Dublin, Sept. 17, 2024 (GLOBE NEWSWIRE) -- The "Saudi Arabia Over The Counter Drugs Market, By Region, Competition, Forecast & Opportunities, 2019-2029F" report has been added to ResearchAndMarkets.com's offering.
Saudi Arabia Over The Counter Drugs Market was valued at USD 1.15 billion in 2023 and is expected to reach USD 1.82 billion by 2029 with a CAGR of 7.84%
The Saudi Arabia over-the-counter (OTC) drugs market is driven by increasing health awareness, a growing focus on preventive healthcare, and rising consumer preference for self-medication. The expanding middle-class population, coupled with higher disposable incomes, enables more individuals to access and afford OTC medications. 
Advancements in retail and e-commerce platforms have improved the availability and convenience of purchasing OTC drugs. The government's initiatives to enhance healthcare access and regulatory reforms supporting OTC drug sales also contribute to market growth. Increasing prevalence of common ailments, such as colds, allergies, and minor aches, further fuels demand for readily available OTC solutions. These factors collectively drive the expansion of the OTC drugs market in Saudi Arabia.
Expansion of Retail and E-commerce Channels
The expansion of retail and e-commerce platforms has significantly reshaped the over-the-counter (OTC) drugs market in Saudi Arabia. The rapid growth of online shopping has enabled consumers to conveniently purchase OTC medications from the comfort of their homes. This shift towards digital platforms has provided easier access to a broad range of OTC products, from common pain relievers and cold remedies to specialized health supplements. The increased availability and accessibility offered by online pharmacies and e-commerce sites have revolutionized the market, allowing consumers to compare prices, read reviews, and select products without the constraints of physical store inventories.
The growth of brick-and-mortar retail chains has further enhanced market reach, making OTC drugs more readily available in various locations across the country. This dual expansion in both digital and physical retail environments has driven market growth by offering greater convenience and choice for consumers seeking OTC solutions. In December 2023, Chefaa, a pharmacy platform focused on patient needs, has secured USD 5.25 million in a significant funding round from both new and existing investors.
The investment was co-led by Newtown Partners (South Africa) and Global Brain (Japan), with participation from GMS Capital Partners LLC (US), Verod-Kepple Africa Ventures (Nigeria), and M3, Inc. (Japan). This funding follows Chefaa's successful entry into the Saudi Arabia market, where it now operates across eight cities. The strategic capital will enable Chefaa to scale its digital supply chain models and enhance stakeholder engagement, thereby improving user experiences and treatment adherence. Chefaa's primary objective remains to drive the safe digital transformation of healthcare with a patient-focused, comprehensive approach.
Innovations & New Product Developments
Innovations and new product developments are pivotal drivers of growth in Saudi Arabia's over-the-counter (OTC) drugs market. Pharmaceutical companies are actively engaged in advancing the OTC sector by introducing new and improved products that cater to an expanding range of health concerns. These innovations encompass various aspects of drug development, including formulation improvements, advanced delivery mechanisms, and enhanced packaging solutions.
Modern advancements in drug formulations have led to the creation of more effective OTC medications that provide targeted relief and greater efficacy. For instance, the development of fast-acting pain relievers, improved antihistamines, and more effective gastrointestinal remedies demonstrates how companies are addressing specific health needs with greater precision.
Enhanced delivery mechanisms, such as extended-release formulations and dissolvable tablets, further improve patient compliance and convenience, ensuring that OTC medications are both effective and user-friendly. Innovations in packaging have made OTC products more accessible and practical for consumers. Child-resistant packaging, tamper-evident seals, and user-friendly designs contribute to safer and more convenient medication use. These packaging advancements not only enhance product safety but also help in preserving the efficacy and shelf life of OTC drugs.
The continuous introduction of novel OTC products generates significant consumer interest and drives market growth by addressing evolving health needs. For example, the launch of new supplements, vitamins, and wellness products reflects a growing trend towards proactive health management and preventive care. Such innovations not only expand the range of available OTC solutions but also cater to emerging consumer preferences for natural and holistic health options. Advancements in product development often lead to the introduction of specialized OTC medications that address specific conditions or symptoms previously underserved by existing products. This expansion into niche areas of the market allows consumers to find tailored solutions for their health issues, thereby increasing demand and driving market growth.
Regional Insights
The Central Region stand out as the dominated area. This prominence is attributed to several key factors, including its economic significance, population density, and the concentration of healthcare facilities and retail outlets. The Central Region, encompassing Riyadh - the capital city of Saudi Arabia - serves as the political, economic, and cultural heart of the country. Riyadh's status as a major urban center means that it attracts a substantial portion of the population, which drives significant demand for OTC medications. The concentration of both residents and transient populations, such as business professionals and expatriates, further amplifies the market for OTC products. The city's large population and its role as a hub for administrative and commercial activities contribute to the high consumption of OTC drugs.
The Central Region benefits from an extensive network of healthcare facilities and retail outlets. Riyadh and its surrounding areas host numerous pharmacies, supermarkets, and specialized retail stores that stock a wide range of OTC products. The presence of these retail channels ensures easy accessibility for consumers, fostering greater utilization of OTC medications. The high density of healthcare facilities, including hospitals and clinics, increases awareness and availability of OTC products, reinforcing their market dominance in the region. Economic factors also play a crucial role in the Central Region's dominance.
Riyadh's economic prosperity, driven by its status as the financial and business center of Saudi Arabia, supports higher disposable incomes among residents. This economic affluence translates into greater spending capacity for health and wellness products, including OTC medications. As a result, consumers in the Central Region are more likely to invest in OTC drugs for managing health and maintaining well-being.
The Central Region's strategic importance in the national healthcare infrastructure further supports its leading position in the OTC drugs market. Government initiatives and investments aimed at improving healthcare services are often concentrated in Riyadh and its vicinity, leading to enhanced healthcare access and the proliferation of OTC products. The region's focus on healthcare development aligns with the increased availability and consumption of OTC medications.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 80 |
| Forecast Period | 2023 - 2029 |
| Estimated Market Value (USD) in 2023 | $1.15 Billion |
| Forecasted Market Value (USD) by 2029 | $1.82 Billion |
| Compound Annual Growth Rate | 7.8% |
| Regions Covered | Saudi Arabia |
Report Scope:
Key Market Players
- Novartis Saudi Arabia
- Pfizer Saudi Limited Corporate
- Glenmark Saudi Arabia
- Sitco Pharma Co
- CAD Middle East Pharmaceutical Industries LLC
- Sudair Pharmaceutical Company
- Tabuk Pharmaceuticals Manufacturing Co.
- Jamjoom Pharmaceuticals Co
- GSK Saudi Arabia
- AstraZeneca Saudi Arabia
Saudi Arabia Over The Counter Drugs Market, By Product:
- Cough, Cold and Flu
- Vitamins, Mineral, and Supplements (VMS)
- Analgesics
- Gastrointestinal Products
- Dermatology Products
- Others
Saudi Arabia Over The Counter Drugs Market, By Route of Administration:
- Oral
- Topical
- Parenteral
Saudi Arabia Over The Counter Drugs Market, By Dosage Form:
- Tablets
- Capsules
- Liquids & Solution
- Creams/Lotions/Ointments
- Others
Saudi Arabia Over The Counter Drugs Market, By Distribution Channel:
- Retail Pharmacy
- Hospital Pharmacy
- E-Pharmacy
Saudi Arabia Over The Counter Drugs Market, By Region:
- Western Region
- Central Region
- Southern Region
- Eastern Region
- Northern Region
For more information about this report visit https://www.researchandmarkets.com/r/nhfot2
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