The drug discount card provides savings for generic and brand-name prescription drugs. These cards offer savings on most prescription drugs and medicines at pharmacies across the country. Drug discount cards can reduce out-of-pocket costs for people with Medicare drug plans, those without prescription drug coverage, and everyone in between. The cards aim to help consumers save money on their medications.
The global Drug Discount Card Market is estimated to be valued at US$ 1,674.2 Mn in 2023 and is expected to exhibit a CAGR of 8.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
One of the key drivers for the growth of the drug discount card market is the rising healthcare costs globally. Prescription drug prices in the US have been rising faster than general inflation. As a result, people struggle to afford their medications. This is where drug discount cards help reduce the cost burden and make treatment affordable. The cards offer savings from generic and branded drugs. Additionally, they do not require income qualification or age limit eligibility. This makes drug discount cards a popular option for many to save money on prescriptions. While healthcare reforms aim to curb costs, drug discount cards will continue witnessing high demand in the forecast period owing to their affordability.
SWOT ANALYSIS
Strength: Drug discount cards provide affordable access to prescription medications for people without insurance or with high deductible plans. They offer significant cost savings on both generic and brand name drugs. Many cards don't have membership fees or are very low making them widely accessible.
Weakness: Drug discount cards only offer savings, not insurance. Cardholders are still responsible for the full cost of prescription drugs. Not all pharmacies accept all drug discount cards so availability can be limited.
Opportunity: As healthcare costs continue rising, more people are seeking ways to reduce their out-of-pocket medication expenses. Drug discount cards help fill that need for affordable access. An aging population also means growth in chronic disease management which increases drug utilization.
Threats: Growing popularity of mail order and online pharmacies poses competition for local brick-and-mortar pharmacies that accept drug discount cards. Rising drug prices, especially for specialty and brand drugs, challenge the level of savings cards can provide to customers over time.
KEY TAKEAWAYS
The global Drug Discount Card market is expected to witness high growth over the forecast period of 2023 to 2030. The global Drug Discount Card Market is estimated to be valued at US$ 1,674.2 Mn in 2023 and is expected to exhibit a CAGR of 8.1% over the forecast period 2023 to 2030.
Regional analysis reveals North America currently dominates due to higher prescription drug usage and out-of-pocket spending. However, Asia Pacific is projected to experience the fastest gains due to rising income levels, health awareness and expanding healthcare infrastructure in major countries.
Key players operating in the Drug Discount Card market are GoodRx, SingleCare, WellCard Savings, RxSaver, Optum Perks, Kroger Prescription Savings Club, ScriptSave, Walmart Rx Savings Program, Prescription Hope, FamilyWize, NeedyMeds, and Humana. GoodRx is the largestplayer with the most card holders owing to its wide acceptance and deep discounts. SingleCare has grown rapidly through partnerships with insurers and employers to offer cards as a benefits package.
