GCC E-Pharmacy Industry Analysis and Research Report

GCC E-Pharmacy Market Size and Share:

The GCC e-pharmacy market size was valued at USD 2.37 Million in 2024. Looking forward, IMARC Group estimates the market to reach USD 9.44 Million by 2033, exhibiting a CAGR of 15.4% from 2025-2033. The market is primarily driven by ongoing AI integration for personalized healthcare and operational efficiency, growing telemedicine adoption for seamless virtual consultations and prescription delivery, and rise in subscription-based models offering convenience, cost savings, and improved medication adherence.

Increasing internet penetration and a high percentage of smartphone usage drive the GCC e-pharmacy market, with smooth access to medications and healthcare products. DataReportal shows that as of early 2024, UAE had 9.46 million internet users representing 99% penetration, and 10.73 million social media users account for 112% of the population. Furthermore, the country had 20.96 million cellular connections, or 219.4% of the total population. The growing incidences of chronic diseases such as diabetes and cardiovascular diseases is driving prescription management efficiency. Government-backed digitization of healthcare initiatives as well as the adoption of telemedicine services are further fueling market growth. The growing demands for over the counter (OTC) products and wellness supplements continue to expand its scope.

In addition to this, rising healthcare costs and increasing pressure on traditional pharmacies are driving the adoption of e-pharmacies for cost-effective, efficient solutions. The convenience of door-to-door delivery, automated prescription refills, and secure digital payments is improving patient satisfaction. Continual technological advancements, such as AI-driven analytics and blockchain for data security, streamline operations and enhance consumer trust. On October 10, 2024, Emirates Health Services (EHS) launched four robotic pharmacies and the region's first smart drug self-dispensing system, augmenting e-pharmacy efficiency, and patient safety. Additionally, EHS’s Metaverse-based telemedicine offers advanced virtual healthcare solutions. Moreover, growing demand for preventive healthcare, vitamins, and wellness products, along with strategic partnerships, further strengthens the GCC e-pharmacy market’s growth trend.

GCC E-Pharmacy Market Trends:

Rise of Telemedicine Integration

A significant trend in the GCC e-pharmacy market is the rise of telemedicine integration with online pharmacy platforms. Patients can consult healthcare providers virtually and receive prescriptions directly through e-pharmacy applications, enhancing accessibility, especially for remote population and chronic disease management. Telemedicine partnerships allow e-pharmacies to expand their customer base and deliver comprehensive digital healthcare solutions. For example, on January 29, 2024, e& enterprise and Burjeel Holdings announced collaborations to transform UAE healthcare through a cloud-based telemedicine project and a strategic MoU. The partnership focuses on telehealth solutions, remote patient monitoring, and sustainable healthcare practices, improving access, operational efficiency, and care quality. Supported by government initiatives promoting digital transformation, telemedicine integration ensures timely consultations, optimized treatment plans, and reduced reliance on traditional pharmacies, advancing healthcare delivery across the GCC region.

Growing Adoption of Subscription-Based Models

The increasing adoption of subscription-based models is transforming the GCC e-pharmacy landscape by offering convenience and cost savings for patients requiring regular medications. These models provide automated prescription refills and scheduled deliveries, ensuring medication adherence and improving patient outcomes. Subscription plans often come with discounts, loyalty programs, and personalized healthcare services, encouraging customer retention. This trend is particularly relevant for patients managing chronic illnesses like diabetes and cardiovascular conditions. Additionally, subscription services streamline inventory management for e-pharmacies, enhancing operational efficiency. As consumers seek reliable, hassle-free solutions, subscription-based models are gaining traction, positioning e-pharmacies as essential healthcare providers in the GCC market.

Rapid Integration of Artificial Intelligence (AI) and Machine Learning

The increasing integration of artificial intelligence (AI) and machine learning is a significant trend shaping the GCC e-pharmacy market. AI-driven systems facilitate advanced analytics to predict consumer preferences, optimize inventory management, and streamline delivery operations. These technologies provide personalized healthcare experiences by offering tailored recommendations based on purchase history and health data. On November 28, 2023, PureHealth launched Dawak, a digital pharmacy platform in the UAE, enhancing medication access, refills, and delivery. Initially for SEHA patients, Dawak promotes adherence with timely reminders, sealed dosage packs, and pharmacist consultations, aligning with Abu Dhabi's digital transformation goals. AI further ensures efficient prescription verification and fraud detection, boosting operational accuracy. As AI shifts, its role in automating workflows, enhancing customer satisfaction, and improving decision-making processes will continue to expand across the region.

GCC E-Pharmacy Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the GCC e-pharmacy market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on drug type, therapy area, and platform.

Analysis by Drug Type:

• Over the Counter (OTC) Drugs
• Prescription Drugs
   

The over the counter (OTC) drug market is highly expanding given increasing consumer preference towards convenience and accessibility. OTC drugs, which do not need a prescription, are readily available on online platforms that enable consumers to buy medications for minor complaints such as headaches, colds, and allergies. Increasing self-medication trends and greater health awareness among the masses are also fueling this segment. Further, availability of multiple wellness and preventive health-related products, including supplements, vitamins, is helping drive up demand for over-the-counter medication in the region.

Prescription drugs are one of the integral components of the GCC e-pharmacy market, as well as advancements in telemedicine and the rising adoption of digital healthcare services. This allows patients to upload prescriptions online and receive medications conveniently, without having to physically go to a pharmacy. With an increasing prevalence of chronic diseases, aging population, and hectic lifestyles, demand for prescription drugs is also picking up through e-pharmacies. Moreover, safe dispensing practice and secure online transactions ensured by regulatory frameworks are generating consumer confidence, which is causing the segment to grow steadily throughout the GCC region.

Analysis by Therapy Area:

• Diabetes
• Dermatology
• Cardiovascular
• Respiratory
• Oncology
• Immunology
• Others
   

The GCC e-pharmacy market for diabetes management is witnessing robust growth with the growing prevalence of diabetes across the region. As the number of diabetics is increasing, so is the demand for insulin, glucose monitors, and other medications. E-pharmacies offer easy access to these crucial products, especially for patients with chronic conditions. Moreover, the progress in digital healthcare services, including online consultations and subscription-based deliveries, is increasing patient compliance and treatment continuity. This accessibility is driving significant adoption of diabetes-related products in the GCC e-pharmacy market.

Dermatology is another fast-growing segment in the market, with a rise in demand for skincare solutions such as treatments for acne, eczema, and anti-aging products. The increasing influence of beauty and wellness trends along with consumer preference for premium skincare products is providing a boost to online sales. E-pharmacies offer dermatologist-recommended solutions ranging from medicated creams to serums, all at the comfort of home delivery. Besides this, the growth of sales for products related to dermatology will be further supported by consulting dermatologists through digital platforms.

The cardiovascular segment is growing steadily in the GCC e-pharmacy market, as the incidence of heart diseases, hypertension, and cholesterol-related issues is rising. The automation of refills and delivery at the doorstep provided by e-pharmacies improves patient adherence to medication. Also, growing health awareness and integration of telehealth services are encouraging patients to use online platforms, promoting growth in the cardiovascular segment across the region.

Analysis by Platform:

• Web-Based
• App-Based
   

The web-based segment is augmenting at a great pace in the GCC e-pharmacy market as consumers use web-based e-pharmacies mainly attributed to easy usage and vast product categories and medication and supplement details. As users find convenience through accessing them from their laptops or desktops, the safe payment gateways are building trust for customers. Web-based platforms benefit a larger section of population, such as the geriatric population that may not understand mobile applications as well; therefore, there is even wider accessibility and significant contributory growth for e-pharmacies in the region.

The app-based segment in the market is gaining significant traction due to the widespread use of smartphones and mobile internet. Mobile apps provide a seamless and personalized experience, allowing users to browse, order, and track medications with ease. Features like push notifications for refills, real-time order updates, and teleconsultation options improve user engagement and satisfaction.

Analysis by Country:

• Saudi Arabia
• UAE
• Qatar
• Bahrain
• Kuwait
• Oman
   

Saudi Arabia is one of the leading regions in the GCC e-pharmacy market, driven by its large population, growing digital infrastructure, and rising demand for online healthcare solutions. The government’s focus on digital transformation under Vision 2030 accelerated the adoption of e-pharmacies across the kingdom. Consumers increasingly rely on e-pharmacy platforms for convenient access to medications, particularly for chronic diseases like diabetes and cardiovascular conditions.

The UAE e-pharmacy market is expanding rapidly due to its advanced healthcare infrastructure, high internet penetration, and tech-savvy population. The government’s support for digital healthcare initiatives, such as the National Digital Health Strategy, strengthened the country’s e-pharmacy landscape. Consumers prefer e-pharmacy platforms for their convenience, fast delivery options, and access to a wide range of medications and wellness products.

Qatar’s e-pharmacy market is emerging as a promising segment in the GCC, driven by its growing healthcare investments and rising demand for convenient healthcare access. The country’s focus on improving digital healthcare services under its National Health Strategy encouraged the adoption of online platforms. Consumers benefit from the availability of chronic disease medications, wellness products, and teleconsultation services through e-pharmacies.

Bahrain is emerging as a key player in the GCC e-pharmacy market, driven by its advanced digital infrastructure and supportive government policies promoting e-commerce. The country's high internet penetration and tech-savvy population provide a solid foundation for online pharmacy growth. Bahrain’s strategic location as a logistics hub in the GCC also enables efficient distribution and delivery of pharmaceuticals.

Kuwait’s role in the GCC e-pharmacy market is growing due to its well-established healthcare system and increasing consumer demand for convenience. The country’s high smartphone penetration and rising awareness of digital health solutions are fueling the shift towards online pharmacies. Government initiatives supporting healthcare digitization and e-commerce further bolster market growth.

Oman plays a significant role in the GCC e-pharmacy market, supported by its expanding healthcare infrastructure and increasing investment in digital transformation. The government’s focus on improving healthcare access in rural areas is driving the adoption of online pharmacy services. Oman’s young, tech-savvy population and growing e-commerce ecosystem contribute to the market's potential.

Competitive Landscape:

The competitive landscape of the GCC e-pharmacy market is characterized by the presence of established players, emerging startups, and strategic collaborations driving innovation and growth. Leading e-pharmacy platforms, dominate the market by offering a wide range of healthcare products, including prescription and over-the-counter medications. Companies are leveraging advanced technologies, such as artificial intelligence (AI) and data analytics, to enhance user experience, optimize inventory management, and ensure timely delivery. Strategic partnerships with healthcare providers and logistics firms further strengthen their market reach. Additionally, the rise of mobile applications and personalized services, including telemedicine integration, is intensifying competition, encouraging players to focus on customer-centric solutions and expand their digital footprints.

The report provides a comprehensive analysis of the competitive landscape in the GCC e-pharmacy market with detailed profiles of all major companies.

Latest News and Developments:

• November 4, 2024: Gulf Pharmaceutical Industries (Julphar) sold its Zahrat Al Rawdah Pharmacies’ retail operations, comprising 173 outlets in Saudi Arabia, to BinDawood Holding for USD 118 Million. This divestment aligns with Julphar’s strategy to focus on core growth areas, including specialty products and manufacturing development in Saudi Arabia. Julphar plans to invest proceeds into its expanding product pipeline, which includes nearly 100 products at various stages. The sale reflects growing opportunities in the region’s changing e-pharmacy and healthcare markets.
• 18 December, 2023: Chefaa, a patient-centric pharmacy platform, secured USD 5.25 Million in funding led by Newtown Partners and Global Brain, with participation from GMS Capital, Verod-Kepple Africa Ventures, and M3, Inc. Following its successful launch in 8 Saudi cities, the investment will support Chefaa’s efforts to digitize the pharmaceutical supply chain, enhance user experiences, and augment treatment compliance. Investors emphasized Chefaa's role in improving healthcare access in Egypt, Saudi Arabia, and Africa, positioning it as a key innovator in pharmacy solutions across the region.

GCC E-Pharmacy Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the GCC e-pharmacy market from 2019-2033.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the GCC e-pharmacy market.
• Porter's Five Forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the GCC e-pharmacy industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.