U.S. OTC DRUGS MARKET SIZE TO REACH USD 43.18 BILLION BY 2026, GROWING AT A CAGR OF 4.01% DURING THE PERIOD 2021-2026

U.S. OTC Drugs Market Size, Share, & Trends Analysis Report by Product Type (Cold & Cough, Analgesics, Dietary Supplements, Gastrointestinal, Dermatology, Ophthalmic, and Others), Indication (Infection, Pain, Heartburn, Immune/Health Booster, and Others), Distribution Channel (Retail Pharmacies, Hospital Pharmacies, Online Pharmacies, and Others), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast 2021–2026

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173 Pages

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36 Tables

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82 Charts

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1 Regions

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1 Countries

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22 Companies

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3 Market Segment

U.S. OTC DRUGS MARKET REPORT SCOPE

Report Attribute Details
MARKET SIZE (REVENUE) USD 43.18 BILLION (2026)
CAGR 4.01% (2021-2026)
Base Year 2020
Forecast Year 2021 –2026
Market Segments Product Type (Cold & Cough, Analgesics, Dietary Supplements, Gastrointestinal, Dermatology, Ophthalmic, and Others), Indication (Infection, Pain, Heartburn, Immune/Health Booster, and Others), and Distribution Channel (Retail Pharmacies, Hospital Pharmacies, Online Pharmacies, and Others)
Geographic Analysis United States

U.S. OTC DRUGS MARKET INSIGHTS

The U.S. OTC drugs market size to reach USD 43.18 billion by 2026, growing at a CAGR of 4.01% during the forecast period. With the rise in self-medication among the US population, the demand for on-the-counter (OTC) drugs are significantly increasing. COVID-19 outbreak has considerably influenced the sales of these drugs with the increased focus on personal health. The expansion in the number of OTC medicines in the region by manufacturing companies and switching prescriptions to OTC drugs highly contributes to market growth. The demand for on-the-counter drugs has constantly been increasing with the rise of private labels, online sales, and the number of OTC product launches in the upcoming years. Recently, the sales of OTC medicines have been growing through online platforms, thereby benefitting private retailers.

U.S. OTC DRUGS MARKET: KEY HIGHLIGHTS

  • In 2020, online pharmacies and hospital pharmacies segments accounted for the most significant U.S. OTC drugs market shares of 20.60% and 18.50%, respectively.
  • Based on indication, the infection segment is anticipated to grow with the highest incremental growth of USD 2.78 billion during the forecast period.
  • Online retail giants like Amazon, which recently launched a private label line called Basic Care, contribute to the US OTC drugs market trend. 
  • In the past 30 years, the FDA has converted more than 700 prescription (Rx) products to OTC status.

KEY OPPORTUNITIES IN THE MARKET:

  • Impact of healthcare reforms on OTC drugs
  • OTC product launches & replacement of prescription drugs
  • Private labels & online sales of OTC medicines
  • Switching of prescription drugs to OTC drugs

MARKET SHARE & SEGMENTS

  • There is a wide and powerful array of OTC, supplemental, and herbal preparations to treat patients with upper and lower GI problems accelerating the market's growth in the US.
  • The demand for cold and cough OTC drugs has already been high, and the dietary supplements are expected to have a higher growth rate mainly due to COVID-19.
  • The increasing population and prevalence of digestive and cardiovascular problems accompanied by a sedentary lifestyle will increase demand for on-the-counter drugs.
  • The online pharmacies distribution channel segment is anticipated to witness an incremental growth of USD 2.90 billion during the forecast period.
  • To reinforce the competitive position, OTC companies may consider acquiring brands rather than companies.
  • The advent of COVID-19 led to an increased dependence on online pharmacies for purchasing medicines fueling the demand for OTC medicines.

IMPACT OF COVID-19

During COVID-19, healthcare practitioners played a critical part in educating patients on OTC treatments and usage. During the COVID-19 pandemic, most people were treating themselves at home with the strict regulation of lockdown, thereby surging the growth of the U.S. OTC drugs market. Consumers benefit from the availability of OTCs and their physicians endorsing OTC usage. Both groups acknowledge the downside of OTC treatment. Companies are increasing their productivity to meet the high demand during the COVID-19.

COMPETITIVE LANDSCAPE

Leading companies are constantly consolidating their market position through strategic and high-profile mergers and acquisitions. Governments across the US are likely to sponsor campaigns to enhance health education, increasing self-medication. The OTC drugs market in the US is highly competitive and fragmented with the presence of various players. Many leading companies have a broad portfolio of OTC products that the major vendors acquire to strengthen their market value and emerge as the top player in the industry. Vendors are increasingly developing new and more effective products suitable for self-medication to boom in the US OTC drugs market.

The U.S. OTC drugs market research report includes in-depth coverage of the industry analysis with revenue and forecast insights for the following segments:

  • Product Type
    • Cold & Cough
    • Analgesics
    • Dietary Supplements
    • Gastrointestinal
    • Dermatology
    • Ophthalmic
    • Others
  • Indication
    • Infection
    • Pain
    • Heartburn
    • Immune/Health Booster
    • Others
  • Distribution Channel
    • Retail Pharmacies
    • Hospital Pharmacies
    • Online Pharmacies
    • Others

Frequently Asked Questions

What is the market size and forecast for the U.S. OTC drugs industry?

U.S. OTC drugs market size to reach USD 43.18 billion by 2026, growing at a CAGR of 4.01% during the forecast period.

What are the different distribution channels for the OTC drugs?

Retail pharmacies, hospital pharmacies, and online pharmacies are some of the distribution channels.

Who are the key players in the on-the-counter drugs industry?

Johnson & Johnson, GlaxoSmithKline, Bayer AG, and Teva Pharmaceutical Industries are the key players.

Which is the leading segment in the US OTC drugs market?

Cold & cough is the leading segment in the industry.

What is the impact of COVID-19 on the U.S. OTC drugs market?

During the COVID-19 pandemic, most of the people were treating themselves at home with the strict regulation of lockdown, thereby, surging the growth of the industry.

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The U.S. OTC drugs market by revenue is expected to grow at a CAGR of 4.01% during the period 2021–2026.

The following factors are likely to contribute to the growth of the U.S. OTC drugs market during the forecast period:

  • Growing Trend of Self Medication & Self Care
  • High Acceptance of Private Labels & Online Sales of OTC Drugs
  • Growing Healthcare Savings by OTC Drugs
  • Rising of Patent Expirations of Prescription Drugs

Base Year: 2020

Forecast Year: 2021–2026

The study considers the U.S. OTC drugs market's present scenario and its market dynamics for the period 2020−2026. It covers a detailed overview of several market growth enablers, restraints, and trends. The report offers both the demand and supply aspects of the market. It profiles and examines leading companies and other prominent ones operating in the market.

Key Company Profiles

  • Johnson & Johnson
    • Business Overview
    • Product Offerings
    • Key Strengths
    • Key Strategies
    • Key Opportunities
  • GlaxoSmithKline
  • Bayer AG
  • Teva Pharmaceutical Industries

Other Prominent Vendors

  • Abbott
    • Business Overview
    • Product Offerings
  • Achelios
  • Alcon
  • American Health
  • Amway
  • Aytu Consumer Health
  • Bausch Health Companies
  • BioGaia
  • Colgate-Palmolive Company
  • Herbalife Nutrition
  • Perrigo Company
  • Prestige Consumer Health
  • Procter & Gamble
  • Reckitt Benckiser Group
  • Sanofi-Aventis
  • Sun Pharmaceutical Industries
  • The Bountiful Company
  • Viatris

Segmentation by Product Type

  • Cold & Cough
  • Analgesics
  • Dietary Supplements
  • Gastrointestinal
  • Dermatology
  • Ophthalmic
  • Others

Segmentation by Indication

  • Infection
  • Pain
  • Heartburn
  • Immune/Health Booster
  • Others

Segmentation by Distribution Channel

  • Retail Pharmacies
  • Hospital Pharmacies
  • Online Pharmacies
  • Others

1             Research Methodology

2             Research Objectives

3             Research Process

 

4             Scope & Coverage

4.1         Market Definition

4.1.1      Inclusions

4.1.2      Exclusions

4.1.3      Market Estimation Caveats

4.2         Base Year

4.3         Scope of The Study

4.3.1      Market Segmentation by Product Type

4.3.2      Market Segmentation by Indication

4.3.3      Market Segmentation by Distribution Channel

 

5             Report Assumptions & Caveats

5.1         Key Caveats

5.2         Currency Conversion

5.3         Market Derivation

 

6             Market at A Glance

7             Introduction

7.1         Overview

7.1.1      Launching OTC Drugs in US

7.1.2      Accessibility of OTC Drugs in US

7.1.3      Affordability of OTC Drugs in US

7.1.4      Optimizing OTC Drugs

7.1.5      Trends in Various OTC Therapeutic Categories

 

8             Market Opportunities & Trends

8.1         Private Labels & Online Sales of OTC Drugs

8.2         Patent Expirations of Prescription Drugs

8.3         OTC Product Launches & Replacement of Prescription Drugs

8.4         Impact of Healthcare Reforms on OTC Drugs

 

9             Market Growth Enablers

9.1         Growing Trend of Self Medication & Self Care

9.2         OTC Drugs Treating Serious Health Conditions

9.3         Switching of Prescription Drugs to OTC Drugs

9.4         Growing Healthcare Savings by OTC Drugs

 

10           Market Restraints

10.1       Abuse of OTC Drugs

10.2       Risk of Side Effects by OTC Counter Drugs

10.3       Growing Alternatives to OTC Drugs

 

11           Market Landscape

11.1       Market Overview

11.1.1    Product Insights

11.1.2    Indication Insights

11.1.3    Distribution Channel Insights

11.2       Market Size & Forecast

11.3       Impact of Covid-19 On the US OTC Drugs Market

11.4       Five Forces Analysis

11.4.1    Threat of New Entrants

11.4.2    Bargaining Power of Suppliers

11.4.3    Bargaining Power of Buyers

11.4.4    Threat of Substitutes

11.4.5    Competitive Rivalry

 

12           Product Type

12.1       Market Snapshot & Growth Engine

12.2       Market Overview

12.3       Cold & Cough

12.3.1    Market Overview

12.3.2    Market Size & Forecast

12.4       Analgesics

12.4.1    Market Overview

12.4.2    Market Size & Forecast

12.5       Dietary Supplements

12.5.1    Market Overview

12.5.2    Market Size & Forecast

12.6       Gastrointestinal

12.6.1    Market Overview

12.6.2    Market Size & Forecast

12.7       Dermatology

12.7.1    Market Overview

12.7.2    Market Size & Forecast

12.8       Ophthalmic

12.8.1    Market Overview

12.8.2    Market Size & Forecast

12.9       Others

12.9.1    Market Overview

12.9.2    Market Size & Forecast

 

13           Indication

13.1       Market Snapshot & Growth Engine

13.2       Market Overview

13.3       Infection

13.3.1    Market Overview

13.3.2    Market Size & Forecast

13.4       Pain

13.4.1    Market Overview

13.4.2    Market Size & Forecast

13.5       Heartburn

13.5.1    Market Overview

13.5.2    Market Size & Forecast

13.6       Immune/Health Booster

13.6.1    Market Overview

13.6.2    Market Size & Forecast

13.7       Others

13.7.1    Market Overview

13.7.2    Market Size & Forecast

 

14           Distribution Channel

14.1       Market Snapshot & Growth Engine

14.2       Market Overview

14.3       Retail Pharmacies

14.3.1    Market Overview

14.3.2    Market Size & Forecast

14.4       Hospital Pharmacies

14.4.1    Market Overview

14.4.2    Market Size & Forecast

14.5       Online Pharmacies

14.5.1    Market Overview

14.5.2    Market Size & Forecast

14.6       Others

14.6.1    Market Overview

14.6.2    Market Size & Forecast

 

15           Competitive Landscape

15.1       Competition Overview

15.2       Market Share Analysis

15.2.1    Johnson & Johnson in OTC Drugs Market in US

15.2.2    GlaxoSmithKline in OTC Drugs Market in US

15.2.3    Bayer AG in OTC Drugs Market in the US

15.2.4    Teva Pharmaceutical Industries in OTC Drugs Market in the US

 

16           Key Company Profiles

16.1       Johnson & Johnson

16.1.1    Business Overview

16.1.2    Johnson & Johnson in OTC Drugs Market in US

16.1.3    Product Offerings

16.1.4    Key Strategies

16.1.5    Key Strengths

16.1.6    Key Opportunities

16.2       GlaxoSmithKline

16.2.1    Business Overview

16.2.2    GlaxoSmithKline in OTC Drugs Market in US

16.2.3    Product Offerings

16.2.4    Key Strategies

16.2.5    Key Strengths

16.2.6    Key Opportunities

16.3       Bayer AG

16.3.1    Business Overview

16.3.2    Bayer AG in OTC Drugs Market in the US

16.3.3    Product Offerings

16.3.4    Key Strategies

16.3.5    Key Strengths

16.3.6    Key Opportunities

16.4       Teva Pharmaceutical Industries

16.4.1    Business Overview

16.4.2    Teva Pharmaceutical Industries in OTC Drugs Market in US

16.4.3    Product Offerings

16.4.4    Key Strategies

16.4.5    Key Strengths

16.4.6    Key Opportunities

 

17           Other Prominent Vendors

17.1       Abbott

17.1.1    Business Overview

17.1.2    Product Offerings

17.2       Achelios

17.2.1    Business Overview

17.2.2    Product Offerings

17.3       Alcon

17.3.1    Business Overview

17.3.2    Product Offerings

17.4       American Health

17.4.1    Business Overview

17.4.2    Product Offerings

17.5       Amway

17.5.1    Business Overview

17.5.2    Product Offerings

17.6       Aytu Consumer Health

17.6.1    Business Overview

17.6.2    Product Offerings

17.7       Bausch Health Companies

17.7.1    Business Overview

17.7.2    Product Offerings

17.8       BioGaia

17.8.1    Business Overview

17.8.2    Product Offerings

17.9       Colgate-Palmolive Company

17.9.1    Business Overview

17.9.2    Product Offerings

17.10     Herbalife Nutrition

17.10.1 Business Overview

17.10.2 Product Offerings

17.11     Perrigo Company

17.11.1 Business Overview

17.11.2 Product Offerings

17.12     Prestige Consumer Health

17.12.1 Business Overview

17.12.2 Product Offerings

17.13     Procter & Gamble

17.13.1 Business Overview

17.13.2 Product Offerings

17.14     Reckitt Benckiser Group

17.14.1 Business Overview

17.14.2 Product Offerings

17.15     Sanofi-Aventis

17.15.1 Business Overview

17.15.2 Product Offerings

17.16     Sun Pharmaceutical Industries

17.16.1 Business Overview

17.16.2 Product Offerings

17.17     The Bountiful Company

17.17.1 Business Overview

17.17.2 Product Offerings

17.18     Viatris

17.18.1 Business Overview

17.18.2 Product Offerings

 

18           Report Summary

18.1       Key Takeaways

18.2       Strategic Recommendations

 

19           Quantitative Summary

19.1       Market by Product Type

19.2       Market by Indication

19.3       Market by Distribution Channel

 

20           Appendix

20.1       Abbreviations

Exhibit 1              Segmentation of OTC Drugs Market in US

Exhibit 2              Market Size Calculation Approach 2020

Exhibit 3              OTC Drugs Available Under Various Therapeutics Classes in US

Exhibit 4              OTC Therapeutic Category Trends

Exhibit 5              Impact of Private Labels & Online Sales of OTC Drugs

Exhibit 6              Impact of Patent Expirations of Prescription Drugs

Exhibit 7              Impact of Product Launches & Replacement of Prescription Drugs

Exhibit 8              Impact of Healthcare Reforms on OTC Drugs

Exhibit 9              Impact of Growing Trend of Self Medication & Self Care

Exhibit 10            Impact of OTC Drugs Treating Serious Health Conditions

Exhibit 11            Impact of Switching of Prescription Drugs to OTC Drugs

Exhibit 12            Impact of Growing Healthcare Savings by OTC Drugs

Exhibit 13            OTC Drug Savings Based on Product Category 2020 (% share)

Exhibit 14            Impact of Abuse of OTC Drugs

Exhibit 15            List of OTC Drugs Abused

Exhibit 16            Impact of Risk of Side Effects by OTC Drugs

Exhibit 17            Impact of Growing Alternatives to OTC Drugs

Exhibit 18            OTC Drugs Market in US by Product 2020 &2026 (% share)

Exhibit 19            OTC Drugs Market in US by Indication 2020 &2026 (% shares)

Exhibit 20            OTC Drugs Market in US by Distribution Channel 2020 &2026

Exhibit 21            OTC Drugs Market in US 2020–2026 ($ billion)

Exhibit 22            Advantages of OTC Drugs Among Physicians and Consumers

Exhibit 23            Five Forces Analysis 2020

Exhibit 24            Incremental Growth by Product Type 2020 & 2026

Exhibit 25            OTC Drugs Market in the US by Product Type

Exhibit 26            OTC Drugs to Treat Medical Conditions (%)

Exhibit 27            OTC Drugs Market in US by Cold & Cough: Incremental & Absolute Growth

Exhibit 28            OTC Drugs Market in US by Cold & Cough 2020–2026 ($ billion)

Exhibit 29            OTC Drugs Market in US by Analgesics: Incremental & Absolute Growth

Exhibit 30            OTC Drugs Market in US by Analgesics 2020–2026 ($ billion)

Exhibit 31            OTC Drugs Market in the US by Dietary Supplements: Incremental & Absolute Growth

Exhibit 32            OTC Drugs Market in US by Dietary Supplements 2020–2026 ($ billion)

Exhibit 33            OTC Drugs Market in the US by Gastrointestinal: Incremental & Absolute Growth

Exhibit 34            OTC Drugs Market in US by Gastrointestinal 2020–2026 ($ billion)

Exhibit 35            OTC Drugs Market in US by Dermatology: Incremental & Absolute Growth

Exhibit 36            OTC Drugs Market in US by Dermatology 2020–2026 ($ billion)

Exhibit 37            OTC Drugs Market in US by Ophthalmic: Incremental & Absolute Growth

Exhibit 38            OTC Drugs Market in US by Ophthalmic 2020–2026 ($ billion)

Exhibit 39            OTC Drugs Market in US: Incremental & Absolute Growth

Exhibit 40            OTC Drugs Market in US by Others 2020–2026 ($ billion)

Exhibit 41            Incremental Growth by Indication 2020 & 2026

Exhibit 42            OTC Drugs Market in the US by Indication

Exhibit 43            OTC Drugs Market in US by Indication: Incremental Growth

Exhibit 44            OTC Drugs Market in US by Indication: Absolute Growth

Exhibit 45            OTC Drugs Market in US by Infection: Incremental & Absolute Growth

Exhibit 46            OTC Drugs Market in US by Infection 2020–2026 ($ billion)

Exhibit 47            OTC Drugs Market in US by Pain: Incremental & Absolute Growth

Exhibit 48            OTC Drugs Market in the US by Pain 2020–2026 ($ billion)

Exhibit 49            OTC Drugs Market in US by Heartburn: Incremental & Absolute Growth

Exhibit 50            OTC Drugs Market in US by Heartburn 2020–2026 ($ billion)

Exhibit 51            OTC Drugs Market in US by Immune/ Health Booster: Incremental & Absolute Growth

Exhibit 52            OTC Drugs Market in US by Immune/ Health Booster 2020–2026 ($ billion)

Exhibit 53            OTC Drugs Market in US by Others: Incremental & Absolute Growth

Exhibit 54            OTC Drugs Market in US by Others 2020–2026 ($ billion)

Exhibit 55            Incremental Growth by Distribution Channel 2020 & 2026

Exhibit 56            OTC Drugs Market in the US by Distribution Channel

Exhibit 57            OTC Drugs Market in US by Distribution Channel: Incremental Growth

Exhibit 58            OTC Drugs Market in US by Distribution Channel: Absolute Growth

Exhibit 59            OTC Drugs Market in US by Retail Pharmacies: Incremental & Absolute Growth

Exhibit 60            OTC Drugs Market in the US by Retail Pharmacies 2020–2026 ($ billion)

Exhibit 61            OTC Drugs Market in US by Hospital Pharmacies: Incremental & Absolute Growth

Exhibit 62            OTC Drugs Market in US by Hospital Pharmacies 2020–2026 ($ billion)

Exhibit 63            OTC Drugs Market in the US by Online Pharmacies: Incremental & Absolute Growth

Exhibit 64            OTC Drugs Market in US by Online Pharmacies 2020–2026 ($ billion)

Exhibit 65            OTC Drugs Market in the US by Others: Incremental & Absolute Growth

Exhibit 66            OTC Drugs Market in US by Others 2020–2026 ($ billion)

Exhibit 67            OTC Drugs Market in the US: Vendors Market Shares 2020

Exhibit 68            Johnson & Johnson: Total Revenue 2018−2020 ($ billion)

Exhibit 69            Johnson & Johnson: Revenue by Business Segments 2018−2020 ($ billion)

Exhibit 70            Johnson & Johnson: R&D Expenditure 2018−2020 ($ billion)

Exhibit 71            Johnson & Johnson: Revenue Share by Geographic Regions 2018−2020 ($ billion)

Exhibit 72            GlaxoSmithKline: Total Revenue 2018−2020 ($ billion)

Exhibit 73            GlaxoSmithKline: Revenue by Business Segments 2018−2020 ($ billion)

Exhibit 74            GlaxoSmithKline: R&D Expenditure 2018−2020 ($ billion)

Exhibit 75            GlaxoSmithKline: Geographic Regions 2018−2020 ($ billion)

Exhibit 76            Bayer AG: Total Revenue 2018−2020 ($ billion)

Exhibit 77            Bayer AG: Revenue by Business Segments 2018−2020 ($ billion)

Exhibit 78            Bayer AG: R&D Expenditure 2018−2020 ($ billion)

Exhibit 79            Bayer AG: Revenue by Geographic Regions 2018−2020 ($ billion)

Exhibit 80            Teva Pharmaceutical Industries: Total Revenue 2018−2020 ($ billion)

Exhibit 81            Teva Pharmaceutical Industries: R&D Expenditure 2018−2020 ($ billion)

Exhibit 82            Teva Pharmaceutical Industries: Revenue by Geographic Regions 2018−2020 ($ billion)

 

List Of Tables    

Table 1                 Key Caveats

Table 2                 Currency Conversion 2013−2020

Table 3                 Top Branded Drugs That Will Lose Their Patents By 2020

Table 4                 OTC Drugs Launched by Companies as OTC 2010- 2015

Table 5                 OTC Products to be Eligible for Reimbursement

Table 6                 Latest Ingredients & Dosages transferred from Rx to OTC Status by FDA

Table 7                 OTC Drugs Market in US by Product Type: Incremental and Absolute Growth

Table 8                 OTC Drugs Market in the US: Ranking Vendors 2020

Table 9                 Johnson & Johnson: Major Product Offerings

Table 10              GlaxoSmithKline: Major Product Offerings

Table 11              Bayer AG: Major Product Offerings

Table 12              Teva Pharmaceutical Industries: Major Product Offerings

Table 13              Abbott: Major Product Offerings

Table 14              Achelios: Major Product Offerings

Table 15              Alcon: Major Product Offerings

Table 16              American Health: Major Product Offerings

Table 17              Amway: Major Product Offerings

Table 18              Aytu Consumer Health: Major Product Offerings

Table 19              Bausch Health Companies: Major Product Offerings

Table 20              BioGaia: Major Product Offerings

Table 21              Colgate-Palmolive Company: Major Product Offerings

Table 22              Herbalife Nutrition: Major Product Offerings

Table 23              Perrigo Company: Major Product Offerings

Table 24              Prestige Consumer Health: Major Product Offerings

Table 25              Procter & Gamble: Major Product Offerings

Table 26              Reckitt Benckiser Group: Major Product Offerings

Table 27              sanofi-aventis: Major Product Offerings

Table 28              Sun Pharmaceutical Industries: Major Product Offerings

Table 29              The Bountiful Company: Major Product Offerings

Table 30              Viatris: Major Product Offerings

Table 31              OTC Drugs Market in US by Product Type 2020−2026 ($ billion)

Table 32              OTC Drugs Market in US by Product Type 2020−2026 (%)

Table 33              OTC Drugs Market in US by Indication 2020−2026 ($ billion)

Table 34              OTC Drugs Market in US by Indication 2020−2026 (%)

Table 35              OTC Drugs Market in US by Distribution Channel 2020−2026 ($ billion)

Table 36              OTC Drugs Market in = US by Distribution Channel 2020−2026 (%)

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