Atopic Dermatitis Market to Reach $22.6 Billion by 2031, Driven by Biologics and Technological Advancements

PORTLAND, OR, UNITED STATES, June 18, 2025 /EINPresswire.com/ -- The global atopic dermatitis market is witnessing unprecedented growth, projected to expand from $5.3 billion in 2021 to $22.6 billion by 2031, registering a robust CAGR of 15.1% during the forecast period (2022–2031). This growth is propelled by increasing awareness, novel drug approvals, rising prevalence of skin disorders, and strong governmental support for affordable treatment options.

What is Atopic Dermatitis?
Atopic dermatitis (AD) is a chronic inflammatory skin disease characterized by itchiness, dryness, redness, swelling, and cracked skin. It typically begins in childhood but may continue or worsen into adulthood. Although non-contagious, the condition significantly impairs quality of life and increases the risk of secondary infections due to its impact on the skin’s barrier function.

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According to the American Journal of Managed Care, approximately 15 million Americans were affected by AD in 2017. Notably, 10–20% of infants are diagnosed with this condition, with many showing improvement or outgrowing it by adulthood.

Market Drivers
Several key factors are contributing to the rapid growth of the atopic dermatitis market:

Rising prevalence of atopic diseases worldwide.

Surging demand for biologics and targeted therapies.

Government initiatives to ensure access to affordable and effective treatment.

Increased funding and R&D for dermatology-related innovations.

Technological advancements in teledermatology and remote patient care during the COVID-19 pandemic.

Psychological impact of the disease, such as anxiety and depression, pushing patients to seek more comprehensive care.

Market Restraints and Challenges
Despite significant growth opportunities, the market faces a few obstacles:

High cost of biologic drugs and off-label treatments.

Limited reimbursement policies in developing nations.

Patent expiries and allergic reactions associated with some therapies.

Market Segmentation Insights
✅ By Drug Class:
Biologics dominated the market in 2021 and are projected to maintain leadership due to high efficacy, increased awareness, and rapid uptake in both developed and emerging regions.

Other classes include corticosteroids, calcineurin inhibitors, PDE4 inhibitors, and others.

✅ By Mode of Administration:
The injectable segment held the largest market share in 2021, driven by increased approvals and usage of drugs like Dupixent (dupilumab).

Topical and oral medications are also widely used but lag behind injectables in terms of efficacy and adoption.

✅ By Distribution Channel:
Hospital pharmacies accounted for the largest share in 2021, attributed to increasing prescriptions, rising drug prices, and better access to healthcare infrastructure.

Retail and online pharmacies are also gaining momentum, especially in urban areas.

Regional Outlook
North America remains the dominant region, driven by:

High disease burden.

Early adoption of novel treatments.

Strong reimbursement structures.

As per the National Eczema Association, around 16.5 million adults in the U.S. (7.3%) have AD that began after the age of two.

Asia-Pacific is expected to be the fastest-growing region, owing to:

A large patient pool.

Increasing healthcare investments.

Growing awareness and improved access to dermatological care.

Competitive Landscape
Key players driving innovation in the atopic dermatitis market include:

Sanofi SA

Regeneron Pharmaceuticals, Inc.

Pfizer Inc.

AbbVie Inc.

Eli Lilly and Company

Leo Pharma

Novartis AG

Galderma

Incyte Corporation

Bristol-Myers Squibb

Astellas Pharma

Dermavant Sciences

These companies are focusing on strategic collaborations, clinical trials, and new drug launches to gain a competitive edge and meet rising patient demand.

Conclusion
With rising awareness, technological integration, and rapid advancement in biologics, the global atopic dermatitis market is set for exponential growth. As the burden of chronic skin conditions continues to rise, investment in novel therapies and better patient outreach will remain key to unlocking this market’s full potential.

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David Correa
Allied Market Research
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