An online pharmacy, known as an Internet pharmacy, operates using the Internet as its primary platform. It fulfills customer orders by mail, shipping firms, or an online pharmacy web portal. The principal distinction between legitimate mail-order pharmacies and local pharmacies is in the processes of medicine procurement and delivery. Several online pharmacies exclusively provide prescription pharmaceuticals to customers with valid prescriptions. However, there are a few instances when this requirement is not enforced due to variations in national regulations.
Chronic diseases are the primary reason of death worldwide, per the WHO. For example, cardiovascular disease causes approximately 18.01 million fatalities annually worldwide. In such instances, online pharmacies are indispensable. The required patient medications are ordered through an online pharmacy and delivered quickly. This will increase the demand for online pharmacies, as patients can receive medications at their doorsteps with minimal inconvenience.
Additionally, multiple studies estimate that more than 46 million older individuals in the United States are 65 years or older. This number is projected to reach nearly 90 million by 2050. This increase in the elderly population is anticipated to increase demand for online pharmacies.
Online pharmacies can increase their market share by collaborating with health and medical technology companies. For instance, online health consulting firms can form partnerships with online pharmacies where patients can purchase discounted medications from partnered pharmacies. This will make it easier for patients to transmit their prescriptions to another online pharmacy or to visit a pharmacy physically.
Additionally, many large insurance companies have partnered with online pharmacies to provide coverage for their outpatient departments due to their e-billing and monitoring capabilities. Online pharmacies partner with insurance companies and corporations to acquire consumers and employees. This is anticipated to generate growth opportunities for the online pharmacy market shortly.
North America is the most significant global online pharmacy market shareholder and is anticipated to exhibit a CAGR of 16.92% during the forecast period. The growth is predicted to be driven by the rising Internet and smartphone usage prevalence. The profitability of e-commerce services, such as online pharmacies, is significantly dependent on the Internet. In addition, the development of the online pharmacy market in North America can be ascribed to the surged investments and sponsorships of online pharmacies in North American nations. Pocket Pills, a Canadian online pharmacy, raised USD 7.35 million in new funding in February 2020 to expand its national reach by establishing distribution centers in Nova Scotia, Scotland, and Quebec.
Furthermore, the rise of e-prescribing technology is anticipated to enable online pharmacy service providers to grow their customer base and improve service quality. For example, all prescribers in Virginia, USA, must prescribe electronically monitored medications as of July 1, 2020, per HOUSE BILL 2165, enacted by the Virginia legislature.