There is a large price spread between identical non-prescription drugs, according to a new survey from HUI Research.
The pure online store had the lowest price on 50 of the 51 surveyed non-prescription drugs, showing that online trade puts pressure on prices in the pharmacy market.
HUI Research has, on behalf of Apotea AB, mapped the price spread at 51 OTC drugs within five pharmacy operators, one pure online player and four pharmacies with bricks and mortar sales, who has a combined market share of almost 90 percent.
”Today, it is difficult for the consumer to acquire an understanding if a particular drug is expensive or cheap. I am convinced that the consumer price awareness increases when the pharmacy industry is increasingly moving online and the pricing is transparent”, says Lena Larsson, CEO at HUI Research.
The results indicate a low spread between the physical stores and the high spread between retail and e-commerce. The survey further shows that price dispersion is on average 15 SEK or 18 percent between the highest and lowest price for single non-prescription drugs when you look to the whole pharmacy market, ie both retail trade and e-commerce. The most extreme case shows that the price of the pharmacy market varies from 169 to 249 crowns, ie a difference of SEK 80 alternatively 44 percent.
The pure online store had the lowest price on 50 of the 51 surveyed prescription. It shows that online sales are putting pressure on prices in the pharmacy market. Looking only at the price dispersion in retail trade are much lower. On average, the difference is 5 SEK alternatively 7 percent.