Market Dynamics and Financial Trajectory for LICART
Introduction to LICART
LICART, a topical nonsteroidal anti-inflammatory drug (NSAID) containing diclofenac epolamine, has been launched in the US market for the treatment of acute pain due to minor strains, sprains, and contusions. It is the first and only once-a-day topical NSAID therapy approved by the FDA, leveraging patented next-generation patch technology for fast onset and sustained pain relief[1].
Market Overview
Global Diclofenac Market
The diclofenac market, which includes LICART, is projected to grow significantly. By 2027, the market is expected to reach $6.1 billion, growing at a CAGR of 3.9% from 2022 to 2027. This growth is driven by the increasing prevalence of inflammation-related conditions, particularly among the geriatric population[2].
Geographic Segmentation
North America holds a dominant market share, primarily due to robust medical infrastructure and high disease literacy. However, the Asia-Pacific region is expected to offer lucrative growth opportunities due to increasing medical investments and a growing geriatric population[2][3].
Key Drivers of the Market
Geriatric Population
The growing number of geriatric individuals globally is a significant driver for the diclofenac market. This population is highly susceptible to inflammation-related problems, thereby increasing the demand for diclofenac-based treatments[2].
Sports and Trauma Injuries
The rise in sports-related injuries, especially with increased government support for sporting events, is another key driver. For instance, the approval for the USA to host a significant portion of the ICC T20 World Cup is expected to increase sports-related injuries, thus boosting the demand for diclofenac products[2].
Technological Advancements
The introduction of new formulations, such as LICART's once-a-day topical patch, enhances patient compliance and satisfaction. This innovation is expected to drive market growth as it offers faster onset and sustained pain relief compared to traditional NSAIDs[1].
Financial Trajectory
Revenue Projections
The diclofenac market, including LICART, is expected to see steady growth. The market size is projected to reach $6.1 billion by 2027, with a CAGR of 3.9% from 2022 to 2027. This growth is supported by increasing regulatory approvals and the launch of new diclofenac generics and formulations[2].
Segmental Growth
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Oral Segment: While the oral segment currently accounts for a significant proportion of the diclofenac market, the topical segment, where LICART belongs, is expected to grow significantly. Topical diclofenac medications, such as gels, creams, sprays, and patches, are gaining popularity due to their ease of application and higher patient acceptance[3].
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Parenteral Segment: The parenteral segment also holds a considerable market share, driven by the continuity of drug delivery and lower systemic side effects. However, the topical segment is anticipated to grow at a faster rate due to innovations like LICART[3].
Market Impact of LICART
Unique Selling Proposition
LICART's once-a-day dosing and patented next-generation patch technology set it apart from other topical NSAIDs. This unique selling proposition is expected to attract more patients and healthcare providers, thereby increasing its market share[1].
Competitive Landscape
The launch of LICART has introduced a new competitor in the topical NSAID market. Its approval and availability through participating mail order and retail pharmacies are expected to capture a significant portion of the market, especially in the treatment of acute pain due to minor strains, sprains, and contusions[1].
Challenges and Opportunities
Side Effects and Regulatory Considerations
Despite the growth potential, the diclofenac market faces challenges related to side effects. Cases of unwanted side effects have hampered market growth in the past. However, regulatory approvals and the development of safer formulations like LICART are mitigating these risks[2].
Emerging Markets
The Asia-Pacific region offers significant growth opportunities due to robust medical advertisements, government support for medicinal developments, and increasing foreign direct investment (FDI) in the healthcare sector. This region is expected to drive the future growth of the diclofenac market, including LICART[2].
Impact of COVID-19
The COVID-19 pandemic had a slightly negative impact on the diclofenac market in 2020 due to decreased demand and supply chain disruptions. However, with the relaxation of government restrictions and the normalization of drug supply chains in 2021 and 2022, the market has recovered and is expected to grow steadily over the forecast period[3].
Key Takeaways
- Market Growth: The diclofenac market, including LICART, is projected to reach $6.1 billion by 2027, growing at a CAGR of 3.9%.
- Geographic Dominance: North America currently dominates the market, but the Asia-Pacific region is expected to offer significant growth opportunities.
- Geriatric Population: The growing geriatric population is a key driver for the market.
- Technological Advancements: Innovations like LICART's once-a-day topical patch are driving market growth.
- Segmental Growth: The topical segment is expected to grow significantly due to ease of application and higher patient acceptance.
FAQs
What is LICART used for?
LICART is used for the treatment of acute pain due to minor strains, sprains, and contusions. It is a topical nonsteroidal anti-inflammatory drug (NSAID) containing diclofenac epolamine[1].
How does LICART differ from other NSAIDs?
LICART is the first and only once-a-day topical NSAID therapy approved by the FDA, featuring patented next-generation patch technology for fast onset and sustained pain relief[1].
What are the key drivers of the diclofenac market?
The key drivers include the growing geriatric population, sports and trauma injuries, and technological advancements in formulations like LICART[2].
How has the COVID-19 pandemic affected the diclofenac market?
The pandemic had a slightly negative impact in 2020 but the market has recovered with the normalization of supply chains and is expected to grow steadily over the forecast period[3].
What is the projected market size of the diclofenac market by 2027?
The diclofenac market is projected to reach $6.1 billion by 2027, growing at a CAGR of 3.9% from 2022 to 2027[2].
Sources
- IBSA Pharma Inc. - "Licart™ Now Available to Treat Acute Pain Due to Minor Strains, Sprains, and Contusions" - PR Newswire, October 30, 2020.
- IndustryARC - "Diclofenac Market Size Report, 2022-2027".
- Fortune Business Insights - "Diclofenac Market Size, Trends, Growth, 2032".
- Markets Business Insider - "Global Acute Pain Market Insights, Epidemiology and Market Forecast to 2028".
