The global online pharmaceutical retail market is witnessing significant growth, especially in India, largely due to increased demand during COVID-19. Yet, new entrants face considerable challenges, necessitating a solid market entry strategy.
The online pharmacy market in India is expected to grow at a CAGR of 22.20% from 2022 to 2027, reaching INR 89.47 Bn. A well-planned market entry strategy is critical to success and should address regulatory compliance, competitive advantage, target market identification, risk management, and resource allocation.
Data analytics plays a pivotal role in developing an effective strategy. It aids in conducting market research, selecting products that adhere to regulations and meet consumer needs, segmenting customers based on various parameters, and identifying effective marketing strategies.
Furthermore, AI and Big Data are becoming indispensable in devising market entry strategies. They aid in consumer profiling, market analytics, pricing optimization, inventory management, and fraud detection, giving e-pharmacies a competitive edge.
AI and Big Data also assist in granular market segmentation, which is particularly crucial in a diverse country like India. By analyzing geospatial consumer data, e-pharmacies can target specific geographic areas, understand customer demographics, and forecast demand, thus creating a robust market entry strategy.
Tools like Geomarketeer by Kentrix provide geospatial analysis and market segmentation, helping businesses identify profitable regions, customer needs, and competitor activity. Such tools combine data from various sources, offering insights into market segmentation and consumer spending behaviour, which can significantly enhance market entry strategies.
