New HDMA report snapshots state of specialty pharmacy distribution

ARLINGTON, Va. — The seventh edition of HDMA’s report on specialty pharmacy distribution, compiled by its Center for Healthcare Supply Chain Research. The 2015 edition of “Specialty Pharmaceutical Distribution: Facts, Figures and Trends is sponsored by CuraScript Specialty Distribution, Genentech and Pharmacy first, and contains insights on the state of specialty, which IMS Health valued at $124 billion in the United States in 2014.

“The Center is pleased to add the latest edition of this publication to its growing body of research on this unique pharmaceutical segment,” said Karen J. Ribler, Executive Vice President and COO of the Center for Healthcare Supply Chain Research. “As noted in this new edition, specialty distributors continued to provide extraordinary service levels to their manufacturer and dispenser trading partners, creating overall supply chain efficiencies.”

According to the report, from 2009 to 2014, branded and generic specialty sales in the United States grew at an annual compound growth rate of 12%. And the dominant force in the specialty category continues to be oncology medication, which made up 46,.3% of sales volume for distributors in 2014. Sales to physician-owned and –operated clinics went up 70% in 2014, with sales to hospitals and hospital-owned clinics dropping to 17% and 4%, respectively.

In terms of supply chain, the typical HDMA member distributor picked an average of 12,000 lines in a business day at a fill rate of 99.4%. In an average of 17 hours, the distributors ship to 27,000 unique points, with about 1.1% of selling unites being returned. Respondents who are distributors noted contracts with more than 150 manufacturers. 

The full report can be purchased through the website for the Center for Healthcare Supply Chain Research.