OTC Healthcare in Bolivia
Euromonitor International's OTC Healthcare in Bolivia market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
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Tables: 87 | Publication date: Feb 2009
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- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Adult mouth care; Allergy care; Analgesics; Calming and sleeping products; Child-specific OTC healthcare; Cough; cold and allergy (hay fever) remedies; Digestive remedies; Ear care; Emergency contraception; Eye care; Medicated skin care; NRT Smoking cessation aids; OTC obesity; OTC statins; OTC triptans; Vitamins and dietary supplements; Wound treatments
Executive summary
Growth amidst turmoil
The healthy growth of previous years, especially in vitamins and dietary supplements and analgesics, was continued in 2008 despite national social unrest, attributed in part to poor government management of the economy. Some categories, such as cough, cold and allergy (hay fever) remedies, continued to increase; however, this was thanks to bad weather and floods rather than to a healthy consumer market. The purchasing power of Bolivians, and especially of middle-income consumers, was eroded by rising inflation of staple goods like food. On top of these negative forces, the Bolivian government recently opened the first community pharmacies, which plan to extend generic distribution, targeting low-income consumers. Bolivia is a traditionally self-medicated society, where common ailments and minor medical problems are often treated with traditional methods and “grandma” recipes; people resort to homemade remedies.
Sensitive price adjustments
Despite the economic downturn in Bolivia, companies tried to maintain prices amidst inflationary forces and distribution disruptions. The intense competition amongst analgesics and cough, cold and allergy (hay fever) remedies, and the consequent price adjustments in 2008, reflected the companies’ capacity to adapt to market demands, even if that meant transferring the cost of these reductions to the commercialisation, manufacturing and distribution processes. The apparent large manoeuvring margins and the capacity to adjust prices in Bolivia was one of the government’s main arguments in suggesting that OTC and prescription drugs were excessively expensive for Bolivian consumers. Stable and lower retail prices for OTC products helped stimulate and drive the continued growth in Bolivia’s small and emerging OTC market in 2008.
Television advertising is a battleground for the top OTC products
Due to the large number of products in the market, the leading brands of analgesics and cough, cold and allergy (hay fever) remedies increasingly positioned their products through strong television campaigns. In the past, advertising campaigns were launched before the winter months of April and May, in preparation for the seasonal demand for cough and cold medicine. However, OTC healthcare companies are increasingly launching campaigns throughout the year, and building their brand presence to establish an increased share of sales. The results are clearly effective, according to pharmacists interviewed for this report, since they agree that many consumers go into a pharmacy with a clear predisposition to purchase what they have seen on television. Bolivian consumers are very receptive to new remedies, which are launched to the market with the help of the media; this activates the word-of-mouth effect, which echoes the once-popular and still pervasive culture of traditional medicine.
Chemists/pharmacies consolidate national presence and reliability
There are a large number of independently-owned chemists/pharmacies, mainly in Bolivia’s three major cities: La Paz, Santa Cruz and Cochabamba. They are especially abundant in urban neighbourhoods, where sometimes a couple of outlets are found within the same block. However, the growth of pharmacy chains brought about recognition of chained brands, and preference from consumers who have found added-value services in these chains, such as clean and comfortable environments, a wide range of products and competitive prices, as well as home delivery. Farmacias Bolivia, Farmacias Gloria and Farmacorp are corporations, which are continuously expanding throughout the regions in the country with the purpose of taking a bigger share of sales. They have slowly gained consumer loyalty, and their popularity is reflected in the growth of preferential consumer cards, which give discounts and customer loyalty rewards. All their branches have prime locations, and are usually full of people. The growth of pharmacy chains will threaten independent pharmacies; however, independently-owned pharmacies are so prevalent that they are expected to hold their share.
The recuperation of OTC healthcare is contingent on the economy’s recovery
The OTC healthcare market in Bolivia is quite price-sensitive; however, companies do not appear to set prices based on this sensitivity. Companies maintain relatively high prices, and are even able to reduce prices if necessary, despite all the inflationary forces indicating otherwise. High price is the nature of the market, because people value their health. This has seen strong objections from the government, which sees the market as having cashed in on the primary needs of the population. However, Bolivian pharmaceuticals companies manufacture their products at a fraction of the cost of other countries, because Bolivia, in broad terms, does not pay royalties or licensing costs, unlike other more formal economies. Most OTC products manufactured in Bolivia are “knock-offs” of regulated products elsewhere. Bolivian laboratories manufacture products under their own brands, and are generally not held accountable for international licenses and specific standards belonging to the original patents and formulae due to the small scale of operation. Consumers do not understand these facts for the most part, and keep on proudly purchasing “Bolivian-made” products. The current economic difficulties are reducing consumer budgets, and OTC healthcare companies are in a position to be able to lower their high prices to maintain consumption without severely affecting their margins.
Table of contents
OTC HEALTHCARE IN BOLIVIA : MARKET INSIGHT
EXECUTIVE SUMMARY
Growth amidst turmoil
Sensitive price adjustments
Television advertising is a battleground for the top OTC products
Chemists/pharmacies consolidate national presence and reliability
The recuperation of OTC healthcare is contingent on the economy’s recovery
MARKET INDICATORS
Table 1 Consumer Expenditure on Health Goods and Medical Services 2003-2008
Table 2 Life Expectancy at Birth 2003-2008
MARKET DATA
Table 3 Sales of OTC Healthcare by Sector: Value 2003-2008
Table 4 Sales of OTC Healthcare by Sector: % Value Growth 2003-2008
Table 5 OTC Healthcare Company Shares by Value 2004-2008
Table 6 OTC Healthcare Brand Shares by Value 2005-2008
Table 7 Sales of OTC Healthcare by Distribution Format: % Analysis 2003-2008
Table 8 Sales of OTC Healthcare by Sector and Distribution Format: % Analysis 2008
Table 9 Forecast Sales of OTC Healthcare by Sector: Value 2008-2013
Table 10 Forecast Sales of OTC Healthcare by Sector: % Value Growth 2008-2013
APPENDIX
OTC Regulation and Classification
De-listing or De-reimbursement
Advertising
Packaging and Labelling
Distribution
Registration and Classification of Vitamins & Dietary Supplements
Generics
Switches
DEFINITIONS
Summary 1 Research Sources
ANALGESICS IN BOLIVIA
Headlines
Trends
switches
Competitive Landscape
Prospects
Sector Data
Table 11 Sales of Analgesics by Subsector: Value 2003-2008
Table 12 Sales of Analgesics by Subsector: % Value Growth 2003-2008
Table 13 Herbal vs Standard Topical Analgesics 2003-2008
Table 14 Analgesics Company Shares by Value 2004-2008
Table 15 Analgesics Brand Shares by Value 2005-2008
Table 16 Forecast Sales of Analgesics by Subsector: Value 2008-2013
Table 17 Forecast Sales of Analgesics by Subsector: % Value Growth 2008-2013
COUGH, COLD AND ALLERGY (HAY FEVER) REMEDIES IN BOLIVIA
Headlines
Trends
switches
Competitive Landscape
Prospects
Sector Data
Table 18 Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: Value 2003-2008
Table 19 Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: % Value Growth 2003-2008
Table 20 Sales of Decongestants by Type: Value 2003-2008
Table 21 Sales of Decongestants by Type: % Value Growth 2003-2008
Table 22 Sales of Child-specific Cough, Cold and Allergy (Hay Fever) Remedies by Type: Value 2003-2008
Table 23 Sales of Child-specific Cough, Cold and Allergy (Hay Fever) Remedies by Type: % Value Growth 2003-2008
Table 24 Herbal vs Standard Cough, Cold and Allergy (Hay Fever) Remedies 2003-2008
Table 25 Cough, Cold and Allergy (Hay Fever) Remedies Company Shares by Value 2004-2008
Table 26 Cough, Cold and Allergy (Hay Fever) Remedies Brand Shares by Value 2005-2008
Table 27 Forecast Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: Value 2008-2013
Table 28 Forecast Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: % Value Growth 2008-2013
DIGESTIVE REMEDIES IN BOLIVIA
Headlines
Trends
switches
Competitive Landscape
Prospects
Sector Data
Table 29 Sales of Digestive Remedies by Subsector: Value 2003-2008
Table 30 Sales of Digestive Remedies by Subsector: % Value Growth 2003-2008
Table 31 Herbal vs Standard Digestive Remedies 2003-2008
Table 32 Digestive Remedies Company Shares by Value 2004-2008
Table 33 Digestive Remedies Brand Shares by Value 2005-2008
Table 34 Forecast Sales of Digestive Remedies by Subsector: Value 2008-2013
Table 35 Forecast Sales of Digestive Remedies by Subsector: % Value Growth 2008-2013
MEDICATED SKIN CARE IN BOLIVIA
Headlines
Trends
switches
Competitive Landscape
Prospects
Sector Data
Table 36 Sales of Medicated Skin Care by Subsector: Value 2003-2008
Table 37 Sales of Medicated Skin Care by Subsector: % Value Growth 2003-2008
Table 38 Herbal vs Standard Medicated Skin Care 2003-2008
Table 39 Medicated Skin Care Company Shares by Value 2004-2008
Table 40 Medicated Skin Care Brand Shares by Value 2005-2008
Table 41 Hair Loss Treatments Brand Shares by Value 2005-2008
Table 42 Forecast Sales of Medicated Skin Care by Subsector: Value 2008-2013
Table 43 Forecast Sales of Medicated Skin Care by Subsector: % Value Growth 2008-2013
VITAMINS AND DIETARY SUPPLEMENTS IN BOLIVIA
Headlines
Trends
Competitive Landscape
Prospects
Sector Data
Table 44 Sales of Vitamins and Dietary Supplements by Subsector: Value 2003-2008
Table 45 Sales of Vitamins and Dietary Supplements by Subsector: % Value Growth 2003-2008
Table 46 Vitamins and Dietary Supplements Company Shares by Value 2004-2008
Table 47 Vitamins and Dietary Supplements Brand Shares by Value 2005-2008
Table 48 Vitamins Brand Shares by Value 2005-2008
Table 49 Dietary Supplements Brand Shares by Value 2005-2008
Table 50 Forecast Sales of Vitamins and Dietary Supplements by Subsector: Value 2008-2013
Table 51 Forecast Sales of Vitamins and Dietary Supplements by Subsector: % Value Growth 2008-2013
NRT SMOKING CESSATION AIDS IN BOLIVIA
Headlines
Sector Indicators
Table 52 Number of Smokers by Gender 2003-2008
EYE CARE IN BOLIVIA
Headlines
Sector Data
Table 53 Sales of Eye Care by Subsector: Value 2003-2008
Table 54 Sales of Eye Care by Subsector: % Value Growth 2003-2008
Table 55 Eye Care Company Shares by Value 2004-2008
Table 56 Eye Care Brand Shares by Value 2005-2008
Table 57 Forecast Sales of Eye Care by Subsector: Value 2008-2013
Table 58 Forecast Sales of Eye Care by Subsector: % Value Growth 2008-2013
WOUND TREATMENTS IN BOLIVIA
Headlines
Sector Data
Table 59 Sales of Wound Treatments by Subsector: Value 2003-2008
Table 60 Sales of Wound Treatments by Subsector: % Value Growth 2003-2008
Table 61 Wound Treatments Company Shares by Value 2004-2008
Table 62 Wound Treatments Brand Shares by Value 2005-2008
Table 63 Forecast Sales of Wound Treatments by Subsector: Value 2008-2013
Table 64 Forecast Sales of Wound Treatments by Subsector: % Value Growth 2008-2013
EAR CARE IN BOLIVIA
Headlines
Sector Data
Table 65 Sales of Ear Care: Value 2003-2008
Table 66 Sales of Ear Care: % Value Growth 2003-2008
Table 67 Ear Care Company Shares by Value 2004-2008
Table 68 Ear Care Brand Shares by Value 2005-2008
Table 69 Forecast Sales of Ear Care: Value 2008-2013
Table 70 Forecast Sales of Ear Care: % Value Growth 2008-2013
ADULT MOUTH CARE IN BOLIVIA
Headlines
Sector Data
Table 71 Sales of Adult Mouth Care: Value 2003-2008
Table 72 Sales of Adult Mouth Care: % Value Growth 2003-2008
Table 73 Adult Mouth Care Company Shares by Value 2004-2008
Table 74 Adult Mouth Care Brand Shares by Value 2005-2008
Table 75 Forecast Sales of Adult Mouth Care: Value 2008-2013
Table 76 Forecast Sales of Adult Mouth Care: % Value Growth 2008-2013
CALMING AND SLEEPING PRODUCTS IN BOLIVIA
Headlines
Sector Data
Table 77 Sales of Calming and Sleeping Products: Value 2003-2008
Table 78 Sales of Calming and Sleeping Products: % Value Growth 2003-2008
Table 79 Forecast Sales of Calming and Sleeping Products: Value 2008-2013
Table 80 Forecast Sales of Calming and Sleeping Products: % Value Growth 2008-2013
EMERGENCY CONTRACEPTION IN BOLIVIA
Headlines
OTC OBESITY IN BOLIVIA
Headlines
OTC TRIPTANS IN BOLIVIA
Headlines
LABORATIOS COFAR SA
Strategic Direction
Key Facts
Summary 2 Laboratorios COFAR SA: Key Facts
Summary 3 Laboratorios COFAR SA: Operational Indicators
Company Background
Production
Competitive Positioning
Summary 4 Laboratorios COFAR SA: Competitive Position 2008
LABORATORIOS DROGUERÍA INTI SA
Strategic Direction
Key Facts
Summary 5 Laboratorios Droguería INTI SA: Key Facts
Summary 6 Laboratorios Droguería INTI SA: Operational Indicators
Company Background
Production
Competitive Positioning
Summary 7 Laboratorios Droguería INTI SA: Competitive Position 2008