Transdermal Drug Delivery Systems Market Size, Share & Trends Analysis Report By Technology (Iontophoresis, Mechanical Arrays), By Application, By Region, And Segment Forecasts, 2024 - 2030

Market Size & Trends

The global transdermal drug delivery systems market size was estimated at USD 66.20 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 11.9% from 2024 to 2030. The market for transdermal drug delivery systems is experiencing a surge in demand due to the increasing incidence of chronic diseases. Traditional drug delivery methods, such as oral administration, often exhibit lower potency owing to the liver's initial metabolism process. As a result, transdermal delivery systems, which deliver drugs directly through the skin, are becoming a preferred choice for managing these chronic conditions.

Moreover, pharmaceutical companies are investing heavily in research and development to create new drugs and improve existing ones, which is fueling the market growth. Additionally, governments worldwide are allocating increasing amounts of funding towards healthcare, thereby creating lucrative opportunities for market expansion.  

The productive nature of drug delivery devices can be attributed to the heightened drug diffusion capabilities over conventional routes of drug delivery, specifically oral, intravenous, and pulmonary. Additionally, a significant contributor to market growth is the increasing inclination of patients and physicians toward pain-free drug delivery, which is further presumed to drive the market demand over the forecast period. For instance, in July 2023, NUS pharmacists innovated a painless transdermal drug delivery system, offering a novel and unconventional solution for medication administration. These factors are expected to widen the scope for growth throughout the forecast period.

In addition, the rise in patient preference for pain-free drug administration has led to a significant increase in the adoption rate of adhesive skin patches that administer drugs, thereby anticipated to provide high market growth potential. This trend also promotes self-reliance in patients by significantly reducing the frequency of hospital visits and cumulative treatment costs.

Moreover, rise in technological innovations, such as the integration of microneedles or mechanical arrays in transdermal patches, is expected to offer lucrative growth opportunities. These advancements include changes in transdermal patch designs, the use of pressure-sensitive adhesives and permeation enhancers, which enhance drug diffusion and increase the capacity to store more drugs in the reservoir. Other innovations include miniaturized and advanced transdermal patches and reservoir-type transdermal patches, which deliver precise medication dosages.

Market Concentration & Characteristics

The market growth stage is high, and the pace of the market growth is accelerating due to increasing demand for non-invasive drug delivery methods and the rising prevalence of chronic diseases requiring sustained medication. This accelerated growth is further propelled by advancements in technology, enabling the development of more efficient and patient-friendly transdermal delivery systems.

The level of merger and acquisition (M&A) activity in the transdermal drug delivery system market due to the companies aiming to expand their product portfolios, enhance technological capabilities, and strengthen their market presence.

Regulations governing the transdermal drug delivery system market are overseen by regulatory bodies such as the FDA in the U.S. or the EMA in Europe. These regulations ensure the safety, efficacy, and quality of transdermal drug delivery systems, setting standards for development, manufacturing, and marketing.

Alternative products in the transdermal drug delivery system market encompass various alternatives to traditional methods of administering medications. These alternatives are designed to offer patients more convenient, efficient, and non-invasive ways of delivering drugs through the skin. They can include diverse forms such as transdermal patches, creams, gels, and even innovative technologies like microneedle patches or iontophoresis devices.

Companies in the transdermal drug delivery system market are focusing on regional expansion strategies to broaden their market presence. They aim to establish distribution networks, forge partnerships, and invest in local research and development initiatives, leveraging these efforts to meet the needs of diverse regional healthcare systems and tap into emerging markets for sustained growth.

Technology Insights

The iontophoresis segment accounted for the largest market share of 18.14% in 2023. This is due to iontophoresis  helps to promote the movement of ions across the membrane under the influence of a small externally applied potential difference. This property enhances skin penetration and increases the release rate of several drugs with poor absorption/permeation profiles

The mechanical array segment is anticipated to grow exponentially over the forecast period. An increasing number of product launches by prominent industry players and the numerous microneedle or mechanical array transdermal products in the late phases of clinical trials exemplify the high growth potential possessed by this segment. Moreover, the availability of various microneedle transdermal systems, including solid, hollow, and dissolving microneedles, customized to meet specific patient needs, is a key factor contributing to this growth. Additionally, the increasing number of product approvals by regulatory bodies further accelerates this growth.

Application Insights

The pain management segment dominated the market share in 2023, primarily driven by the rising utilization of transdermal drug delivery systems for pain management across diverse situations and conditions. This increased usage can be attributed to the effectiveness and convenience of transdermal delivery in administering pain-relieving medications. The demand for these systems has risen owing to their ability to provide sustained relief and targeted medication directly through the skin, meeting the needs of patients coping with various pain-inducing circumstances and ailments.

The CNS segment held the second-highest share due to the increasing incidence of neurological disorders on a global scale. According to the World Federation of Neurology's 2023 report, neurological disorders currently rank as the second highest cause of death and the primary cause of disability worldwide. A Global Burden of Disease (GBD) study forecasts a doubling of individuals living with brain diseases by 2050. This surge in neurological conditions has intensified the demand for specialized transdermal drug delivery systems tailored for CNS treatments. These delivery systems are more preferred due to their efficient and precise approach to administer medications for various neurological conditions, driving the significant market share within this segment.

The hormone segment is expected to grow exponentially during the forecast period. Due to increasing prevalence of conditions requiring hormone replacement therapy, such as menopause and diabetes indicating a positive outlook for the hormone segment in the transdermal drug delivery system market. Transdermal hormone patches have become increasingly popular, especially for women's health, as a menopausal symptom reliever. Transdermal patches delivering hormone therapies, such as estrogen or testosterone, have gained traction due to their ease of use and sustained-release features. Moreover, the expanding use of transdermal delivery in hormone replacement therapies further fuels this growth, meeting diverse patient requirements for hormonal treatments. 

Regional Insights

North America dominated the overall transdermal drug delivery system market in 2023. The growth in this region is majorly driven by patent expirations, resulting in more companies entering the market. In addition, the repositioning of previously failed drugs, reformulating existing drug compounds, and significant investments by both established and new market entrants significantly contributed to this region's substantial market share. 

Factors such as favorable reimbursement scenarios and rising awareness by government organizations contribute to the region's transdermal drug delivery system market growth. A well-developed healthcare structure covering the citizens' healthcare costs promotes more people opting for treatment in the region. This is expected further to boost the market growth over the forecast period.

The U.S. accounted for North America's largest share of the transdermal drug delivery system market in 2023 due to its access to healthcare infrastructure, technological advancements, and a substantial focus on research and development within the pharmaceutical industry. Additionally, a higher prevalence of chronic diseases and an aging population in the country have fueled the demand for innovative drug delivery systems like transdermal patches.

The Asia Pacific region is expected to grow fastest during the forecast period. This can be attributable to the growing healthcare spending and the rapidly evolving healthcare infrastructure. In addition, the growth is due to the high research and development intensity and the growing awareness in emerging economies, such as China and India.

Japan accounted for Asia Pacific's largest share of the transdermal drug delivery system market in 2023 due to the well-established healthcare infrastructure and technologically advanced pharmaceutical industry, fostering the development and adoption of innovative transdermal drug delivery systems. Additionally, the country's aging population and a strong emphasis on non-invasive drug administration have propelled the demand for transdermal delivery systems.

Key Transdermal Drug Delivery Systems Company Insights

Some of the key players operating in the market include Novartis AG, Johnson & Johnson, Mylan Pharmaceuticals, Inc., Boehringer Ingelheim GmbH.

• Novartis is a global healthcare company engaged in pharmaceuticals, eye care, generics, and more, focusing on innovative therapies and research-driven solutions to improve patients' lives

• Johnson & Johnson is a diversified healthcare company operating in pharmaceuticals, medical devices, and consumer health products, renowned for its commitment to innovative healthcare solutions and extensive product portfolio

• Mylan Pharmaceuticals is a global pharmaceutical company focusing on developing, manufacturing, and distributing generic, specialty, and over-the-counter products, contributing to accessible and affordable healthcare solutions

• Boehringer Ingelheim is a global pharmaceutical company specializing in prescription medicines, biopharmaceuticals, and animal health, dedicated to developing innovative treatments for various diseases and improving patient outcomes

• Biogel Technology, Inc., Transdermal Technologies, Inc., Skyepharma, Watson Pharmaceuticals, Inc., Noven Pharmaceuticals, Inc., 4P Therapeutics, LLC, Transdermal Corporation, and Echo Therapeutics, Inc are some of the emerging market players functioning in transdermal drug delivery system market.

• Grünenthal is a pharmaceutical company specializing in pain management and related therapeutic areas. It focuses on R&D, providing innovative treatments for chronic pain, and improving patients' lives worldwide.

• Noven pharmaceuticals specializes in transdermal drug delivery systems and develops innovative therapies for conditions like ADHD, pain management, and women's health.

• 4P Therapeutics is engaged in the research and development of novel transdermal drug delivery systems, aiming to offer improved therapeutic options across various medical conditions.

Recent Developments

• In November 2023, AbbVie’s Allergan discontinues Androderm, the exclusive supplier of testosterone transdermal patches, marking the cessation of this product in the market.

• In September 2023, Nutriband declares the receipt of a U.S. patent for its transdermal abuse-deterrent technology, showcasing advancements in preventing misuse through innovative drug delivery methods.

• In September 2023, Satio's received funding from ARPA-H is a significant milestone in the company's journey, focusing on the development of SatioRx, a novel transdermal drug delivery device designed for home use and remote control.

•  In September 2022, Biomind Labs and Queen’s University of Belfast receive controlled substances license to commence the production of a novel transdermal drug delivery system.

Transdermal Drug Delivery Systems Market Report Scope

Global Transdermal Drug Delivery Systems Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global transdermal drug delivery systems market report based on technology, application, and region:

• Technology Outlook (Revenue, USD Million, 2018 - 2030)

  • Electroporation

  • Radio Frequency

  • Iontophoresis

  • Microporation

  • Thermal

  • Mechanical arrays

  • Ultrasound

  • Others 

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • CNS

  • Pain Management

  • Cardiovascular

  • Hormone

  • Immunological

  • Metabolic

  • Gastrointestinal

  • Infection

  • Cancer

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • UK

    • France

    • Italy

    • Spain

    • Norway

    • Sweden

    • Denmark

  • Asia Pacific

    • China

    • Japan

    • India

    • Thailand

    • South Korea

    • Australia

  • Latin America

    • Mexico

    • Brazil

    • Argentina

  • MEA

    • South Africa

    • Saudi Arabia

    • UAE

    • Kuwait