China Pharmaceutical Chain Industry Report, 2011
In China, the pharmaceutical circulation enterprises see relatively low profit margin due to many circulation links. By sales value, some 20% drugs are sold to consumers through pharmaceutical retail firms, and the rest 80% are sold out through hospitals (with general hospitals, community and township hospitals included).
In 2010, the sales of drug stores in China increased by 10.16% year-on-year to RMB140.8 billion, accounting for 20.98%; while that of hospitals rose 16.96% year-on-year to RMB531 billion, making up 79.02%. In recent three years, the average sales value for drug stores has maintained moderate growth by 12.16%.
The report introduces pharmaceutical circulation industry and pharmaceutical chain industry of China. Besides, it highlights the development, outlet distribution, sales structure and operation of the top 100 China-based pharmaceutical chain enterprises. At length, the report summarizes the industry and development tendency through conducting a detailed analysis on key players.
Since 2008, the number of Chinese pharmaceutical chain enterprises has been declining year after year, but the outlet scale for individual enterprise has presented a rising trend. In 2007-2010, the number of drug stores in China showed an average growth rate of roughly 7%, indicating that the concentration rate is improving although the rate in the overall industry is at a low level. ?
China Nepstar Chain Drugstore Ltd. is a drug store chain enterprise with the largest number of retail outlets in Chinese Mainland, with the drugstore stretching 74 cities in 14 provinces across China. As of September 30, 2011, the company boasted 2,927 regular chain outlets. In Q1-Q3, 2011, the operating revenue of China Nepstar Chain Drugstore Ltd. surged by 6% year-on-year to RMB1.833 billion, with the net income of RMB18.27 million. By contrast, the loss in 2010Q1-Q3 hit RMB401, 000.? ?
For Chongqing Tongjunge Pharmacy, it employs franchise business model for further development. As of September 30, 2011, the company had 1,272 regular chain stores and 6,438 franchised outlets. In 2011, the sales of the company registered RMB3.36 billion, up 33% from a year earlier.
In 2010, the sales of drug stores in China increased by 10.16% year-on-year to RMB140.8 billion, accounting for 20.98%; while that of hospitals rose 16.96% year-on-year to RMB531 billion, making up 79.02%. In recent three years, the average sales value for drug stores has maintained moderate growth by 12.16%.
The report introduces pharmaceutical circulation industry and pharmaceutical chain industry of China. Besides, it highlights the development, outlet distribution, sales structure and operation of the top 100 China-based pharmaceutical chain enterprises. At length, the report summarizes the industry and development tendency through conducting a detailed analysis on key players.
Since 2008, the number of Chinese pharmaceutical chain enterprises has been declining year after year, but the outlet scale for individual enterprise has presented a rising trend. In 2007-2010, the number of drug stores in China showed an average growth rate of roughly 7%, indicating that the concentration rate is improving although the rate in the overall industry is at a low level. ?
China Nepstar Chain Drugstore Ltd. is a drug store chain enterprise with the largest number of retail outlets in Chinese Mainland, with the drugstore stretching 74 cities in 14 provinces across China. As of September 30, 2011, the company boasted 2,927 regular chain outlets. In Q1-Q3, 2011, the operating revenue of China Nepstar Chain Drugstore Ltd. surged by 6% year-on-year to RMB1.833 billion, with the net income of RMB18.27 million. By contrast, the loss in 2010Q1-Q3 hit RMB401, 000.? ?
For Chongqing Tongjunge Pharmacy, it employs franchise business model for further development. As of September 30, 2011, the company had 1,272 regular chain stores and 6,438 franchised outlets. In 2011, the sales of the company registered RMB3.36 billion, up 33% from a year earlier.
1 OVERVIEW
1.1 International Environment for Drug Market
1.2 Environment for Chinese Drug Market
1.3 China Pharmaceutical Distribution Industry Profile
1.4 China Pharmaceutical Chain Industry Profile
1.4.1 Policy
1.4.2 Development Features of China Pharmaceutical Chain Industry
1.4.3 Overview of Drugstore Chains
2 PHARMACEUTICAL DISTRIBUTION INDUSTRY
2.1 Overview
2.2 Development
2.3 Structure
2.3.1 Regional Structure
2.3.2 Enterprises’ Scale Structure
2.3.3 Sales Terminal Structure
3 PHARMACEUTICAL CHAIN INDUSTRY
3.1 Companies and Drugstores
3.2 Market Evolution
3.3 Summary
4 TOP 100 DRUGSTORE CHAINS
4.1 Sales Scale
4.2 Drugstore Scale
4.3 Analysis on Sales
4.3.1 Prescription
4.3.2 OTC
4.3.3 Traditional Chinese Medicine
4.3.4 Medical Device
4.3.5 Food/Health Care Products
4.3.6 Private Brands/ High Margin Products
4.4 Operation
4.4.1 Annual Sales from per Customer
4.4.2 Members Efficiency
4.4.3 Designated Medical Insurance
4.4.4 Efficiency
4.5 Profit & Cost
4.5.1 Profit
4.5.2 Cost
4.6 Top 100 Single Drugstores
4.6.1 Scale
4.6.2 Efficiency
5 LEADING COMPANIES
5.1 China Nepstar Chain Drugstore Ltd.
5.1.1 Profile
5.1.2 Operation
5.1.3 Store Network
5.1.4 Strategy
5.2 Chongqing Tongjunge Pharmacy
5.3 LBX Pharmacy
5.4 Guangdong Da Shen Lin Chain Drugstore Co., Ltd.
5.5 Chongqing Peace Drugstore
5.6 Huibei Ready Medicine Industry Co., Ltd.
5.7 Yunnan Hongxiang Yixintang Pharmacy
5.8 Liaoning Chengda Fangyuan Pharmaceutical Chain
5.9 Shanghai Hua-shi Drugstore Co., Ltd.
5.10 Shenzhen Associate Pharmacy Co., Ltd.
5.11 Huangqingren Pharmacy
5.12 Tongrentang (TRT)
5.13 Summary
6 TRENDS
6.1 M&A
6.2 Logistics Integration
6.3 Online Services
1.1 International Environment for Drug Market
1.2 Environment for Chinese Drug Market
1.3 China Pharmaceutical Distribution Industry Profile
1.4 China Pharmaceutical Chain Industry Profile
1.4.1 Policy
1.4.2 Development Features of China Pharmaceutical Chain Industry
1.4.3 Overview of Drugstore Chains
2 PHARMACEUTICAL DISTRIBUTION INDUSTRY
2.1 Overview
2.2 Development
2.3 Structure
2.3.1 Regional Structure
2.3.2 Enterprises’ Scale Structure
2.3.3 Sales Terminal Structure
3 PHARMACEUTICAL CHAIN INDUSTRY
3.1 Companies and Drugstores
3.2 Market Evolution
3.3 Summary
4 TOP 100 DRUGSTORE CHAINS
4.1 Sales Scale
4.2 Drugstore Scale
4.3 Analysis on Sales
4.3.1 Prescription
4.3.2 OTC
4.3.3 Traditional Chinese Medicine
4.3.4 Medical Device
4.3.5 Food/Health Care Products
4.3.6 Private Brands/ High Margin Products
4.4 Operation
4.4.1 Annual Sales from per Customer
4.4.2 Members Efficiency
4.4.3 Designated Medical Insurance
4.4.4 Efficiency
4.5 Profit & Cost
4.5.1 Profit
4.5.2 Cost
4.6 Top 100 Single Drugstores
4.6.1 Scale
4.6.2 Efficiency
5 LEADING COMPANIES
5.1 China Nepstar Chain Drugstore Ltd.
5.1.1 Profile
5.1.2 Operation
5.1.3 Store Network
5.1.4 Strategy
5.2 Chongqing Tongjunge Pharmacy
5.3 LBX Pharmacy
5.4 Guangdong Da Shen Lin Chain Drugstore Co., Ltd.
5.5 Chongqing Peace Drugstore
5.6 Huibei Ready Medicine Industry Co., Ltd.
5.7 Yunnan Hongxiang Yixintang Pharmacy
5.8 Liaoning Chengda Fangyuan Pharmaceutical Chain
5.9 Shanghai Hua-shi Drugstore Co., Ltd.
5.10 Shenzhen Associate Pharmacy Co., Ltd.
5.11 Huangqingren Pharmacy
5.12 Tongrentang (TRT)
5.13 Summary
6 TRENDS
6.1 M&A
6.2 Logistics Integration
6.3 Online Services
SELECTED CHARTS
Medical Care Expenditure and % of GDP in China, 2000-2010
Medical Care Expenditure Makeup and % Change in China, 2000-2009
Urban and Rural Medical Care Expenditures and Ratios in Consumptive Expenditure in China, 2005-2009
Population Aged above 65 and % of Total in China, 1982-2010
Policies concerning Pharmaceutical Chain Industry of China
Profit Sources of Drugstore Chains
Main Distribution Channels in China
Drug Sales in China, 2007-2010
Drug Distribution Structure in China by Region, 2010
Top 10 Drug Wholesale Companies in China by Operating Revenue, 2010
Drug Sales in China by Sales Terminal, 2007-2010
Growth Rate of Drug Sales by Sales Terminal in China, 2008-2010
Drug Sales Breakdown by Terminal, 2007-2010
China Pharmaceutical Chain Company Numbers and Trends, 2007-2010
Number of Drug Stores and Trend in China, 2007-2010
Number of Regular Chain Drugstores and Franchised Drugstores in China, 2007-2010
Drugstore Market Size in China, 2007-2010
Sales Structure of Drugstores in China, 2007-2010
Non-Drug Sales Breakdown of Drugstores in China, 2008-2010
Non-Drug Sales Growth Rate of Drugstores in China by Product, 2010
Stores Situation of China Pharmaceutical Chain Industry, 2007-2010
Sales of Top 100 Pharmaceutical Chain Companies in China, 2003-2010
Concentration of Top 100 Pharmaceutical Chain Companies in China, 2009-2010
Regular Chain Stores of Top 100 Pharmaceutical Chain Companies in China, 2009-2010
Total Stores of Top 100 Pharmaceutical Chain Companies in China, 2009-2010
Commodity Variety Distribution of China Pharmaceutical Chain Industry, 2009-2010
Top 10 Chinese Pharmaceutical Chain Companies by Commodity Number, 2010
Top 5 Pharmaceutical Chain Companies by Prescription Sales in China, 2010
Prescription Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Top 5 Pharmaceutical Chain Companies by Prescription Profit in China, 2010
Prescription Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
OTC Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
OTC Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Traditional Chinese Medicine Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Medical Device Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Medical Device Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Food/Health Care Products Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2010
Food/Health Care Products Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2010
Private Brands/High Margin Products Number Distribution of China Pharmaceutical Chain Industry, 2009-2010
Proportions of Private Brands/High Margin Products in Total Commodity Varieties, 2009-2010
Annual Sales From per Customer Distribution of China Pharmaceutical Chain Industry, 2009-2010
Top 3 Companies by Annual Sales from per Customer in China Pharmaceutical Chain Industry, 2010
Top 5 Companies by Effective Member in China Pharmaceutical Chain Industry, 2010
Top 5 Companies by Effective Members per Square Meter in China Pharmaceutical Chain Industry, 2010
Medical Insurance Variety Sales Proportions of Top 100 Pharmaceutical Chains by Region in China, 2010
Daily Sales/Sq.m Distribution of China Pharmaceutical Chain Industry, 2010
Daily Sales From per Staff Distribution of China Pharmaceutical Chain Industry, 2010
Fielding Percentage Per Staff of China Pharmaceutical Chain Industry, 2010
Gross Margin Distribution of China Pharmaceutical Chain Industry, 2010
Cost Structure of China Pharmaceutical Chain Industry, 2010
Gross Salary Growth of Every Company in China Pharmaceutical Chain Industry, 2010
Staff Braindrain Distribution of China Pharmaceutical Chain Industry, 2010
Frontline Staff Percentage in Total Staff in China Pharmaceutical Chain Industry, 2010
Store Manager Salary Distribution of China Pharmaceutical Chain Industry, 2010
General Clerk Salary Distribution of China Pharmaceutical Chain Industry, 2010
Licensed Pharmacist Salary Distribution of China Pharmaceutical Chain Industry, 2010
Top 10 Single Drugstore Sales of China Pharmaceutical Chain Industry, 2010
Sales Growth Rates of Top 5 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Area Growth Rates of Top 10 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Area Decrease Rates of Top 5 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Daily Operating Revenue/Sq.m of Top 10 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Profit/Sq.m of Top 10 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Operating Revenue and Net Income of China Nepstar Chain Drugstore Ltd., 2007-2011
Gross Margin and Net Profit Margin of China Nepstar Chain Drugstore Ltd., 2007-2011
Operating Revenue of China Nepstar Chain Drugstore Ltd. by Product, 2007-2011
Branches of Nepstar Chain Drugstore
Drugstore Number of China Nepstar Chain Drugstore Ltd., 2005-2011
Drugstore Number of China Nepstar Chain Drugstore Ltd. by Region, 2007-2011
Average Operating Revenue and Net Income from Single Drugstore of China Nepstar Chain Drugstore Ltd., 2007-2011
Average Gross Margin and Net Profit Margin from Single Drugstore of China Nepstar Chain Drugstore Ltd., 2007-2011
Strategies of China Nepstar Chain Drugstore Ltd.
Operating Revenue and Gross Profit Percentages of Private Brands and Non-private Brands of China
Sales and YoY Growth of LBX Pharmacy, 2007-2010
Sales and YoY Growth of Guangdong Da Shen Lin Chain Drugstore Co., Ltd., 2007-2010
Sales and YoY Growth of Chongqing Peace Drugstore, 2007-2010
Sales and YoY Growth of Huibei Ready Medicine Industry Co., Ltd., 2007-2010
Sales and YoY Growth of Yunnan Hongxiang Yixintang Pharmacy, 2007-2010
Sales and YoY Growth of Liaoning Chengda Fangyuan Pharmaceutical Chain, 2007-2010
Sales and YoY Growth of Shanghai Hua-shi Drugstore Co., Ltd., 2007-2010
Sales of Shenzhen Associate Pharmacy Co., Ltd, 2009-2010
Sales of Huangqingren Pharmacy, 2009-2010
Top 10 Companies of China Pharmaceutical Chain Industry by Regular Chain Number, 2011
Key M&A Cases in China Pharmaceutical Chain Industry, 2011
Medical Care Expenditure and % of GDP in China, 2000-2010
Medical Care Expenditure Makeup and % Change in China, 2000-2009
Urban and Rural Medical Care Expenditures and Ratios in Consumptive Expenditure in China, 2005-2009
Population Aged above 65 and % of Total in China, 1982-2010
Policies concerning Pharmaceutical Chain Industry of China
Profit Sources of Drugstore Chains
Main Distribution Channels in China
Drug Sales in China, 2007-2010
Drug Distribution Structure in China by Region, 2010
Top 10 Drug Wholesale Companies in China by Operating Revenue, 2010
Drug Sales in China by Sales Terminal, 2007-2010
Growth Rate of Drug Sales by Sales Terminal in China, 2008-2010
Drug Sales Breakdown by Terminal, 2007-2010
China Pharmaceutical Chain Company Numbers and Trends, 2007-2010
Number of Drug Stores and Trend in China, 2007-2010
Number of Regular Chain Drugstores and Franchised Drugstores in China, 2007-2010
Drugstore Market Size in China, 2007-2010
Sales Structure of Drugstores in China, 2007-2010
Non-Drug Sales Breakdown of Drugstores in China, 2008-2010
Non-Drug Sales Growth Rate of Drugstores in China by Product, 2010
Stores Situation of China Pharmaceutical Chain Industry, 2007-2010
Sales of Top 100 Pharmaceutical Chain Companies in China, 2003-2010
Concentration of Top 100 Pharmaceutical Chain Companies in China, 2009-2010
Regular Chain Stores of Top 100 Pharmaceutical Chain Companies in China, 2009-2010
Total Stores of Top 100 Pharmaceutical Chain Companies in China, 2009-2010
Commodity Variety Distribution of China Pharmaceutical Chain Industry, 2009-2010
Top 10 Chinese Pharmaceutical Chain Companies by Commodity Number, 2010
Top 5 Pharmaceutical Chain Companies by Prescription Sales in China, 2010
Prescription Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Top 5 Pharmaceutical Chain Companies by Prescription Profit in China, 2010
Prescription Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
OTC Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
OTC Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Traditional Chinese Medicine Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Medical Device Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Medical Device Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2009-2010
Food/Health Care Products Sales Contribution Distribution of China Pharmaceutical Chain Industry, 2010
Food/Health Care Products Profit Contribution Distribution of China Pharmaceutical Chain Industry, 2010
Private Brands/High Margin Products Number Distribution of China Pharmaceutical Chain Industry, 2009-2010
Proportions of Private Brands/High Margin Products in Total Commodity Varieties, 2009-2010
Annual Sales From per Customer Distribution of China Pharmaceutical Chain Industry, 2009-2010
Top 3 Companies by Annual Sales from per Customer in China Pharmaceutical Chain Industry, 2010
Top 5 Companies by Effective Member in China Pharmaceutical Chain Industry, 2010
Top 5 Companies by Effective Members per Square Meter in China Pharmaceutical Chain Industry, 2010
Medical Insurance Variety Sales Proportions of Top 100 Pharmaceutical Chains by Region in China, 2010
Daily Sales/Sq.m Distribution of China Pharmaceutical Chain Industry, 2010
Daily Sales From per Staff Distribution of China Pharmaceutical Chain Industry, 2010
Fielding Percentage Per Staff of China Pharmaceutical Chain Industry, 2010
Gross Margin Distribution of China Pharmaceutical Chain Industry, 2010
Cost Structure of China Pharmaceutical Chain Industry, 2010
Gross Salary Growth of Every Company in China Pharmaceutical Chain Industry, 2010
Staff Braindrain Distribution of China Pharmaceutical Chain Industry, 2010
Frontline Staff Percentage in Total Staff in China Pharmaceutical Chain Industry, 2010
Store Manager Salary Distribution of China Pharmaceutical Chain Industry, 2010
General Clerk Salary Distribution of China Pharmaceutical Chain Industry, 2010
Licensed Pharmacist Salary Distribution of China Pharmaceutical Chain Industry, 2010
Top 10 Single Drugstore Sales of China Pharmaceutical Chain Industry, 2010
Sales Growth Rates of Top 5 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Area Growth Rates of Top 10 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Area Decrease Rates of Top 5 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Daily Operating Revenue/Sq.m of Top 10 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Profit/Sq.m of Top 10 Single Drugstores in China Pharmaceutical Chain Industry, 2010
Operating Revenue and Net Income of China Nepstar Chain Drugstore Ltd., 2007-2011
Gross Margin and Net Profit Margin of China Nepstar Chain Drugstore Ltd., 2007-2011
Operating Revenue of China Nepstar Chain Drugstore Ltd. by Product, 2007-2011
Branches of Nepstar Chain Drugstore
Drugstore Number of China Nepstar Chain Drugstore Ltd., 2005-2011
Drugstore Number of China Nepstar Chain Drugstore Ltd. by Region, 2007-2011
Average Operating Revenue and Net Income from Single Drugstore of China Nepstar Chain Drugstore Ltd., 2007-2011
Average Gross Margin and Net Profit Margin from Single Drugstore of China Nepstar Chain Drugstore Ltd., 2007-2011
Strategies of China Nepstar Chain Drugstore Ltd.
Operating Revenue and Gross Profit Percentages of Private Brands and Non-private Brands of China
Sales and YoY Growth of LBX Pharmacy, 2007-2010
Sales and YoY Growth of Guangdong Da Shen Lin Chain Drugstore Co., Ltd., 2007-2010
Sales and YoY Growth of Chongqing Peace Drugstore, 2007-2010
Sales and YoY Growth of Huibei Ready Medicine Industry Co., Ltd., 2007-2010
Sales and YoY Growth of Yunnan Hongxiang Yixintang Pharmacy, 2007-2010
Sales and YoY Growth of Liaoning Chengda Fangyuan Pharmaceutical Chain, 2007-2010
Sales and YoY Growth of Shanghai Hua-shi Drugstore Co., Ltd., 2007-2010
Sales of Shenzhen Associate Pharmacy Co., Ltd, 2009-2010
Sales of Huangqingren Pharmacy, 2009-2010
Top 10 Companies of China Pharmaceutical Chain Industry by Regular Chain Number, 2011
Key M&A Cases in China Pharmaceutical Chain Industry, 2011
