Global Pharmacy Automation Market - Focused Insights 2021-2030

The global pharmacy automation market is expected to grow at a CAGR of 7.44% from 2024 to 2030.

PHARMACY AUTOMATION MARKET NEWS

• In 2021, Omnicell acquired ReCept Holdings, along with its specialty pharmacy management services for health systems, provider groups, and federally qualified health centers (FQHCs), to expand its advanced services portfolio.
• In 2022, BD acquired Parata Systems for USD 1.5 billion to expand its pharmacy automation solutions, enhance patient safety, and address clinician shortages, aligning with its 2025 strategy.
• In 2022, Deenova introduced its innovative Pay-Per-Dose unit dose pharmacy automation service to the UK market, offering a fully automated, closed-loop solution for medication and medical supply management.
• In 2024, iA unveiled its newly renovated national headquarters, featuring an advanced central pharmacy fulfillment technology center and training facility for pharmacy workers, aiming to enhance pharmacy automation capabilities.

KEY TAKEAWAYS

• By Component: In 2024, the hardware segment accounted for over 61% of the global market share, making it the largest category within the global pharmacy automation market.
• By Product Type: The automated medication dispensing systems segment accounted for the largest market share, also the segment is expected to grow at the fastest CAGR of 8.00% during the forecast period.
• By Facility Type: In 2024, the large-scale pharmacies segment accounted for the largest global pharmacy automation market share.
• By Distribution Model: The decentralized systems segment is expected to register the fastest CAGR and an absolute growth of 55.29% during the forecast period.
• By End-Users: In 2024, the hospital pharmacies segment accounted for the largest market share.
• By Geography: North America dominates the pharmacy automation market with the largest share of over 38%, and the APAC region shows the highest growth of 9.03% during the forecast period.
• Growth Factor: The global pharmacy automation market is set to grow due to growing hospital digitization & EHR integration and a growing focus on operational efficiency & cost reduction.

PHARMACY AUTOMATION MARKET TRENDS & DRIVERS

Expansion of Telepharmacy & Remote Patient Management Services

The rapid digitalization of healthcare has accelerated the adoption of telepharmacy, allowing pharmacists to provide consultations, prescription verification, and medication counseling remotely. Pharmacy automation technologies-such as remote-controlled dispensing systems and integrated software platforms-enable efficient medication delivery and monitoring for patients in rural or underserved areas. This trend is especially relevant in regions with limited access to brick-and-mortar pharmacies, and it's being fueled by evolving telehealth regulations and a growing home care market. As a result, pharmacy automation is playing a crucial role in remote patient adherence tracking, e-prescribing, and virtual medication management.

Integration with Smart Cabinets & ADCs in Decentralized Locations

Hospitals, outpatient centers, and even corporate health clinics are increasingly turning to Automated Dispensing Cabinets (ADCs) and smart storage units to ensure secure, on-demand access to medications. These systems are now being deployed in decentralized settings-like emergency departments, satellite clinics, and ambulatory surgical centers-to improve medication turnaround times, reduce waste, and enhance inventory control. The integration of pharmacy automation with real-time inventory tracking, EMR systems, and AI-powered usage analytics is enabling faster, safer medication administration across non-traditional points of care.

Rising Medication Errors & Patient Safety Concerns

Medication errors remain a major challenge in healthcare systems worldwide, leading to adverse drug events (ADEs), increased morbidity, and even mortality. The demand for pharmacy automation is significantly driven by the need to reduce human errors in medication dispensing, labeling, and administration. Automated systems offer improved accuracy, ensuring the right patient gets the right drug at the correct dosage and time. As regulatory bodies and healthcare institutions push for improved safety standards, pharmacy automation is increasingly seen as a critical tool in enhancing patient safety and minimizing risks.

Growing Focus on Operational Efficiency & Cost Reduction

Healthcare providers are under constant pressure to streamline operations and manage rising healthcare costs. Pharmacy automation systems help reduce labor-intensive tasks such as manual drug counting, inventory tracking, and prescription filling. By automating these processes, hospitals and pharmacies can reallocate human resources to more value-added clinical roles, reduce labor costs, and optimize workflow efficiency. Additionally, automation reduces waste and stockouts through real-time inventory management, contributing to overall cost savings and improved profitability.

PHARMACY AUTOMATION MARKET SEGMENTATION INSIGHTS

INSIGHTS BY COMPONENT

The global pharmacy automation market by component is segmented into hardware, software, and services. In 2024, the hardware segment accounted for over 61% of the global market share. The hardware component of pharmacy automation refers to the physical machines and devices that handle medications within a pharmacy setting. These include robotic dispensers, carousels, conveyors, pill counters, labeling machines, and storage systems. Each piece of hardware plays a specific role, contributing to the overall objective of reducing manual intervention, increasing throughput, and maintaining accuracy in medication handling. While hardware handles the physical tasks, its full potential is only realized when integrated with pharmacy management software, electronic health records (EHR), and hospital information systems (HIS). This integration allows for real-time data sharing, predictive analytics, and end-to-end medication tracking. Hardware-software synergy ensures that each pill, vial, or box is accurately linked to a patient record, fulfilling regulatory and safety requirements. Hardware automation significantly reduces the time required for dispensing, packaging, and inventory management, allowing pharmacists to focus more on patient care. Automated systems minimize human error in drug selection and dosage, leading to improved outcomes and fewer adverse drug events.

INSIGHTS BY COMPONENT PRODUCT TYPE

The global pharmacy automation market by product type is categorized into automated medication dispensing systems, automated storage and retrieval systems (AS/RS), automated packaging and labeling systems, automated compounding devices, tabletop tablet counters, and others. The automated medication dispensing systems segment accounted for the largest market share, also the segment is expected to grow at the fastest CAGR of 8.00% during the forecast period. Automated Medication Dispensing Systems are computer-controlled systems that automatically dispense medications in various healthcare settings, including hospitals, retail pharmacies, long-term care facilities, and even correctional institutions. These systems can range from large, centralized robotic units to smaller, decentralized machines placed near patient care areas. One of the most significant advantages of AMDS is the reduction in medication errors. By using barcode verification and programmed dispensing protocols, the systems ensure that the right patient receives the correct medication at the right dose and time. This is especially critical in high-pressure environments like hospitals, where manual errors can have severe consequences.

The demand for AMDS is growing globally. The increasing prevalence of chronic diseases, an aging population, and a global shortage of healthcare professionals are driving adoption. Additionally, the push for digital transformation in healthcare, particularly in post-pandemic recovery efforts, has accelerated investment in automation technologies.

INSIGHTS BY FACILITY TYPE

Based on the facility type, the large-scale pharmacies segment accounted for the largest global pharmacy automation market share. Large-scale pharmacies include hospital pharmacies, large retail chains, mail-order pharmacies, and centralized fulfillment centers that process thousands of prescriptions daily. As the demand for rapid, accurate, and safe medication dispensing continues to grow, automation provides a scalable solution to meet these needs. In large-scale settings, the integration of pharmacy automation technologies not only enhances operational efficiency but also plays a crucial role in improving patient safety, reducing costs, and enabling pharmacists to focus on more value-added clinical roles. By automating repetitive tasks such as labeling, sorting, counting, and verifying medications, large pharmacies can streamline workflows and reduce bottlenecks. For example, a centralized fulfillment center using high-speed automation can fill thousands of prescriptions per hour, enabling same-day or next-day delivery with minimal error.

INSIGHT BY DISTRIBUTION MODEL

By distribution model, the decentralized systems segment is expected to register the fastest CAGR and an absolute growth of 55.29% during the forecast period. This model is supported by a network of automated systems that ensure real-time tracking of inventory, patient-specific dosing, and compliance with safety standards. It is particularly prevalent in large hospital systems, where timely access to medications is critical. One of the primary benefits of decentralized distribution is the significant reduction in turnaround time for medication dispensing. Nurses and clinicians no longer have to wait for the central pharmacy to process and deliver medications; instead, they can access approved drugs directly from nearby automated units. Decentralized systems allow for real-time tracking of inventory levels at multiple locations, enabling better stock management and reducing waste due to expired medications. They also facilitate restocking based on usage patterns, minimizing shortages.

The push toward patient-centered care and value-based healthcare is likely to accelerate the adoption of decentralized pharmacy automation. Advances in AI, the IoT, and cloud computing are expected to further enhance system capabilities, making them more intelligent, responsive, and interoperable.

INSIGHT BY END-USERS

The global pharmacy automation market by end-users is segmented into hospital pharmacies, retail pharmacies, long-term care pharmacies, and others. In 2024, the hospital pharmacies segment accounted for the largest market share. Hospital pharmacies play a critical role in the healthcare delivery system, ensuring that patients receive the right medications, at the right time, and in the correct dosage. With increasing demands on healthcare systems, a rise in prescription volumes, and a heightened focus on patient safety, hospital pharmacies have become prominent end-users of pharmacy automation technologies. Hospital pharmacies operate under immense pressure, dealing with high volumes of prescriptions daily, while adhering to strict safety protocols and regulatory standards. The traditional manual processes-such as counting pills, preparing IV medications, labeling, and inventory tracking-are not only labor-intensive but also susceptible to errors that can compromise patient safety.

Automation allows hospital pharmacies to process a larger volume of prescriptions with fewer human resources. This leads to faster turnaround times and more efficient use of staff. While the initial investment in automation technology can be substantial, hospitals often see long-term cost savings through reduced labor costs, fewer medication errors, lower inventory waste, and improved workflow.

PHARMACY AUTOMATION MARKET GEOGRAPHICAL ANALYSIS

NORTH AMERICA PHARMACY AUTOMATION MARKET

North America dominates the global pharmacy automation market with the largest share of over 38%. The market in North America is experiencing substantial growth, driven by increasing prescription volumes, rising healthcare demands, a focus on patient safety, and technological advancements. As one of the most mature and technologically advanced healthcare markets in the world, North America, led by the US and Canada, has emerged as a significant hub for pharmacy automation adoption. The region's well-established healthcare infrastructure, widespread digitization, and early adoption of advanced technologies contribute to its leadership in this space.

The US is a hub for one of the most advanced and complex healthcare systems in the world and stands as a leading market for pharmacy automation. As the country deals with increasing prescription volumes, rising healthcare costs, workforce shortages, and the demand for greater accuracy in medication management, pharmacy automation has emerged as a vital solution. The US has one of the highest rates of prescription drug usage globally. According to the CDC, nearly 48% of Americans have used at least one prescription drug in the past 30 days. Automation helps manage this high volume with speed and accuracy. Medication errors are a significant concern in the US healthcare system. Automation minimizes human error through barcode scanning, robotic verification, and real-time tracking, thereby enhancing patient safety.

ASIA PACIFIC PHARMACY AUTOMATION MARKET

APAC region shows significant growth, with the fastest-growing CAGR of 9.03% during the forecast period. The region is emerging as a key growth frontier for the global pharmacy automation market. This dynamic and diverse region encompasses countries at various stages of healthcare development, ranging from advanced economies like Japan, South Korea, and Australia to rapidly developing markets such as India, China, Indonesia, and Vietnam. Healthcare infrastructure is expanding rapidly, and government initiatives are pushing for the modernization of pharmacies, including integration with health-tech platforms. The APAC region is witnessing a significant surge in prescription volume due to increasing access to healthcare services, growing populations, and broader insurance coverage. In India and China, massive public health programs have led to a spike in prescriptions dispensed daily. Many APAC countries are undergoing demographic shifts, with rapidly aging populations and a corresponding increase in chronic disease incidence. This shift drives demand for long-term prescriptions, multi-dose packaging, medication adherence monitoring, and pharmacy services that benefit from automation tools like robotic dispensers and blister packaging machines.

PHARMACY AUTOMATION MARKET VENDOR LANDSCAPE

The global pharmacy automation market report consists of exclusive data on 22 vendors. The market is experiencing robust growth, driven by increasing demand for efficient medication management, rising prescription volumes, chronic disease prevalence, and an aging global population. As healthcare providers seek ways to minimize errors, reduce costs, and improve workflow efficiency, pharmacy automation has emerged as a key enabler of transformation. Companies are increasingly investing in AI and Machine Learning for predictive inventory management and error prevention, cloud-based Solutions to improve data integration, remote access, and scalability, Robotic Process Automation (RPA), and interoperability with EHRs. In recent years, the market has witnessed a wave of mergers, acquisitions, and strategic partnerships aimed at expanding product portfolios, entering new geographic markets, or integrating with healthcare IT platforms. Market leaders are consolidating their positions through acquisitions, technological advancements, and global expansion, while agile new entrants focus on unmet needs in underserved markets.

Key Vendors

• ARxIUM
• Baxter
• BD
• Capsa Healthcare
• Cencora
• MCKESSON
• Omnicell

Other Prominent Vendors

• Accu-Chart Plus Health Care Systems
• Bluesight
• Euclid Medical Products
• JFCRx
• Deenova S.r.l.
• iA
• Medical Packaging
• Noritsu Pharmacy Automation
• Pearson Medical Technologies
• RxSafe
• ScriptPro
• Swisslog Healthcare
• Tension Packaging & Automation
• TouchPoint Medical
• Yuyama

SEGMENTATION & FORECAST

• By Component
  • Hardware
  • Software
  • Services
• By Product Type
  • Automated Medication Dispensing Systems
  • Automated Storage and Retrieval Systems (AS/RS)
  • Automated Packaging and Labelling Systems
  • Automated Compounding Devices
  • Tabletop Tablet Counters
  • Others
• By Facility Type
  • Large Scale Pharmacies
  • Small & Medium Sized Pharmacies
• By Distribution Model
  • Centralized Systems
  • Decentralized Systems
• By End-Users
  • Hospital Pharmacies
  • Retail Pharmacies
  • Long-Term Care Pharmacies
  • Others
• By Geography
• North America
  • US
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
• APAC
  • China
  • Japan
  • India
  • South Korea
  • Australia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • Turkey
  • Saudi Arabia
  • South Africa

KEY QUESTIONS ANSWERED:

1. What are the trends in the global pharmacy automation market?

2. How big is the global pharmacy automation market?

3. What is the growth rate of the global pharmacy automation market?

4. What is pharmacy automation?

5. What is driving growth in the global pharmacy automation market?

6. What types of pharmacy automation systems are available?

7. Which end users benefit most from pharmacy automation in the global market?

8. Which are the biggest global pharmacy automation market companies?