UAE Over the Counter (OTC) Drugs Market, By Product Type (Cough, Cold and Flu; Vitamins, Mineral, and Supplements (VMS); Analgesics; Gastrointestinal Products; Dermatology Products; Others), By Route of Administration (Oral, Topical, Parenteral), By Dosag

UAE Over the Counter (OTC) Drugs Market, By Product Type (Cough, Cold and Flu; Vitamins, Mineral, and Supplements (VMS); Analgesics; Gastrointestinal Products; Dermatology Products; Others), By Route of Administration (Oral, Topical, Parenteral), By Dosage Form (Tablets, Capsules, Liquids & Solution, Creams/Lotions/Ointments, Others), By Distribution Channel (Retail Pharmacy, Hospital Pharmacy, E-Pharmacy), By Region, Competition Forecast & Opportunities, 2027

UAE Over the Counter (OTC) Drugs Market stood at USD552.11 million in 2021 and is expected to reach a CAGR of 5.49% during the forecast period. The rise in both communicable and non-communicable diseases, as well as the emergence of new viral diseases, is increasing the demand for self-medication, focusing more on the prevention of the disease at home. Self-medication and OTC drug use have substantially increased over the past few decades in both women and men due to the rising cost of healthcare globally. This rise in OTC usage may be ascribed to pharmaceutical companies' representatives' promotion of drugs through commercials and other social media channels. Examples of strategies used to expand market penetration for OTC drugs include financial incentives like rewards for taking part in post-marketing trials, the distribution of free samples, or the supply of OTC drugs at deeply discounted prices to hospitals. Additionally, advertising typically appears in printed periodicals like journals, magazines, and newspapers, as well as in broadcast media like radio, television, and telephone systems. Consumers are putting more emphasis on prevention and taking an active role in their healthcare decisions. This is due to continuous fears about catching COVID-19 and other emerging diseases, as well as the realization that those who lead balanced lives will do better in the long run. The COVID-19 epidemic has expedited the shift in lifestyle toward self-care. All citizens of the United Arab Emirates (UAE) are entitled to free medical care and prescription drugs; however, expatriates are only needed to purchase private health insurance. In the UAE, general practitioners' visits, routine and specialized health exams, and prescription medications are expensive. Studies have indicated that OTC use is common in the UAE, particularly for individuals without medical insurance, as a result of the high expenses there. Additionally, the growth of the aging population in the country and more demand for self-medication for common diseases and diagnosed diseases that can be treated at home rather than hospitalization to cut off expenses will enhance the growth of the UAE over the counter (OTC) drugs market.

E-Pharmacy's Growth and the New Digital Shopper

The COVID-19 pandemic has significantly sped up the transition to E-commerce, and E-Pharmacy has cemented its position as a key element of the omnichannel retail environment for consumer health. The need for pharmacy home delivery has been expanding in the UAE. However, the COVID-19 outbreak has forced people to stay away from shopping malls and other general and retail stores, which has significantly increased the demand. The majority of individuals today prefer to order their OTC and personal care items online than going out and buy them, with smartphone penetration having one of the highest rates internationally. Pharmacy websites provide a secure and convenient way to buy important medical goods.

In the upcoming years, it is anticipated that these changes in consumer purchasing patterns would persist, making E-Commerce a primary rather than a secondary channel for consumer health businesses. A successful strategy in E-Pharmacy can be found in the use of digital automation and machine learning to evaluate consumer behavior and give tailored advertising and product recommendations based on prior purchases, comparable consumer behaviors, and online purchasing behaviors. Thus, the availability of the OTC drugs which can be accessed without the need of any prescription is becoming more convenient for people to purchase it from the online stores.

Change in Regulatory Landscape

With the assistance of patient organizations, healthcare professionals, public health organizations, and pharmaceutical business, the Gulf Cooperation Council (GCC) nations (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates) are aiming to evaluate and update pharmacy regulations for over-the-counter medicines. In order to serve patients, consumers, and businesses, OTC regulations are being updated. These changes aim to streamline and improve the timeliness of procedures, encourage consumer innovation, and, in some cases, build up domestic manufacturing capacity to lessen reliance on imports. The health authorities support making OTC products more widely available in the region. Specific dispensing standards have been established as part of the oversight of the market to ensure the effectiveness and safety of OTC drugs. The availability of more OTC products increases both customer choice and business potential for retailers and consumer health organizations.

Increase in OTC Drugs Launch in Gulf Cooperation Council

Companies in the consumer health sector is adapting in shifting consumer preferences, competition, altering consumer behavior, and technological advancements. These factors all require companies to invest in new products in order to succeed or survive, while also addressing both internal and external corporate challenges. Over the past three years, innovation's share of the GCC's OTC market has grown, reaching 18.5 percent in November 2021. To increase sales and earnings, the sector needs disruptive innovation techniques. Contrary to other regions, the GCC countries (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates) have historically had a low R&D intensity, but they are presently making efforts to change that. By investing in R&D and enhancing the production capacity of drugs the growth in the demand for OTC drugs is expected to increase by time.

Growth of Private Label Retail Brands

In particular, in categories like VMS (Vitamins, Mineral, and Supplements), dermo-cosmetics, and personal care goods, the rise of private label (store brands) and the elimination of slower-moving branded products are altering the pharmacy shopping experience, leading to competition for in-store shelf space and margins. It's now becoming more difficult to compete with private-label brands because of their increasing demand among the population. Consumer health organizations are rising to the challenge by creating category strategies that take into account the importance of private label and their brands, being innovative to meet current needs and shifts in consumer behavior, and putting an emphasis on enhancing the brand's perceived superiority through consistent brand equity investment and wise innovation to compete. Until a balance is found, private brands will develop and occupy more shelf space because of the lack of effectiveness people assume in non-branded OTC drugs. The UAE, which imports 80% of its pharmaceutical products, has been investing in reducing costs and ensuring steady supplies by heavily boosting its local manufacturing capabilities.

Market Segmentation

The UAE Over the Counter (OTC) Drugs Market is segmented based on Product type, Route of Administration, Dosage Form, Distribution Channel and Region. Based on Product type, the market can be categorized into Cough, Cold and Flu; Vitamins, Mineral, and Supplements (VMS); Analgesics; Gastrointestinal Products; Dermatology Products; Others (Antibiotics, Antifungal, Laxatives etc.). Based on Route of Administration, the market can be categorized into Oral, Topical, Parenteral. In terms of Dosage Form, the market can be segmented into Tablets, Capsules, Liquids & Solution, Creams/Lotions/Ointments, Others (Sprays, Powders, Gels, Paste etc.). Based on Distribution Channel the market can be segmented into Retail Pharmacy, Hospital Pharmacy, E-Pharmacy.

Company Profiles

Bayer Consumer Health, Novartis Middle East, GlaxoSmithKline & Neopharma, Sun Pharma Global FZE, Johnson & Johnson Middle East, Julphar Gulf Pharmaceutical Industries, Cipla FZE, Pfizer Inc., Galderma SA, Sanofi UAE are the major players in the UAE OTC Drugs market.

Report Scope:

In this report, UAE Over the Counter (OTC) Drugs Market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

UAE Over the Counter (OTC) Drugs Market, By Product Type:

• Cough, Cold and Flu
• Vitamins, Mineral, and Supplements (VMS)
• Analgesics
• Gastrointestinal Products
• Dermatology Products
• Others

UAE Over the Counter (OTC) Drugs Market, By Route of Administration:

• Oral
• Topical
• Parenteral

UAE Over the Counter (OTC) Drugs Market, By Dosage Form:

• Tablets
• Capsules
• Liquids & Solution
• Creams/Lotions/Ointments
• Others

UAE Over the Counter (OTC) Drugs Market, By Distribution Channel:

• Retail Pharmacy
• Hospital Pharmacy
• E-Pharmacy

UAE Over the Counter (OTC) Drugs Market, By Region:

• Dubai
• Abu Dhabi
• Sharjah

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in UAE over the counter (OTC) drugs market.

Please Note: Report will be updated with the latest data and delivered to you within 3-5 working days of order. Single User license will be delivered in PDF format without printing rights