The report titled “Germany Retail Pharmacy Market Outlook to 2023 - By Type of Pharmaceuticals (Prescription Only, Pharmacy-Only, Supplementary Products and Unrestricted OTC pharmaceuticals); By Number of Main and Franchise Pharmacies; and By Federal States; By Online Sales” provides a comprehensive analysis on the retail pharmacy industry within Germany.

The report covers various aspects including introduction, value chain, market size by revenue and volume, overall retail pharmacy market segmentation by type of pharmaceuticals, by total number of main/individual and branch pharmacies and by federal states; snapshot on SHI (Statutory Health Insurance), comparative landscape, growth drivers, trends and developments, issues and challenges in the retail pharmacy and the regulatory framework of the industry.

The report concludes with market projections and analyst recommendations highlighting the major opportunities and cautions for the Germany retail pharmacy market.

Germany Retail Pharmacy Market Overview and Size

Germany retail pharmacy market was observed to attain a mature stage. Germany serves as the pharmaceutical hub in terms of location for the development, production and sale of pharmaceutical products within Europe region. Increasing presence of both international as well as domestic players coupled with domination by prescription-based pharmaceuticals type has created a positive impact on the market.

The pharmacy retail market has increased on the account of increasing healthcare facilities, increase in R&D and investment in the field of pharmaceutical and heavy influx of participation by foreign players across the country.

Germany Retail Pharmacy Market Segmentation

By Type of Pharmaceuticals (Prescription Only Pharmaceuticals, Pharmacy-Only Pharmaceuticals, Supplementary Products & Unrestricted OTC pharmaceuticals): Prescription–only pharmaceuticals segment was observed to dominate the industry revenue in 2018.

People in Germany majorly rely on prescribed medicines and prefer to go to community pharmacies, as these are readily accessible at all places and include well established pharmaceutical brands that they trust. On the other hand, in terms of sales volume, non-prescription pharmaceuticals were witnessed to dominate the market.

By Number of Main and Franchise Pharmacies: The main or individual pharmacies were widespread across the country in terms of total number of pharmacies. In addition to that, it was observed that pharmacies without branches led the main segment and was followed by pharmacies with only 1/2/3 branches.

By Federal States: The federal state which had the highest number of pharmacies was North Rhine–Westphalia in Germany in 2017. The remaining other states such as Bavaria, Baden-Wuerttemberg, Lower Saxony, Hesse, Rhineland-Palatinate, Saxony, Berlin, Schleswig-Holstein and rest followed in 2017.

Comparative Landscape of Major Players Operating in Germany Retail Pharmacy Market

Competition stage within the offline space of Germany retail pharmacy market was observed to be moderately concentrated along with the presence of major players such as Doc Morris, RossMann, Mueller and Budnikowsky in terms of revenue in 2017. Companies were observed to compete on the basis of location, number of stores, promotional offers, value added services and distributional channel.

Snapshot on Germany Mail Order Pharmacy Market

The penetration of mail-order space within the country’s retail pharmacy market was observed to grow over the years. It is majorly driven by the sale of OTC and BCP i.e. beauty-cosmetics products, including dietary aids, vitamins and minerals supplements, toiletries, skin creams, hair appliances and others.

In addition to that, doorstep delivery of products facilitates the expansion of online pharmaceutical trade in Germany, along with heavy offers and discounts provided by the companies to their end users. Competition stage within the country’s mail order market was observed to be highly concentrated with the presence of top five players namely Doc Morris, Shop-Apotheke, medpex.de, Apotal and MyCare.

Snapshot on SHI (Statutory Health Insurance) in Germany

SHI expenditure in Germany is funded by statutory health funds, which are public-law corporations, and are financially and organizationally independent. They carry out the insurance related tasks and procedures assigned to them by the state on their own responsibility.

In accordance with the ABDA i.e. the Federal Union of German Associations of Pharmacists, there were approximately 112 health insurance funds and companies involved at the end of 2017. SHI in Germany is majorly spent on hospitals and miscellaneous costs (towards sick people and vaccination fees including doctors’ fees, home nursing and travel expenses) in 2017.

Germany Retail Pharmacy Market Future Outlook and Projections

Germany retail pharmacy market in terms of revenue is further expected to increase over the forecasted period 2018-2023E. The market will be majorly driven by improved healthcare infrastructure including the increase in number of community pharmacies and branch pharmacies.

Additionally, it will be supported by the improved healthcare services including the provision of consultation to the patients in the pharmacies via various means of communication. In Germany, it is also anticipated that the prevalence of diseases will rise in the near future, primarily due to bad eating habits of people, sedentary lifestyle and heavy consumption of chemically compounded goods that have their side effects.

Favorable government regulations will also facilitate the entry of foreign companies in the country’s retail pharmacy sector. Expansion of foreign pharmacy retail chains and production of advanced medicines will directly support the growth of revenue in Germany retail pharmacy market.

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