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Distributors Deliver Up To $78B In Value To Pharmaceutical Industry

November 20, 2025

Healthcare distributors play a vital role in improving patient access to medicines in the United States. As noted in the latest edition of the HDA Research Foundation’s The Role of Distributors in the US Healthcare Industry, core distribution services provide an estimated value of up to $78 billion to the pharmaceutical industry. Since 2004, HDA has commissioned the report to chronicle the evolution of the sector as it prepares for the rapid transformation of healthcare in the U.S. 

Notably, the report — based on stakeholder interviews and industry data, including the HDA Factbook — estimates that distributors manage over 135 million annual orders of medicines and supplies. Distributors also aggregate products from thousands of geographically dispersed manufacturers and provide daily shipments to more than 450,000 dispensers in all 50 states. 

“As the latest Role of Distributors illustrates, pharmaceutical distributors are key strategic partners to manufacturers and pharmacies, supporting product handling, inventory positioning, financial transactions and product integrity,” said Perry Fri, President, HDA Research Foundation. “But the industry's value goes far beyond its core function. Distributors’ investments in cold chain infrastructure and adaptation to how patients access medicines underscore their commitment to meeting the growing demands of specialty pharmaceuticals and next-generation therapies.”

In addition to providing an overview of the healthcare distribution ecosystem, the latest analysis explores the evolving role of distributors, as well as the trends impacting the future of the industry. Among the opportunities for the industry, healthcare distributors can harness emerging technologies, such as artificial intelligence, to further optimize supply chains and benefit patients nationwide. Further, distributors can continue to leverage their access to supply chain and market data to strengthen their role as trusted thought partners to manufacturers, providers and other stakeholders.

The Role of Distributors in the US Healthcare Industry was created in collaboration with Deloitte. To read the full report, click here.

As used in this document, “Deloitte” means Deloitte Consulting LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of our legal structure. Certain services may not be available to attest clients under the rules and regulations of public accounting

ABOUT THE HEALTHCARE DISTRIBUTION ALLIANCE
The Healthcare Distribution Alliance (HDA) represents primary pharmaceutical distributors — the vital link between the nation’s pharmaceutical manufacturers and pharmacies, hospitals, long-term care facilities, clinics and others nationwide. Since 1876, HDA has helped members navigate regulations and innovations to get the right medicines to the right patients at the right time, safely and efficiently. The HDA Research Foundation, HDA’s nonprofit charitable foundation, serves the healthcare industry by providing research and education focused on priority healthcare supply chain issues.

ABOUT THE HDA RESEARCH FOUNDATION
The HDA Research Foundation is the 501(c)(3) non-profit charitable organization of the Healthcare Distribution Alliance (HDA). The Foundation serves as the thought leader in driving research, education and discussion for all healthcare supply chain stakeholders, enabling the industry's ability to deliver efficient, safe and secure patient access to medicines and medical products. Learn more at HDA.org/Foundation.