OTC Healthcare in Russia
Euromonitor International's OTC Healthcare in Russia 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: 138 | Publication date: Sep 2008
Why buy this report
- 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
DLO crises causes stagnation in the Russian pharmaceutical market
Somewhat unexpectedly, the Russian pharmaceutical market experienced sluggish growth in 2007 due to recent policy moves by the government that negatively impacted the market. The government’s decision in October 2006 to severely cut the number of higher priced, imported medicines in favour of local preparations within the DLO reimbursement programme affected overall pharmaceutical market numbers in 2007. Moreover, in November 2006, a sensational corruption scandal broke out forcing the resignation of the Minister of Health and which posed serious questions about the management of DLO (state-run beneficiary drug provision programme) and insurance funds. As a result, the Russian pharmaceutical market recorded 11% growth in 2007, negatively influenced by the DLO segment. Hospital sales recorded decent growth of 18% in 2007 while OTC healthcare was less affected by these unfavourable developments and which continued its rapid development over the review period. In fact, it remained one of the major driving forces of the overall Russian pharmaceutical market.
New registration rules lead to cuts in imports
New administrative norms regarding the registration of medicines in Russia have been in place since 1 January 2007. During the three months of the transition period, a declarant had the right to choose the compliance confirmation form – either obligatory certification or safety compliance declaration for each drug lot while coming through the customs. This meant that the responsibility for drug quality and authenticity has been unambiguously placed with manufacturers. OTC healthcare players predicted possible difficulties in the registration of the medicines of foreign companies. This resulted in maximum drug imports to Russia in December 2006 but particularly during the last quarter of 2006. Following this overstocking the first six months of 2007 witnessed a cut on imports and drug imports recorded modest growth of only 6%.
Generics continues to be predominant in Russia
Generics will continue dominating in terms of industry share over the forecast period while innovation in drugs will have a lower priority, being primarily procured by state supported programmes. The most prolific in terms of innovation are in drugs classified under the reimbursement sector (DLO). According to industry experts, innovative medicines account for 17% in the hospital segment and just 8% in the commercial segment. The share of innovative drugs on the overall pharmaceutical market in Russia will not exceed 15% over the first two years of the forecast period due to contraction of innovative preparations in the DLO list.
Domestic pharmaceutical giant among the market leaders
Foreign producers lead in terms of advanced pharmaceuticals with only one local company being capable of competing with its international rivals. In 2007, only one Russian firm, Pharmstandard, was listed among the top 15 OTC manufacturers in Russia as it chose an aggressive merger and acquisition strategy to increase its presence in the market. The domestic pharmaceutical market tends to consolidate across all the sectors: production, wholesale and retail.
Opportunities for growth
Despite all the challenges, the Russian pharmaceutical industry projects a promising future with the markets for branded drugs and over the counter drugs on the rise. The OTC market in Russia has potential for growth to develop in value rather than in volume terms due to switches to more expensive drugs. Moreover, Russia appears set to liberalise the insurance market as part of its deal securing US support for World Trade Organization (WTO) accession, allowing foreign insurers to operate independently in the Russian market for the first time. This will drive growth in the Russian market for private health insurance and encourage greater consumption of imported medicines. Russia’s GDP will continue to grow at an expected average of 6% between 2006 and 2010 boosting consumer spending power.
Table of contents
OTC HEALTHCARE IN RUSSIA : MARKET INSIGHT
EXECUTIVE SUMMARY
DLO crises causes stagnation in the Russian pharmaceutical market
New registration rules lead to cuts in imports
Generics continues to be predominant in Russia
Domestic pharmaceutical giant among the market leaders
Opportunities for growth
KEY TRENDS AND DEVELOPMENTS
Lifestyles improve, although life expectancy remains low
Self-medication
Growth enabled by many mergers and acquisitions
Private label gains ground
Retailer chains record intensive and extensive growth
CITY KEY TRENDS AND DEVELOPMENTS
Moscow
St Petersburg
MARKET INDICATORS
Table 1 Consumer Expenditure on Health Goods and Medical Services 2002-2007
Table 2 Life Expectancy at Birth 2002-2007
MARKET DATA
Table 3 Sales of OTC Healthcare by Sector: Value 2002-2007
Table 4 Sales of OTC Healthcare by Sector: % Value Growth 2002-2007
Table 5 Sales of OTC Healthcare by City: Value 2002-2007
Table 6 Sales of OTC Healthcare by City: % Value Growth 2002-2007
Table 7 OTC Healthcare Company Shares by Value 2003-2007
Table 8 OTC Healthcare Brand Shares by Value 2004-2007
Table 9 Sales of OTC Healthcare by Distribution Format: % Analysis 2002-2007
Table 10 Sales of OTC Healthcare by Sector and Distribution Format: % Analysis 2007
Table 11 Forecast Sales of OTC Healthcare by Sector: Value 2007-2012
Table 12 Forecast Sales of OTC Healthcare by Sector: % Value Growth 2007-2012
Table 13 Forecast Sales of OTC Healthcare by City: Value 2007-2012
Table 14 Forecast Sales of OTC Healthcare by City: % Value Growth 2007-2012
APPENDIX
OTC Registration and Classification
De-listing or De-reimbursement
Advertising
Packaging and Labelling
Vitamins and dietary supplements registration and classification
Generics
Switches
Summary 1 OTC Healthcare Switches 2007
DEFINITIONS
Summary 2 Research Sources
LOCAL COMPANY PROFILES - RUSSIA
AKRIKHIN OAO - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 3 Akrikhin OAO: Key Facts
Summary 4 Akrikhin OAO: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 5 Akrikhin OAO: Competitive Position 2007
BERLIN CHEMIE RUSSIA - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 6 Berlin Chemie/ Menarini Group: Key Facts
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 7 Berlin Chemie/Menarini group : Competitive Position 2007
GLAXOSMITHKLINE PLC - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 8 GlaxoSmithKline PLC: Key Facts
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 9 GlaxoSmithKline PLC: Competitive Position 2007
NOVARTIS AG - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 10 Novartis AG : Key Facts
Summary 11 Novartis AG: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 12 Novartis AG: Competitive Position 2007
OTECHESTVENNYE LEKARSTVA OAO - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 13 Otechestvennye Lekarstva Holding: Key Facts
Summary 14 Otechestvennye Lekarstva Holding: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 15 Otechestvennye Lekarstva Holding: Competitive Position 2007
PHARMSTANDARD GROUP - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 16 Pharmstandard Group: Key Facts
Summary 17 Pharmstandard Group: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 18 Pahrmstandard Group : Production Statistics 2007
COMPETITIVE POSITIONING
Summary 19 Pharmstandard: Competitive Position 2007
RANBAXY LABORATORIES LTD - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 20 Ranbaxy Laboratories limited: Key Facts
Summary 21 Ranbaxy Laboratories limited: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 22 Ranbaxy ZAO: Competitive Position 2007
SANOFI-AVENTIS - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 23 Sanofi-Aventis: Key Facts
Summary 24 Sanofi-Aventis: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 25 Sanofi-Aventis: Competitive Position 2007
STADA ARZNEIMITTEL AG - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 26 Stada Arzneimittel AG: Key Facts
Summary 27 Stada Arzneimittel AG: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 28 Stada Arzneimittel AG: Competitive Position 2007
VEROPHARM ZAO - OTC HEALTHCARE - RUSSIA
STRATEGIC DIRECTION
KEY FACTS
Summary 29 Veropharm OAO: Key Facts
Summary 30 Veropharm OAO: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 31 Veropharm OAO: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 32 Veropharm OAO: Competitive Position 2007
ANALGESICS IN RUSSIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 15 Sales of Analgesics by Subsector: Value 2002-2007
Table 16 Sales of Analgesics by Subsector: % Value Growth 2002-2007
Table 17 Herbal vs Standard Topical Analgesics 2002-2007
Table 18 Topical Analgesics by Format: % Value Breakdown 2004-2007
Table 19 Analgesics Company Shares by Value 2003-2007
Table 20 Analgesics Brand Shares by Value 2004-2007
Table 21 Forecast Sales of Analgesics by Subsector: Value 2007-2012
Table 22 Forecast Sales of Analgesics by Subsector: % Value Growth 2007-2012
COUGH, COLD AND ALLERGY (HAY FEVER) REMEDIES IN RUSSIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 23 Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: Value 2002-2007
Table 24 Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: % Value Growth 2002-2007
Table 25 Sales of Decongestants by Type: Value 2002-2007
Table 26 Sales of Decongestants by Type: % Value Growth 2002-2007
Table 27 Sales of Child-specific Cough, Cold and Allergy (Hay Fever) Remedies by Type: Value 2002-2007
Table 28 Sales of Child-specific Cough, Cold and Allergy (Hay Fever) Remedies by Type: % Value Growth 2002-2007
Table 29 Herbal vs Standard Cough, Cold and Allergy (Hay Fever) Remedies 2002-2007
Table 30 Cough, Cold and Allergy (Hay Fever) Remedies Company Shares by Value 2003-2007
Table 31 Cough, Cold and Allergy (Hay Fever) Remedies Brand Shares by Value 2004-2007
Table 32 Forecast Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: Value 2007-2012
Table 33 Forecast Sales of Cough, Cold and Allergy (Hay Fever) Remedies by Subsector: % Value Growth 2007-2012
DIGESTIVE REMEDIES IN RUSSIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 34 Sales of Digestive Remedies by Subsector: Value 2002-2007
Table 35 Sales of Digestive Remedies by Subsector: % Value Growth 2002-2007
Table 36 Herbal vs Standard Digestive Remedies 2002-2007
Table 37 Digestive Remedies Company Shares by Value 2003-2007
Table 38 Digestive Remedies Brand Shares by Value 2004-2007
Table 39 Forecast Sales of Digestive Remedies by Subsector: Value 2007-2012
Table 40 Forecast Sales of Digestive Remedies by Subsector: % Value Growth 2007-2012
MEDICATED SKIN CARE IN RUSSIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 41 Sales of Medicated Skin Care by Subsector: Value 2002-2007
Table 42 Sales of Medicated Skin Care by Subsector: % Value Growth 2002-2007
Table 43 Herbal vs Standard Medicated Skin Care 2002-2007
Table 44 Acne Treatments by Format: % Value Breakdown 2004-2007
Table 45 Medicated Skin Care Company Shares by Value 2003-2007
Table 46 Medicated Skin Care Brand Shares by Value 2004-2007
Table 47 Acne Treatments Brand Shares by Value 2004-2007
Table 48 Forecast Sales of Medicated Skin Care by Subsector: Value 2007-2012
Table 49 Forecast Sales of Medicated Skin Care by Subsector: % Value Growth 2007-2012
VITAMINS AND DIETARY SUPPLEMENTS IN RUSSIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 50 Sales of Vitamins and Dietary Supplements by Subsector: Value 2002-2007
Table 51 Sales of Vitamins and Dietary Supplements by Subsector: % Value Growth 2002-2007
Table 52 Sales of Vitamins by Type: Value 2002-2007
Table 53 Sales of Vitamins by Type: % Value Growth 2002-2007
Table 54 Sales of Dietary Supplements by Type: Value 2002-2007
Table 55 Sales of Dietary Supplements by Type: % Value Growth 2002-2007
Table 56 Folic Acid v Other B Vitamins 2004-2007
Table 57 Dietary Supplements by Positioning 2006-2007
Table 58 Vitamins and Dietary Supplements Company Shares by Value 2003-2007
Table 59 Vitamins and Dietary Supplements Brand Shares by Value 2004-2007
Table 60 Vitamins Brand Shares by Value 2004-2007
Table 61 Dietary Supplements Brand Shares by Value 2004-2007
Table 62 Forecast Sales of Vitamins and Dietary Supplements by Subsector: Value 2007-2012
Table 63 Forecast Sales of Vitamins and Dietary Supplements by Subsector: % Value Growth 2007-2012
NRT SMOKING CESSATION AIDS IN RUSSIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR INDICATORS
Table 64 Number of Smokers by Gender 2002-2007
SECTOR DATA
Table 65 Sales of Smoking Cessation Aids by Subsector: Value 2002-2007
Table 66 Sales of Smoking Cessation Aids by Subsector: % Value Growth 2002-2007
Table 67 NRT Gum Flavours 2006-2007
Table 68 Smoking Cessation Aids Company Shares by Value 2003-2007
Table 69 Smoking Cessation Aids Brand Shares by Value 2004-2007
Table 70 Forecast Sales of Smoking Cessation Aids by Subsector: Value 2007-2012
Table 71 Forecast Sales of Smoking Cessation Aids by Subsector: % Value Growth 2007-2012
EYE CARE IN RUSSIA
TRENDS
SECTOR DATA
Table 72 Sales of Eye Care by Subsector: Value 2002-2007
Table 73 Sales of Eye Care by Subsector: % Value Growth 2002-2007
Table 74 Standard Eye Care by Type 2007
Table 75 Eye Care Company Shares by Value 2003-2007
Table 76 Eye Care Brand Shares by Value 2004-2007
Table 77 Forecast Sales of Eye Care by Subsector: Value 2007-2012
Table 78 Forecast Sales of Eye Care by Subsector: % Value Growth 2007-2012
EAR CARE IN RUSSIA
TRENDS
SECTOR DATA
Table 79 Sales of Ear Care: Value 2002-2007
Table 80 Sales of Ear Care: % Value Growth 2002-2007
Table 81 Ear Care Company Shares by Value 2003-2007
Table 82 Ear Care Brand Shares by Value 2004-2007
Table 83 Forecast Sales of Ear Care: Value 2007-2012
Table 84 Forecast Sales of Ear Care: % Value Growth 2007-2012
ADULT MOUTH CARE IN RUSSIA
TRENDS
SECTOR DATA
Table 85 Sales of Adult Mouth Care: Value 2002-2007
Table 86 Sales of Adult Mouth Care: % Value Growth 2002-2007
Table 87 Adult Mouth Care Company Shares by Value 2003-2007
Table 88 Adult Mouth Care Brand Shares by Value 2004-2007
Table 89 Forecast Sales of Adult Mouth Care: Value 2007-2012
Table 90 Forecast Sales of Adult Mouth Care: % Value Growth 2007-2012
CALMING AND SLEEPING PRODUCTS IN RUSSIA
TRENDS
SECTOR DATA
Table 91 Sales of Calming and Sleeping Products: Value 2002-2007
Table 92 Sales of Calming and Sleeping Products: % Value Growth 2002-2007
Table 93 Calming and Sleeping Products Company Shares by Value 2003-2007
Table 94 Calming and Sleeping Products Brand Shares by Value 2004-2007
Table 95 Forecast Sales of Calming and Sleeping Products: Value 2007-2012
Table 96 Forecast Sales of Calming and Sleeping Products: % Value Growth 2007-2012
WOUND TREATMENTS IN RUSSIA
TRENDS
SECTOR DATA
Table 97 Sales of Wound Treatments by Subsector: Value 2002-2007
Table 98 Sales of Wound Treatments by Subsector: % Value Growth 2002-2007
Table 99 Wound Treatments Company Shares by Value 2003-2007
Table 100 Wound Treatments Brand Shares by Value 2004-2007
Table 101 Forecast Sales of Wound Treatments by Subsector: Value 2007-2012
Table 102 Forecast Sales of Wound Treatments by Subsector: % Value Growth 2007-2012
EMERGENCY CONTRACEPTION IN RUSSIA
TRENDS
SECTOR DATA
Table 103 Sales of Emergency Contraception: Value 2002-2007
Table 104 Sales of Emergency Contraception: % Value Growth 2002-2007
Table 105 Forecast Sales of Emergency Contraception: Value 2007-2012
Table 106 Forecast Sales of Emergency Contraception: % Value Growth 2007-2012