OTC Cough, Cold and Allergy Medicine Market

OTC Cough, Cold and Allergy Medicine Market Outlook

The global OTC cough, cold and allergy medicine market reached a valuation of US$ 36.92 Billion in 2021Y, and is likely to register a Y-o-Y growth rate of 5.0% in 2022, closing at US$ 38.96 Billion. Furthermore, across the 2022-2032 period of assessment, growth is expected to accelerate at a whopping 5.5% CAGR, reaching US$ 66.54 Billion.

Over-the-counter drugs are medicines sold directly to a consumer without a requirement for a prescription from a healthcare professional, as opposed to prescription drugs, which may be supplied only to consumers possessing a valid prescription.

Attributes	Details
Anticipated Base Year Value (2021)	US$ 36.92 Billion
Expected Market Value (2022)	US$ 38.96 Billion
Projected Forecast Value (2032)	US$ 66.54 Billion
Global Growth Rate (2022-2032)	5.5% CAGR
Expected Growth Rate of the US Market (2022-2032)	5.4% CAGR
Anticipated Growth Rate of Indian Market (2022-2032)	5.3% CAGR
Prominent Players in The Global Market	Sanofi-Aventis Johnson & Johnson Service Inc. Reckitt Benckiser Group Plc. Novartis AG GlaxoSmithKline Plc. AstraZeneca Plc. Pfizer Inc. Sun Pharmaceutical Industries Ltd. Prestige Brands Holdings Inc. Procter & Gamble Co. Bristol-Myers Squib Co. Merck & Co. Allergen

One of the critical factors that are expected to drive the market growth during the forecast period is the accessibility, affordability, and the presence of a large number of retail stores offering OTC Cough, Cold and Allergy products.

In developed and emerging countries, the increasing investment by the private sector to improve the supply chain through retail stores and other distribution outlets is leading to market growth. According to the Consumer Healthcare Products Association, there are approximately 54,000 pharmacies in the U.S. and more than 750,000 retail outlets selling over-the-counter products.

Additionally, the increasing approvals from regulatory bodies for switching prescription drugs to OTC drugs are fueling the market growth. As the majority of prescription allergy medicines have changed to OTC, there has been a clear shift toward these more convenient and affordable options.

For instance, according to the Consumer Healthcare Products Association (CHPA), numerous prescription allergy medicines have changed to OTC, and there has been a shift toward these drugs owing to their lower costs.

2017-2021 Revenue Analysis of OTC Cough, Cold and Allergy Medicine Market vs. Growth Outlook 2022-2032

According to market research and competitive intelligence provider Fact.MR, the OTC Cough, Cold and Allergy Medicine market experienced noteworthy growth, growing at a value CAGR of 2.7% from 2017 to 2021.

Rather than going to a doctor, a large number of people around the world buy OTC (over-the-counter) medicines to treat minor cough, cold or allergy problems. This has been a major factor in the rising sales of OTC bronchodilators and OTC antibiotics.

Moreover, a modern consumer's busy lifestyle makes such medicines even more important, as consulting a doctor for every single health issue can take a long time. Growing percentage of immunocompromised people, rising demand for antihistamine drugs and OTC expectorants, and an increasing worldwide aging population are expected to drive demand for OTC medicines.

The number of pharmacies and over-the-counter (OTC) products available at stores is growing. Cough, cold and allergy medicines are becoming more widely available as a result of these rising numbers.

Latest trends of OTC cough, cold & allergy medicines, increasing demand for OTC cough medicines, allergy medicines, and rising sales of OTC cold medicines are the major factors that are anticipated to boost the growth of the OTC cough, cold & allergy medicine market during the forecast period.

Key Market Drivers Influencing OTC Cough, Cold and Allergy Medicine Industry Expansion

Increasing Shift from Rx to OTC to Bolster Market Growth Prospects

One of the prominent trends in the market is the shift of manufacturers from prescription drugs to OTC. Many manufacturing companies are switching their products from Rx to OTC. For instance, Bayer AG states in their 2019 annual report that as a part of its strategy, the company will change some of its prescriptive products suitable for self-care to OTC. This is anticipated to lead to the higher availability of OTC drugs for various disease conditions in emerging and developed countries.

The other trends in the market include the increasing number of private-label OTC products. The share of private label OTC product sales in the U.S. increased from 26.0% in 2009 to 31.0% in 2018. Also, the rise in online sales in the OTC products and tie-ups between private label OTC manufacturers & e-commerce companies are developing new trends into the market. For instance, in February 2018, Amazon.com, Inc. announced the launch of OTC healthcare products of Perrigo, a private label manufacturer. These upcoming new trends will diversify the market growth during the forecast period.

Wider Availability of OTC Cough, Cold and Allergy Medicines to Propel Market Growth

The global OTC cough, cold and allergy medicines market is being driven by the availability of a large number of OTC products for cough, cold and allergy treatment. Customers can choose from a wide range of products offered by the market's major players. Anti-congestants and cough suppressant tablets, balms, rubs, syrups, and nasal drops are among the products available. Consumers have a greater number of options to choose from because of the companies' wider variety of products.

As a result, consumers are more likely to purchase products that meet their needs, resulting in increased sales of OTC cough, cold & allergy medicines. Furthermore, OTC products are readily available and simple to use. This contributes to the market's expansion.

Other factors, such as the rising trend of self-medication and increased awareness among consumers are expected to boost the demand for cough, cold and allergy medicines globally. In addition, latest innovations in OTC antibiotics and rising opportunities for top manufacturers of OTC cough, cold & allergy medicines for babies, are other factors are fueling the market growth.

Key Challenges encountered by OTC Cough, Cold and Allergy Medicine Providers

Wrong Medications Due to Incorrect Self-Diagnosis to Impede the Market Prospects

Some factors that are expected to restrain the global over the counter drugs market growth in the forecast period include the incorrect self-diagnosis leading to the consumption of wrong medicines. Many OTC cough and cold products have led to medication errors and caused adverse effects on the patient’s body.

For instance, a study was published in Academic Pediatrics on the adverse effects caused by OTC cough and cold medicines (CCMs) on the U.S. pediatric population. The study reported that from 2009 to 2016, there were nearly 5,000 cases of adverse effects related to an OTC CCM ingredient. Out of these cases, more than 10.0% were caused due to medication errors.

Additionally, drug abuse and drug addiction practices also pull down the market growth. Cough medicines, diarrhea, and pain relief medicines are some of the common OTC medicines which are used for drug-abusing. According to the Addiction Center and a study published by the Substance Abuse and Mental Health Services Administration (SAMHSA), in the U.S., around 3.1 million young people between the age group of 12 to 25 have misused OTC medications (cold and cough medication) to get high. Furthermore, the use of traditional medicines also acts as a substitute or alternative for over-the-counter drugs market.

Side Effects & Allergies Linked to Usage of OTC Medicines to Limit the Market Growth

Side effects and allergies linked to the use of over-the-counter medicines are likely to hamper future sales. Drug approvals are subject to stringent regulatory requirements, limiting market availability.

In addition, costs associated with the product's manufacturing process are expected to restrain growth of the OTC cough, cold and allergy medicine market over the coming years.

Comparative View of Adjacent OTC Cough, Cold and Allergy Medicine Markets

OTC Cough, Cold and Allergy Medicine Market :

Attributes	OTC Cough, Cold and Allergy Medicine Market
CAGR (2022-2032)	5.5%
Market Value (2032)	US$ 66.54 Billion
Growth Factor	Rising patent expirations of many drugs resulting in use as OTC drugs and affordable cost of these drugs are the factors that will expand the over the counter (OTC) cough, cold and allergy medicines market.
Opportunity	Rising adoption of OTC Cough, Cold and Allergy drugs by many pharmaceutical companies and utilization by general people as compared to the prescription drugs will provide beneficial opportunities to market during the forecast period.

Bronchodilators Market :

Attributes	Bronchodilators Market
CAGR (2022-2032)	5.2%
Market Value (2032)	US$ 56.08 Billion
Growth Factor	Surge in prevalence of respiratory disorders such as asthma, chronic obstructive pulmonary disease (COPD), across the globe is the major factor driving the bronchodilators market growth.
Opportunity	Rise in disposable income, geriatric population, and increase in awareness of healthcare among population are anticipated to boost the market growth.

Antihistamines Market :

Attributes	Antihistamines Market
CAGR (2022-2032)	9.25%
Market Value (2032)	US$ 620.79 Million
Growth Factor	Changing lifestyle and rise in environmental pollution are projected to increase the number of patients affected with seasonal allergies. This is one of the major factors that is expected to fuel the growth of the market over the analysis period.
Opportunity	High prevalence of allergies and increase in incidences among children are projected to augment the intake of antihistamines during the forecast period.

Region-wise Analysis

How will the Growth of OTC Cough, Cold and Allergy Medicine Market Escalate across the US?

Increased Product Awareness to Broaden Market Growth Prospects in the Country

As per Fact.MR, the U.S OTC cough, cold and allergy medicine market is slated to flourish at a CAGR of 5.4% until 2032. The US dominates the global OTC cough, cold and allergy medicine market in terms of revenue. The U.S. market is expected to increase 1.7x by 2032.

Increased knowledge of OTC cough, cold and allergy medicines, their health benefits, and higher willingness to spend money on medication are major drivers anticipated to fuel the demand for OTC cough, cold & allergy medicines in the US. Factors such as improving economic conditions and increased product awareness have a significant impact on OTC cough, cold and allergy medicine sales in the country.

How will India Perform in the Global OTC Cough, Cold and Allergy Medicine Industry Landscape?

Advent of New Product Developments & Acquisitions in India to Boost the Market Growth

According to Fact.MR’s projections, deployment of OTC Cough, Cold and Allergy Medicine across India is forecast to expand at an impressive 5.3% value CAGR from 2022 to 2032. The Indian over-the-counter (OTC) cough, cold and allergy medicines market is moderately competitive in nature. The industry players are focusing on new product developments and acquisition strategies to gain market shares. The developing countries have also opened new growth avenues for pharmaceutical companies.

Thus, the market has different challenges and requires innovative products facilitating new innovative OTC cold and cough drugs. Additionally, the key players have been involved in various strategic alliances, such as acquisitions and collaborations, with the launch of advanced products to secure their position in the market. The major players in the market are Emami Limited, Dabur India Limited, Proctor & Gamble, Abbott Laboratories, and GlaxoSmithKline PLC.

Why is China Offer Increasing Opportunities for Manufacturers of OTC Cough, Cold and Allergy Medicines?

Preference for Pharmaceutical Companies towards OTC Drugs in China to Boost the Market Growth

As per Fact.MR, the OTC cough, cold and allergy medicine market in China is slated to flourish at a CAGR of 5.3% until 2032. Product innovations, high penetration, and the preference of pharmaceutical companies toward OTC drugs over prescription drugs are driving the OTC cough, cold and allergy medicine market growth in China.

Rapid urbanization as well as a rise in disposable income in China, may create a critical mass of people who can access OTC medications. In addition, growth of the OTC cough, cold & allergy medicine market size in China is being bolstered by new channels of accessibility in pharmacies & drug stores and prominent presence of top retailers of OTC antihistamine drugs.

Country-wise Forecast CAGRs for the OTC Cough, Cold and Allergy Medicine Market

Country	CAGR
U.S	5.4%
U.K	5.1%
India	5.3%
China	5.3%
Germany	5.0%

Category-wise Insights

Will Bronchodilators Segment remain Dominant in the Drug Type Category?

High Demand for Bronchodilators to Enhance Growth Prospects

By drug type, demand for bronchodilators segment is likely to accelerate the fastest, documenting a value CAGR worth 5.4% from 2022 to 2032, according to Fact.MR. Demand for bronchodilators is expected to increase 1.9x over the forecast period, while demand for other segments is expected to grow slowly. The dominance can be attributed to a higher prevalence of asthma among the global population.

According to the World Health Organization (WHO), In 2019, Asthma affected approximately 262 Mn people worldwide and is responsible for approximately 461,000 deaths. Bronchodilators are medications that open the airways to treat asthma as well as assist in the removal of mucus from the lungs. They are also used to expand the wind pipe, which helps patients with lung infections, bronchial asthma, and chronic obstructive pulmonary disease (COPD) breathe better.

Which is the Most Sought-after OTC Channel Category?

Pharmacies Segment to Dominate the OTC Cough, Cold and Allergy Medicine Market

According to projections published by Fact.MR, by OTC channel, the pharmacies segment is forecast to register a whopping 5.4% value CAGR across the 2022-2032. According to OTC channel analysis of cough, cold and allergy medicines, pharmacies will continue to be the most popular OTC channel for sales of cough, cold and allergy medicines over the next ten years. Pharmaceutical companies are seizing every opportunity to introduce new over-the-counter (OTC) drugs for immediate use.

Use of cough, cold and allergy medicines boosts immunity and aids in fitness maintenance. Immunity and fitness help to prevent a variety of diseases and disorders. Substitutes of OTC cough, cold and allergy medicines are easily available in pharmacies. So, people can easily purchase medicines from a local pharmacy. As a result, more OTC cough, cold and allergy medicines are consumed.

The Start-Up Ecosystem: How key Players are opening Frontiers for Future Growth?

OTC Cough, Cold and Allergy Medicine Market players such as AcareOTC, Myancare, Flexible Pass, Mote Poh, myDoctor, POTENT, WISH, 1-Pharmacy, HealthKart, NetMeds, Capsule, Alto, Pharmacy2U, PromoFarma, and Oziva, among others, are adopting various marketing strategies such as new product launches, geographical expansion, merger and acquisitions, partnerships and collaboration to identify the interest of potential buyers and create a larger customer base. For instance,

• Founded in 2017, Myancare is a provider of OTC as well as Rx drugs. The company is an online teleconsultation platform for multiple diseases. It provides an online platform that allows users to search for doctors and can book an appointment with them. Users can do voice consultation, video consultation, text consultation, and others.
• Founded in 2015, NetMeds is a provider of an online store for medicines and healthcare products. It provides an online platform that offers prescription, over-the-counter drugs, and healthcare and wellness products. Users can directly search for medicine or upload their prescriptions. It allows users to book for diagnostic tests and buy various healthcare products such as skincare, family care, baby care, devices, surgical, and many more.
• Established in 2016, Capsule is a provider of an online pharmacy for delivering OTC and Rx medicines. The platform also coordinates customers with old pharmacy or doctor to get prescriptions and offers hand-delivered same-day medications. The medication is delivered to patient’s home, office, or anywhere.

OTC Cough, Cold and Allergy Medicine Market- Competitive Landscape

Prominent players in the OTC Cough, Cold and Allergy Medicine Industry are taking advantage of the rapidly increasing demand for the OTC Cough, Cold and Allergy Medicine in various applications. To further their outreach, players are relying on collaborations, partnerships and acquisitions with existing small, medium and large-scale vendors. Some prominent market developments are as follows:

• In July 2022, AFT Pharmaceuticals and RooLife Group revealed that they have launched a range of AFT’s over-the-counter (OTC) pharmaceuticals through their store on the China Cross Border E-Commerce (CBEC) online platform Tmall Global.
• In June 2022, Glenmark Pharmaceuticals Ltd has acquired the approved generic versions of certain over-the-counter drugs from Wockhardt Ltd in the United States. The acquisition by the company’s fully-owned subsidiary Glenmark Pharmaceuticals Inc, includes the approved abbreviated new drug applications (ANDAs) for famotidine tablets, 10 mg and 20 mg used to treat and prevent ulcers in the stomach and intestine,
• In June 2021, the FDA approved Astepro Allergy as an over the counter (OTC) drug for the brief alleviation of runny nose, nasal congestion, itchy nose, and other respiratory disorders, according to Bayer.

Key Segments Covered in the OTC Cough, Cold and Allergy Medicine Industry Survey

• By Drug Type :

  • OTC Antihistamine
  • OTC Expectorants
  • OTC Bronchodilators
  • OTC Antibiotics

•  By OTC Channel :

  • Pharmacies
  • Drug Store 
  • Modern Trade 
  • Online 

• By Dosage :

  • Capsules
  • Liquid
  • Tablets
  • Lozenges
  • Others
    • OTC Liquid Cough, Cold & Allergy Solutions
    • OTC Liquid Cough, Cold & Allergy Drops
    • OTC Liquid Cough, Cold & Allergy Granules
    • OTC Liquid Cough, Cold & Allergy Syrup
    • OTC Liquid Cough, Cold & Allergy Pills

• By Application :

  • Babies
  • Adults
  • School-age Children

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia
  • Oceania
  • Middle East Africa