What does the European e-pharmacy market look like?

Top e-pharmacies in Europe

SBI Blog Wie sieht der europäische E Pharmacy Markt aus title

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The European e-pharmacy market could not be more different. While comprehensive digital processes have long been commonplace in the medical sector in countries like Estonia and Sweden, the introduction and implementation of such in other countries is still failing mightily. Estonia, in particular, is the biggest pioneer of digitalization. It has integrated digital health services such as the e-prescription, digital patient records and a national health portal into everyday life. However, attempts to apply this system in other EU countries, such as Germany, have failed for the most part so far. Nevertheless, much has happened in terms of digitization, especially since the pandemic has started. Online retailers in all sectors have experienced an upswing. e-pharmacies have also been able to significantly increase their popularity. In Germany, the e-prescription is going to be introduced nationwide, too. However, anumber of problems are still making a complete rollout much more difficult.

 We took a closer look at the situations in different countries. They still have incomplete digitization in the healthcare sector. We were able to find strong differences. The EU5 countries Germany, UK, Italy, France and Spain have a large share of the European pharmaceutical market. Additionally, there is a significant growth potential in their markets. The growth is mainly driven by e-pharmacies. Nevertheless, the differences regarding the siutations are significant. This can be seen especially in terms of sales volume, user traffic and regulations for ecommerce. We examined these differences in more detail in our European E-Pharmacy Study 22 and now present some key insights from it here.

What are the differences in the e-pharmacy markets of European countries?

We have already mentioned how advanced countries like Estonia and Finland are in comparison to the five countries we will analyze. However, there are also some fundamental differences among Germany, Italy, France and Spain. Online sales of prescription medicines (Rx), for example, have only been permitted in Germany and the UK so far. However, OTC products and other pharmacy items are permitted in all five countries. When it comes to the availability of e-prescriptions similarities emerge. In most countries, they are still restricted and often regionaly accessible. Despite of several attempts and rollouts, a nationwide rollout has not yet been achieved in Germany. The situation takes a turn in Estonia and Finland. A seamless digital strategy is already integrated. Finnish citizens can even cash in their digital prescriptions in Estonia. Other countries such as Sweden and Denmark are also well ahead of the EU5 countries. We examined them in more detail regarding the introduction and implementation of digital healthcare solutions. In the area of sales in online pharmacies, the market-leading countries are among the EU5 nations


In addition, there are also major differences in the annual sales. Germany is by far leading the market with estimated annual sales of €3 billion, followed by the UK with a value of €1.3 - 1.8 billion. France, Italy and Spain are far behind, each with no more than half of the UK's sales. In all markets, especially in those three countries, there is still great potential. It is guaranteed that this potential will be exploited by some players in the future.

Germany has the largest market volume in the online pharmacy sector

With expected sales of €3 billion in 2022 (Rx+nonRx), Germany has the highest annual sales of e-pharmacies in the EU5 countries.

Together with the UK, Germany is one of the two countries where prescription medicines (Rx) can be sold online. This works by sending the prescription to the store or using an e-prescription. The full introduction of e-prescriptions in the future could increase the German market volume even more in the coming years. Our e-prescription study 22/23 predicts that around 1-2 years after the introduction of e-prescriptions in Germany, positive effects can be expected in the eRx area. However, the date and extend of this rollout in Germany remains unclear. All market players are nervously looking forward to experiencing that change.

E-Rezept-Studie 22/23 show that in the one or two following years after its introduction in Germany, positive effects can be expected in the eRx
area. However, the date and extend of this rollout in Germany remains unclear. All market players are nervously looking forward to experiencing that change.

These are the largest European e-pharmacies

Taking the rankings of the top 5 e-pharmacies in one country into consideration, three major players in the e-pharmacy market stand out in particular. It is the same situation in several countries: Shop Apotheke, DocMorris and Atida.

In all countries except the United Kingdom, one or more of the aforementioned stores is present in the top 5, representing a total of 30% of the top 5 stores. In most cases, they have partnered with or acquired a large local e-pharmacy to gain market share. This is the case with Mifarma in Spain or DoctiPharma in France.

Number 1 e-pharmacies per country:

  • Germany: Shop Apotheke
  • UK: Boots
  • France: Atida Santé Discount
  • Italy: Farmaè
  • Spain: PromoFarma

More information on the top stores in each country can be found in our European E-Pharmacy Study 2022We define the top 5 e-pharmacies in each country and compare them regarding sales and traffic.

How much will the global e-pharmacy market grow?

It can already be said that the global e-pharmacy market will have a value of $24 billion this year. The focus on ecommerce, which grew during the pandemic, is reflected in this figure. Digitalization of healthcare, including e-pharmacies, is expected to function as a driving force for the market growth. This plan is supported by government initiatives to provide digital facilities. The global e-pharmacy market is said to grow at a CAGR of 10.6% over the next few years. The market is then expected to be worth $43.7 billion and 55% higher than in 2020.

The global e-pharmacy market will grow at a growth rate (CAGR) of 10,6 %

Will Amazon Pharmacy be launched in Europe?

So far, Amazon does not yet operate its own online pharmacy in Europe. Its long-awaited entry is still uncertain. Nevertheless, Amazon's PAN-EU program is an indispensable channel for many successful pharmaceutical companies.

Following the US and India, the UK appears to be a possible landing spot for Amazon's European pharmacy expansion. Germany would also function as a good fit as soon as reduced regulations and progress in the e-prescription market have happened. The UK offers low regulatory hurdles. Moreover, it is also known for their structures of the transcontinental market entry. On the other hand, Germany offers an enticing combination of low eRx penetration and large market size. An entry has not been announced in either country, yet it is anticipated.

Having a look at the current situation shows that dietary supplements and non-pharmacy pharmaceutical products are sold on Amazon in Germany. Amazon's PAN-EU program is particularly suitable for international sales. With the help of the PAN-EU program, retailers have the opportunity to sell their goods in the whole region of Europe. Amazon stores the products in six other EU-countries and sells them. Hence, more customers can be won.

Additionally, our analyses show that the EU5 countries we examined - Germany, UK , France, Italy and Spain - are also the five countries with the highest number of visitors to Amazon. Germany, the UK and Italy alone already account for 68% of all website traffic in Europe.

You can find more information about Amazon Pharmacy and Amazon's PAN-EU concept can be found in our further blog post.

European E-Pharmacy Study 2022

In our E-Pharmacy Study 2022, we take a deeper look at the market differences between the EU5 countries. We also analyze the top e-pharmacies in each country. The likelihood of Amazon Pharmacy entering the market in one of the EU5 countries will also be considered. This will happen most likely in the UK and Germany. However, there are differences in these two markets, which will be crucial for Amazon.

The study is available for download here.

More insights into the study:

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