echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Active Ingredient News > Drugs Articles > Hundreds of billions of drug retail terminal market, or ushered in 4 major developments

    Hundreds of billions of drug retail terminal market, or ushered in 4 major developments

    • Last Update: 2020-11-20
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com
    In recent years, China's medical and health industry is showing many new changes.
    of social and healthy development, such as the increase of residents' income, the change of disease spectrum, the increasing aging and the policy of second birth, are all contributing to the great increase and change of medical demand.
    demand side changes, the retail pharmacy industry, which occupies an important position in the field of health care, is beginning to have a series of effects.
    From the inside of the industry, the concentration and chain rate of the pharmaceutical retail industry is increasing rapidly, the increase in the number of pharmacies leads to a decrease in the average single-store service population, and the intervention of external Internet giants and capital forces has brought a series of uncertainties to the development of the industry.
    , how to accurately grasp the industry development trend, the first industry changes and changes in the current node is particularly important.
    , the author in the analysis of the views of the industry and then combined with the status quo of the industry, and share with you the development of the retail terminal industry, or will usher in 4 major trends.
    the scale of the retail terminal drug market has steadily increased According to the current characteristics of the pharmaceutical market, drug terminals can be subdivided into three major terminals: public hospitals, retail pharmacies, public primary health care.
    , the pharmaceutical retail industry is an important part of the pharmaceutical circulation industry, and retail pharmacies are also pharmaceutical manufacturers to sell products to consumers one of the important end channels.
    In recent years, with the introduction of various national medical reform and health industry policies, the "drug separation" reform trend is becoming more and more obvious, coupled with the promotion of prescription outflow policy, China's retail terminal drug market size and share has steadily increased.
    2019, china's drug retail market sales amounted to 466.1 billion yuan, up 9.85 percent year-on-year and up 0.97 percent.
    industry expects the retail terminal drug market to rise steadily in the future.
    But it is worth noting that from the growth rate point of view, subject to centralized national procurement, the strengthening of national health insurance control, the promotion of the medical association and the implementation of the focus on monitoring the drug catalog, the annual drug sales growth rate may appear to gradually slow down.
    The chain rate of pharmacies will further enhance the increase of industry concentration in the field of retail pharmacies and the improvement of chain rate, which is conducive to improving market concentration and corporate market credibility, and is conducive to reducing government supervision costs and business operating costs.
    fact, the share of drugstore chains in the retail industry has been increasing in recent years, rising significantly from 39.4% to 52.1% in 2014-2018.
    According to the National Drug Circulation Industry Development Plan (2016-2020), the annual sales of the top 100 pharmaceutical retail enterprises will account for more than 40% of the total drug retail market by 2020, and the drug retail chain rate will reach more than 50%.
    means that as the level of industry development and government support policies continue to be introduced, the channel control of drugstore chains will be further enhanced, the number of chain stores will increase accordingly, and the rate of retail pharmacy chaining will be further increased.
    industry concentration continues to improve, the head advantage is obvious pharmaceutical retail industry competition pattern has changed significantly in recent years, industry concentration significantly increased, chain rate also continued to maintain growth.
    statistics, since 2014, the chain rate of the pharmacy industry showed an accelerated upward trend, and in 2017 the first time exceeded 50%, initially reached the "drug circulation development plan" in the booking development goals.
    the end of 2018, there were 489,000 pharmacies in China, of which 255,000 were chain pharmacies, with a chain rate of 50.4%.
    the future, with the implementation of pharmacy grading and other normative policies, the number of single pharmacies is expected to further decline, the pharmacy chain rate will be further increased.
    But it should be noted that we should also see that compared with the United States, Japan and other countries, China's retail pharmacy field of concentration has a greater room for improvement, in this context, the development prospects of leading enterprises will be very broad.
    The trend of diversification and differentiation of retail pharmacy competition with the continuous development and maturity of China's retail pharmacy industry, the competition between enterprises from price competition gradually changed to diversified, differentiated competition, mainly reflected in the continuous upgrading of the commodity system and diversified industry innovation.
    in the operation of retail pharmacies need to constantly take the initiative to upgrade the commodity system, to provide consumers with more cost-effective, accurate positioning of goods to meet their consumer demand.
    in the retail industry, pharmacies are relatively specialized.
    As a large chain of pharmacies, regardless of size, capital, stores are advantageous, then, in the face of the market such as thin ice competition, the future must be in the diversification, differentiation, that is, cross-border marketing efforts, in the unit time to effectively use the space of the store, improve the unit price, thereby increasing efficiency, enhance competitiveness, attract more consumers.
    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.