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The skin, as the body's largest organ, plays a pivotal role in overall health, yet skin conditions remain an underrecognized burden, affecting millions worldwide. Over the past decade, the global prevalence of dermatologic diseases has risen significantly, elevating skin disorders to the fourth most common cause of nonfatal disease burden.¹ In the U.S., one in four Americans (84.5M) are impacted by skin disease.² This change reflects a combination of genetic, lifestyle and environmental factors. The focus on developing new therapeutic approaches to address both acute and chronic skin disorders has become more widespread.

Notably, the market for topical treatments has evolved and is projected to reach $238.4B by 2033.³ From over-the-counter (OTC) products designed to combat acne and eczema to prescription medications targeting chronic conditions like psoriasis, the demand for skincare services and treatment is high.

Background

Dermatology is one of the broadest medical specialties, requiring providers to manage a wide spectrum of skin disorders that range from infectious and autoimmune disorders to neoplastic, genetic and traumatic conditions. Dermatologists must be proficient in a dynamic clinical landscape with rapidly evolving treatment innovations (e.g., monoclonal antibodies, corticosteroids, antibiotics and chemotherapeutic agents).

The market for topical skin treatments has grown in response to changing dermatologic demand for both medical treatments, such as retinoids and corticosteroids, and consumer products, including products for anti-aging to inflammatory conditions, driven in part by pharmaceutical advancements and growing consumer awareness about skin health. The dermatology pharmaceutical market is projected to reach $64B by 2027, a compound annual growth rate of 12.9%.⁴ This growth is largely attributed to treatments for both common skin diseases, such as acne, atopic dermatitis and psoriasis, and rare and previously untreatable conditions.

Because of the increasing demand for and development of novel dermatologic treatments, we sought to examine recent trends in the prevalence of skin conditions and explore how the treatment landscape has evolved.

Analytic Approach

We leveraged our national all-payer claims database to analyze patient utilization of health services attributed to select skin conditions between 2021 and 2023. We then analyzed diagnostic patterns and prescription fill frequency of topical corticosteroids.

Findings

Between 2021 and 2023, patient volume for various skin conditions shifted notably. Dermatitis and eczema conditions saw mixed trends: atopic dermatitis increased by 7.8%, while unspecified contact dermatitis and allergic contact dermatitis decreased by -5.7% and -4.9%, respectively (Figure 1). Infectious skin diseases, such as local skin infections and impetigo, rose sharply, with impetigo seeing a 32.0% increase in patient volume. Chronic conditions like psoriasis grew by 5.7%.

Thanks to Austin Miller and Katie Patton for their research support.