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Global Pharmacy Automation Market Size, Share & Trends Analysis Report By End-user, By Region, and Segment Forecasts, 2023 - 2032
  • Published Date: Nov, 2023
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  • Pages: 200
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  • Report Summary
  • Table of Contents
  • Segmentation
  • Methodology
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Pharmacy automation is the use of technology to automate the manual processes of storage, purchase, handling, and distribution of medications in a pharmacy. It includes a combination of machines, robotics, and pharmacy management software to carry out repetitive tasks in a sterile and precise manner.

Global Pharmacy Automation Market was valued US$ 5.6 Bn in 2022 and is expected to reach ~US$ 12 Bn by 2032, growing at a CAGR of 8% during the forecast period 2023-2032.

The global pharmacy automation market is experiencing growth due to several key factors. One of the primary drivers is the increasing demand for devices that can reduce medication errors. Additionally, the expanding geriatric population and the growing adoption of automated devices and innovative technologies are contributing significantly to the market's expansion. The rise in healthcare expenditure is also fuelling the development of the global pharmacy automation market throughout the forecast period.

Another crucial factor propelling the market's growth is the expansion of the pharmaceutical sector worldwide. According to the Indian Brand Equity Foundation, Indian pharmaceutical companies exported products with an expected increase of 30% to reach $20 billion by 2020. This thriving pharmaceutical industry is anticipated to have a positive impact on the global pharmacy automation market.

The global geriatric population is on the rise, leading to an increase in life-threatening and chronic diseases, resulting in a higher number of prescriptions. A study released in June 2021, titled "Economic Analysis of the Prevalence and Clinical and Economic Impact of Medication Error in England," reported that the National Health Service in England makes an estimated 237 million prescription errors annually, leading to numerous fatalities. To reduce costs and enhance patient safety, pharmacies and hospitals are adopting new pharmacy automation technology.

Furthermore, the market is expected to witness growth due to increased mergers, acquisitions, and partnerships among companies seeking to expand their product offerings and capabilities. Key market players, particularly in emerging economies, are emphasizing continuous product development while maintaining competitive pricing.

COVID -19 Impact on Pharmacy Automation Market

The COVID-19 pandemic has triggered an upsurge in demand for testing and production, leading to a heightened need for automation solutions. In response to the global battle against COVID-19, the pharmaceutical sector has shifted from sporadic automation implementations to the integration of robots as a vital tool. The pandemic has particularly increased the necessity for robot arms in viral DNA testing.

Additionally, many pharmaceutical companies swiftly embraced automation and robotics solutions for streamlined COVID-19 testing processes. These firms effectively harnessed the benefits of automation to maintain or even enhance production levels without compromising quality or safety standards. Automation has enabled pharmaceutical companies to safely scale up production and construct more agile and scalable production lines.

The COVID-19 pandemic has accelerated existing trends in the industry, including the adoption of flexible automation, digitalization, batch production, and personalization. It has also driven the demand for SCARA and collaborative robots in pharmaceutical manufacturing. Collaborative robots have enabled pharmaceutical research entities to automate repetitive tasks, while SCARA robots have improved the precision and efficiency of high-volume tasks like COVID-19 sample testing.

As the demand for vaccines continues to rise, it is expected that pharmaceutical manufacturing will increasingly embrace automation. If the effectiveness of vaccines against virus mutations turns out to be short-lived, the pharmaceutical industry is likely to allocate more resources to automation and robotics. This heightened focus on automation and robotics is poised to drive growth in the pharmaceutical automation market.

This market is categorized based on various factors, including components (such as enterprise-level controls encompassing product lifecycle management, enterprise resource planning, and manufacturing execution systems; plant instrumentation consisting of motors & drives, robots, sensors, machine vision systems, relays & switches, and other plant instrumentation components; and plant-level controls including supervisory control and data acquisition, distributed control systems, programmable logic controllers, among others), modes of automation (semi-automatic and fully-automatic), end users (comprising the pharmaceutical and biotech industries), and geographical regions. The study also involves an assessment of industry competitors and offers market analysis at both regional and country levels.

Factors Driving the Pharmacy Automation Market

Pharmacy Automation Market Drivers

Growing demand for safe and digitized production processes

Industries are increasingly turning to automation as a cost-cutting measure. Automation systems offer quicker responses through real-time monitoring techniques, enabling proactive precautions to prevent breakdowns. By substituting human labor with machines and robots for hazardous tasks, automation also reduces the risk of workplace injuries. Safety automation software simplifies the updating of safety protocols and the formulation of action plans, helping companies digitize their production processes.

The International Labour Organization has estimated that approximately 2.3 million individuals worldwide suffer from work-related accidents or illnesses each year. The high risks involved necessitate the establishment of regulations to safeguard worker safety.The European Union has proposed a directive aimed at setting minimum health and safety standards for manual handling of loads, particularly focusing on preventing back injuries to workers.

The prevalence of various types of robots, including industrial robots, collaborative robots (cobots), and warehouse robots, is on the rise, creating a more sophisticated and secure working environment for employees. Collaborative robots, in particular, are gaining popularity due to their smaller size and design for working alongside humans. They come equipped with built-in safety features to ensure smoother and safer operation.

Growing need to minimize medication errors

Medication errors and dispensing errors are widely acknowledged as primary factors leading to hospital readmissions worldwide. These errors often result from inadequate communication between physicians and pharmacists, unsafe storage practices in pharmacies, and the potential for confusion arising from similar labels and drug prescriptions during drug preparation, dispensing, or administration. Automated systems are recognized as highly effective solutions for mitigating these errors. Historically, the successful adoption of automated dispensing cabinets (ADCs) and automated dispensing machines (ADMs) in hospital settings has resulted in substantial reductions in both dispensing errors and medication errors.


Stringent Regulatory Procedures

Hospitals and pharmacies play a vital role in the nation's drug supply chain, specifically in the distribution of medications to the public. Within this heavily regulated domain, there exist three significant laws aimed at safeguarding the welfare and security of both the general population and industry professionals. These laws pertain to the protection of the drug supply chain, the regulation of controlled substances for safety, and the management of pharmaceutical hazardous waste. These regulations are enforced by key agencies such as the FDA, DEA, and EPA.

As a result, manufacturers of automated pharmaceutical systems are obligated to adhere to a multitude of regulatory requirements. This task of maintaining compliance can be arduous and may lead to delays in product launches. Consequently, the stringent nature of these regulatory procedures poses a significant challenge to the growth of the market.

Pharmacy Automation Market Segmentation 

By Product

The global pharmacy automation market comprises major segments such as automated medication dispensing, automated packaging and labelling system, automated compounding devices and automated table top counters.

In 2022, the largest share of revenue in the global pharmacy automation market was attributed to the segment of automated medication dispensing systems. The global pharmacy automation market is categorized by product into various segments, including automated medication dispensing systems, automated packaging and labelling systems, automated compounding devices, and others. The automated medication dispensing systems segment claimed the largest share of revenue in 2022 due to its ability to enhance medication safety, reduce the risks associated with medication dispensing, and offer cost-effectiveness. These systems save time and minimize the chances of misinterpreting handwritten prescriptions when nurses and pharmacists use computer-generated software to order medications. Furthermore, automated software can alert pharmacists if a patient's medication orders conflict with their allergies, thereby improving patient safety. Technology has revolutionized how nurses administer medications, leading to a reduction in medication errors. For example, smart pumps can proactively notify nurses of potential medication errors by comparing their settings with hospital policies and patient records, preventing many errors before they occur.

The segment of automated packaging and labelling systems is expected to witness the fastest revenue growth rate during the forecast period. According to the Institute of Medicine, labelling and packaging errors accounted for more than 33% of all medication errors. Such errors can have detrimental effects on a brand's reputation and customer trust if labels and packaging materials do not meet the same high standards as the products themselves. Consequently, automated pharmaceutical packaging inspection has become indispensable in daily business operations to ensure quality and error-free work, ultimately reducing packaging errors and the incidence of product recalls.

By Automation Mode

The market's classification based on the mode of automation includes two segments: fully-automatic and semi-automatic. In 2022, the semi-automatic segment secured a substantial share of revenue within the global pharmacy automation market. Notably, the semi-automatic segment had a significant share of revenue in 2022. These systems are employed for vial packaging and excel in promptly identifying defects, deformities, particles, and cosmetic flaws, providing valuable assistance for efficient operator inspection with high throughput. They enable faster inspections compared to manual methods while still upholding stringent quality control standards.

Semi-automatic Drug Distribution Systems (DDSs) find application in hospitals and healthcare settings, contributing to medication safety, time efficiency, and reduced medication costs. As for the fully-automatic segment, it is projected to experience the most rapid growth in revenue during the forecast period. This growth can be attributed to the increasing adoption of fully automated solutions in various industries such as metals & mining, chemicals, materials, Oil & Gas (O&G), and paper & pulp.

Companies in these industry sectors are utilizing fully automated solutions to manage activities both on-site and in office environments more effectively. The labour-intensive nature of mining and exploration activities necessitates efficient management systems, often facilitated by Enterprise Resource Planning (ERP) solutions. These businesses also integrate robots and automated systems to complement human labour in demanding tasks, thereby enhancing overall productivity.

Various companies, including Ing. Sumetzberger GmbH and Pegasus, are collaborating to develop fully automatic devices that enable the complete automation of pharmaceutical picking and transportation while maintaining comprehensive documentation and ensuring the reliability of all prescribed drugs during dispensing.

By Regions

By region, the market is divided into North America, Europe, APAC, and Others. Others is further divided into Middle East and South America.

In 2022, the North American market secured the largest share of revenue, primarily attributed to the increasing presence of leading pharmaceutical companies and a substantial number of product launches. For instance, on August 17, 2021, iA, a provider of software-enabled pharmacy automation and fulfillment solutions, introduced three new solutions designed to enhance the relationship between pharmacists and patients. These solutions aimed to improve fulfillment efficiency and inventory management for pharmacies. Additionally, iA launched SmartPod, its next-generation robot, which revolutionizes central fill pharmacy operations, enabling pharmacy providers to offer more options to patients.

The Asia Pacific market is anticipated to exhibit a significantly rapid revenue growth rate during the forecast period. This growth is fueled by an increasing number of medication errors and the enforcement of stringent regulatory standards for patient safety and medication dispensing across various regions. Moreover, several countries are introducing Artificial Intelligence (AI)-based devices to enhance pharmacy operations. For example, on June 23, 2021, Australia unveiled the Fred Artificial Intelligence Directions (AID) platform, powered by AI, capable of providing substantial data support for pharmacy business development. This platform ensures safer dispensing with a highly secure Microsoft SQL database and integrated MIMS drug integrations. These advancements in pharmacy automation are significantly contributing to market revenue growth.

The European market is also expected to experience notably rapid revenue growth over the forecast period, driven by increasing healthcare expenditure and significant investments by companies in reducing medication errors. For instance, on September 7, 2021, Deenova announced its expansion into the largest healthcare market in Europe in terms of Gross Domestic Product (GDP), Germany. The company also secured its first contract in Germany, marking a milestone in its European operations. Furthermore, in March 2022, Deenova introduced three innovative mechatronic solutions, namely AIDE-Pick, AIDE-Cut, and AIDE-Pack D3. These additions complement Deenova's flagship solutions, including the D1 All-In-1 Robot, D1 All-In-1 Station, D1 All-In-1 Trolley, and Orbit, providing a comprehensive approach to pharmacy automation.

Competitive Landscape of Pharmacy Automation Market

The competitive landscape of the global pharmacy automation market offers a comprehensive view of the industry's key players. This information encompasses various aspects of these companies, including their corporate profiles, financial performance, revenue generation, market potential, investments in research and development, recent market initiatives, global presence, manufacturing sites and capabilities, strengths and weaknesses, product launches, product diversity, and dominance in various applications. It's important to note that the provided data pertains solely to these companies' activities within the market.

Some of the prominent players in the global pharmacy automation market include ARxIUM, OMNICELL INC., Cerner Corporation, Capsa Healthcare, ScriptPro LLC, RxSafe, LLC., MedAvail Technologies, Inc., Asteres Inc., InterLink AI, Inc., BD, Baxter, Fullscript, McKesson Corporation, Innovation Associates, AmerisourceBergen Corporation, UNIVERSAL LOGISTICS HOLDINGS, INC, Takazono Corporation, TOSHO Inc., Willach Group, and BIQHS.

Recent Developments in the Pharmacy Automation Market

  • In 2022, Capsa Healthcare made an announcement regarding its acquisition of Humanscale Healthcare, a New York-based company specializing in flexible technology solutions and computing workstations. This strategic move has allowed Capsa to significantly broaden its product portfolio, positioning the company to offer a more extensive range of ergonomically designed point-of-care computing solutions to healthcare partners worldwide.
  • Also, in 2022, Capsa Healthcare (US) expanded its suite of NexsysADC automated dispensing cabinets. These cabinets, known as NexsysADC, are now equipped to accommodate controlled or high-value medications and supplies of varying sizes, thanks to the addition of two new sizes of Controlled Access Module Drawers.
  • In 2021, Innovation Associates, based in the United States, introduced SmartPod, a cutting-edge robot designed for central-fill pharmacy environments. SmartPod empowers healthcare providers to adapt and scale their centralized fulfillment solutions in response to evolving demands.
  • During the same year, Omnicell, Inc. (US) completed the acquisition of ReCept Holdings, Inc. (US), which offered specialty pharmacy management services to health systems, provider groups, and federally qualified health centers (FQHCs). This acquisition was part of Omnicell's strategy to expand its Advanced Services portfolio.
  • In 2021, Swisslog Healthcare entered into an innovation agreement with Centre Hospitalier - Le Mans. This partnership aimed to leverage their collective expertise in the pharmacy field, specifically related to the automated packaging and dispensing system known as TheraPick.

Table of Contents

1.    Executive summary


2.1               MARKET SCOPE

2.2               MARKET Definitions

3.    research methodology

4.    market outlook

4.1               Key Trends

4.2               GUIDELINES / REGULATIONS


4.4               MARKET DYNAMICS

4.4.1                   Drivers               Increasing specialty drug dispensing               Growing technological advancements in healthcare infrastructure               Growing need to minimize medication errors

4.4.2                   Restraints               Lack of skilled personnel               Reluctance to adopt pharmacy automation systems

4.4.3                   Opportunities               Increasing awareness among pharmacists               Increasing focus of government and authorities to adopt cost reduction measures

4.4.4                   Challenges               High initial capital investments               Stringent regulatory procedures

4.5               PriCing Analysis

4.6               PORTER’S FIVE FORCE MODEL

4.6.1                   Threat of new entrants

4.6.2                   Threat of substitute

4.6.3                   Bargaining power of suppliers

4.6.4                   Bargaining power of buyers

4.6.5                   Intensity of competitive rivalry


5.1               INTRODUCTION

5.2               MARKET SHARE ANALYSIS

5.3               Automated medication dispensing

5.4               automated packaging and Labelling system

5.5               automated compounding devices

5.6               automated tabletop counters

5.7               others

6.    GLOBAL PHARMACY AUTOMATION MARKET, By automation mode, MARKET ESTIMATION AND FORECAST, 2022-2032), value (USD million)

6.1               INTRODUCTION

6.2               MARKET SHARE ANALYSIS

6.3               Fully-Automatic

6.4               semi-automatic


7.1               INTRODUCTION

7.2               MARKET SHARE ANALYSIS

7.3               Hospital pharmacies

7.4               retail pharmacies


8.1               INTRODUCTION


8.2.1                   North America Pharmacy Automation  Market, By Country               US               Canada               Mexico

8.2.2                   North America Pharmacy Automation  Market, By Product Type

8.2.3                   North America Pharmacy Automation  Market, By Automation

8.2.4                   North America Pharmacy Automation  Market, By End Use


8.3.1                   Europe Pharmacy Automation  Market, By Country               Germany               UK               France               Italy               Spain               Russia               Rest of Europe

8.3.2                   Europe Pharmacy Automation  Market, By Product Type

8.3.3                   Europe Pharmacy Automation  Market, By Automation

8.3.4                   Europe Pharmacy Automation  Market, By End Use


8.4.1                   Asia Pacific Pharmacy Automation Market, By Country               China               Japan               India               Australia               Singapore               South Korea               Thailand               Indonesia               Malaysia           Philippines           Rest of Asia Pacific

8.4.2                   Asia Pacific Pharmacy Automation  Market, By Product Type

8.4.3                   Asia Pacific Pharmacy Automation  Market, By Automation

8.4.4                   Asia Pacific Pharmacy Automation  Market, By End Use


8.5.1                   Middle East & Africa Pharmacy Automation  Market, By Country               UAE               Saudi Arabia               South Africa               Rest of Middle East & Africa

8.5.2                   Middle East & Africa Pharmacy Automation  Market, By Product Type

8.5.3                   Middle East & Africa Pharmacy Automation  Market, By Automation

8.5.4                   Middle East & Africa Pharmacy Automation  Market, By End Use


8.6.1                   South America Pharmacy Automation Market, By Country               Brazil               Argentina               Peru               Rest of South America

8.6.2                   South America Pharmacy Automation  Market, By Product Type

8.6.3                   South America Pharmacy Automation  Market, By Automation

8.6.4                   South America Pharmacy Automation  Market, By End Use



9.2               competitor benchmarking

9.3               Competitive Quadrant

9.4               market share analysis, 2022 (%)


10.1           arxium inc.

10.1.1               Company Overview           Business outlook           Headquarter           Established/ Incorporated           Headcounts/ Employee strength

10.1.2               Financial Overview           Sales/ Revenue           R&D expenditure           Business segment sales share           Regional sales share

10.1.3               Product Offerings 

10.1.4               SWOT Analysis

10.1.5               Key Developments (Expansion/New Product Development/Agreement/Mergers & Acquisitions, Partnership/Investment/Etc.)

10.2           baxter international inc.

10.3           Beckton, Dickinson and company

10.4           capsa healthcare

10.5           cerner healthcare

10.6           euclid medical products

10.7           innovation associates

10.8           kuka ag

10.9           mckesson corporation

10.10        medical packaging inc.

10.11        meditech pharmacy management solutions

10.12        noritsu pharmacy automation

10.13        omnicell, inc.

10.14        parata systems llc

10.15        pearson medical technologies llc

10.16        rxsafe llc

10.17        scriptpro llc

10.18        swisslog healthcare

10.19        tension corporation

10.20        touchpoint medical solutions

10.21        yuyama co. ltd.

10.22        OTHERS

*Financials and Details May Not be Included in Case of Privately Held Company

Global Pharmacy Automation Market Segmentation

Pharmacy Automation by Type: Market Size & Forecast 2023-2030

  • Robot Dispensing Systems
  • Automated Storage and Retrieval Systems (ASRS)
  • Pharmacy Management Software
  • Robotic Medication Packaging
  • Blister Packaging Machines
  • Automated Medication Distribution Systems
  • Pharmacy Billing and Reimbursement Systems

Pharmacy Automation by Application: Market Size & Forecast 2023-2030

  • Retail Pharmacies
  • Hospital Pharmacies
  • Mail-Order Pharmacies

Pharmacy Automation by Geography: Market Size & Forecast 2023-2030

  • North America (USA, Canada, Mexico)
  • Europe (Germany, UK, France, Russia, Italy, Rest of Europe)
  • Asia-Pacific (China, Japan, South Korea, India, Southeast Asia, Rest of Asia-Pacific)
  • South America (Brazil, Argentina, Columbia, Rest of South America)
  • Middle East and Africa (Saudi Arabia, UAE, Egypt, Nigeria, South Africa, Rest of MEA)

Major Players:

  • McKesson Corporation
  • Omnicell, Inc.
  • AmerisourceBergen Corporation
  • Swisslog Holding AG
  • BD (Becton, Dickinson and Company)
  • Cerner Corporation
  • Capsa Healthcare
  • ScriptPro LLC
  • Talyst LLC
  • Parata Systems
  • ARxIUM
  • TCGRx
  • RxSafe, LLC
  • Innovation Associates, Inc.
  • Yuyama Co., Ltd.
  • ForHealth Technologies
  • Pearson Medical Technologies
  • R/X Automation Solutions
  • Health Robotics S.r.l.
  • ScriptPro LLC
  • TCGRx
  • Yaskawa Electric Corporation
  • ScriptPro LLC
  • Willach Pharmacy Solutions

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