Paediatric Consumer Health in Lithuania

2021 DEVELOPMENTS

Sales growth nearly stagnates in 2021, in parallel to the corresponding adult OTC categories

Growth of paediatric consumer health in current retail value sales terms continues to decelerate and almost stagnates during 2021. Moreover, paediatric acetaminophen is the most affected with a steep decline in sales growth, followed by paediatric cough/cold remedies and paediatric ibuprofen.

Lockdowns and social distancing leads to fewer cases of cold and flu in 2021, negatively affecting paediatric cough/cold remedies

Lockdowns and staying at home, socialising less often, social distancing and increased hand washing, and sanitising is resulting in fewer cases of colds and flu in both 2020 and 2021. Consequently, paediatric cough/cold remedies is negatively affected thanks to children being healthier.

International companies benefit from economies of scale and large budgets in 2021

Paediatric consumer health is dominated by international players in Lithuania. These companies benefit from significant economies of scale in terms of research and development, manufacturing and marketing, as well as negotiating power.

PROSPECTS AND OPPORTUNITIES

Economic rebound from pandemic likely to assist in sales growth during the forecast period

Growth of paediatric consumer health in constant retail value sales terms is set to increase in 2022 and slow marginally thereafter. Maturation will be a factor in this, as will the accelerating decline in the number of babies and young children in Lithuania.

Parents likely to continue strengthening their children’s immune systems during the forecast period

During the pandemic in 2020 and 2021, parents attempted to strengthen their children’s immune systems by giving them paediatric vitamins and dietary supplements. As a result, this category sees the strongest constant retail value sales growth in 2021.

Price increases will benefit sales but not volume growth during the forecast period

As the pandemic worsened Lithuania’s birth rates, volume sales of paediatric cough, cold and allergy remedies are not expected to reach pre-pandemic levels before 2026. However, as global consumer health products’ prices are rising, paediatric cough, cold and allergy remedies is anticipated to recover in 2025 already thanks to the expected increase in these products’ prices in Lithuania.