Consumer Health in India

CONSUMER HEALTH IN INDIA
Euromonitor International
May 2014
LIST OF CONTENTS AND TABLES

Executive Summary ..................................................................................................................... 1
Awareness of OTC Medicines Continues To Be Low ............................................................... 1
Health and Wellness Witnesses Strong Growth Among Urban Consumers ............................. 1
Competition Between Domestic and International Companies Remains Intense ..................... 1
Chemists/pharmacists Are the Leading Retail Channel in 2013 ............................................... 1
Sports Nutrition Is Expected To Lead Value Sales Growth Over the Forecast Period .............. 1
Key Trends and Developments .................................................................................................... 1
Herbal/traditional Medicines Continue To Dominate Consumer Health .................................... 1
Changing Urban Lifestyles Drive the Growth of Health and Wellness ...................................... 2
Retail Sales Via Unconventional Channels Witness Strong Growth in 2013 ............................ 3
Knowledge of OTC Options Continues To Be Low Among the Rural Population ..................... 3
Territory Key Trends and Developments ...................................................................................... 4
East and Northeast India .......................................................................................................... 4
North India ................................................................................................................................ 4
South India ............................................................................................................................... 5
West India ................................................................................................................................. 6
Rural Vs Urban Key Trends and Developments ........................................................................... 7
Market Indicators .......................................................................................................................... 8
Table 1
Table 2
Consumer Expenditure on Health Goods and Medical Services: Value

2008-2013 .................................................................................................... 8
Life Expectancy at Birth 2008-2013 ............................................................. 8
Market Data .................................................................................................................................. 8

Table 3
Table 4
Table 5
Table 6
Table 7
Table 8
Table 9
Table 10
Table 11
Table 12
Table 13
Table 14
Table 15
Sales of Consumer Health by Category: Value 2008-2013 .......................... 8

Sales of Consumer Health by Category: % Value Growth 2008-2013 ......... 8
Sales of Consumer Health by Region: Value 2008-2013 ............................. 9
Sales of Consumer Health by Region: % Value Growth 2008-2013 ............ 9
Sales of Consumer Health by Rural vs Urban: % Value 2013 ...................... 9
NBO Company Shares of Consumer Health: % Value 2009-2013 ............... 9
LBN Brand Shares of Consumer Health: % Value 2010-2013 ................... 10
Distribution of Consumer Health by Format: % Value 2008-2013 .............. 11
Distribution of Consumer Health by Format and Category: % Value
2013 ........................................................................................................... 12
Forecast Sales of Consumer Health by Category: Value 2013-2018 ......... 14
Forecast Sales of Consumer Health by Category: % Value Growth
2013-2018 .................................................................................................. 14
Forecast Sales of Consumer Health by Region: Value 2013-2018 ............ 14
Forecast Sales of Consumer Health by Region: % Value Growth
2013-2018 .................................................................................................. 15
Appendix .................................................................................................................................... 15
OTC Registration and Classification ....................................................................................... 15
Vitamins and Dietary Supplements Registration and Classification ........................................ 16
Self-medication/self-care and Preventative Medicine ............................................................. 17
Switches ................................................................................................................................. 17
Definitions................................................................................................................................... 17
Sources ...................................................................................................................................... 18
Summary 1
Research Sources ...................................................................................... 18
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II

EXECUTIVE SUMMARY
Awareness of OTC Medicines Continues To Be Low
The government of India does not identify OTC medicines separately. Any medicine which is
not included in the list of prescription medicines automatically becomes OTC. Due to the lack of
clear definitions, companies did not market their products as OTC. As a result, knowledge of
these products continued to be low in the semi-urban and rural areas, and consumers continued
to prefer home remedies for small ailments or consulted doctors for serious issues.
Health and Wellness Witnesses Strong Growth Among Urban

Consumers
Urban consumers underwent a paradigm shift in the last two to three years, which by 2013
became quite strong. Consumers were more aware of the need to be healthy, fit and above all
slim. However, fast-paced lives, sedentary jobs and bad eating habits led consumers to achieve
their goals to be healthy by switching to vitamins and dietary supplements and weight
management products.
Competition Between Domestic and International Companies Remains

Intense
In 2013, consumer health was dominated by domestic and international companies equally.
The top five companies witnessed cut throat competition as both domestic and international
companies marketed their brands aggressively, promoted via retail outlets and worked towards
expanding their distribution networks in order to maintain the leading positions.
Chemists/pharmacists Are the Leading Retail Channel in 2013

Chemists/pharmacists continued to dominate in 2013 as modern retailing is only present in
urban areas of the country. The strongest reach any retail channel had in tier II and tier III cities
and rural areas was chemists/pharmacists.
Sports Nutrition Is Expected To Lead Value Sales Growth Over the

Forecast Period
Sports nutrition is expected to witness the strongest value growth at constant 2013 prices
over the forecast period of 2013-2018. The growth is expected due to increasing health and
wellness consciousness among consumers, which will lead to more consumers going to the
gym and consuming protein powders in order to get the results they want.
KEY TRENDS AND DEVELOPMENTS

Herbal/traditional Medicines Continue To Dominate Consumer Health
Indians continued to prefer herbal/traditional medicines in 2013 as most consumers have
been using these formulations for years as theyve been passed down from generation to
generation. Herbal/traditional products accounted for 40% of the total consumer health value
sales in 2013. Indians preferred these formulations because firstly, its believed they have no or
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very minimal side effects and secondly, the existence of well-established brands by companies
such as Emami Ltd, Dabur India Ltd, and Amrutanjan Health Care Ltd among others led
consumers to continue buying these products due to the longstanding trust in these brands.
Herbal/traditional dietary supplements remained the leading contributor to the consistently
strong performance of herbal/traditional products. Dabur Ltd was one of the leading companies
in herbal/traditional vitamins and dietary supplements with its two brands Dabur Chyawanprash
and Dabur Chyawanprakash Sugar Free. Chyawanprash is a sticky jam-like product which
consists of nearly 25-80 herbs and gooseberries. Most consumers take it daily as it is believed
to provide immunity from colds, cough and hay fever, have anti-ageing benefits, and improve
digestion and memory. Apart from dietary supplements, herbal/traditional products were also
preferred for topical analgesics, cold, cough and hay fever and digestive remedies. These
formulations are deep rooted in the Indian medicinal system and their years of consumption by
consumers ensured they continued to be preferred in 2013.
Outlook
Herbal/traditional remedies preference over other standard medicines is likely to continue in
the forecast period as Indians trust these formulations. Indians in general prefer natural products
to standard or chemical formulations. Furthermore, the deep penetration of information
regarding these products, even to the most rural areas, ensures their popularity. Companies in
consumer health realise this stronghold that herbal/traditional formulations have over most
Indian consumers, and are likely to develop and focus on more natural products for various
ailments. However, the growing urban population with a higher income and a stronger need for
quick fixes pose a threat to herbal/traditional products in the forecasted years as these products
generally take time to show results and the fast-paced lives of most urban consumers might
lead them to switch to standard medicines.
Changing Urban Lifestyles Drive the Growth of Health and Wellness

Urban consumers in India in 2013 continued the paradigm shift regarding their lifestyle
choices. These changes primarily involved sedentary jobs, odd working hours, a lack of a proper
nutritious diet, and an increased desire to look good. Until three to four years ago Indians were
in general okay with carrying a few extra kilos. However, urban Indians were more concerned
than ever about their appearance and health in 2013. The growing per capita income of the
urban consumer base further allowed people to spend on products which helped them with
weight management, sports nutrition for body building and developing strong immunity among
others. Changing lifestyle choices also led to emergency contraceptives witnessing strong
growth in 2013. Growing urbanisation and increasing western influence on urban Indians led to
an increase in awareness and use of emergency contraception. The demand for these products
was primarily in metropolitan cities such as Mumbai, Delhi, Bangalore, Hyderabad, Kolkata and
Chennai. These products have become popular among urban consumers as they are widely
available OTC medicines, and they clearly state that if they are taken as an emergency
contraceptive only and not as an oral contraceptive they have minimal side effects.
Outlook
The forecast period is expected to be driven by the continued strong growth of sports nutrition
such as protein powders and weight management products, specifically weight loss
supplements and meal replacement slimming. Both sports nutrition and weight management in
2013 were comparatively small categories so they have great growth potential both in urban and
rural areas as the majority of consumers are unaware of their existence. As a result, there is a
huge untapped market for manufacturers and distributors to focus on in 2013-2018.
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Furthermore, the need to look good and stay fit and slim will grow among urban consumers,
thereby fuelling the growth of these products more in the existing consumer groups.
Retail Sales Via Unconventional Channels Witness Strong Growth in

2013
Consumer health products continued to be primarily sold via chemists/pharmacies in 2013.
Chemists/pharmacies accounted for 64% of total retail sales in 2013. This was observed as the
sale of prescription medicines continued to contribute to the majority of medicinal sales, and the
long-established neighbourhood chemists/pharmacies remained the main retail channel opted
for by consumers to purchase any healthcare supplies. However, sports nutrition started to
carve a niche for itself via beauty specialist retailers in 2013, and this retail channel
consequently witnessed the strongest growth of 141%. Although in actual value terms the
channel continued to be really small, the growth experienced by sports nutrition sales via beauty
specialist retailers was a mark that companies started to branch out to other unconventional
channels in order to increase the reach of their distribution. This strong growth was primarily
driven by urban consumers, where these retail outlets are quite common. Furthermore,
companies started to focus on these retail outlets as consumers tend to prefer buying all their
health and beauty products in one shop.
Outlook
The retail scape for consumer health will continue to be dominated by chemists/pharmacists
in the forecast period. However, as the knowledge regarding OTC medicines increases among
the consumers, the retail sales of consumer health via beauty specialist retailers is expected to
grow strong. Furthermore, manufacturers will most likely increase their distribution network, by
increasing the availability of vitamins and dietary supplements and sports nutrition in this
unconventional and untapped retail channel for consumer health sales. The growth is expected
as urban consumers in 2013 started to prefer buying most of their beauty and healthcare
products together. This demand was realised by beauty specialist retailers which led them to
start adding more health and wellness products in their stores. However, in terms of actual
sales, chemist/pharmacies will continue to lead as these retail outlets have a much stronger
reach in semi-urban and rural areas in addition to urban areas.
Knowledge of OTC Options Continues To Be Low Among the Rural

Population
OTC medicines in India in 2013 continued to be small at Rs135 billion. The total
pharmaceutical industry was sized at Rs721 billion in terms of value sales by AIOCD
Pharmasofttech AWACS Pvt Ltd and PWC. The low sales of OTC medicines in India were
primarily due to the lack of knowledge regarding the OTC status of medicines in the country.
Most consumers in India even in 2013 continued to prefer home remedies or herbal/traditional
medicines for small ailments, and prescription medicines from a doctor for more serious issues.
The primary reason for this is the lack of literacy in rural areas, which makes consumers wary of
taking OTC medicines, and a lack of knowledge about brands/formulations which have OTC
status. Even consumers in urban areas do not know which brands are classed as OTC as
manufacturers do not market/promote their products mentioning this. Furthermore, sales of
under-the-counter prescription medicines are quite high in India, with consumers often buying
prescription medicine without a doctors prescription, thereby blurring the lines between what is
an actual OTC medicine, and what isnt.
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Outlook
Consumer health is expected to grow at a value CAGR at constant 2013 prices of 7% in the
forecast period of 2013-2018. This growth will be driven by weight management and sports
nutrition. However, OTC is expected to grow at a CAGR of 3% in terms of constant value. OTC
medicines will only achieve their true potential when the government makes stringent laws to
stop under-the-counter sales of prescription medicines and educates consumers regarding the
OTC and Rx status of medicines.
TERRITORY KEY TRENDS AND DEVELOPMENTS

East and Northeast India
Trends
East and Northeast India witnessed growth of 13% in 2013. This was driven by the strong
growth of weight management, sports nutrition and herbal/traditional vitamins and dietary
supplements.
Long monsoons in East and Northeast India in 2013, which led to more colds and coughs
among consumers, helped drive the growth of growth of cold, cough and hay fever products.
They also increased skin conditions due to the dampness in the air and increased sales of
dermatologicals. Meanwhile, food habits including eating primarily oily and spicy food,
ensured growth of digestive remedies.
Competitive landscape
Dabur India Ltd and Emami Ltd continued to be two companies which had extremely strong
presence in East and Northeast India. Both companies were founded in West Bengal, and
hence have a longstanding presence and brand image in this region of the country.
Consumers in East and Northeast India continued to be strong followers of homeopathic and
herbal/traditional medicines. These medicines were hence tough competition for allopathic
medicines.
Prospects
East and Northeast India is expected to grow by a value CAGR at constant 2013 prices of 7%
over the forecast period. This is expected to be driven by sports nutrition, weight management
and herbal/traditional vitamins and dietary supplements.
The growth of modern retailing in East and Northeast India was slow compared with South or
North India. As a result, sales even in the forecast period are expected to be driven by
chemists/pharmacists only.
North India
Trends
In North India, consumer health witnessed growth of 13% in terms of current value in 2013.
The growth was driven by weight management, which grew strongly at 34% in terms of
current value followed by sports nutrition at 21%.
North India continued to be the biggest contributor to the total sales of consumer health in
2013 with a 30% share as North India has much longer and harsher weather conditions
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meaning consumers are perennially suffering from colds, coughs, hay fever, digestion
disorders, and body pains among others.
Chemists/pharmacies continued to be the main channel for sales of medicines in North India.
Modern retailing outlets, such as beauty specialist retailers, hypermarkets and supermarkets,
continued to be less popular than traditional retail channels.
The major pharmaceutical units in the region are Ranbaxy, Panacea Biotec, Venus
Remedies, Ind-Swift, Ind-Swift Laboratories, Surya Pharma, Dabur Pharma, Jubilant
Organosys, Nectar Lifesciences, IOL Chemicals and Pharma.
The Himalaya Drug Co and Dabur India Ltd continued to be two of the most popular
companies in North India for daily OTC products.
Prospects
North India is expected to grow at a value CAGR at constant 2013 prices of 8% over the
forecast period. This is expected to be driven by sports nutrition and weight management.
Climatic conditions will continue to drive sales of consumer health in North India in the
forecast period. Demand for topical pain relief, and cough and cold remedies will continue to
be high due to seasonal factors.
North India has become a medical tourism hub with hospitals such as Medicity, Fortis, and
Apollo offering the best medical care. As a result, demand for healthcare products is pretty
high across the region.
South India
Trends
Non-store retailing witnessed strong growth and popularity in South India in 2013. Internet
retailing for consumer health became quite common in 2013 among consumers and the
majority of OTC medication manufacturers partnered with internet retailers such as
bigbasket.com, mygrahak.com, www.apollopharmacy.in, medplusbeauty.com,
healthkartplus.com and healthkart.com and other national and local ecommerce platforms to
reduce the dependency on offline channels.
Weight management and vitamins and dietary supplements witnessed double digit growth in
2013. Non-traditional OTC healthcare categories such as weight management and vitamins
and dietary supplements witnessed double digit growth of 24% and 12% respectively in terms
of current value sales. Fast moving corporate lifestyles, work-life stress, fatigue and
irregularities in food intake were the core drivers for non-traditional OTC healthcare products.
In 2013, the majority of herbal and ayurvedic manufacturers, including Dabur India Ltd, Shree
Baidyanath Ayurved Bhawan Ltd, Himalaya Drug Co, Pankajakasthuri Herbals India Pvt Ltd
and Kairali Ayurvedic Products Pvt Ltd, aggressively worked towards increasing their retail
distribution through modern retail outlets in cosmopolitan and tier II cities. Chained chemists,
such as Lifeken, Medplus and Trust, offered dedicated aisles for ayurvedic and herbal
products.
OTC healthcare in South India is highly fragmented with no clear dominant manufacturer
holding a strong position across more than two or three categories in 2013. Companies such
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as Procter & Gamble Hygiene and Health Care Ltd, Dabur India Ltd and Ranbaxy
Laboratories Ltd amongst others continued to perform strongly in 2013.
Johnson & Johnson (India) Ltd and Dabur India Ltd are leading OTC healthcare
manufacturers and suppliers in Southern India. Johnson & Johnson (India) Ltd has a
dominant regional positioning across NRT gum, wound care and ear care, whilst Dabur India
Ltd remains a strong player across South India in digestive remedies, cough remedies and
vitamins and dietary supplements.
Prospects
Consumer health in South India is expected to grow at a value CAGR at constant 2013 prices
of 7% during the forecast period of 2013-2018. This is expected to be driven by other nonherbal dietary supplements, weight loss supplements and sports nutrition products.
Websites such as Bigbasket.com, Healthkart.com, shopclues.com, Tradus.com and
otcpharmacy.com are expected to perform strongly in consumer health during the forecast
period. Fast-paced lifestyles, a consumer preference towards home delivery of grocery and
healthcare medication, and internet retailers expanding their online ayurvedic and herbal
product portfolios will drive the growth of non-store retailing in consumer health.
West India
Trends
West India consumer health witnessed value growth of 13% in 2013. This growth was driven
by meal replacement slimming, paediatric vitamins and dietary supplements and sports
nutrition.
The growth was driven by meal replacements slimming as the concept of looking good and
being healthy became extremely important amongst most consumers in India. The harsh
weather conditions, such as extremely hot summers and equally cold winters in states like
Rajasthan, helped drive the growth of vitamins and dietary supplements to improve immunity.
Herbal/traditional products manufacturers such as Dabur India Ltd, Emami Ltd and Ranbaxy
Laboratories Ltd amongst others continued to have a strong presence in West India. This was
observed as the use of products such as Chyawanprash, Hajmola, Zandu Balm and Revital
was quite prevalent among West India consumers.
Companies in cough, cold, allergy and hay fever, digestive remedies, and vitamins and
dietary supplements continued to perform better in 2013 due to the strong demand for these
products in West India.
Prospects
West India is expected to grow at a value CAGR at constant 2013 prices of 7% during the
forecast period of 2013-2018. This will be driven by sports nutrition, weight management and
herbal/traditional dietary supplements.
Taking herbal/traditional products to cure minor ailments remained very strong in West India
in 2013. This is expected to continue in the forecast years as well, thereby giving tough
competition to the growth of OTC allopathic medicines.
Retail distribution is expected to shift towards modern retail to a large extent. Consumers in
cities are most likely to switch to hypermarkets, supermarkets, beauty specialist retailers and
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non-store retailing, such as direct selling and internet retailing, for the purchase of consumer
health products.
RURAL VS URBAN KEY TRENDS AND DEVELOPMENTS

Trends
65-70% of the Indian population were living in rural areas of the country in 2013. A vast
majority of the people living in these areas continue to rely on conventional treatments,
including siddha, ayurveda and homeopathy.
The growth of consumer health was driven almost only by urban consumers as urban
consumers had the knowledge regarding these brands and how they work. Also, most of the
vitamins and dietary supplements, sports nutrition and weight management products were
expensive, and therefore not accessible to the rural population. In addition, the rural
population still believed in using home remedies a lot more to cure minor ailments.
The main challenges for companies entering the rural market included communication
challenges, language barriers, lack of infrastructure, dominance of spurious drugs, lack of
adequate storage, etc.
Despite the challenges, traditional OTC healthcare products, such as analgesics, digestive
remedies, wound care and cough, cold and allergy, aggressively marketed and penetrated the
rural markets via small stock keeping units.
Home remedies still dominate urban and rural OTC healthcare. Even in 2013, consumers
preferred home remedies such as the daily consumption of almonds (weight management), oil
massage (analgesics) and the consumption of a mixture of milk and turmeric (cough
remedies).
Companies such as Ranbaxy Labs, Torrent Pharma, and Sanofi Aventis have attempted to
widen their reach into the pan-urban and rural markets by adding a dedicated sales force.
Sanofi, for instance, is reaching out to rural India through its Prayas initiative. The company
adopts a differentiated branding strategy in these markets by launching an extension of its
established brands at a lower price point.
Economy-priced herbal and ayurvedic products in small packaging have strong regional and
local penetration across rural India. Rural market leaders are offering small and economical
packaging to improve their target consumer base.
Prospects
The current low penetration represents a huge opportunity for the pharmaceutical companies
to expand in the rural markets, which is expected to be the growth driver for the domestic
consumer health companies in the forecasted years.
Rising income levels leading to more affordability, improving health infrastructure, and
increasing incidence of lifestyle diseases along with the use of health insurance are expected
to help the growth of consumer health in urban areas.
While players admit that there is huge potential for future expansion into the rural markets of
the country, a new model for distribution and delivery is required to actually achieve that feat.
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MARKET INDICATORS
Table 1
Consumer Expenditure on Health Goods and Medical Services: Value 20082013
Rs bn
Pharmaceuticals,
medical appliances/
equipment
Outpatient services
Hospital services
Total
Source:
2008
2009
2010
2011
2012
2013
683.9
749.1
821.3
901.4
990.4
1,079.3
477.1
244.9
1,405.9
529.0
270.6
1,548.7
586.0
299.0
1,706.2
648.2
329.9
1,879.5
715.8
363.9
2,070.1
783.1
397.6
2,260.1
Euromonitor International from official statistics, trade associations, trade interviews
Table 2
Life Expectancy at Birth 2008-2013
years
Males
Females
Source:
2008
2009
2010
2011
2012
2013
63.5
66.8
63.7
67.2
64.0
67.5
64.3
67.7
64.5
68.0
64.7
68.3
Euromonitor International from official statistics
MARKET DATA
Table 3
Sales of Consumer Health by Category: Value 2008-2013
INR million
OTC
Sports Nutrition
Vitamins and Dietary
Supplements
Weight Management
Herbal/Traditional
Products
Allergy Care
Paediatric Consumer
Health
Consumer Health
Source:
Note:
Table 4
2008
2009
2010
2011
2012
2013
37,076.6
2,883.7
28,009.4
42,138.2
3,100.0
31,357.3
46,803.5
3,385.9
35,714.2
51,801.0
3,917.3
41,176.9
58,270.1
4,661.5
47,064.5
64,129.8
5,621.3
53,227.7
1,097.2
27,476.9
1,917.6
30,801.2
3,725.5
34,694.2
6,870.3
38,884.8
9,517.3
44,310.2
11,852.9
50,107.0
1,371.4
1,788.7
2,229.4
2,915.6
3,487.2
3,896.6
69,066.9
78,513.1
89,629.1
103,765.5
119,513.4
134,831.6
Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources
Sum of categories is greater than the market size because allergy care is a duplicate of categories found
in cough, cold and allergy remedies, dermatologicals and eye care; paediatric consumer health is an
aggregate of paediatric categories in OTC and vitamins and dietary supplements; and herbal/traditional
products is an aggregate of herbal/traditional categories in OTC and vitamins and dietary supplements,
except herbal/traditional medicinal teas and herbal/traditional smoking cessation aids.
Sales of Consumer Health by Category: % Value Growth 2008-2013
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% current value growth
OTC
Sports Nutrition
Vitamins and Dietary Supplements
Weight Management
Herbal/Traditional Products
Allergy Care
Paediatric Consumer Health
Consumer Health
Source:
Note:
2012/13
2008-13 CAGR
2008/13 Total
10.1
20.6
13.1
24.5
13.1
11.7
12.8
11.6
14.3
13.7
61.0
12.8
23.2
14.3
73.0
94.9
90.0
980.2
82.4
184.1
95.2
Table 5
Sales of Consumer Health by Region: Value 2008-2013
INR million

North India
South India
West India
India
Source:
Table 6
2008
2009
2010
2011
2012
2013
12,855.7
20,528.5
18,551.2
17,131.5
69,066.9
14,691.9
23,383.0
20,975.7
19,462.5
78,513.1
16,868.0
26,873.3
23,787.3
22,100.6
89,629.1
19,582.1
31,326.2
27,368.3
25,488.8
103,765.5
22,732.6
36,202.8
31,360.7
29,217.2
119,513.4
25,756.7
40,969.5
35,108.7
32,996.7
134,831.6
Sales of Consumer Health by Region: % Value Growth 2008-2013
% current value growth

North India
South India
West India
India
Source:
Table 7
2012/13
2008-13 CAGR
2008/13 Total
13.3
13.2
12.0
12.9
12.8
14.9
14.8
13.6
14.0
14.3
100.4
99.6
89.3
92.6
95.2
Sales of Consumer Health by Rural vs Urban: % Value 2013
India
Urban
Rural
Total
70.2
25.7
95.8
Source:
Table 8
NBO Company Shares of Consumer Health: % Value 2009-2013
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% retail value rsp

Company
Amway India Enterprises
Pvt Ltd
Dabur India Ltd
Herbalife International
India Pvt Ltd
Emami Ltd
Ranbaxy Laboratories Ltd
Procter & Gamble
Hygiene & Health Care Ltd
Pfizer Ltd
Johnson & Johnson
(India) Ltd
GlaxoSmithKline
Consumer Healthcare Ltd
Heinz India Pvt Ltd
Neulife Nutrition Systems
Piramal Healthcare Ltd
PGT Healthcare
Paras Pharmaceuticals Ltd
Himalaya Drug Co, The
GlaxoSmithKline
Pharmaceuticals Ltd
Mankind Pharma Ltd
Abbott India Ltd
GlaxoSmithKline Asia
Pvt Ltd
Cadbury India Ltd
Amrutanjan Health Care
Ltd
Franco-Indian
Pharmaceuticals Pvt Ltd
Merck (India) Ltd
Reckitt Benckiser
(India) Ltd
Plethico
Pharmaceuticals Ltd
Forever Living Products
India Pvt Ltd
Cadila Pharmaceuticals
Ltd
Piramal Enterprises Ltd
Novartis India Ltd
Guardian Lifecare Pvt Ltd
Others
Total
Source:
2009
2010
2011
2012
2013
8.6
8.9
9.2
9.5
9.9
7.6
1.4
7.9
2.7
7.9
5.2
8.0
6.3
8.3
7.2
6.0
3.7
5.8
6.3
3.8
5.5
6.6
3.8
5.3
6.9
4.1
3.3
7.1
4.4
3.2
3.2
3.6
3.1
3.6
3.0
3.3
2.9
3.1
2.8
2.6
2.6
2.5
2.4
2.3
2.2
2.3
1.7
1.0
1.8
1.9
1.7
2.4
1.7
2.2
1.9
1.8
1.6
2.4
1.7
2.2
1.9
1.7
1.5
2.3
1.8
2.2
1.8
1.8
1.6
1.4
2.2
1.9
1.9
1.8
1.8
1.7
1.3
0.7
1.4
1.3
1.1
1.3
1.2
1.1
1.3
1.1
1.2
1.2
1.1
1.2
1.2
1.1
1.1
1.2
1.1
1.1
1.1
1.1
1.1
1.1
1.1
1.1
1.1
1.0
1.0
1.0
1.0
1.2
1.0
1.1
1.0
1.0
0.9
0.9
0.9
0.9
0.8
1.2
1.4
0.8
0.8
0.8
0.6
0.6
0.7
0.7
0.8
0.8
0.8
0.7
0.7
0.7
0.8
0.5
34.0
100.0
0.7
0.5
31.0
100.0
0.7
0.5
29.9
100.0
0.7
0.5
28.9
100.0
0.7
0.6
0.5
27.2
100.0
Table 9
LBN Brand Shares of Consumer Health: % Value 2010-2013
% retail value rsp

Brand
Nutrilite
Company
Amway India Enterprises
Pvt Ltd
2010
2011
2012
2013
8.6
8.8
9.0
9.3
10
Himani
Dabur
Vicks
Revital
Herbalife Cell-U-Loss
Glucon D
Hajmola
Herbalife ShapeWorks
Herbalife Protein
Powder
Vicks
Optimum Nutrition
Zandu
Glucose-D
i-pill
Iodex
Unwanted 72
Volini
Eno
Halls
Moov
Amrutanjan
Band-Aid
Becosules
Benadryl
Dexorange
Digene
Crocin
Gelusil
Liv 52
Others
Total
Source:
Passport
Emami Ltd
Dabur India Ltd
Procter & Gamble
Hygiene & Health Care Ltd
India Pvt Ltd
Heinz India Pvt Ltd
Dabur India Ltd
India Pvt Ltd
India Pvt Ltd
PGT Healthcare
Neulife Nutrition Systems
Emami Ltd
Dabur India Ltd
Piramal Healthcare Ltd
GlaxoSmithKline
Mankind Pharma Ltd
GlaxoSmithKline Asia
Pvt Ltd
Cadbury India Ltd
Paras Pharmaceuticals Ltd
Amrutanjan Health Care Ltd
Johnson & Johnson
(India) Ltd
Pfizer Ltd
Johnson & Johnson
(India) Ltd
Franco-Indian
Pharmaceuticals Pvt Ltd
Abbott India Ltd
GlaxoSmithKline
Pfizer Ltd
Himalaya Drug Co, The
3.8
3.2
5.5
4.0
3.3
5.3
4.3
3.5
3.3
4.4
3.8
3.2
2.4
0.9
2.4
1.9
2.6
2.3
2.8
2.6
2.4
2.3
0.8
2.4
2.2
1.4
2.3
2.1
1.7
2.2
2.1
2.0
0.7
1.5
1.8
2.0
1.6
1.8
1.4
1.3
1.6
1.6
1.8
1.5
1.2
1.5
1.8
1.7
1.8
1.5
1.3
1.4
1.8
1.8
1.8
1.6
1.4
1.4
1.1
0.9
1.2
1.1
0.9
1.1
1.2
1.0
1.1
1.2
1.1
1.1
1.1
1.1
1.1
1.4
1.1
1.1
1.1
1.3
1.1
1.1
1.1
1.2
1.1
1.1
1.1
1.1
1.2
1.2
1.1
1.1
1.1
1.1
1.0
1.0
1.0
1.0
1.0
1.0
1.1
0.9
1.0
0.9
1.0
0.9
0.9
0.9
0.8
0.9
46.8
100.0
0.9
0.8
44.8
100.0
0.8
0.8
43.4
100.0
0.8
0.8
41.5
100.0
Table 10
Distribution of Consumer Health by Format: % Value 2008-2013
% retail value rsp
Store-Based Retailing
- Grocery Retailers
-- Modern Grocery
Retailers
--- Convenience Stores
--- Discounters
--- Forecourt Retailers
--- Hypermarkets
--- Supermarkets
-- Traditional Grocery
2008
2009
2010
2011
2012
2013
89.1
12.3
3.3
87.1
12.1
3.2
84.8
11.6
3.2
81.3
11.4
3.3
79.2
11.3
3.4
77.8
11.2
3.4
0.0
0.0
0.0
2.0
1.3
9.0
0.0
0.0
0.0
2.2
1.1
8.9
0.0
0.0
0.0
2.2
1.0
8.4
0.0
0.0
0.0
2.3
1.0
8.0
0.0
0.0
0.0
2.4
1.0
7.9
0.0
0.0
0.0
2.5
1.0
7.7
11
Retailers
--- Food/drink/tobacco
specialists
--- Independent Small
Grocers
--- Other Grocery
Retailers
---- Healthfood shops
---- Other Other
Grocery Retailers
- Non-Grocery Retailers
-- Health and Beauty
Specialist Retailers
--- Beauty Specialist
Retailers
--- Chemists/Pharmacies
--- Optical Goods Stores
--- Parapharmacies/
Drugstores
--- Other Healthcare
-- Mixed Retailers
--- Department Stores
--- Mass Merchandisers
--- Variety Stores
--- Warehouse Clubs
-- Other Consumer
Health Non-Grocery
Retailers
Non-Store Retailing
- Vending
- Homeshopping
- Internet Retailing
- Direct Selling
Total
Source:
Passport
0.0
0.0
0.0
0.0
0.0
0.0
7.0
7.0
6.4
6.1
6.0
5.9
1.9
1.9
1.9
1.9
1.9
1.9
0.0
1.9
0.0
1.9
0.0
1.9
0.0
1.9
0.0
1.9
0.0
1.9
76.8
74.5
75.0
72.9
73.2
71.3
69.9
68.0
67.9
66.0
66.6
64.6
0.0
0.0
0.0
0.0
0.0
0.0
74.3
0.0
0.0
72.6
0.0
0.0
71.0
0.0
0.0
67.7
0.0
0.0
65.6
0.0
0.0
64.2
0.0
0.0
0.2
0.2
0.2
0.3
0.3
0.4
0.0
0.0
0.0
0.0
0.0
2.3
0.0
0.0
0.0
0.0
0.0
2.1
0.0
0.0
0.0
0.0
0.0
1.9
0.0
0.0
0.0
0.0
0.0
1.9
0.0
0.0
0.0
0.0
0.0
1.9
0.0
0.0
0.0
0.0
0.0
2.0
10.9
0.0
0.0
0.7
10.2
100.0
12.9
0.0
0.0
0.7
12.2
100.0
15.2
0.0
0.0
0.7
14.5
100.0
18.7
0.0
0.0
0.7
18.0
100.0
20.8
0.0
0.0
0.8
20.1
100.0
22.2
0.0
0.0
0.8
21.4
100.0
Table 11
Distribution of Consumer Health by Format and Category: % Value 2013
% retail value rsp
Grocery Retailers
Modern Grocery Retailers
Convenience Stores
Discounters
Forecourt Retailers
Hypermarkets
Supermarkets
Traditional Grocery
Retailers
Food/drink/tobacco
specialists
Independent Small Grocers
Other Grocery Retailers
Healthfood shops
Other Other Grocery
OTC
SN
VDS
WM
HTP
AC
100.0
17.1
3.5
0.0
0.0
0.0
2.1
1.4
13.6
77.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
66.2
6.8
3.6
0.0
0.0
0.0
3.1
0.5
3.2
9.9
3.9
3.9
0.0
0.0
0.0
2.5
1.4
0.0
88.0
14.4
3.8
0.0
0.0
0.0
2.6
1.2
10.6
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
9.7
3.9
0.0
3.9
0.0
0.0
0.0
0.0
3.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
7.8
2.7
0.0
2.7
0.0
0.0
0.0
0.0
12
Retailers
Non-Grocery Retailers
Health and Beauty
Beauty Specialist
Retailers
Chemists/Pharmacies
Optical Goods Stores
Parapharmacies/Drugstores
Other Healthcare
Mixed Retailers
Department Stores
Mass Merchandisers
Variety Stores
Warehouse Clubs
Other Consumer Health
Non-Store Retailing
Vending
Homeshopping
Internet Retailing
Direct Selling
Total
Passport
82.9
82.9
77.1
30.3
59.4
59.4
6.0
6.0
73.7
73.7
0.0
0.0
0.0
1.0
0.0
0.0
0.0
0.0
82.9
0.0
0.0
0.0
23.6
0.0
0.0
5.7
59.4
0.0
0.0
0.0
4.5
0.0
0.0
1.5
73.7
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
46.8
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
100.0
22.9
0.0
0.6
19.4
2.9
100.0
33.8
0.0
0.0
0.0
33.8
100.0
90.1
0.0
0.0
0.0
90.1
100.0
12.0
0.0
0.0
0.0
12.0
100.0
0.0
0.0
0.0
0.0
0.0
0.0
PCH
Grocery Retailers
Modern Grocery Retailers
Convenience Stores
Discounters
Forecourt Retailers
Hypermarkets
Supermarkets
Traditional Grocery
Retailers
Food/drink/tobacco
specialists
Independent Small Grocers
Other Grocery Retailers
Healthfood shops
Other Other Grocery
Retailers
Health and Beauty
Beauty Specialist
Retailers
Chemists/Pharmacies
Optical Goods Stores
Parapharmacies/Drugstores
Other Healthcare
Mixed Retailers
Department Stores
Mass Merchandisers
Variety Stores
Warehouse Clubs
Other Consumer Health
74.5
10.3
3.6
0.0
0.0
0.0
2.9
0.7
6.8
0.0
5.8
1.0
0.0
1.0
64.1
64.1
0.0
64.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
13
Non-Store Retailing
Vending
Homeshopping
Internet Retailing
Direct Selling
Total
Source:
Key:
Passport
25.5
0.0
0.0
0.0
25.5
100.0
OTC = over the counter; SN = sports nutrition; VDS = vitamins and dietary supplements; WM = weight
management; HTP = herbal/traditional products; AC = Allergy Care; PCH = paediatric consumer health
Table 12
Forecast Sales of Consumer Health by Category: Value 2013-2018
INR million
OTC
Sports Nutrition
Vitamins and Dietary
Supplements
Weight Management
Herbal/Traditional
Products
Allergy Care
Paediatric Consumer
Health
Consumer Health
Source:
Note:
Table 13
2013
2014
2015
2016
2017
2018
64,129.8
5,621.3
53,227.7
66,905.3
6,691.3
58,471.5
69,402.0
7,854.7
63,945.7
71,651.7
9,052.6
69,567.2
73,616.7
10,295.3
76,009.5
75,292.2
11,553.8
81,716.6
11,852.9
50,107.0
13,430.1
54,286.7
15,128.4
58,581.4
16,988.7
62,869.7
19,093.6
66,805.8
21,469.5
70,244.3
3,896.6
4,272.8
4,665.3
5,054.2
5,433.8
5,808.6
134,831.6
145,498.1
156,330.8
167,260.2
179,015.1
190,032.2
Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Forecast Sales of Consumer Health by Category: % Value Growth 2013-2018
% constant value growth
OTC
Sports Nutrition
Vitamins and Dietary Supplements
Weight Management
Herbal/Traditional Products
Allergy Care
Paediatric Consumer Health
Consumer Health
Source:
Note:
Table 14
2013-18 CAGR
2013/18 TOTAL
3.3
15.5
9.0
12.6
7.0
8.3
7.1
17.4
105.5
53.5
81.1
40.2
49.1
40.9
trade sources
Forecast Sales of Consumer Health by Region: Value 2013-2018
14
Passport
INR million

North India
South India
West India
India
Source:
2013
2014
2015
2016
2017
2018
25,756.7
40,969.5
35,108.7
32,996.7
134,831.6
27,890.2
44,507.4
37,562.7
35,537.9
145,498.1
30,007.0
48,095.8
40,099.6
38,128.4
156,330.8
32,110.4
51,767.1
42,674.7
40,707.9
167,260.2
34,189.7
55,460.4
46,071.8
43,293.2
179,015.1
36,244.5
59,175.3
48,705.0
45,907.4
190,032.2
trade sources
Table 15
Forecast Sales of Consumer Health by Region: % Value Growth 2013-2018
% constant value growth

North India
South India
West India
India
Source:
2013-18 CAGR
2013/18 TOTAL
7.1
7.6
6.8
6.8
7.1
40.7
44.4
38.7
39.1
40.9
trade sources
APPENDIX
OTC Registration and Classification
In India, the import, manufacture, distribution and sale of drugs is regulated by the Drugs and
Cosmetics Act and its subordinate legislation, the Drugs and Cosmetics Rules. The legislation
is enforced by the Central Government (Ministry of Health and Family Welfare) in New Delhi.
The regulation of drugs in India is based on their positioning in the lists of drugs included in
Schedules G, H, and K and X, which are appended to the Drugs and Cosmetics Act.
OTC products in India have no official definition. Instead, all the drugs that are not listed by
the Act as prescription only drugs are considered as non-prescription drugs (or OTC drugs).
The regulation of drugs in India is based on their positioning in the lists of drugs included in
Schedules G, H, and K and X, which are appended to the Drugs and Cosmetics Act. The
product categories highlighted by Schedules G, H, K and X are as follows:
Schedule X: products containing controlled ingredients, such as barbitals, methamphetamines
and narcotics. Schedule X drugs must be labelled XRx in red on the top left corner of the
packaging. They must also be labelled: Warning: to be sold by retailer on the prescription of
a registered medical practitioner only.
Schedule H: products restricted to prescription sales. However, topical schedule H products
may be sold OTC, with this including ibuprofen. Schedule H drugs have to be labelled Rx in
red on the top left corner, and must also carry the words: Warning: to be sold by retailer on
the prescription of a registered medical practitioner only.
Schedule G: products that can be sold without prescription. The product must carry the
following warning: Caution. It is dangerous to take this preparation except under medical
supervision. Antihistamines fall into this category.
15
Schedule K: products considered as Household Remedies, including analgesics, antacids,

gripe water and inhalant decongestants. These products can be sold by non-drug-licensed
stores (non-chemists) in villages with fewer than 1,000 inhabitants.
The Drug and Magic Remedies (Objectionable Advertisement) Act details a list of ailments for
which the advertising of remedies is not permitted. It also prohibits misleading advertisements
which, directly or indirectly, give false impressions regarding the true character of the drug,
make false claims, or are otherwise false or misleading in any particular respect. Currently
there is no specific law which prohibits the advertising of prescription drugs. However, drugs
falling in Schedules G, H, and X are currently not advertised to the public under a voluntary
commitment by the pharmaceutical industry in India.
Products registered as Ayurvedic Medicines can be sold by non-drug-licensed stores. Some
of the top consumer healthcare brands in India, including Vicks, Eno and Amrutanjan Pain
Balm, are registered as Ayurvedic Proprietary Medicines because of their plant-based natural
active ingredients. Unlike the prices of other drugs and supplements, which are closely
controlled by the National Pharmaceutical Pricing Authority, there are no price controls on
ayurvedic medicines. The Drugs (Prices Control) Order 1995 restricts the prices of 74 bulk
drugs and their formulations (estimated to cover 40% of the total pharmaceuticals market in
India), and is implemented by the National Pharmaceutical Pricing Authority.
There are no separate labelling requirements for OTC drugs. Under the Standards of Weights
and Measures Rules, most packaged consumer products are required to have the Maximum
Retail Price printed on the label.
Most products are only permitted to be sold via licensed pharmacies, thus
chemists/pharmacies dominate the retailing of consumer health products.
Chemists/pharmacies accounted for 64% of value sales in consumer health in 2013, whilst
parapharmacies/drugstores had negligible sales. This limited distribution inevitably results in
narrower access to consumer health products. It also results in a lack of price competition.
Many in the government want to make consumer health products more widely available to the
population as a whole, and to allow larger chained grocery outlets to enter the market, thus
driving down the prices of many products through their greater economies of scale. In
response, representatives of chemists/pharmacies point to concerns regarding the dangers of
self-medication and the damage that this increased competition would cause to the pharmacy
retail infrastructure in the country.
Vitamins and Dietary Supplements Registration and Classification

The manufacture and sale of vitamins is officially legislated under the Drugs and Cosmetics
Act 1945, with rules and regulations similar to those covering standard medical products. The
government is in talks with the Drug Controller General of India (DCGI) and Food Safety and
Standards Authority of India (FSSAI) to establish regulations which will make companies that
use medicinal ingredients for non-medicinal usage need permission from the DCGI for the
manufacturing and distribution of these products.
Vitamins also face strict price ceilings as the government considers vitamin supplements to be
essential in combating the widespread malnutrition amongst consumers who have low
purchasing power. The regulatory authorities are in the process of setting up new regulations
in order to make sure companies cannot sell drugs or any medicinal composition as a food
supplement as, in doing so, these companies avoid the price ceiling set for medicines in India.
The packaging of supplements did not witness any changes in 2013, and was primarily in
hard plastic bottles with the dosage, ingredients and pricing stated on the label.
Passport
16
Vitamins and dietary supplements are available via chemists/pharmacies, hypermarkets,

supermarkets and health and beauty specialists amongst store-based retailers. In non-store
retailing, these products are mainly sold via internet retailing and direct selling. No particular
regulations are applicable to the distribution channel.
Self-medication/self-care and Preventative Medicine

There was an increasing trend of consumers preferring to opt for self-medication in recent
years. This trend was prominent mostly amongst urban consumers who have hectic lifestyles
and are pressed for time. These consumers find it difficult to take time to visit a doctor for
common ailments such as headaches, joint pain, coughs, colds, fevers and digestive issues,
and prefer to self-medicate. The number of doctors in India is low compared with the
population, and results in long queues at clinics. This also acts as a deterrent for urban
consumers to visit a doctor for common ailments.
Previously, most families used traditional home remedies for common ailments. However, as
nuclear families have become the norm in urban areas, especially in metros, the commonly
used traditional home remedies are less frequently being passed on to the younger
generation. As a result, these consumers are opting for readily available OTC products for
common ailments. The trend of traditional home remedies is still prevalent in rural areas, with
consumers not having enough access to OTC products. Manufacturers are aiming to increase
the distribution and presence of such products in rural areas in order to make them available
to rural consumers. The trend of rural consumers shifting to OTC products will only increase
in the coming years.
Urban consumers also became more conscious about their health in recent years, and have
opted for preventive medication such as chyawanprash to increase their immunity. Demand
for these preventive medications is also on the rise due to consumers having hectic work
lives, and being unwilling to miss any working days. Manufacturers such as Emami, Dabur
India, GlaxoSmithKline Consumer Healthcare and Amrutanjan Health Care have recruited a
number of celebrities and sports stars to endorse their brands and increase awareness.
The prominent brand Zandu Pancharishta has the Indian cricket team captain MS Dhoni and
Padma Vibhushan Pandit Birju Maharaj as brand ambassadors. Sona Chandi Chyawanprash
has the popular Bollywood star Shahrukh Khan as its brand ambassador, Zandu Kesari Jivan
has Pandit Birju Maharaj as its brand ambassador and Dabur Indias popular product Dabur
Chyawanprash also has the Indian cricket team captain MS Dhoni as its brand ambassador.
Aggressive promotions and branding measures by manufacturers have ensured there is
increased awareness of their brands and the benefits these products offer consumers.
Switches
There were no particular switches in 2013. However, in the forecast period more Rx
medicines might switch to OTC in order to reduce UTC sales of these drugs.
DEFINITIONS
Explanations of words and/or terminology used in this report are as follows:
Svarjiksara (Shudh): Sodium bicarbonate
Nimbukalam (Shushkam): Citric acid
Passport
17
Passport
SOURCES
Sources used during the research included the following:
Summary 1
Research Sources
Official Sources
Aden Health Care

Ashoka Lifescience Ltd
Blueprint
Century Distributors
Department of Chemicals & Petrochemicals
Department of Family Welfare, India
Government
Deys Medical Store Mfg Co
Draft National Policy on Indian System of
Medicines
Eskag Pharma Pvt Ltd
KPMG
M S Life Drug House Pvt Ltd
Ministry of Health, Government of India
National Pharmaceutical Pricing Authority
Press Information Bureau
Skyways Health Care Pvt Ltd
Trade Associations
Association of the European Self-Medication

Industry (AESGP)
Confederation of Indian Industry (CII)
Health & Dietary Supplement Association of
India
IBEF
Indian Drug Manufacturers Association
Organisation of Pharmaceutical Producers of
India (OPPI)
World Self-Medication Industry (WSMI)
Trade Press
Advertising & Marketing

AFAQS!
Asian Age, The
Bloomberg
Business India
Business Line
Business Standard
Business Today
Business Week
Business World
18
Passport
Chemical Weekly
Daily News & Analysis
Domain-b
Drug Today
Eastern Pharmacist
Economic Times, The
Equity Master
Express Pharma Pulse
Financial Express, The
Hindu Business Line
Hindustan Times
IBN Live
India Health News
India PRWire
India Today
Indiabiz News
Indian Express
MedGuide India
MyIris
Newspolitan.com
Outlook India
Pharma News
Pharmabiz.com
Press Trust of India
Rediff India Business News
Talk Delhi
The Economic Times
The Hindu
The Times of India
Thomson Reuters
Time World
Times of India
Tribune, The
Source:
19

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CONSUMER HEALTH IN INDIA