Transdermal Drug Delivery System Market

Transdermal Drug Delivery System Market Size (2023 to 2028)

The size of the global transdermal drug delivery system market is forecasted to be worth USD 42.49 billion by 2028 from USD 32.98 billion in 2023, growing at a CAGR of 5.2% from 2023 to 2028.

The transdermal drug delivery system has changed the way drugs are being administered to treat many diseases including pain, hypertension, angina, and hormonal imbalances. This medical technology is also used for nicotine replacement therapy and to deliver birth control hormones. TDSS is a medical technology in which drugs can be delivered through the skin to the bloodstream. The adoption of the technology has been gradually growing over the last few years owing to the benefits associated. The transdermal drug delivery system is a non-invasive drug delivery method and is effective in boosting patient compliance and help avoid side effects associated with oral consumption.

MARKET DRIVERS:

The growing chronic disease patient population is majorly driving the transdermal drug delivery market growth.

The prevalence of chronic diseases such as diabetes, CVDs, cancer and others is growing significantly and patients suffering from such diseases must go through long-term treatment with medications. In such cases, transdermal drug delivery systems are increasingly used to administer the drugs. As per the data published by World Health Organization (WHO) in 2022, an estimated 41 million worldwide dies from chronic diseases every year, which is also equivalent to 74% of the deaths worldwide. The Centre for Disease Prevention and Control (CDC) says an estimated six in ten adults in the United States are suffering from at least one chronic disease and four in ten adults are suffering from two or more chronic diseases. The number of people suffering from chronic diseases is expected to increase in the coming years owing to the growing adoption of sedentary lifestyles, increasing consumption of alcohol and tobacco and lack of physical activity among people and resulting in the growing usage of transdermal drug delivery systems and boost the market’s growth rate.

The growing demand for non-invasive drug delivery propels the growth of the global transdermal drug delivery system market.

The transdermal drug delivery system delivers drugs through the skin, which is non-invasive and causes zero pain. The need for non-invasive drug delivery is increasing as the number of people afraid of needles and facing difficulties swallowing drugs is increasing. In addition, the patient convenience of TDSS is further propelling the adoption of these systems. In recent years, the awareness among patients regarding the available non-invasive treatment methods has increased notably, including TDSS. Patients become more health conscious and are willing to adopt more comfortable and convenient healthcare options, contributing to the growth of the TDSS market.

The growing demand for therapeutics for the new generation, increasing healthcare expenditure and the rising aging population are fuelling the growth of the transdermal drug delivery system market. The growing adoption of technological developments to develop advanced and effective drug delivery systems, the favorable regulatory environment for transdermal drug delivery systems, increasing investments and funding in the healthcare industry and the growing usage of transdermal drug delivery systems to deliver a wide range of drugs, including hormones, painkillers, and cardiovascular medications, among others are further fuelling the growth rate of the market. Furthermore, advances associated with TDSS such as avoiding first-pass metabolism, reducing gastrointestinal side effects, and providing sustained drug delivery over other drug delivery systems among healthcare providers, the rising awareness regarding the benefits of TDSS among the patients, healthcare providers, and payers are favoring the growth of the transdermal drug delivery system market.

MARKET RESTRAINTS:

Limited drug permeation and competition from other forms of drug delivery primarily hamper the growth of the transdermal drug delivery system market. Side effects associated with TDSS such as skin irritation or allergic reactions in some patients, limit the usage and adoption of TDSS and negatively affect the market growth. The high cost of TDSS compared to other forms of drug delivery is anticipated to hinder the market growth. The complex regulatory policies for transdermal drug delivery systems are taking longer times and limiting the development and commercialization of new transdermal products, which is one of the major obstacles to market growth. Furthermore, the limited availability of TDSS technology in some countries and poor patient compliance is estimated to impede the market growth.

Impact of COVID-19 on the transdermal drug delivery system market:

The transdermal drug delivery system market has experienced a negative impact from the COVID-19 pandemic. Primarily, the disruption in the supply chain ecosystem caused by the COVID-19 pandemic and impacted the production and distribution of transdermal drug delivery systems. In addition, the COVID-19 pandemic caused a delay in conducting clinical trial activities to develop new TDSS technologies. Such factors resulted negatively in the growth of the TDSS market. In addition, many market players and other pharmaceutical companies have shifted their focus and resources toward the development of vaccines for COVID-19 and there was insufficient funding for the R&D of new TDSS technologies and impacted the market growth.

On the other hand, the adoption and usage of telemedicine, remote patient monitoring and home healthcare have increased significantly during the COVID-19 pandemic. This has also increased the demand for the devices and technologies that plays a key role in the implementation of telemedicine, remote patient monitoring and home healthcare including TDSS technologies, and this has slightly favored the market during the COVID-19 pandemic. However, the overall impact of the COVID-19 pandemic was negative on the TDSS market.

REPORT COVERAGE:

This research report on the global transdermal drug delivery system market has been segmented and sub-segmented based on type, application, end-user, and region.

Transdermal Drug Delivery System Market – By Type:

• Transdermal Patches 
• Transdermal Semisolids

Based on type, the transdermal patches segment had the major share of the global TDSS market in 2022 and the segmental dominance is expected to continue throughout the forecast period. The demand for pain management drugs and nicotine replacement therapy is growing significantly. Transdermal patches are the most preferred way of delivering these drugs, one of the key factors propelling segmental growth. The advantages of transdermal patches such as convenience and ease of use are other major factors contributing to the segment’s growth rate. Due to this, transdermal patches have become an attractive option for patients with difficulties swallowing and who are afraid of needles. The rising adoption of technological developments to develop efficient and effective transdermal patches is further fuelling the segment’s growth rate.

The transdermal semisolids segment is predicted to grow at a healthy CAGR during the forecast period owing to the increasing demand for topical medications, especially to treat skin diseases such as eczema and psoriasis. Transdermal semisolids are easy to use and are an effective option for patients who cannot apply medications themselves, which contributes to segmental growth. 

Transdermal Drug Delivery System Market – By Application:

• Pain Management
• Hormonal Applications
• Central Nervous System Disorders
• Cardiovascular Diseases
• Other Applications
  • Diabetes
  • Smoking Cessation
  • Motion Sickness
  • Overactive Bladder

Based on application, the pain management drugs segment held the leading share of the worldwide market in 2022 and is expected to witness a promising CAGR during the forecast period. The segment's growth is driven by the increasing patient population suffering from chronic pain conditions and the rising demand for non-invasive pain management solutions. Transdermal patches are widely used for pain management solutions as they can deliver consistent and controlled pain medication directly into the bloodstream.

The hormonal segment is predicted to hold a considerable share of the worldwide transdermal drug delivery system market during the forecast period. Factors such as rising patient count suffering from hormonal imbalances and increasing demand for hormone replacement therapy are majorly fuelling the segment's growth. The growing usage of transdermal patches to deliver hormones such as estrogen and testosterone further contributes to segmental growth.

The central nervous system disorders segment is another notable segment among all in the global TDSS market and is predicted to register a healthy CAGR during the forecast period. The growing incidence of central nervous system disorders and increasing usage of TDSS to treat diseases such as Parkinson's disease and Alzheimer's disease are propelling segmental growth.

Transdermal Drug Delivery System Market – By End-User:

• Home Care Settings
• Hospitals & Clinics

Based on the end-user, the home care settings segment held the largest share of the TDSS market in 2022 and the segmental growth is anticipated to continue during the forecast period. The convenience and cost-effectiveness of the TDSS technology are majorly driving segmental growth. In addition, the growing aging population and increasing adoption of home healthcare services are contributing to the segment’s growth rate. The recent COVID-19 pandemic has favored the segment. During the forecast period, the home care segment is predicted to continue registering domination.

Transdermal Drug Delivery System Market – By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• The Middle East and Africa

Geographically, the North American region captured the most significant share of the worldwide market in 2022 and the domination of North America is anticipated to continue throughout the forecast period. The growth of the North American market is primarily driven by the presence of notable pharmaceutical companies and a growing aging population. The growing demand for innovative drug delivery systems contributes to regional market growth. In addition, the increasing patient population suffering from chronic diseases and rising healthcare expenditure are further fuelling the TDSS market in North America. The U.S. had a major share of the North American market in 2021, followed by Canada and the same trend is expected to continue throughout the forecast period.

Europe is another potential regional market for TDSS and is predicted to hold a substantial share of the worldwide market during the forecast period. The presence of a sophisticated healthcare system in the European region, a stringent regulatory environment for TDSS to ensure safety and efficacy and an increasing patient suffering from diabetes and CVDs are promoting the growth of the European TDSS market. In addition, an increasing number of initiatives from the European governments in favor of TDSS and the presence of supportive reimbursement policies are propelling the European TDSS market growth. Countries such as the UK, France and Germany are anticipated to hold a major share of the European market during the forecast period.

However, the APAC region is predicted to showcase the fastest CAGR among all the regions in the worldwide market during the forecast period. The growth of the APAC market is primarily driven by the presence of developing countries and increasing awareness among patients and healthcare providers regarding the benefits of TDSS. In addition, the healthcare infrastructure has been growing consistently among the countries of the APAC region, which is favoring the TDSS market in this region. India, Japan and China are estimated to capture the leading share of the APAC market during the forecast period.

The Latin American TDSS market is expected to showcase a steady CAGR during the forecast period and the MEA TDSS market is projected to witness a moderate share of the worldwide market in the coming years.

KEY MARKET PLAYERS:

Companies that are playing a prominent role in the global transdermal drug delivery system market are Hisamitsu Pharmaceutical Co., Inc., Mylan N.V., UCB S.A., Novartis AG, GlaxoSmithKline PLC, Boehringer Ingelheim International GmbH, Johnson & Johnson (J&J), Endo International, Inc., Purdue Pharma L.P., LaviPharm, Lead Chemicals Co., Inc. and Luye Pharma Group.

RECENT MARKET HAPPENINGS:

• In January 2018, ALLESAGA TAPE was launched by Hisamitsu Pharmaceutical in Japan. 
• In July 2018, IDL (Import Drug License) was received by UCB for the transdermal rotigotine patch, which is NEUPRO from CFDA (China food and Drug Administration). 
• In August 2018, an agreement was made between Luye pharma with Bayer AG to Apleek contraceptive transdermal patch to acquire the global rights.