Healthcare Distribution Market
Healthcare distribution is the system utilized for the transportation and delivery of healthcare based products such as drugs, medical devices, medical equipments and various other services designed for promoting better consumer reach and targeting. These systems enable greater accessibility and usefulness in transportation of healthcare based products. These distribution systems help meet the significant surge in growth of healthcare industry wherein the demands for medical devices and products has expanded significantly. This system also enables greater transparency and traceability of products by helping provide advanced tracking components throughout the supply chain.
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The main factors boosting the Healthcare Distribution Market are:
- Rising chronic diseases among population: With the growing prevalence of chronic diseases worldwide, there has been a direct growth in relation to the demand for a more advanced distribution system that can enable a more efficient and effective system for reaching the patients worldwide. This distribution systems provide the required medical devices, therapeutics and other systems to the patients having unmet clinical requirements
- Growth of medical devices industry: Another factor that is positively impacting the market’s potential for growth is the various innovations and advancements currently being experienced by the healthcare industry. Various manufacturers participating in the medical device industry have been providing advanced features and innovations to improve the functionality and operations of their product range. These innovations subsequently enhance the levels of demand for these medical devices which helps the healthcare distribution industry as a whole in terms of their growth rate
The market is segmented on the basis of type as pharmaceutical product distribution service, medical device distribution service, biopharmaceutical product distribution service; end-users as retail pharmacies, hospital pharmacies, other end users.
Some of the Healthcare Distribution Marketdevelopments are as follows:
- In July 2019, DFB Healthcare Acquisitions Corp. announced that they had agreed to combine the business operations of AdaptHealth Holdings, LLC. With the completion of the transaction, the combined company will be renamed as “AdaptHealth Holding Corporation” and will be listed under NASDAQ. This company will have high volume of expertise and distribution capabilities for home-based medical equipments and will be focused on providing their services in a more efficient manner to the expanding healthcare industry
- In June 2018, McKesson Corporation announced that they had completed the acquisition of Medical Specialties Distributors approximately for USD 800 million. This acquisition is a strategic investment under the company’s efforts to expand and innovate their service provisions for healthcare supply and distribution of medical devices. This will also significantly enhance the distribution capabilities and expertise of McKesson Corporation
“According to Data Bridge Market Research, global healthcare distribution market is expected to be growing at a substantial CAGR of 6.75% during the forecast period of 2019 to 2026”
Some of the major players operating in the market are McKesson Corporation, Cardinal Health, AmerisourceBergen Corporation, Owens & Minor, Inc., Morris & Dickson Co. L.L.C., Express Scripts Holding Company, FFF Enterprises, Inc., Medline Industries, Inc., Attain Med., Dakota Drug, Inc., Express Scripts Holding Company, Patterson Companies, Inc., Mutual Drug, Redington, Accord-UK Ltd., Phoenix Medical Systems (P) Ltd., Biotron Healthcare, OrbiMed Advisors LLC, ALLIANCE UNICHEM IP LIMITED, TTK HealthCare among others.
One of the most significant benefit presented to the healthcare distribution service providers is the surging rise of biopharmaceuticals demands. This trend has had a noteworthy impact on the needs of healthcare distribution service because of the productivity of these systems in delivering the pharmaceuticals in a more accurate manner while reducing the incidences of counterfeiting in the supply chain.
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