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Drug, Cosmetic & Toiletry Wholesaling in the US: Market Research Report

Market Research • Market Size • Industry Statistics • Industry Analysis • Industry Trends

Drug, Cosmetic & Toiletry Wholesaling Market Research Report | NAICS 42421 | Aug 2016

Cosmetic changes: New healthcare regulations and changing contracts will provide growth opportunities

IBISWorld’s Drug, Cosmetic & Toiletry Wholesaling market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

Report Snapshot
Industry Statistics & Market Size
Revenue
$935bn
Annual Growth 11-16
5.5%
Annual Growth 16-21
Annual Growth
Profit
Profit
Employment
342,575
Businesses
14,381
Industry Threats & Opportunities
  • Consolidation within the industry has increased, as already powerful wholesalers have expanded their market share
  • Specialty and biopharmaceutical distribution helps maintain profit margins
  • Provisions to help fund coverage expansions could result in moderate profit compression
  • ... purchase to read more

Industry Analysis & Industry Trends

The success of the Drug, Cosmetic and Toiletry Wholesaling industry is driven by the nondiscretionary nature of its primary product: pharmaceuticals. Although industry demand is booming, the patent cliff that preceded this period has limited industry growth. A number of major brand-name drugs have lost patent exclusivity over the past five years, creating an opportunity for less-expensive generic drugs to join the market. Nevertheless, wholesalers have prepared for the expanded use of generic drugs and adjusted their prices and supplies accordingly over the past few years. The effects of various newly introduced regulation as well as changes in the supply of generic and branded pharmaceuticals will characterize the industry's outlook... ... purchase to read more

Industry Report - Industry Investment Chapter

The Drug, Cosmetic and Toiletry Wholesaling industry has a low level of capital intensity. For every dollar spent on labor in the industry, an estimated $0.11 is spent on capital. Wages and associated labor expenses account for an estimated 4.5% of industry revenue in 2016. While this industry is more capital intensive than many other wholesaling industries, it still exhibits a low level of capital intensity because of the relatively high dependence on labor.

Capital expenditures for wholesalers include warehousing, logistics and computerized inventory systems, and do not need to incorporate manufacturing and consumer packaging systems. Who.. ... purchase to read more

Additional Insights for the Drug, Cosmetic & Toiletry Wholesaling Industry

IBISWorld identifies 250 Key Success Factors for a business.The most important for the Drug, Cosmetic & Toiletry Wholesaling Industry are

  • Guaranteed supply of key inputs
  • Having an extensive distribution and collection network
  • Having contacts within key markets
  • IBISWorld analysts also discuss how external factors such as Number of people with private health insurance and Per capita disposable income in the Drug, Cosmetic & Toiletry Wholesaling industry impact industry performance... purchase to read more

     


    Industry ProductsRelated Reports

    What is the Drug, Cosmetic & Toiletry Wholesaling Industry?

    Drug, cosmetic and toiletry wholesalers primarily distribute pharmaceutical products intended for internal and external consumption, such as tablets, capsules, vials, ointments and powders. The industry includes a range of biological and medical products, and botanical drugs and herbs. The industry does not include businesses that primarily distribute surgical, dental or hospital equipment.

    Industry Products
    Brand-name prescription drugsGeneric prescription drugsNonprescription pharmaceuticals and nutritional supplementsCosmetics, toiletries and other
     
    Industry Activities
    Antibiotics wholesalingAntiseptics wholesalingBeauty supplies wholesalingCosmetics wholesalingNonprescription drugs wholesalingPharmaceuticals wholesalingPrescription drugs wholesalingToiletries wholesalingVaccine wholesalingVitamins wholesaling


    Table of Contents
    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • Number of people with private health insurance
  • Per capita disposable income
  • Research and development expenditure
  • Government consumption and investment
  • Median age of population
  • Current Performance
  • External growth influences
  • Generic markets
  • Consolidation trends
  • Chart: Revenue Growth
  • Industry Outlook
  • Healthcare reform
  • Further consolidation
  • Industry structure
  • Table: Drug, Cosmetic & Toiletry Wholesaling Industry Revenue Outlook
  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Drug, Cosmetic & Toiletry Wholesaling Industry Lifecycle vs The Economy
  • Products & Markets
    Supply Chains
  • Key Buying Industries
  • Convenience Stores
  • Pharmacies & Drug Stores
  • Beauty, Cosmetics & Fragrance Stores
  • Health Stores
  • Department Stores
  • Warehouse Clubs & Supercenters
  • Primary Care Doctors
  • Specialist Doctors
  • Hospitals
  • Key Selling Industries
  • Brand Name Pharmaceutical Manufacturing
  • Cosmetic & Beauty Products Manufacturing
  • Generic Pharmaceutical Manufacturing
  • Medical Instrument & Supply Manufacturing
  • Soap & Cleaning Compound Manufacturing
  • Products & Services
  • Brand-name prescription drugs
  • Generic prescription drugs
  • Cosmetics, toiletries and other
  • Nonprescription pharmaceuticals and nutritional supplements
  • Chart: Drug, Cosmetic & Toiletry Wholesaling Industry Products and Services Segmentation
  • Demand Determinants
  • Government funding and regulation
  • Demographics
  • Product development
  • Major Markets
  • Other wholesalers
  • Retailers
  • Businesses
  • Other
  • Chart: Major Market Segmentation for the Drug, Cosmetic & Toiletry Wholesaling Industry
  • International Trade
    Business Locations
  • Chart: Business Locations by State
  • Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Drug, Cosmetic & Toiletry Wholesaling
  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Drug, Cosmetic & Toiletry Wholesaling Industry
  • Industry Globalization
    Major Companies
    AmerisourceBergen Corporation
    McKesson Corporation
    Cardinal Health Inc.
  • Table: AmerisourceBergen Corporation - financial performance
  • Table: McKesson Corporation - financial performance
  • Table: Cardinal Health Inc. - financial performance
  • Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Drug, Cosmetic & Toiletry Wholesaling Industry
  • Chart: Tools of the Trade: Growth Strategies for Success
  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth
  • Regulation & Policy
    Industry Assistance
    Key Statistics
  • Table: Industry Data for the Drug, Cosmetic & Toiletry Wholesaling Industry
  • Includes:
  • Industry Revenue (2007-2021)
  • Industry Gross Product (2007-2021)
  • Establishments (2007-2021)
  • Businesses (2007-2021)
  • Employment (2007-2021)
  • Wages (2007-2021)
  • Number of Physician Visits (2007-2021)
  • Table: Annual Percentage Change for Key Industry Data
  • Table: Key Ratios for Industry Key Data
  • Table: Industry Financial Ratios
  • Jargon & Glossary
    Biologics
  • Type of specialty drug made from living organisms.
  • Disintermediation
  • The removal of intermediaries in a supply chain: "cutting out the middleman."
  • Fee-For-Service (Ffs)
  • A standard business model where services are unbundled and paid for separately.
  • Generic Drug
  • Drug that is not protected by any patents, but can act as a substitute for the original brand-name product.
  • Investment Buying (Ib)
  • A standard business model where large quantities of a commodity are purchased under the assumption that its price will increase.
  • Managed Care
  • A type of health insurance plan that controls costs by providing a network of pre-approved doctors and hospitals.
  • Over-The-Counter (Otc) Medication
  • Medicines that can be sold without a prescription.
  • Specialty Drug
  • Complex drug therapies, including injectables and biologics.

  • Why Buy this Report?
    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Drug, Cosmetic & Toiletry Wholesaling:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Drug, Cosmetic & Toiletry Wholesaling market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Drug, Cosmetic & Toiletry Wholesaling, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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