Pharmacy Automation Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 6.61 Billion |
| Market Size (2029) | USD 10.04 Billion |
| CAGR (2024 - 2029) | 8.71 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Pharmacy Automation Market Analysis
The Global Pharmacy Automation Market size is estimated at USD 6.61 billion in 2024, and is expected to reach USD 10.04 billion by 2029, growing at a CAGR of 8.71% during the forecast period (2024-2029).
The factors driving the growth of the market are the increasing demand for specialty drug prescription filling solutions, the rising need to minimize medication errors, and the decentralization of pharmacies. There has been a rising incidence of chronic and life-threatening diseases and an increasing dispense of medications. For instance, an article updated by StatPearls in February 2024 reported that globally, medication-related errors account for 5% to 41.3% of all hospital admissions and lead to 22% of readmissions post-discharge. Patients prescribed five or more medications experience a 30% higher incidence of these errors, while those aged 75 and older observe a 38% increase. Hence, hospitals and pharmacies are adopting new pharmacy automation technologies to reduce operating costs while improving patient safety.
In addition, the increasing geriatric population in Japan is contributing to market growth. For instance, the 2023 statistics published by the Ministry of Internal Affairs and Communications reported that in Japan, the population aged 65 years and over was 36.22 million in 2023, and the population aged 75 years and over was reported to be 19.97 million in 2023. Geriatric people are more prone to developing chronic diseases such as cardiovascular diseases and neurological disorders, which can raise the demand for effective therapeutics, further accelerate the need for medications, and drive the need for pharmacy automation.
Moreover, pharmacy automation systems offer numerous advantages to patients, pharmacies, and essential healthcare professionals. These automated systems enhance safety and cost-effectiveness and streamline pharmacy operations through improved data workflows. Such technological advancements have enabled pharmacies to stay competitive in a swiftly changing industry, benefiting patients and doctors in multiple ways. Therefore, the rising need to minimize medication errors, the more significant geriatric population, and the advantages of these pharmacy automation systems likely boost the market growth during the forecast period. However, a slight redundancy in the adoption of automation in pharmacies in underdeveloped and developing regions will likely impede market growth during the forecast period.
Pharmacy Automation Market Trends
The Automated Medication Dispensing Systems Segment is Expected to Witness Significant Growth During the Forecast Period
The automated medication dispensing systems segment is expected to witness significant growth during the forecast period owing to the systems' ability to eliminate medication errors, decrease procedural time, and enhance patient safety concerns. In addition, these systems track narcotics and other controlled drugs, monitor drug usage patterns, and eliminate manual end-of-shift narcotic counts, especially in inpatient care units.
Additionally, a high infection rate boosted the demand for medication to be dispensed through automation to avoid cross-infections. For instance, according to a study published by Elsevier in April 2024, the overall prevalence of hospital-acquired infections (HAI) in sub-Saharan Africa was reported to be 30%, the highest proportion compared to previous years. Hence, this infection count positively impacted the need for automated medication dispensing systems to reduce the burden on pharmacists, thus contributing to the segment's growth.
Automated dispensing systems also balance security, user-friendliness, inventory management, and control of medications, thereby driving their demand. Moreover, there is a growing demand for automated systems that help stock and inventory management. For instance, in March 2022, Capsa Healthcare expanded its NexsysADC automated dispensing cabinets suite. Nexysys can accommodate any size of controlled and highly valued medications or supplies in two new sizes of controlled access module drawers. The pharmacy automation system optimizes the flow of medication handling to ensure the achievement of high patient safety standards.
Therefore, the high burden of hospital-acquired infections and the adoption of automated dispensing systems will likely boost segment growth in the market during the forecast period.
North America Holds a Significant Share in the Pharmacy Automation Market During the Forecast Period
The North American pharmacy automation market holds a significant share due to the prevalence of various chronic disorders, the growing number of patients, technological advancements, and the presence of key market players.
The rising prevalence of chronic diseases among the Mexican population is expected to drive market growth in the region. According to the 2024 data from the International Diabetes Federation (IDF), an estimated 17 million adults in Mexico were projected to have diabetes by 2023. This number is anticipated to increase to 21.18 million by 2050. Similarly, the prevalence of cardiovascular diseases among the Canadian population is expected to contribute to the growth of the market. For instance, the Canadian Institute for Health Information data published in July 2022 reported that about 2.4 million Canadians had heart disease in 2022. The prevalence of chronic cardiovascular disorder and diabetes in North American countries is increasing the demand for pharmacy automation, thus contributing to the growth of the market in the region.
The acquisitions and new product launches are also driving the market growth in the region. For instance, in April 2024, in collaboration with JVM Manufacturing, Swisslog Healthcare, one of the key players in pharmacy and transport automation solutions, launched the ezCUT Automated Tablet Cutter in the North American market. The ezCUT is designed to enhance pharmacy workflows and expedite processing by automatically and accurately cutting oral solid medications, catering specifically to half-strength prescriptions.
In addition, in December 2022, Omnicell Inc. acquired ReCept Holdings Inc. The addition of ReCept's specialty pharmacy management services for health systems, provider groups, and federally qualified health centers (FQHCs) expanded Omnicell's advanced services portfolio to address the growing and complex specialty pharmacy market. These company activities likely increase the availability of pharmacy automation products, thereby boosting the market growth in the region.
Therefore, due to the high burden of chronic diseases and the company's strategic activities, the North American market is expected to grow significantly during the forecast period.
Pharmacy Automation Industry Overview
The pharmacy automation market is highly fragmented and competitive. The market is characterized by continuous innovation, with companies focusing on enhancing system integration, improving user interfaces, and expanding functionalities to meet diverse customer needs. Some major players operating globally and regionally are Arxium Inc., Capsa Solutions LLC, Omnicell Inc., Parata Systems LLC, and Scriptpro LLC.
Pharmacy Automation Market Leaders
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Capsa Healthcare
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Omnicell Inc.
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Parata Systems LLC
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Scriptpro LLC
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Arxium Inc.
*Disclaimer: Major Players sorted in no particular order
Pharmacy Automation Market News
- April 2024: Canadian pharmacy and medical supply provider Healthmark Services Ltd partnered with JFCRx to supply adherence pouch packaging, inspection, and semi-automated vial filling pharmacy automation equipment to increase medication management's reliability, efficiency, and safety.
- March 2024: Tension Packaging & Automation, a key payer of packaging automation solutions for e-commerce and pharmacy, planned to launch the new fitPACK 500 right-sized packaging system at MODEX 2024.
Pharmacy Automation Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Increasing Demand for Specialty Drug Prescription Filling Solutions
4.2.2 Rising Need to Minimize Medication Errors
4.2.3 Decentralization of Pharmacies
4.3 Market Restraints
4.3.1 Reluctance to Adopt Pharmacy Automation Systems
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size - Value in USD)
5.1 By Product
5.1.1 Automated Medication Dispensing Systems
5.1.2 Automated Packaging and Labeling Systems
5.1.3 Automated Table-top Counters
5.1.4 Automated Storage and Retrieval Systems
5.1.5 Other Products
5.2 By End User
5.2.1 Hospital Pharmacies
5.2.2 Retail Pharmacies
5.3 By Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.1.3 Mexico
5.3.2 Europe
5.3.2.1 Germany
5.3.2.2 United Kingdom
5.3.2.3 France
5.3.2.4 Italy
5.3.2.5 Spain
5.3.2.6 Rest of Europe
5.3.3 Asia-Pacific
5.3.3.1 China
5.3.3.2 Japan
5.3.3.3 India
5.3.3.4 Australia
5.3.3.5 South Korea
5.3.3.6 Rest of Asia-Pacific
5.3.4 Middle East and Africa
5.3.4.1 GCC
5.3.4.2 South Africa
5.3.4.3 Rest of Middle East and Africa
5.3.5 South America
5.3.5.1 Brazil
5.3.5.2 Argentina
5.3.5.3 Rest of South America
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 ARxIUM
6.1.2 BD
6.1.3 Capsa Healthcare
6.1.4 Oracle
6.1.5 Omnicell Inc.
6.1.6 Parata Systems LLC
6.1.7 Rxsafe LLC
6.1.8 Scriptpro LLC
6.1.9 Yuyama
6.1.10 MCKESSON CORPORATION
6.1.11 Swisslog Holdings AG
6.1.12 PEARSON MEDICAL TECHNOLOGIES
6.1.13 Accu-Chart Plus Healthcare System Inc.
6.1.14 NewIcon
6.1.15 AlixaR
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Pharmacy Automation Industry Segmentation
As per the scope of this report, pharmacy automation encompasses centralized or decentralized automated dispensing, packing, labeling, and other systems, which help reduce dispensing errors while improving the workflow efficiency of hospital nursing staff and pharmacies.
The pharmacy automation market is segmented by product, end user, and geography. By product, the market is segmented into automated medication dispensing systems, automated packaging and labeling systems, automated table-top counters, automated storage and retrieval systems, and other products. By end user, the market is segmented into hospital pharmacies and retail pharmacies. By geography, the market is segmented into North America, Europe, Asia-Pacific, the Middle East and Africa, and South America. The report also covers the estimated market sizes and trends for 17 countries across major regions globally. The report offers the value (USD) for the above segments.
| By Product | |
| Automated Medication Dispensing Systems | |
| Automated Packaging and Labeling Systems | |
| Automated Table-top Counters | |
| Automated Storage and Retrieval Systems | |
| Other Products |
| By End User | |
| Hospital Pharmacies | |
| Retail Pharmacies |
| By Geography | ||||||||
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Pharmacy Automation Market Research FAQs
How big is the Global Pharmacy Automation Market?
The Global Pharmacy Automation Market size is expected to reach USD 6.61 billion in 2024 and grow at a CAGR of 8.71% to reach USD 10.04 billion by 2029.
What is the current Global Pharmacy Automation Market size?
In 2024, the Global Pharmacy Automation Market size is expected to reach USD 6.61 billion.
Who are the key players in Global Pharmacy Automation Market?
Capsa Healthcare, Omnicell Inc., Parata Systems LLC, Scriptpro LLC and Arxium Inc. are the major companies operating in the Global Pharmacy Automation Market.
Which is the fastest growing region in Global Pharmacy Automation Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Global Pharmacy Automation Market?
In 2024, the North America accounts for the largest market share in Global Pharmacy Automation Market.
What years does this Global Pharmacy Automation Market cover, and what was the market size in 2023?
In 2023, the Global Pharmacy Automation Market size was estimated at USD 6.03 billion. The report covers the Global Pharmacy Automation Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Global Pharmacy Automation Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Pharmacy Automation Industry Report
The global pharmacy automation systems market is experiencing significant market growth, driven by advancements in technology and increasing demand for efficient medication management. The market size is expanding as more hospital and retail pharmacies adopt automated solutions to streamline their operations. Current market trends indicate a shift towards more sophisticated automated medication dispensing systems, packaging and labeling systems, table-top counters, and storage and retrieval systems.
According to industry analysis, North America and Europe are leading the global market, with Asia-Pacific showing promising potential for future growth. The industry overview highlights the importance of automation in enhancing pharmacy efficiency, reducing errors, and improving patient safety. The industry report provides a comprehensive market analysis, covering various segments and geographical regions.
Market forecast suggests continued growth in the adoption of pharmacy automation systems, driven by the need for better inventory management and patient care. Industry leaders are investing in research and development to offer innovative solutions that meet the evolving needs of pharmacies. The market outlook remains positive, with significant opportunities for growth and expansion.
The industry research indicates that the market value of pharmacy automation systems will continue to rise, supported by the increasing demand for automated solutions. Industry statistics show a steady increase in market size, reflecting the growing importance of automation in the pharmacy sector. Market segmentation reveals that both hospital and retail pharmacies are key contributors to the market's expansion.
Overall, the market review underscores the critical role of pharmacy automation in transforming the healthcare landscape. The industry trends point towards a future where automation will be integral to pharmacy operations, driving efficiency and improving patient outcomes. The market data provided in the report example offers valuable insights for stakeholders looking to invest in this rapidly growing market.
For a detailed industry outlook and comprehensive market predictions, the report pdf is available for download. This report serves as a valuable resource for research companies, providing in-depth analysis and market insights that can inform strategic decisions.
