OTC Herbal and Traditional Medicines Market By Function (OTC Herbal and Traditional Medicines for Immune Health, Digestive Health, Heart Health, Nutrition, Bone & Joint Health & Weight Loss), By OTC Channel, By Dosage - Global Market Insights 2021 to 2031

OTC Herbal and Traditional Medicines Market Outlook

Skilled analysts at Fact.MR, a market research and competitive intelligence provider, have recently released a revised analysis on the global OTC herbal and traditional medicines market, which is slated to rise at a CAGR of 4% over the decade.

The market was worth around US$ 160 Bn in 2020, and is predicted to rise by nearly US$ 80 Bn by the end of 2031.

Demand Analysis of OTC Herbal and Traditional Medicines (2016 to 2020) Vs Market Forecasts (2021 to 2031)

In the past decade, the world has seen a substantial rise in prevalence of diseases and outbreaks of various viruses, the long term effects of synthetic drugs have also been researched extensively as people have faced problems regarding it. This all has led to increase in research in alternative healthcare like herbal and traditional medicines.

Consumers are now more aware of what they consume and this has been a major factor propelling the demand for OTC traditional medicines. The adoption of traditional and herbal medicines is on the rise and is expected to be substantially higher by the end of the decade. The top manufacturers of OTC herbal and traditional medicines are focusing on developing naturally derived OTC medicines owing to the increase in demand from the consumers.

OTC herbal and traditional medicines market growth through 2031 is predicted to evolve at a CAGR of 4%.

On the basis of Application, How is the Market Classified?

OTC herbal and traditional medicines can be classified as per their applications in the healthcare infrastructure. The additional segmentation can be given as:

• Application of OTC Herbal and Traditional Medicines as Detoxification Medicines
• Application of OTC Herbal and Traditional Medicines as Antipyretic Medicines
• Application of OTC Herbal and Traditional Medicines as Digestive Medicines
• Application of OTC Herbal and Traditional Medicines as Blood Circulation Medicines

These various applications are expected to increase in demand as manufacturers advance their research and expand their product portfolios. The demand for OTC herbal and traditional medicine in detoxification is expected to be driven by the trends of healthy lifestyle and organic eating. Trend of shifting towards more nature-based and organic products is also expected to propel the demand for OTC botanical medicine and to some extent even the sales of OTC phytomedicine.

How is Demand for OTC Herbal and Traditional Medicines Shaping Up on the Basis of Function?

The research categorizes the market on the basis of functionality, and this is one of the most prominent aspects for the evaluation of the market.

Sales of OTC herbal and traditional medicines for digestive health are expected to account for the largest revenue share in this segment. The sales of OTC herbal and traditional medicines for nutrition are expected to follow and be second-largest in terms of revenue. While the sales of OTC herbal and traditional medicines for bone & joint health are expected to rise at a similar CAGR to that for nutrition their revenues are expected to be substantially lesser than that of nutrition segment.

Demand for OTC herbal and traditional medicines for general well-being and the demand for OTC herbal and traditional medicines for heart health are expected to see a steady rise over the next ten years as research for these functions increases and more products are launched.

Use of OTC herbal and traditional medicines for weight loss is predicted to be significantly prominent in the global industry as research in this domain progresses.

How are Sales of OTC Herbal Medicines Progressing?

Sales of OTC herbal and traditional medicine are expected to see a rise over the next ten years and among all the sales channels modern trade is expected to be the most significant. Followed by sales via online channels, which were extremely high in the COVID-19 pandemic era and are expected to follow a healthy rise through the forecast period.

Sales via pharmacy channel are expected to rise at a relatively slower CAGR but are anticipated to pick up by the end of the decade. The over-the-counter herbal and traditional medicines market is anticipated to see some major shifts in sales trends via different channels over the decade.

Which Regions Majorly Influence OTC Herbal and Traditional Medicines Market Growth?

This research details the global OTC herbal and traditional medicine landscape across regions such as North America, Latin America, Europe, APAC, and MEA.

APAC dominated the market in terms of market share in 2020. The region is expected to continue its dominance throughout the forecast period due to presence of prominent players and increasing demand and research from nations like India.

North America is anticipated to be the second largest market for OTC herbal and traditional medicine and is expected to evolve at a good CAGR over the decade as awareness for herbal and traditional medicine increases. The market in Europe is also expected to evolve at a steady pace. The market in the MEA region has a lot of untapped potential which is expected to come into play over the next ten years.

Country-wise Analysis

Will the U.S. Herbal and Traditional Medicines Market Be Profitable for Industry Players?

The U.S. has been seeing some major shift in alternative medicine industry as the population is shying away from the synthetic drugs and medicines which have been discovered to have side effects. The rising demand from aware consumers for more natural and organic products and medicines is majorly driving demand for OTC herbal and traditional medicines in the U.S. The market players can cash in on this potential if they can provide what the end-users are looking for.

How Important is India in the Global OTC Herbal and Traditional Medicines Space?

Traditional and herbal systems of medicines have been popular in India from a long time as people in the nation have been using them over decades dating back to hundreds of years. Ayurveda, Unani are some of the prominent areas being researched in India and they will be an important export to the world as India is a leading name in these fields of traditional and herbal medicines.

Top manufacturers of OTC herbal medicines are based in India and the research and developments in India by them are crucial to the global market expansion.

Category-wise Analysis

What is the Outlook for Powder Dosage of OTC Herbal and Traditional Medicines?

Sales of OTC powdered herbal and traditional medicine are expected to account for majority of revenue share in the dosage segment. The demand for OTC herbal and traditional medicine tablet and demand for OTC liquid herbal and traditional medicines are expected to evolve at a similar CAGR while tablet dosage would account for more revenue share than the liquid dosage segment.

COVID-19 Pandemic Effect!

The COVID-19 pandemic hit the world and completely changed the way everyone perceived healthcare and hygiene. When COVID-19 hit in early 2020 and engulfed the world into a never-seen before pandemic state, the world turned towards other alternatives to combat the widespread virus and that’s where herbal and traditional medicine came in as a rather effective alternative to modern medicine.

Immunity played a crucial role in combating coronavirus and some herbal and traditional medicines proved effective in this hence the Demand for OTC herbal and traditional medicines for immune health saw a major rise in the pandemic era. Sales of OTC herbal and traditional medicines are expected to rise significantly over the next ten years in the post-pandemic era.

Competitive Landscape

Manufacturers are investing in research & development of new products to capture market potential as per consumer demand. New product launches and increase in research are expected to be prominent trends.

• In Tanzania’s Zanzibar, a research project funded by Tanzania Commission for Science and Technology, was launched in early October 2021 which is aimed at researching the use of herbal medicines for non-communicable diseases and their utilization as an alternative treatment method. The research will be carried out by researchers at Zanzibar Health Research Institute and the National Institute for Medical Research.
• Gingko Bioworks has launched a new venture by the name of Ayana Bio which is aimed at producing plant and fungal bioactives for herbal medicines. The Ayana Bio has been launched in September 2021 with a series A funding from Viking Global Investors and Cascade Investment.
• On June 30th 2021, Maharishi Ayurveda announced the launch of its new product to treat sleep disorders. The product is completely herbal and produces a calming and balancing effect and body and mind as well. The product has been launched when sleep disorders like insomnia are on the rise.

OTC Herbal and Traditional Medicine Industry Report Scope

Key Segments of OTC Herbal and Traditional Medicines Industry Survey

• By Function:

  • OTC Herbal and Traditional Medicines for Immune Health
  • OTC Herbal and Traditional Medicines for Digestive Health
  • OTC Herbal and Traditional Medicines for Heart Health
  • OTC Herbal and Traditional Medicines for Nutrition
  • OTC Herbal and Traditional Medicines for Bone & Joint Health
  • OTC Herbal and Traditional Medicines for General Well-being
  • OTC Herbal and Traditional Medicines for Weight Loss
  • Other Functions

• By OTC Channel:

  • Sales of OTC Herbal and Traditional Medicines via Pharmacies
  • Drug Store Sales of OTC Herbal and Traditional Medicines
  • Modern Trade Sales of OTC Herbal and Traditional Medicines
  • Online Sales of OTC Herbal and Traditional Medicines
  • Other OTC Formats

• By Dosage:

  • Liquid OTC Herbal and Traditional Medicines
  • Capsule OTC Herbal and Traditional Medicines
  • Tablet OTC Herbal and Traditional Medicines
  • Powder OTC Herbal and Traditional Medicines