Copyright © 2017 IQVIA. All rights reserved.

Trends in Consumer Health

Tomáš Khorel, Senior Consultant CZ&SK

2

Global and European context

Czech and Slovak CH market

01

02

3Confidential | IQVIA

CEEMEA is the largest regional growth driver,

contributing 39% and driving Global Growth.

Source: IMS OTC audits plus estimates (Exc Venezuela)

Region Share of

Global OTC Sales

Region Share of

Global OTC Growth

Developing Regions

Total OTC

Share of Sales 49%

Share of Growth 78%

Glo

ba

l a

nd

Eu

rop

ea

n c

on

text

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EMEA growth remains strong, CEE drives the region’s

growth. EMEA

Source: IMS OTC Global Analysis

Glo

ba

l a

nd

Eu

rop

ea

n c

on

text

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The developed Western Europe benchmark shows the

potential for increase in OTC expenditure in the region

EMEA

Source: IMS OTC Global Analysis

Glo

ba

l a

nd

Eu

rop

ea

n c

on

text

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Most CEE countries experience growth above the European

average. Kazakhstan, Turkey and Russia drive strong annual

growth within CEE.

Source: IMS OTC Global Analysis

CEE

Glo

ba

l a

nd

Eu

rop

ea

n c

on

text

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Consumer spend on OTC’s is increasing across all European

countries.

Source: IMS OTC Global Analysis

EUROPE

Glo

ba

l a

nd

Eu

rop

ea

n c

on

text

8

Global and European context

Slovak CH market

01

02

IQVIA Client Conference | 20.6.2017 | © IQVIA 2017

9

Terminology noteRx-bound medicines/OTC medicines & Self-Medication

Confidential | IQVIA

registered registered non-registered

Rx boundNon Rx-bound

(Total OTC)

Semi

ethical

Self-

Medication

Sold with

RxSold without Rx

Self-Medication:

registered + non-

registered products

Slo

va

k/C

ze

ch

CH

ma

rke

t

10

0

500

1 000

1 500

2 000

2 500

3 000

3 500

0

100

200

300

400

500

OTC Reg OTC Non Reg

# P

rod

ucts

–no

n r

eg

iste

red O

TC

# P

rod

ucts

-re

gis

tere

d O

TC

Handled brands

Reg 90% Reg 50%

Non Reg 90% Non Reg 50%

FS market is much more complex in terms of SKU

number than OTC reg. or RX

Confidential | IQVIA

0

500

1 000

1 500

2 000

2 500

3 000

3 500

0

100

200

300

400

500

OTC Reg OTC Non Reg

# P

rod

ucts

–n

on

re

gis

tere

d O

TC

# P

rod

ucts

-re

gis

tere

d O

TC

Handled brands

Reg 90% Reg 50%

Non Reg 90% Non Reg 50%

3 600520

2 700

450

3 600500

2 200

460

Slo

va

k/C

ze

ch

CH

ma

rke

t

11

Slovak CH market experienced overall growth – Prices

increasing faster than volume

CH market development; MAT 10/2013-10/2017

Source: IQVIA

Va

lue

[E

UR

‘0

00

]U

nit

s* [‘

00

0]

CAGR 2013-’17

86,804

229,206

147,392

81,81369,846

+6.4%

249,076

162,272

220,189

143,477

76,712

200,372

130,525

194,205

126,183

68,022

OTC - registeredOTC - non registered

+1.9%

2017

47,995

20,979

2014

64,949

45,663

70,751

48,752

21,999

2016

68,218

46,596

21,622

2015

68,974

19,286

2013

65,633

47,046

18,588

6.5%

6.3%

4.3%

0.9%

Non registered OTC

Registered OTC

Non registered OTC

Registered OTC

Slo

va

k C

H m

ark

et

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Vitamin, minerals & nutrit. supplements along with

digestive rems form almost half of the market (47%)

Non-registered: main categories; MAT 10/2017

Source: IQVIA

8%

8%

9%

17%

27%

5%5%

7%

7%

86,804

Sales 2017

7%

OTC1 – Value and market shares [EUR ‘000; %]

VIT. MIN. & NUTRIT. SUPPS04

DIGESTIVE/OTH INTEST REMS03

PAIN RELIEF02

COUGH COLD/RESPIR.01

BLADDER/GENITALS12

TONICS/OTHER STIMS05

SKIN TREATMENT06

CIRCULATORY PRODS.10

MISCELLANEOUS18

OTHERS

9.6%

10.4%

3.5%

5.5%

3.3%

6.4%

8.4%

-1.7%

2.7%

CAGR 2013-’17

2.0%

Slo

va

k C

H m

ark

et

Confidential | IQVIA

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PROBIOTICS DIGEST HEALTH

Looking at OTC2 level, probiotics and mineral

supplements form 20% of the market

Non-registered: main categories; MAT 10/2017

Source: IQVIA

86,804

5%

6%

8%

11%

48%

4%

4%

5%

5%

5%

Value 2017

OTC2 – Value and market shares [EUR ‘000; %]

03F

MINERAL SUPPLEMENTS04F

IMMUNOSTIM PREPS05F

UROLOGICAL PRODUCTS12C

JOINT CARE PRODUCTS02G

MULTIVITS./MINS04A

MISCELLANEOUS18A

VITAMIN C PRODUCTS04D

MUSCULAR PAIN REL.02E

OTHERS

1.7%

4.5%

0.2%

11.8%

3.7%

-1.3%

10.7%

7.6%

-2.7%

CAGR 2013-’17

2.9%

Slo

va

k C

H m

ark

et

Confidential | IQVIA

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Capsules and tablets hold the position of most used

forms in food supplements

Non-registered: Forms development

29.2%

2013

14.4%

3.2%3.0%

4.8%

14.6%

32.2%

27.8%

3.7%3.7%

14.7%

2017

18.5%

4.0%

26.1%

DevelopmentMajor forms used and their development

Source: IQVIA

Slo

va

k C

H m

ark

et

Confidential | IQVIA

Capsules

Tablets

Liquids

Teas

Powders/Granules

Creams

Others

17IQVIA Confidential

Industry players become more diverse and the

competitive set expands

Consumer packagedgoods

• Payer and generic pressure driving diversification

• Rx to OTC asset leverage

Pharma moving into consumer health

CPG moving into consumer health

Pure play consumer health

• Higher consumer health margin and prices

• Leverage consumer and trade marketing muscle

• Leverage sales and marketing capabilities

• Economies of scale in supply chain

PharmaConsumer

HealthFMCG/CPG

Market

FMCH

21IQVIA Confidential

In Europe pharmacy distribution channels are also

changing to fit into new consumer trends

Traditional apothecary

independent pharmacy

e-pharmacyMom & Pop stores,

Convenience outletsSuper/Hyper-markets

Modern pharmacy,

Drugstores

Pharmacy chains

“Virtual” chains, symbol

groups

Distribution

22IQVIA Confidential

Pharmacy has changed significantly over the last decade

Promoter

Displays

Multi-buy (2+1+=2)

Bundles

Pricecut

Shop windows

Shopper Study

HCP StudyCategoryManagement

MysteryShopper

dbdlbddè

Distribution

23IQVIA Confidential

Major innovations are coming from technology

The most common, but a proven way to extend a brands life.

An ever-present in consumers’ daily life, but care must be taken in Pharma/Consumer Health.

Healthcare apps are growing rapidly with Cardio Diet and Women's health accounting for half the volume.

Devices can improve efficacy and control

Sensors provide the consumer with a direct feedback on their current state of health.

Synchro-TechTM has helped two actives with opposing dissolution profiles to come together

Innovation

Line Extensions

Social Media

Apps

Devices

R&D

Sensors

Innovation

27

Please contact us for more information

Tomas Khorel

Senior Consultant

tomas.khorel@IQVIA.com

+420 778 726 767

Confidential | IQVIA