Anxiety Disorders and Depression Treatment Market Size, Share & Industry Analysis, Growth & Forecast
Anxiety Disorders and Depression Treatment Market Size, Share & Industry Analysis, Growth & Forecast
The global anxiety disorders and depression treatment market was valued at USD 8.50 billion in 2019 and is expected to grow from USD 10.89 billion in 2020 to USD 13.03 billion by 2027, reflecting a compound annual growth rate (CAGR) of 2.6% during the 2020-2027 period. In 2019, North America led the market, accounting for a 52.24% share. Our analysis indicates that the market experienced remarkable growth of 28.2% in 2020.
According to a MindMed report, approximately 284 million people worldwide suffer from anxiety, yet only 36% seek treatment. This low treatment rate has contributed to fewer prescriptions for anxiety and depression medications, slowing overall market growth. Additionally, a general lack of awareness and proactive management of mental health disorders has limited demand for antidepressants. Despite these challenges, industry players continue to introduce innovative drugs to enhance market potential.
Market Segmentation:
By Drug Class Analysis: The global anxiety disorders and depression treatment market is segmented by drug class into antidepressants, anxiolytics, anticonvulsants, noradrenergic agents, and atypical antipsychotics. In 2019, antidepressants held the largest market share due to their higher efficacy in reducing depressive symptoms, making them widely prescribed by hospitals and specialists. The segment is expected to see the highest CAGR, driven by a growing pipeline and new product approvals. For instance, in September 2020, Janssen Research & Development LLC initiated a Phase 3 clinical trial for Seltorexant to assess its efficacy in treating major depressive disorder (MDD).
By Indication Analysis: The global market is segmented into anxiety and depression based on indication. Rising cases of phobias and social anxiety disorders, especially in developed regions, have driven the demand for anti-anxiety medications. Additionally, the growing prevalence of major depressive disorder, PTSD, OCD, and GAD is expected to fuel market growth as more patients seek effective treatments for cognitive and behavioral improvement.
By Distribution Channel Analysis: The market is segmented by distribution channel into hospital, retail, and online pharmacies. Hospital pharmacies dominate due to higher patient visits and prescription drug sales for depressive disorders like MDD. Retail pharmacies grow due to patient preference for nearby stores, while online pharmacies are expected to see strong CAGR with increasing penetration in developing countries.
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List Of Key Companies Profiled In Anxiety Disorders and Depression Treatment Market:
· Pfizer Inc. (New York, U.S)
· H. Lundbeck A/S (Denmark, Europe)
· GlaxoSmithKline plc (Brentford, U.K)
· Merck & Co. Inc. (New Jersey, U.S)
· Eli Lilly and Company (Indiana, U.S)
· Johnson & Johnson (New Jersey, U.S)
· AstraZeneca (Cambridge, U.K)
· Bristol-Myers Squibb (New York, U.S)
· Other Players
Driving Factors:
The prevalence of mental health disorders is rising rapidly among both adults and children worldwide, driven by the significant financial and emotional strain on individuals, families, and society. This growing burden is expected to have substantial economic implications. According to the World Health Organization (WHO), mental health issues in developed countries account for an estimated 3% to 4% of the Gross National Product (GNP). As a result, government initiatives aimed at reducing the economic impact of these disorders are expected to drive demand for anxiety and depression treatments, ensuring timely intervention and management. Research and development efforts to enhance mental health care are accelerating globally. Innovative studies exploring combination therapies with new or existing drug compounds have increased the number of pipeline candidates for anxiety and depression treatment. For instance, in March 2020, Luye Pharma announced that the U.S. Food and Drug Administration (FDA) had accepted its new drug application for LY03005, an antidepressant. Additionally, strong support from governments and international healthcare organizations for R&D funding is expected to create diverse opportunities in the market. This, combined with the rising preference for novel medications, is projected to fuel market growth.
Restraining Factors:
Administering high doses of drugs to treat neurological conditions often leads to damage in healthy cells, resulting in various side effects such as weight gain, blurred vision, dizziness, and nausea. These adverse effects associated with anxiety and depression medications are significantly restraining market growth. Additionally, a growing disparity between the demand for treatment and the availability of resources further hampers market expansion. According to a WHO report, between 44% and 70% of patients in developed countries do not receive treatment, while this treatment gap is even more pronounced in developing nations, reaching nearly 90%.
Regional Analysis:
North America led the anxiety disorders and depression treatment market at USD 4.44 billion in 2019, driven by a high prevalence of anxiety and depression and frequent product launches. Europe follows, supported by strong R&D investments and high sales of anxiety treatments. Asia Pacific is expected to see the highest CAGR due to rising antidepressant demand and increasing depressive disorders. Meanwhile, Latin America and the Middle East & Africa are projected to grow slower due to lower incidence rates and limited product approvals.
Key Industry Developments:
· July 2021 – Alembic Pharma received USFDA approval for desipramine hydrochloride tablets (10 mg to 150 mg) for depression treatment.
· May 2021 – VistaGen Therapeutics Inc. (NASDAQ: VTGN) launched its PALISADE Phase-3 clinical program, beginning with the PALISADE-1 trial, a randomized, double-blind, placebo-controlled study assessing PH94B’s efficacy and safety for acute treatment of Social Anxiety Disorder (SAD) in adults.