Great Tree Pharmacy participated in an investor conference at the Taipei Exchange on the 21st, where the company stated that despite intensified competition and rising costs in the pharmacy market last year (2024), it maintained a cautious expansion strategy, avoiding irrational competition and growing in a stable manner. As a result, the number of stores reached 386, marking a 15% increase. This year, the company plans to set 15% as the baseline for store expansion while striving for a 20% increase.
Great Tree pointed out that as Taiwan transitions into a super-aged society, the demand for pharmaceuticals, healthcare, and nutritional supplements continues to grow, driving market expansion. In 2024, the total market size of the pharmacy industry reached NT$213.2 billion. Since 2022, players from various sectors have entered the pharmacy industry, fueling competition and triggering a wave of consolidations. In 2024, competition became even more intense, with some companies engaging in irrational price wars that compromised profitability in an effort to capture market share.
The company reiterated its cautious approach to expansion in 2024, ensuring that it did not engage in unhealthy competition. As of the end of last year, the number of stores had grown by 15.92% to 386, slightly below the previous expansion rate of 20%. This year, it aims to add at least 15% more stores—equivalent to opening 60 new locations—while striving for 20%, with a long-term goal of reaching 700 stores. Additionally, Great Tree is expanding its product categories by integrating new offerings into its stores, including a partnership with Japanese baby product brand Akachan Honpo to enter the maternal and infant market. Following the growing recognition of Great Tree Pets, the company also plans to introduce pet care sections in stores as early as the second quarter of this year.
Regarding overseas expansion, Great Tree's joint venture with SunWay Biotech in Malaysia, "GTSW Bio," has already achieved profitability in the region, and the company plans to further strengthen its sales channels. In China, its first store, "Great Tree Shuyu," opened in Jinan this February; however, the company expects to take another two years to evaluate and refine its expansion strategy in the Chinese market.
Resource: 大樹：今年展店將以15%為低標、朝20%努力
