The Argentina over the counter (OTC) drugs market is
anticipated to witness impressive growth during the forecast period. This can be ascribed to the growing demand for common ailments
because it gives some health benefits such as cold, flu, and allergies,
headache, minor discomfort, and other benefits, as well as the growing need for
personalized pharmaceuticals as part of a regular health routine. The growing demand for lifestyle-related
conditions additives, as well as the increasing demand for common ailments, and
the convenience and accessibility of OTC drugs, which can be obtained without a
prescription at pharmacies and supermarkets, are expected to contribute to the
lucrative growth of the Argentina OTC drugs market over the next few years.. According to Statistics Argentina,
as of 2022, revenue generated by the Argentina over the counter (OTC) drugs market
was USD121.4 through skin treatment and USD90.05 through digestive and
intestinal remedies, which caters to the highest count in Argentina.
OTC drugs are also used to manage chronic
conditions such as arthritis, diabetes, and high blood pressure. As the
population in Argentina ages, the demand for OTC drugs to manage these
conditions is expected to grow. OTC drugs are also used to manage lifestyle-related
conditions such as insomnia, anxiety, and obesity.
Increasing E-Pharmacy and New Digital Shopper
Drives the Market Growth
he growing demand for E-pharmacies and the
increasing number of digital shoppers are important drivers of the Argentina over
the counter (OTC) drugs market. E-pharmacies give customers a viable option to
buy over-the-counter medications online. According to data from the
Argentine Chamber of Electronic Commerce (CACE), online sales in Argentina
increased by 124% in 2020, compared to the previous year, reaching
approximately USD6.6 billion in sales. The growing market for E-commerce is
also driving the market for Argentina over the counter (OTC) drugs market.
E-pharmacies provide increased accessibility to OTC drugs, particularly for
those who live in remote or underserved areas of Argentina. The World Bank
collection of development indicators reports that around 7.771% population of
Argentina lives in rural areas. This is especially important for elderly or
disabled individuals who may have difficulty physically accessing traditional
brick-and-mortar pharmacies. E-pharmacies often offer competitive prices, which
can help consumers save money on OTC drugs. This is particularly important for
individuals who are uninsured or underinsured. Also, they can use data and
technology to personalize the shopping experience for individual consumers.
This can help consumers find the right OTC drugs to meet their specific needs. Such
factors may drive the growth of the Argentina over the counter (OTC) drugs market
during the forecast period.
Inclination Of Companies Toward Over the Counter
(OTC) Drugs
OTC drugs are generally more profitable than prescription
drugs, as they have lower development costs and can be sold at higher profit
margins. This profitability has incentivized many pharmaceutical companies to
focus more on developing and marketing OTC drugs. Developing an OTC drug
typically requires lower development costs compared to prescription drugs, as
OTC drugs often have simpler formulations and do not require extensive clinical
trials. The manufacturing cost of OTC drugs in Argentina can vary widely
depending on the complexity of the product and the size of the production run.
Some estimates suggest that the total manufacturing cost of an OTC drug can
range from $2 million to $20 million. OTC drugs often have higher profit
margins compared to prescription drugs, as they can be sold at a higher markup
due to their accessibility and convenience. As Compared to the sales
of prescription pharmaceuticals, the average gross profit margin on
nonprescription drugs is from 32% to 36%.
Consumer demand for OTC drugs has been increasing across
the world, driven by a desire for convenience, accessibility, and
affordability. This has led pharmaceutical companies to shift their focus
toward developing OTC drugs to meet this demand. Nearly 9 out of every 10
Latin Americans use OTC medications regularly—that is more than 260 million population
prefer OTC medication. Such factors will drive the growth of the Argentina
over the counter (OTC) drugs market during the forecast period.
Advertisements And Promotions Promise Market Growth
Advertising and promotions play a significant role
in driving the growth of the Argentina over the counter (OTC) drugs market.
This can help increase brand awareness and recognition among customers, making
the product more memorable and increasing the likelihood of customers
purchasing the product. In 2019, the top 10 OTC drug companies in Argentina
spent a total of $68 million on advertisements and promotions, up from $52
million in 2014.
Advertising and promotions can highlight the unique
features and benefits of a particular OTC drug product, making it stand out
from other similar products in the market. According to a survey conducted
by Kantar IBOPE Media, TV is the most effective advertising medium for
promoting OTC drugs in Argentina, with 79% of consumers stating that TV ads
influence their purchasing decisions. Effective advertising and promotions
can help build trust and credibility in the brand, which can lead to increased
customer loyalty and repeat purchases. By effectively promoting their products,
OTC drug companies can gain a competitive advantage in the market, leading to
increased sales and market share as this may help increase brand awareness and
drive the growth of the Argentina over the counter (OTC) drugs market.
Growth of Private Label Retail Brands
The growth of private label retail brands is
driving the Argentina over the counter (OTC) drugs market. Private label retail
brands typically offer OTC drugs at lower prices than branded products, making
them more affordable for customers. This can lead to increased sales volume and
market share for private label brands. Retail brands allow retailers to have
greater control over their product offerings and pricing strategies, which can
help them to better meet the needs of their customers and increase sales.
Retail brands are becoming increasingly popular among customers in Argentina,
with many customers viewing them as a viable alternative to branded products. Argentina
is using promotional activities such as price discounts, bundling offers, and
loyalty programs to drive sales. In 2019, promotions accounted for 10% of the
total sales for OTC drugs in Argentina. This trend is driving the growth of
the Argentina over the counter (OTC) drugs market.
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Recent Developments
In 2019, Laboratorios Bagó
acquired the Argentine OTC drug company, Ibupirac. This acquisition allowed
Laboratorios Bagó to expand its product portfolio in the analgesics and
anti-inflammatory categories.
In 2020, Laboratorio Elea
Phoenix acquired the Argentine OTC drug company, Prodinvest. This acquisition
allowed Laboratorio Elea Phoenix to expand its product portfolio in the
dermatology and OTC categories.
In 2021, the Argentine
pharmaceutical company, Richmond, announced that it had signed an agreement
with the Russian Direct Investment Fund (RDIF) to produce the Sputnik V vaccine
in Argentina. This development will not only boost the company's production
capabilities but also position it as a major player in the global vaccine
market.
Market Segmentation
The Argentina over the counter (OTC) drugs market can
be segmented by product type, route of administration, dosage form,
distribution channel, and region. Based on product type, the market can be segmented
into cough, cold, and flu; vitamins, mineral, and
supplements (VMS); analgesics; gastrointestinal products; dermatology products;
and others. Based on route of administration, the market can be segmented
into oral, topical, and parenteral. Based on dosage form, the market can be segmented
into tablets, capsules, liquids & solution, creams/lotions/ointments, and others.
Based on distribution channel, the market can be grouped into retail pharmacy,
hospital pharmacy, and e-pharmacy.
Market Players
Bayer Argentina S.A., Bristol-Myers Squibb
Argentina S.R.L., GlaxoSmithKline Argentina S.A., Laboratorios Bagó S.A.,
Laboratorios Elea S.A.C.I.F., Laboratorios Roemmers S.A.I.C.F., Laboratorios
Sidus S.A., Merck Sharp & Dohme Argentina S.A., Novartis Argentina S.A., and
Pfizer Argentina S.R.L./Argentina are some of the leading players operating in
the Argentina over the counter (OTC) drugs market.
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Attribute
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Details
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Base Year
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2022
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Historic Data
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2018 – 2021
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Estimated Year
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2023
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Forecast Period
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2024 – 2028
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Quantitative Units
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Revenue in USD Million, and CAGR for 2018-2022 and 2023-2028
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Report Coverage
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Revenue forecast, company
share, competitive landscape, growth factors, and trends
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Segments Covered
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Product Type
Route of Administration
Dosage Form
Distribution Channel
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Regional scope
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Pampas, Litoral, Northwest,
Sierras, and Cuyo
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Key companies profiled
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Bayer Argentina S.A., Bristol-Myers Squibb Argentina S.R.L.,
GlaxoSmithKline Argentina S.A., Laboratorios Bagó S.A., Laboratorios Elea
S.A.C.I.F., Laboratorios Roemmers S.A.I.C.F., Laboratorios Sidus S.A., Merck
Sharp & Dohme Argentina S.A., Novartis Argentina S.A., Pfizer Argentina
S.R.L./Argentina.
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Customization scope
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10% free report customization
with purchase. Addition or alteration to country, regional & segment
scope.
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Pricing and purchase options
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Avail customized purchase options to meet your exact research
needs. Explore
purchase options
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Delivery Format
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PDF and Excel through Email (We
can also provide the editable version of the report in PPT/Word format on
special request)
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Report Scope:
In this report, the Argentina Over the Counter
(OTC) Drugs market has been segmented into the following categories, in
addition to the industry trends which have also been detailed below:
- Argentina Over the Counter
(OTC) Drugs Market, By Product Type:
o Cough, Cold, and Flu
o Vitamins, Mineral, and Supplement
o Analgesics
o Gastrointestinal Products
o Dermatology Products
o Others
- Argentina Overt the Counter
(OTC) Drugs Market, By Route of Administration:
o Oral
o Topical
o Parenteral
- Argentina Over the Counter
(OTC) Drugs Market, By
Dosage Form:
o Tablets
o Capsules
o Liquid & Solutions, Creams/Lotions/Ointments
o Others
- Argentina Over the Counter
(OTC) Drugs Market, By Distribution
Channel:
o Retail Pharmacy
o Hospital Pharmacy
o E-Pharmacy
- Argentina Over the Counter
(OTC) Drugs Market, By Region:
o
Pampas
o
Litoral
o
Northwest
o
Sierras
o
Cuyo
Competitive Landscape
Company Profiles: Detailed analysis of the major companies
present in the Argentina over the counter (OTC) drugs market.
Available Customizations:
With the given market data, TechSci Research offers
customizations according to a company’s specific needs. The following
customization options are available for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
Argentina over the counter (OTC) drugs market is an
upcoming report to be released soon. If you wish an early delivery of this
report or want to confirm the date of release, please contact us at [email protected]