The top U.S. pharmacy in 2024 by market share based on prescription drug revenue was CVS Health Corporation, followed by Walgreens Boots Alliance. CVS Health held over 25 percent of the prescription drug market revenue at that time. A significant increase in market share was reported for Cigna achieved through the acquisition of pharmacy benefit manager Express Scripts in August 2018. Before that, Cigna was mainly active in the insurance business and related products and services. CVS pharmaciesThe CVS Health Corporation is a health service company with locations all over the United States, Puerto Rico and Brazil. CVS Health comprises pharmacies, clinics and retail locations. According to recent estimates the number of CVS pharmacies has increased dramatically since 2005, however, with a downward tendency since 2021.Pharmaceutical and pharmacy marketThe U.S. has the largest single share of global pharmaceutical market revenues. The total number of prescriptions dispensed in the U.S. has increased in the last years, reaching around 6.7 billion medical prescriptions in 2022. Prescription drug expenditures have been increasing in value, while the share related to total U.S. health expenditures has remained stable in recent years. On the other hand, the pharmacy market recently saw some significant changes, especially with the growing impact of online pharmacies (mail-order pharmacies) worldwide.

Pharmacies and drug stores have endured moderate volatility in recent years. Retailers have benefited from a growing and aging population, as older consumers require medication to address chronic ailments, resulting in higher volumes of foot traffic. Similarly, the number of people with private insurance and public funding for Medicare and Medicaid has been on the rise, giving more people access to insurance and supporting demand for prescriptions, pharmacies' largest product segment. These trends, along with consumers increasingly prioritizing their health, have supported revenue gains, causing revenue to grow at an estimated CAGR of 1.1% to $609.6 billion through the end of 2025, including growth of 3.6% that year alone. Pharmacies have endured some challenges during this time, including heightened external competition from big-box stores and online-only pharmacies. With big-box stores offering consumers added convenience, pharmacies have expanded their services to offer some primary care services and grow delivery offerings. Many pharmacies and drug stores have invested in online platforms to service customers who prefer to shop online. The trend of online shopping will intensify in the coming years, and successful drugstores will be positioned to capitalize on the surge in demand. Pharmacies and drug stores have also focused on marketing personal care products, which often have higher prices, to capture additional revenue; however, unfavorable macroeconomic conditions directly harm these product lines because of their less-essential nature and higher access to substitutes. Pharmacies and drug stores will continue to benefit from the ongoing economic recovery, as cooling inflation encourages consumers to make more discretionary purchases like cosmetics and other personal care products. This growth will be fueled by the expansion of store services, including preventive care options and additional front-end offerings. As the number of insured individuals swells, many consumers will continue to fill their prescriptions because of the low out-of-pocket costs. As conditions for the industry improve, so will profit, rising along with revenue. Revenue is expected to climb at a CAGR of 2.6% to $692.0 billion through the end of 2030.

In 2024, the top pharmacy benefit managers included Cigna, CVS Health, and OptumRx, to name the most important. Cigna had the largest share of the pharmacy benefit manager market in that year, holding ** percent of the market. Pharmacy benefit managers are an influential part of the prescription drug supply chain in the United States. Pharmacy benefit managers Pharmacy benefit managers are responsible for the operation and distribution of pharmaceuticals to patients and pharmacies. They are also responsible for the negotiation of rebates and processing of insurance claims from patients and pharmacies. Among pharmaceutical distributors in the U.S., chain stores distributed the largest value of pharmaceuticals recently. However, data suggests that pharmacy benefit managers have the highest gross profit among all actors in the U.S. drugs supply chain. Generic drugs Lately, the growth of the generic prescriptions volume in the U.S. market has remained fairly stable, with growth in all years. With stable growth in generics, the number of brand name medicines that were excluded from pharmacy benefit manager formularies recently had been on the rise. Generic drugs are useful to the consumer in that, in many cases, they provide a cheaper alternative to brand name drugs.

Market Size statistics on the Pharmacies & Drug Stores industry in the US

The U.S. Pharmacy Market size was valued at USD 534.21 USD Billion in 2023 and is projected to reach USD 2052.25 USD Billion by 2032, exhibiting a CAGR of 21.2 % during the forecast period. Pharmacies are an essential part of the healthcare system in America, which provides prescription drugs and some other health services. They can be categorized into different categories such as community pharmacy, hospital pharmacy, clinical pharmacy and specialist pharmacy. The first type of retail pharmacy is community in nature and allows people to get their prescriptions, other drugs and medications that can be bought over the counter, and even health advice where necessary. In its broadest sense, hospital pharmacy is a busy professional practice that directly assists in-patient care by dispensing as well as monitoring patient-specific medication regimens. Clinical pharmacies are embedded as members of healthcare teams, enhancing medication use for improved patient and therapeutic outcomes; speciality pharmacies address specific and often unusual diseases and distribute unique and targeted products and services. Some of the major elements that characterize pharmacist practices in the United States include dispensing medications, counselling patients, provision of vaccination services and health check services. Largescale pharmacies also offer MTM services for the better management of chronic diseases among patients. The benefits of U. S. pharmacies are extensive: it helps in the safe use of medicines, enhance clients’ health, deliver universal and appropriate care as well as foster community health. Key drivers for this market are: Increasing Number of Surgical Procedures to Boost Market Growth. Potential restraints include: Product Recalls and Lawsuits to Hinder Market Growth. Notable trends are: Increasing Number of Hospitals and ASCs Identified as Significant Market Trend.

The USA compounding pharmacies market is estimated to reach USD 5,156.2 million in 2024. It is estimated that revenue will increase at a CAGR of 7.8% between 2024 and 2034. The industry is anticipated to reach USD 10,659.3 million by 2034.

Attributes	Key Insights
Historical Size, 2023	USD 4,897.4 million
Estimated Size, 2024	USD 5,156.2 million
Projected Size, 2034	USD 10,659.3 million
Value-based CAGR (2024 to 2034)	7.8%

Semi Annual Market Update

Particular	Value CAGR
H1	8.5% (2023 to 2033)
H2	8.2% (2023 to 2033)
H1	7.8% (2024 to 2034)
H2	7.3% (2024 to 2034)

Category-wise Insights

Product	Oral Medication
Value Share (2024)	58.4%

Therapeutic Type	USA Hormonal Replacement Therapy
Value Share (2024)	42.2%

Introduction

Global Pharmacy Market size is expected to be worth around US$ 1,750 Billion by 2032 from US$ 1,161 Billion in 2023, growing at a CAGR of 4.8% during the forecast period from 2024 to 2032. With a market share over 52.2%, North America held a strong lead in 2023, reaching US$ 577.2 Billion in revenue.

Pharmacies are central to providing medications and select over-the-counter medical devices. The pharmacy sector is evolving rapidly due to increasing healthcare demands, the prevalence of chronic diseases, and advancements in pharmaceutical research and technology. Market growth is further supported by rising demand for personalized medicine, the expansion of generic drug availability, and the proliferation of online pharmacies.

Despite these advancements, challenges such as stringent regulatory requirements, high research and development costs for drug innovation, and pricing pressures remain significant. However, opportunities abound in areas such as digital health solutions, telehealth adoption, preventive care demand, and market expansion in developing regions.

According to the U.S. Department of Health, approximately 133 million Americans are living with at least one chronic disease. To address these needs, pharmacies both independent and chain stores provide a diverse range of prescription medications, over-the-counter drugs, medical devices, and wellness products. Many pharmacies now serve as comprehensive "one-stop shops," offering pharmacy products alongside essentials like skincare, baby care, and household items.

Recent trends highlight a growing focus on personalization, sustainability, and the expansion of online pharmacies. Pharmacies are increasingly adopting automation and digitalization to boost operational efficiency, improve patient safety, and deliver personalized services. The COVID-19 pandemic accelerated this transformation, as pharmacies expanded their roles to include testing and vaccination services. For instance, in July 2024, Babson Diagnostics introduced blood testing services through retail pharmacies like Peoples Rx and Lake Hills Pharmacy in Texas.

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Pharmacists are also enhancing their offerings with services such as glucose testing, cholesterol screening, and immunizations at community pharmacies. Loyalty programs are gaining traction in improving customer engagement, with 33% of U.S. consumers enrolling in new programs in 2022. Globally, 57% of consumers redeemed loyalty points in 2022 to save money, while 60% valued personalized offers. These trends underscore the importance of tailored interactions to foster customer loyalty and drive savings.

This statistic displays the top specialty drug pharmacies in the United States based on market share in 2024. During this year, Optum Specialty Pharmacy's revenue accounted for ** percent of all Rx specialty pharmacy revenues in the United States.

The US pharmacy market is projected to grow at a CAGR of approximately 5-6% from 2024 to 2029, driven by increasing prescription drug usage, an aging population, and technological advancements. Despite robust growth, the market faces challenges such as regulatory complexities and rising operational costs, which require continuous innovation and adaptation. To learn more about […]

The United States Pharmacy Management System Market report segments the industry into By Component (Solutions, Services), By Deployment (Cloud-based, On-premise), and By Type (Retail Pharmacy, Hospital Pharmacy, Other Types (Assisted Living and Specialty Pharmacies)). The report covers historical trends and provides five-year forecasts for the market.

This statistic shows the largest U.S. mail/specialty pharmacies ranked by revenue-based prescription drugs market share in calendar years 2014 and 2024. CVS Health Corporation's Pharmacy Services was the second-largest U.S. pharmacy of that type based on market share, holding a 10.6 percent share of total Rx drugs pharmacy revenues in 2024. That was an increase of some 2.1 percent compared to 2014.

The U.S. online pharmacy market size was valued at USD 52 billion and is expected to reach USD 146 billion in 2026. The prescription-based epharmacy market will likely observe an incremental growth of over USD 85 billion by 2026.

The size of the U.S. Compounding Pharmacies Market was valued at USD 5.39 billion in 2023 and is projected to reach USD 7.53 billion by 2032, with an expected CAGR of 4.89 % during the forecast period. The U.S. compounding pharmacies market is on a growth curve, led by growing patient demand for tailored medicines, increasing awareness of customized treatments, and new technologies in pharmaceuticals. Compounding pharmacies primarily offer custom-made medications, for example, to make drugs safe for allergic patients or adjust the dosage to suit an individual patient's requirements. This market is particularly beneficial for patients with chronic diseases, pediatric or geriatric patients, and those requiring hormone replacement therapy or pain management solutions. The demand for compounded medications is also rising due to the limitations of commercially available drugs, especially in cases where specific formulations or dosages are unavailable. Additionally, an emerging focus on personalized medicine along with regulatory changes that ensure a better access to compounded drugs are also propelling this market. The compounding pharmacies market in the United States is likely to grow over the next few years, propelled by increasing healthcare personalization trends. Recent developments include: In April 2024, Myonex acquired Saveway Compounding Pharmacy to enhance its portfolio and strengthen its position in the customized medication market. This acquisition aims to expand Myonex's service capabilities and market reach. , In May 2023, Fresenius Kabi launched Diazepam Injection, USP in 10 mg per 2 mL Simplist prefilled syringes, available in the U.S. This new addition to the Simplist portfolio aims to streamline medication delivery and reduce the risk of errors with its ready-to-administer design. , In February 2022, Fagron, a provider of pharmaceutical compounding, acquired Letco Medical, based in Wayne, PA, which supplies pharmaceutical raw materials and equipment for USD 34 million. This acquisition enhances Fagron's position in the U.S. Brands & Essentials market. .

The landscape of drugstore chains in the United States continues to evolve, with CVS Health leading the pack in terms of store count. As of 2023, CVS Health operated ***** stores across the country, outpacing its closest competitor, Walgreens Boots Alliance, which had ***** locations. This dominance in physical presence aligns with CVS Health's strong financial performance, as the company's retail sales reached approximately ***** billion U.S. dollars in 2023, up from *** billion U.S. dollars the previous year. Market share and consumers CVS Health's extensive network of stores contributes to its significant market share in the retail prescription sector. The company held over ** percent of the prescription drugs market in the U.S. as of 2024. This popularity is also reflected in the preferences of consumers: in 2023, CVS was the leading online pharmacy based on brand awareness. Industry trends and competition While CVS Health leads in store count, the competition remains fierce in the drugstore industry. Walgreens Boots Alliance, despite having fewer stores, recorded the highest number of average visits in September 2024, with over ****** compared to CVS's ******. The overall pharmacy and drug store retail sales in the United States reached an estimated **** billion U.S. dollars in May 2024, highlighting the sector's significant economic impact. As these major chains continue to expand and adapt, the drugstore landscape is likely to remain dynamic in the coming years.

Institutional pharmacies have consolidated and generated solid revenue growth over the past five years. The aging population and rising obesity rates are leading to higher incidences of age-related health conditions that are filling hospitals and depleting healthcare providers' pharmaceutical supplies faster. Increased federal support has offset declining private insurance coverage brought by inflation and a shaky job market. Increased funding for Medicare and Medicaid has strengthened the financial health of institutional pharmacies' main clients as patients seek both essential and elective treatments. Major companies' dominance has allowed them to acquire competitors and boost profit. Revenue has been swelling at a CAGR of 1.2% to an estimated $24.8 billion over the five years through 2024, including an expected 0.9% uptick in 2024 alone. The contrast between brand-name and generic drugs significantly impacts institutional pharmacies. Brand-name medications are extremely expensive but especially lucrative for institutional pharmacies as healthcare providers have no choice but to purchase brand-name drugs to treat patients who may not respond well to generic alternatives. Brand-name pharmaceuticals' patents expire after some years, leading to the approval and release of more affordable generic substitutes. Still, the approval of new brand-name medications is expected to counterbalance revenue dips from patent expirations. Institutional pharmacies contend with little supplier power, so they can pass rising input costs downstream and protect profit. Demographics will continue to support institutional pharmacies' clients through the next five years. Adults aged 50 and older will form a larger part of the population, boosting demand for healthcare services and long-term care facilities. Institutional pharmacies will remain essential to keeping providers equipped to treat their patients' needs. Strong federal support with increased Medicare and Medicaid funding will create opportunities for new market entrants, though concentration is expected to continue rising. Major institutional pharmacies will leverage economies of scale to adapt to regulatory challenges, ensuring a resilient future with expanded offerings and specialized services. Revenue is set to climb at a CAGR of 2.2% to $27.7 billion through the end of 2029.

North America E-Pharmacy Market valued at USD 71.23 Bn in 2025, is anticipated to reaching USD 230.97 Bn by 2032, with a steady annual growth rate of 18.3%.

The Retail Pharmacy Market report segments the industry into By Product (Prescription Drugs, Over-the-Counter (OTC) Products, Health and Wellness Products, Medical Devices and Equipment, Personal Care Products, and more), By Distribution Channel (Chain Pharmacy, Independent Pharmacy, and more), and Geography (North America, Europe, Asia-Pacific, and more).

The United States was the largest national pharmaceutical market in 2024, making up around 53 percent of the total pharmaceutical prescription drug market worldwide. China is the second-largest market, with a market share of nearly eight percent (however, including only the hospital market). International differences in drug prices The worldwide pharmaceutical market was valued at approximately 1.7 trillion U.S. dollars in 2024, including both, prescription and nonprescription drugs. Sales of Rx pharmaceuticals in the United States generated around 800 billion U.S. dollars in 2024. One reason for the disparity between countries is the price of prescription medications: in the United States, the prices of branded drugs increased, for example, significantly between 2011 and 2019. Many pharmaceutical manufacturers argue that prices need to be raised to not only recoup research costs, but also to maintain profit margins because of the larger rebates negotiated by pharmacy benefits managers. Prescription drug prices are a bitter pill to swallow With an average spend of 1,564 U.S. dollars per person, the United States had the highest pharmaceutical spending per capita worldwide in 2023. Brand name medications are particularly expensive in the country: the average price of Humira in the United States is far higher than in other markets. Branded drugs enjoy the protection of patents, and the lack of competition means both manufacturers and pharmacies can charge what the market will bear.

The U.S. Pharmacy Benefit Management Market size was valued at USD 498.5 USD Million in 2023 and is projected to reach USD 744.62 USD Million by 2032, exhibiting a CAGR of 5.9 % during the forecast period. Pharmacy Benefit Management (PBM), in other words, is the role of institutions responsible for the management of prescription drug programs for health insurance companies, employers, as well as government programs. PBMs do the following functions: negotiate drug costs with drug makers, process reimbursement claims, and control drug usage. The PBMs could be entities operating as stand-alone, PBMs implemented inside of health plans, or pharmacy chains that have PBM services. Main PBM components such as formulary management, proper usage of medication, and prescription networks are the most common. Along the same lines, PBMs are equipped with support services such as mail-order pharmacy and specialty pharmacy management. In the US, pharmacy benefit managers (PBMs) assume control over the costs of medications and patients, drug access is a necessity. Market trends currently existing in PBM US are characterized by a high level of consolidation of PBMs, the introduction of a value-based approach, and technology application for data analysis and medication adherence programs. Recent developments include: November 2021 - Anthem, Inc. entered into an agreement to acquire Integra Managed Care to increase its network., April 2021 - CVS Caremark allowed CVS Health to regain its specialty pharmacy business by entering into a larger pharmacy benefit management contract with a Government-wide Service Benefit Plan., September 2020 - Medimpact introduced a new solution to integrate prescription discount card saving with a traditional plan.. Key drivers for this market are: Introduction of Cost-effective Manufacturing Processes to Drive Market Growth. Potential restraints include: High Costs for Patients & Healthcare System by Pharmacy Benefit Managers to Hinder Market Growth. Notable trends are: Increasing Number of Hospitals and ASCs Identified as Significant Market Trend.

The U.S. Pharmacy Benefit Management Market size was valued at USD 518.6 billion in 2023 and is projected to reach USD 934.11 billion by 2032, exhibiting a CAGR of 8.77 % during the forecasts period. The U. S. Pharmacy Benefit Management (PBM) Market refers to the industry that encompasses companies that undertake to provide and manage prescription drugs for insurance firms, employers, and other purchasers. PBMs discuss drug deals with manufacturers to get good deals on medicine prices and prescribers in networks of chemist shops. They are essential by ensuring consumers use the generic drugs, monitoring formularies, and delivering mail-order pharmacy services to manage healthcare costs. PBMs provide clinical services to enhance compliance as well as patient outcomes. Some of the modern developments are the use of data analytics for the prescription of drugs to patients, endeavors towards the growth of specialized pharmacy services, the shift of quantity focus on the issues of pricing and rebates, and the use of telehealth in dispensing medication.