The parapharmacy market - Portugal

Since the 1980s, the parapharmacy market in Portugal, comprising non-prescription care, hygiene, beauty products, dietetics, food supplements, and small appliances, has witnessed significant evolution. As of 2020, traditional pharmacies remain the market leaders, holding 75% of the market by offering competitively priced private labels. Specialty brands, fashionable in the 1990s, face challenges from mass distribution and limited investment capacity. Large Scale Retailers (GSA) like Corte Ingles and online sales platforms have been on the rise, with digital sales buoyed by the growing trend of internet shopping. Mass distribution is also making strong inroads into the market. A shift in consumer mentality towards health prevention has led to an increased demand for parapharmaceutical products and this sector's growth, with parapharmacies becoming key players in dermocosmetic sales in Portugal. These trends reflect the market's dynamic nature and the growing emphasis on both value and health-conscious consumption..### Trends in the Portuguese Parapharmacy Market Dynamics The Portuguese parapharmacy market, comprising sales of care and hygiene products, beauty items, dietetics, food supplements, and certain small appliances, has witnessed significant growth and transformation since its inception in the 1980s. The market, formerly dominated by pharmacies, has seen a diversification in the types of retail establishments where parapharmaceutical products are sold. Pharmacies remain the stalwarts of the industry, holding onto around three-quarters of market share, by pivoting towards offering competitively priced private label brands. However, the market landscape has evolved with the emergence of specialty parapharmacy brands, such as Parashop, which soared in popularity in the 1990s but faced challenges from mass-market competitors and a lack of investment capacity. Furthermore, large-scale retailers known as GSA parapharmacies, like Corte Ingles, have significantly expanded their presence, leveraging the potential deregulation of over-the-counter medications to grow their market share. A notable shift in consumer behavior is observed as there is an increasing preference for preventing health issues rather than addressing them post-emergence. This preventative mindset has spurred the demand for parapharmaceutical products and benefits new entrants that specialize in offering such preventive solutions. Moreover, online sales channels are on the rise, capitalizing on the broader e-commerce boom. These digital platforms are drawing customers with the promise of convenience, better pricing, and access to a wide array of products. Meanwhile, mass distribution chains have not hesitated to claim their stake by investing heavily in this segment. The parapharmacy market's rapid development is evident in the substantial portion of dermocosmetic product sales accounted for by parapharmacies. These parapharmaceutical retailers have adeptly responded to the Portuguese population's price sensitivity and concerns, manifesting an astute commercial strategy that has allowed them to capture a significant portion of the market. To synthesize, the Portuguese parapharmacy market is characterized by a high concentration of pharmacy-held market share, diversification and increased competition from specialty and mass retailers, growth in preventative health consumer trends, and a booming online sales sector. These trends underline the market's dynamism and the varying consumer expectations around health and wellness retail in Portugal..### Key Pillars of Portugal's Diverse Parapharmacy Market In the rapidly evolving landscape of Portugal's parapharmacy market, several key players dominate, each carving out their unique position through a blend of competitive strategies and consumer outreach. 1. **Local Pharmacies:** As the cornerstone of the parapharmacy sector, local pharmacies hold a dominant position with approximately 75% of market share. With deep roots in their communities, these pharmacies maintain consumer trust and loyalty by integrating competitive pricing and developing own-brand products that cater to the economic sensibilities of their customers. 2. **Specialty Brands (Parashop):** Once the trendsetters in the 1990s, specialty brands like Parashop have experienced competitive pressures. However, they remain a staple in the market by focusing on specialized product offerings and leveraging their heritage in the industry, despite the more aggressive moves by other market segments. 3. **GSA Parapharmacies (Corte Ingles):** The likes of Corte Ingles have seen their influence grow as they break into markets traditionally reserved for pharmacies. By capitalizing on the relaxation of regulations around the sale of OTC drugs, they are well-positioned to make additional gains. 4. **Online Sales:** Reflecting global digital trends, the online parapharmacy sector is surging. The ease of access, coupled with broad consumer adoption of e-commerce, has made online sales channels one of the fastest-growing segments in the market. They draw in customers with user-friendly websites, competitive pricing, and an extensive array of products. 5. **Mass Distribution Outlets:** The entry of large-scale retail chains into the parapharmacy space has brought a new dynamic to the market. These outlets leverage sizeable investment capabilities and extensive marketing expertise to attract price-conscious consumers. Their aggressive growth strategies have enabled them to capture a growing share of sales, particularly in the realm of dermocosmetic products. Together, these various market players contribute to the diverse and competitive nature of the parapharmacy landscape in Portugal. Through differentiating strategies—whether it's heritage and trust for traditional players or technological adoption and market investments for newer entrants—each has uniquely positioned itself to address the evolving needs and concerns of Portuguese consumers. As the push towards preventive health measures over reactive treatment continues to gain traction, these organizations will likely continue to play an instrumental role in shaping the future direction of the market.

Inforamtion

• Number of pages : 30 pages
• Format : Digital and PDF versions
• Last update : 05/10/2020

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Summary and extracts

List of charts

• Nombre de pharmacies pour 100.000 habitants
• Revenu du marché pharmaceutique dans le monde
• Evolution du nombre de pharmacies au Portugal
• Dynamique du marché Pharmaceutique par Segment
• Evolution de l'exportation et importation des produits pharmaceutiques
• Origine des importations de produits pharmaceutiques
• Principales destinations d'exportation
• Pourcentage de changement dans la mobilité des épiceries et des pharmacies pendant la pandémie de coronavirus (COVID-19)
• Intention d'achat en ligne après l'ouverture permanente des magasins après la pandémie, par canal de vente et catégorie de produits
• Sous-segmentation des médicaments non soumis à prescription médicale
• Points de vente agréés de médicaments non soumis à prescription médicale
• Top 5 des types de produits pharmaceutiques en volume
• Top 5 des substances actives en volume
• Beauté et Santé dans le marché des MNSRM
• Les plus grandes parapharmacies au Portugal
• Les plus grands groupes pharmaceutiques
• Taux de pénétration du marché du commerce électronique
• Volume des ventes dans les lieux de vente libres par rapport à l'ensemble du marché des MNSRM
• Valeur des ventes dans les lieux de vente libres par rapport à l'ensemble du marché des MNSRM
• Evolution de la part de marché des boutiques de vente libre dans le marché pharmaceutique
• Evolution du nombre de pharmacies, entreprises, entrepôts, postes et points de vente libre MNSRM
• Nombre de points de vente MNSRM par habitant par région

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