Pharmaceutical Market Size To Reach $2,350.43 Billion By 2030

February 2025 | Report Format: Electronic (PDF)

Pharmaceutical Market Growth & Trends

The global pharmaceutical market size is estimated to reach USD 2,350.43 billion by 2030, registering to grow at a CAGR of 6.12% from 2025 to 2030 according to a new report by Grand View Research, Inc. The growth of the pharmaceuticals market is attributable to the increasing prevalence of chronic diseases, leading to a growing need for developing novel therapeutics. According to the National Council on Aging, it is estimated that approximately 95% of the older population has at least one chronic ailment, and around 80% has two or more. Moreover, chronic diseases such as diabetes, arthritis, and heart disease disproportionately affect the elderly population.

Awareness is critical for prevention, early detection, focused therapy, and effective treatment. People aware of an illness and its symptoms are more inclined to take preventative measures, such as screenings, tests, and check-ups. The increased awareness of various diseases is another element driving the pharmaceutical space. As people are now aware of diseases such as cancer and diabetes, they are more likely to seek treatment if they develop those conditions. A number of initiatives are taken by public and private organizations to spread awareness and educate the population. Furthermore, many people now have insurance policies that cover prescription drug expenses, contributing to increased pharmaceutical demand.

Moreover,the demand for pharmaceuticals is significantly increasing globally due to advancements in technology in the development of novel therapeutics. The pharmaceutical industry invests at an unprecedented rate in research and development, as well as product sales and distribution. The industry focuses on distinctly and directly addressing people's health. The pharmaceuticals industry is critical to patient care and community development and provides numerous life-saving treatments, generates employment, and contributes to the world economy.

Many biological agents, such as bacteria and viruses, are used in vaccine manufacturing, fermentation processes, and biotechnology. The market is made up of a diverse spectrum of companies, including giant pharma, mid-sized specialty, virtual pharma, generic manufacturers, and small biotechnology and biopharmaceutical organizations. Furthermore, key players involved in developing and formulating various therapeutic formulations are focusing on collaborations and partnerships to develop novel medications and maintain their competitive position in the market.

Moreover, several players are involved in developing novel pharmaceuticals to meet the rising demand for the prevention and treatment of conditions. For instance, in April 2023, F. Hoffmann-La Roche Ltd. announced that its wet age-related macular degeneration drug, Vabysmo, which received FDA approval in January 2022, brought around USD 500 million during the first quarter of 2023. The drug's sales increased by more than 500% year-on-year, beating competitors such as multiple sclerosis treatment Ocrevus and the hemophilia medication Hemlibra. Moreover, in July 2023, Novartis AG received U.S. FDA approval for an expanded indication of Leqvio (inclisiran), in order to include treatment of patients with high LDL-C who are at an increased risk of heart diseases.

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Pharmaceutical Market Report Highlights

The Conventional drugs (small molecules) dominated the market with a revenue share of 54.74% in 2024.
The branded segment dominated the pharmaceutical market with a revenue share of 86.76% in 2024.
The prescription segment dominated the market with a revenue share of 86.76% in 2024 due to rising demand for chronic disease treatments, technological advancements in drug development, and improved healthcare access.
The cancer segment dominated the market with a revenue share of 18.06% in 2024.
The oral segment dominated the peptide drug conjugates market with a revenue share of 57.53% in 2024 due to its convenience, patient compliance, and cost-effectiveness.
The adults segment dominated the peptide drug conjugates market with a revenue share of 63.84% in 2024.
The hospital pharmacy segment dominated the peptide drug conjugates market with a revenue share of 53.53% in 2024

Pharmaceutical Market Segmentation

Grand View Research has segmented the global pharmaceutical market based on molecule type, product, type, disease, route of administration, age group, distribution channel, and region:

Pharmaceutical Molecule Type Outlook (Revenue, USD Billion, 2018 - 2030)