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Group Purchasing Organizations in the US: Market Research Report

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

Group Purchasing Organizations Market Research Report | Advisory & Financial Services | Other Outsourced Functions | Aug 2016

Strength in numbers: Revenue will rise alongside corporate profit and downstream demand

IBISWorld’s Group Purchasing Organizations market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

Report Snapshot
Market Share of Companies
Premier Premier market share
Vizient Vizient market share
Industry Statistics & Market Size
Annual Growth 11-16
Annual Growth 16-21
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Industry Analysis & Industry Trends

The Group Purchasing Organizations (GPOs) industry is composed of entities that leverage the purchasing power of groups of businesses to obtain collective discounts from vendors. During the past five years, demand for GPO services has increased as the improving economy stimulated demand for a variety of downstream industries, including the manufacturing and food service sectors. Additionally, the healthcare reform of 2010 has expanded in the healthcare sector. This growth has kept purchase levels high for healthcare providers, which has increased demand for GPO services. In the five years to 2021, the healthcare sector is expected to experience increased demand for its services, a higher level of regulation regarding reimbursement systems and tighter operating budgets.... purchase to read more

Industry Report - Industry Investment Chapter

The Group Purchasing Organizations (GPOs) industry has a low level of capital intensity, measured as the ratio of capital costs to wage costs. For every dollar spent wages, about $0.05 is spent on labor. Due to the nature of the industry, GPOs are not required to purchase any significant capital investments. While larger GPOs that are expanding into online services and data analysis make more capital investments in computer hardware and software, these costs are minimal. However, as the industry has grown, spending on wages has increased as a portion of revenue, driving down capital intensity... purchase to read more


Industry ProductsRelated ReportsTable of Contents

What is the Group Purchasing Organizations Industry?

This industry includes organizations that leverage the purchasing power of groups of businesses to obtain collective discounts from vendors.

Industry Products
Supply chain services administrative feesGroup member feesE-procurementData benchmarking
Industry Activities
Organizing group purchasing agreementsData benchmarkingPerformance analyzingSupply chain optimizing

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