middle East and Africa, and South America). The Market Forecasts are Provided in Terms of Value (USD).

The global E-Pharmacy market size was valued USD 91.67 billion in 2023 and is expected to rise to USD 271.01 billion by 2032 at a CAGR of 12.8%.