Report: Nearly 85% Of Pharmaceutical Sales Completed Through Healthcare Distributors In 2008

Main Category: Pharmacy / Pharmacist
Article Date: 27 Sep 2009 - 0:00 PDT

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A report published by the Center for Healthcare Supply Chain Research, the research foundation of the Healthcare Distribution Management Association (HDMA), indicates that in 2008, that $253 billion in prescription drug sales were completed through primary healthcare distributors, representing nearly 85% of the entire market. This trend is one of the nearly 170 performance measures included in the 81st edition of the HDMA Factbook, the healthcare supply chain industry's definitive reference tool. Each year, the Factbook reports comprehensive industry performance measures in the areas of operations, finance, distributor demographics, information systems and more.

On an average business day in 2008, HDMA distributor members delivered a total of 9.4 million products to more than 165,000 pharmacies, hospitals, clinics, nursing homes and other outlets across all 50 states. Distributors reported an order fill rate in excess of 95% while keeping profit margins modest at an average of 1.8%.

"This year's Factbook accurately details the continued effectiveness of the healthcare supply chain in a challenging economic climate," said Karen Ribler, Executive Vice President and COO of the Center for Healthcare Supply Chain Research. "In such times, business leaders need reliable data to benchmark performance and set their strategy for the future. The Factbook puts those answers right in the reader's hands."

"This important research highlights the crucial role HDMA's distributor members play in the supply chain," added HDMA President and CEO John M. Gray. "Distributors continue to deliver the right medicines and healthcare products to the right people, at the right time - and they do so safely and efficiently, saving the industry millions of dollars each year. The Factbook lays it all out in black and white."

The 2009-2010 HDMA Factbook: Facts, Figures & Trends in Healthcare is now available for purchase. Visit the Web site of the Center for Healthcare Supply Chain Research at http://www.hcsupplychainresearch.org for more information.

About the Center for Healthcare Supply Chain Research

The Center for Healthcare Supply Chain Research is a 501(c)(3) non-profit charitable organization that serves as the knowledge partner of the Healthcare Distribution Management Association (HDMA). The Center serves the healthcare industry by providing research and education focused on healthcare supply chain issues. The Center's mission is twofold: to conduct research and disseminate information that will enhance the knowledge base, efficiency and effectiveness of the total healthcare supply chain; and to provide thought leadership to further enhance the safety and security of the healthcare supply chain through future-focused study and programming.

Source
HDMA

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