Asia Pacific Pharmacy Automation Market by Product Type (Dispensing, Storage - Robotic, Carousel, Cabinet), Packaging & Labelling, Table top, Medication Compounding], End User (Inpatient, Outpatient, Hospital Retail, PBM, Mail-order) & Country - Global Forecast to 2028
The global asia pacific pharmacy automation market in terms of revenue was estimated to be worth $496 million in 2023 and is poised to reach $763 million by 2028, growing at a CAGR of 9.0% from 2023 to 2028. The new research study consists of an industry trend analysis of the market. The new research study consists of industry trends, pricing analysis, patent analysis, conference and webinar materials, key stakeholders, and buying behaviour in the market. The significant growth potential in emerging markets such as China, India, Japan, Singapore, India, growing focus on automation to reduce labour costs, and increasing speciality drug dispensing are some of the critical factors offering opportunities to the market.
However, lack of technical expertise and high cost of implementation are key factors challenging the growth of the Asia Pacific pharmacy automation market.
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Asia Pacific pharmacy automation Market Dynamics
Driver: Technological advancements and integration with healthcare systems
Technological advancements and integration with healthcare systems play a vital role in driving the adoption of pharmacy automation in the Asia Pacific region. The rapid progress in automation technologies, such as robotics, artificial intelligence (AI), and machine learning, has revolutionized the capabilities of pharmacy automation systems. These advancements enable sophisticated medication dispensing, automated inventory management, robotic prescription filling, and intelligent medication verification processes. With high-speed robotic systems, pharmacies can achieve precise medication counting and reduce the risk of errors. AI and machine learning algorithms optimize inventory management, predict medication demand, and improve overall workflow efficiency. Integration with hospital information systems enables seamless prescription verification, real-time inventory tracking, and efficient medication distribution within the hospital. Improved interoperability and data exchange standards further enhance the integration of pharmacy automation with healthcare systems. Common standards like Health Level Seven (HL7) facilitate the seamless exchange of patient data, medication orders, and medication-related information, reducing manual data entry and enhancing patient safety. Furthermore, the integration of pharmacy automation with healthcare systems leads to enhanced workflow efficiency and cost savings. Additionally, electronic billing and claims processing capabilities improve revenue cycle management for pharmacies and healthcare providers.
Restraint: Lack of skilled personnel
The pharmacy automation industry in the Asia Pacific region is constantly evolving with advancements in automation technologies. Highly skilled professionals must keep pace with these continuing changes. Experienced professionals must know how to utilize and handle technical systems like automated dispensing cabinets and automated packaging systems to ensure safety, efficacy, and accuracy during the medication dispensing process. Many countries face the issue of insufficiently skilled pharmacy professionals. The adoption of automation in pharmacies has saved time and minimized errors associated with dispensing prescriptions. On the other hand, some countries are experiencing a substantial deficit of untapped human capital due to insufficient education and training. This shortage of skilled professionals may hamper the adoption of automation in pharmacies, thereby limiting the growth of the Asia Pacific pharmacy automation market.
Opportunity: Increasing awareness among pharmacists
The systems for managing medicines have remained unchanged for decades, while medications have increased in number and complexity, resulting in a potentially more significant risk for error. In addition, with the traditional methods of operation within pharmacies, pharmacists have witnessed various issues such as increased medication errors and growing patient waiting times due to the increasing patient load. Owing to this, pharmacists have now started implementing technologically advanced automation solutions in pharmacies. These solutions help address the prevailing issues regarding capacity & inventory management and ensure minimization of dispensing and medication errors. Thus, rising awareness regarding the effective management of pharmacy workloads through automated systems is expected to provide significant growth opportunities for the pharmacy automation market across the Asia Pacific region.
Challenge: Risk of cross-contamination
The risk of drug-drug cross-contamination in drug dispensing robots in hospital pharmacies causes serious concern. The possibility of medication cross-contamination during automated pill counting is becoming a major safety concern across healthcare facilities and pharmacies. Manufacturers of semi-automated and fully automated counting technology systems used by various end users now consider cross-contamination a major issue. Pill residues present in drug dispensing robots are not always the residue of one drug but are a mixture of dust from many drugs stored in the machine. Residue from pills is sometimes very harmful, especially from chemotherapy drugs, which can be toxic. Similarly, drugs like penicillin and sulfides can trigger severe allergic reactions.
One machine processing many different medications must be cleaned between operations to avoid cross-contamination. Currently, this task falls to the pharmacy staff, making them reluctant to adopt such systems in-house. However, pharmacy automation providers are currently incorporating innovative technologies into these systems to overcome the challenge of cross-contamination. For instance, the ScriptPro SP series of robotic prescription dispensing systems do not use air pressure or a vacuum to move pills. Instead, the system fills vials directly from the dispensing cells.
Asia Pacific Pharmacy Automation Market Ecosystem
The ecosystem market map of the Asia Pacific pharmacy automation market comprises the elements present in this market and defines these elements with a demonstration of the bodies involved. The end users of pharmacy automation solutions include inpatient hospital pharmacies, outpatient pharmacies, retail pharmacies, benefit organizations, and mail-order pharmacies. The manufacturers of pharmacy automation solutions include the organizations involved in the entire process of research, product development, optimization, and launch.
Source: Secondary Literature, Interviews with Experts, and MarketsandMarkets Analysis
Centralized pharmacies segment accounted to hold a significant share of asia pacific pharmacy automation industry, by application/operation
Centralized pharmacies segment accounted to hold a significant share of asia pacific pharmacy automation market, by application/operation. The growth of this segment is accounted to the advantages offered by these type of systems such as reduced inventory costs, streamlined workflows, and reduced expenses. The growing need to optimize inventory levels to reduce stock-outs, minimize errors related to manual stocking, and improve drug shortage management is a key factor driving the growth of this segment.
Acute care systems segment accounted for a considerable share in the Asia Pacific pharmacy automation industry, for inpatient pharmacies, by type in 2022”
In 2022, the acute care systems segment accounted for a considerable share in the Asia Pacific pharmacy automation market, for inpatient pharmacies, by type. The large share of this segment can be attributed to the minimized losses associated with pilferage, misuse, and other missing charges by using automated pharmacy systems. Also, most healthcare insurers cover expenses for acute care services provided at hospitals. Hence, with the expanding insurance coverage across Asian countries, the workload in acute care systems is expected to increase and drive health service utilization. Consequently, the demand for better pharmacy management will grow and support the adoption of automation in acute care.
Australia dominated the Asia Pacific pharmacy automation industry in 2022
Australia accounted for the largest share of the Asia Pacific pharmacy automation market. The large share of Australia can be attributed to the developed infrastructure and growth in the demand for digitalized technologies across the country drive the implementation of different analytical solutions among pharmacies. Additionally, the presence of well-equipped hospitals and other healthcare facilities further drives the demand for and adoption of advanced solutions such as pharmacy automation systems in Australia.
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Prominent companies in this market include Becton, Dickinson and Company (BD) (US), Yuyama Co., Ltd/Yuyama Mfg Co., Ltd (Japan), Omnicell, Inc. (US), KUKA AG (Swisslog Healthcare) (Germany), TOSHO Co, Inc. (Japan), Oracle Corporation (US), TouchPoint Medical Solutions (US), Takazono Corporation (Japan), Capsa Healthcare (US), ARxIUM, Inc. (US), Mckesson Corporation (US), ATS Corporation (Canada), ScriptPro LLC (US), Hanmi Pharma Co., Ltd. (South Korea), NIHON CHOUZAI Co., Ltd. (Japan), and GETECH (Singapore).
Scope of the Asia Pacific Pharmacy Automation Industry
|
Report Metric |
Details |
|
Market Revenue in 2023 |
$496 million |
|
Projected Revenue by 2028 |
$763 million |
|
Revenue Rate |
Poised to Grow at a CAGR of 9.0% |
|
Market Driver |
Technological advancements and integration with healthcare systems |
|
Market Opportunity |
Increasing awareness among pharmacists |
The study categorizes the Asia Pacific pharmacy automation market to forecast revenue and analyze trends in each of the following submarkets:
By Product
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Automated Medication Dispensing and Storage Systems
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Automated Medication Dispensing and Storage Systems, by Type
- Robots/robotic automated dispensing systems
- Carousels
- Automated Dispensing Cabinets
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Automated Medication Dispensing and Storage Systems, by Application/Operation
- Centralized Pharmacies
- Decentralized Pharamcies
-
Automated Medication Dispensing and Storage Systems, by Type
- Automated Packaging & Labelling Systems
- Automated Table-top Counters
- Automated Medication Compounding Systems
- Other Pharmacy Automation Systems
By End User
-
Inpatient Pharmacies
- Acute Care Systems
- Long-term Care Facilities
-
Outpatient Pharmacies
- Outpatient/Fast-track Clinics
- Hospital Retail Settings
- Retail Pharmacies
- Pharmacy Benefit Management Organizations and Mail-order Pharmacies
By Country
- Australia
- Japan
- China
- India
- South Korea
- Singapore
- Thailand
- Malaysia
- HongKong
- Vietnam
- Philippines
- Indonesia
- Bangladesh
- Rest of Asia Pacific
Recent Developments of Asia Pacific Pharmacy Automation Industry
- In October 2022, Omnicell launched Specialty Pharmacy Services to help health systems establish and optimize specialty pharmacy programs. The offering aimed to improve access to specialty medications, generate financial outcomes through a value-based service model, and provide comprehensive technology and expertise for medication management.In July 2022, BD acquired MedKeeper, a provider of cloud-based pharmacy management applications. This acquisition strengthens BD's presence in the pharmacy sector and enhances its medication management capabilities, particularly in the preparation of compounded medications.
- In June 2022, Oracle Corporation completed the acquisition of Cerner Corporation, with approximately 69.2% of Cerner's outstanding shares being tendered. The acquisition aimed to revolutionize the healthcare industry by combining clinical capabilities with enterprise platforms, analytics, and automation expertise.
Frequently Asked Questions (FAQ):
What is the projected market revenue value of the global asia pacific pharmacy automation market?
The global asia pacific pharmacy automation market boasts a total revenue value of $763 million by 2028.
What is the estimated growth rate (CAGR) of the global asia pacific pharmacy automation market?
The global asia pacific pharmacy automation market has an estimated compound annual growth rate (CAGR) of 9.0% and a revenue size in the region of $496 million in 2023.
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This research study involved the extensive use of both primary and secondary sources. It involved the study of various factors affecting the industry to identify the segmentation types, industry trends, key players, the competitive landscape of market players, and key market dynamics such as drivers, opportunities, challenges, restraints, and key player strategies.
Secondary Research
This research study involved the wide use of secondary sources, directories, databases such as Dun & Bradstreet, Bloomberg Businessweek, and Factiva, white papers, annual reports, and companies’ house documents, investor presentations; and the SEC filings of companies. Secondary research was used to identify and collect information useful for an extensive, technical, market-oriented, and commercial study of the LIMS market. It was also used to obtain important information about the key players and market classification & segmentation according to industry trends to the bottom-most level and key developments related to market and technology perspectives. A database of the key industry leaders was also prepared using secondary research.
Primary Research
In the primary research process, various sources from both the supply and demand sides were interviewed to obtain qualitative and quantitative information for this report. Primary sources are mainly industry experts from the core and related industries and preferred suppliers, manufacturers, distributors, technology developers, researchers, and organizations related to all segments of this industry’s value chain. In-depth interviews were conducted with various primary respondents, including key industry participants, subject-matter experts (SMEs), C-level executives of key market players, and industry consultants, among other experts, to obtain and verify the critical qualitative and quantitative information as well as assess prospects.
Primary research was conducted to identify segmentation types; industry trends; key players; and key market dynamics such as drivers, restraints, opportunities, challenges, industry trends, and strategies adopted by key players.
A breakdown of the primary respondents is provided below:
*Others include sales managers, marketing managers, and product managers.
Note: Tiers are defined based on a company’s total revenue, as of 2020: Tier 1 = >USD 1 billion, Tier 2 = USD 500 million to USD 1 billion, and Tier 3 = <USD 500 million.
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
The total size of the APAC pharmacy automation market was arrived at after data triangulation from three different approaches, as mentioned below. After each approach, the weighted average of the three approaches was taken based on the level of assumptions used in each approach. The market size estimates and forecasts provided in this study are derived through a mix of the bottom-up approach (revenue share analysis of leading players) and top-down approach (assessment of utilization/adoption/penetration trends, by product, end user, and country).
Global Asia Pacific pharmacy automation Market Size: Top-Down Approach
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Supply Side Analysis (Revenue Share Analysis)
The size of the Asia Pacific pharmacy automation market was arrived at by using the revenue share analysis of leading players. The methodology used is as given below:
- Revenues for individual companies were gathered from public sources and databases.
- Shares of leading players in the Asia Pacific pharmacy automation market were gathered from secondary sources to the extent available. In some instances, shares of Asia Pacific pharmacy automation businesses have been ascertained after a detailed analysis of various parameters, including product portfolios, market positioning, selling price, and geographic reach & strength.
- Individual shares or revenue estimates were validated through interviews with experts.
The total revenue in the Asia Pacific pharmacy automation market was determined by extrapolating the Market share data of major companies.
Market Definition
Pharmacy automation refers to a variety of systems and software solutions designed to increase the productivity of pharmacies and the precision of the medication compounding process by reducing human intervention. Automated systems mechanize various procedures in pharmacies, including the storage, packaging, dispensing, pickup, delivery, and distribution of drugs.
Key Stakeholders
- Pharmacy automation system vendors/service providers
- Pharmacy automation system manufacturers
- Healthcare institutions (hospitals, medical schools, diagnostic centers, and outpatient clinics)
- Venture capitalists and investors
- Healthcare IT service providers
- Research and consulting firms
- Government agencies
- Academic research institutes
Objectives of the Study
- To define, describe, and forecast the global Asia Pacific pharmacy automation market based on product, end user, and country
- To provide detailed information regarding the major factors influencing the growth of the market (drivers, restraints, opportunities, and challenges)
- To strategically analyze micromarkets1 with respect to individual growth trends, prospects, and contributions to the overall market
- To analyze the opportunities in the market for stakeholders and provide details of the competitive landscape for market leaders
- To estimate the market size and growth potential of the pharmacy automation market in the Asia Pacific region
- To profile key market players and comprehensively analyze their product portfolios, market positions, and core competencies3
- To track and analyze competitive developments such as acquisitions; product launches and upgrades; expansions; agreements, partnerships, and acquisitions; and R&D activities in the Asia Pacific pharmacy automation market
- To benchmark players within the Asia Pacific pharmacy automation market using the competitive leadership mapping framework, which analyzes market players on various parameters within the broad categories of business strategy, market share, and product offering
Available Customizations
With the given market data, MarketsandMarkets offers customizations as per your company’s specific needs. The following customization options are available for the report:
Company Information
- Detailed analysis and profiling of additional market players (up to 5)
Generating Response ...
Growth opportunities and latent adjacency in Asia Pacific Pharmacy Automation Market