Branded Generics Market size surpassed USD 228.71 Billion in 2022 and is poised to reach USD 413.54 Billion, growing at over 6.55% CAGR between 2023 and 2030. Branded generics refer to drugs that are marketed under a brand name but contain the same active ingredients as their original, patent-protected counterparts. These drugs provide an affordable alternative to expensive patented drugs, making healthcare more accessible and cost-effective.
Growth Drivers & Opportunities:
- Cost-effectiveness: Branded generics offer significant cost advantages over patented drugs, making them highly appealing to both patients and healthcare providers. The affordability factor drives the demand for these drugs, especially in developing regions where access to healthcare is limited.
- Expanding generic drug market: The increasing market demand for generic drugs, coupled with the rising prevalence of chronic diseases, has positively impacted the branded generics market. Governments and healthcare organizations across the globe are encouraging the use of generic drugs to reduce healthcare costs, thus boosting the growth of this market.
- Patent expirations: The expiration of patents for several high-value drugs has opened up opportunities for the branded generics market. Pharmaceutical companies are capitalizing on the expired patents by manufacturing and marketing generic versions under their brand names, effectively expanding their market share and revenue.
Industry Restraints & Challenges:
Report Coverage | Details |
---|---|
Segments Covered | Drug Class, Application, Route Of Administration, Distribution Channel, Region |
Regions Covered | • North America (United States, Canada, Mexico) • Europe (Germany, United Kingdom, France, Italy, Spain, Rest of Europe) • Asia Pacific (China, Japan, South Korea, Singapore, India, Australia, Rest of APAC) • Latin America (Argentina, Brazil, Rest of South America) • Middle East & Africa (GCC, South Africa, Rest of MEA) |
Company Profiled | Teva Pharmaceutical Industries., Lupin, Sanofi, Sun Pharmaceutical Industries,., Dr. Reddys Laboratories., Endo International plc, GlaxoSmithKline plc, Pfizer, Apotex, Viatris. |
- Lack of brand recognition: Branded generics face the challenge of creating brand recognition among consumers. As these drugs are relatively new in the market, compared to their original patented counterparts, creating brand loyalty becomes essential for sustained growth.
- Regulatory complexities: The regulatory landscape surrounding branded generics can be complex and diverse across different countries. Pharmaceutical companies need to navigate various regulatory frameworks, registration processes, and quality assurance standards to ensure their products comply with national and international regulations.
- Intense competition: The branded generics market is highly competitive, with numerous pharmaceutical companies vying for market share. This intense competition leads to price wars, requiring companies to invest in marketing activities and pricing strategies to differentiate their products and maintain profitability.
In conclusion, the branded generics market is projected to witness remarkable growth due to the cost-effectiveness and rising demand for generic drugs. However, challenges such as lack of brand recognition, regulatory complexities, and intense competition require pharmaceutical companies to devise effective strategies to overcome these hurdles and capitalize on the market's immense potential.
The global branded generics market is expected to witness significant growth in the forecast period across different regions, including North America, Asia Pacific, and Europe.
North America:
North America is anticipated to hold a substantial share in the branded generics market due to the presence of a well-established healthcare infrastructure and a large patient population. The region is witnessing a rising trend of generic drug consumption due to cost-effectiveness and the expiration of patents of several branded drugs. Additionally, the increasing prevalence of chronic diseases, such as diabetes, cardiovascular diseases, and respiratory disorders, is further propelling the demand for branded generics in North America.
Asia Pacific:
The Asia Pacific region is projected to register remarkable growth in the branded generics market. Factors contributing to this growth include the rising geriatric population, increasing prevalence of chronic diseases, and the growing demand for affordable healthcare solutions. The governments in countries like India and China are actively promoting the use of generic medicines to provide cost-effective treatment options to their large populations. Additionally, the presence of numerous generic drug manufacturers in the region supports the growth of Asia Pacific's branded generics market.
Europe:
Europe is expected to witness substantial growth in the branded generics market due to a favorable regulatory environment and the increasing acceptance of generic drugs in the region. The European Medicines Agency (EMA) has implemented several measures to promote the use of generics and ensure their quality and safety. Moreover, the growing healthcare expenditure and rising awareness about the benefits of branded generics among patients are driving the market growth in Europe.