Industry Analysis & Industry Trends
As primary providers of pharmaceutical distribution and services to hospitals and other healthcare institutions, the Institutional Pharmacies industry is highly dependent on Medicare funding to support revenue growth. Despite a rise in demand for industry services, and subsequently, the higher sales volumes, shrinking Medicare reimbursements in recent years caused the industry to experience significant revenue loss in 2012 and 2013. However, the industry is expected to perform positively in the five years to 2020 as a result of changing demographics, the continued effects of healthcare reform and expansion of the industry's clinical services.... purchase to read more
Industry Report - Industry Products Chapter
Brand-name and generic pharmaceutical distribution
Brand name and generic pharmaceutical sales generate the largest portion of industry revenue. Demand for this segment has increased during the past five years as the median age of the population has risen and a greater portion of the population has become eligible for Medicare, which subsidizes the cost of prescription drugs.
According to the Generic Pharmaceutical Association, generics account for more than 80.0% of all prescriptions filled annually but only represent 27.0% of total drug revenue... purchase to read more