ABSTRACT The application of vesicular system in drug delivery has changed the definitions of diagnosis and treatment in different aspects of biomedical field. The vesicular system as liposome's, niosomes, sphinosomes, transferosomes, pharmacosomes and ufasomes are used to improve the new drug molecules by encapsulating an active medicament inside vesicular structure in one such system. It prolongs the existence of the drug in systemic circulation and finally reduces the toxicity. Such different systems are widely used in gene delivery, tumor targeting to brain, oral formulations, in stability and permeability problems of drugs. In this review we really focused on different aspects of vesicular system in terms of its advantages, limitation, applications and different marketed product of vesicular system as novel drug delivery