IMS Health projects global pharmaceutical market to grow nearly $300 billion by 2014
NORWALK, Conn. The size of the global pharmaceutical market will hit the $1 trillion mark by 2014, according to a new report by market research firm IMS Health.
IMS said the market was expected to grow nearly $300 billion over the next five years and reach $1.1 trillion in 2014 as a result leading products’ loss of patent protection in developed countries and strong overall growth in emerging markets in the report, IMS Market Prognosis. Global pharmaceutical sales growth is expected to be between 4% and 6% this year.
“Patient demand for pharmaceuticals will remain robust, despite the ongoing effects of the economic downturn being felt in many parts of the world,” IMS SVP healthcare insight Murray Aitken said. “In developed markets with publicly funded healthcare plans, pressure by payers to curb drug spending growth will only intensify, but that will be more than offset by the ongoing, rapid expansion of demand in the [emerging] markets.”
Report: Kroger seeks to expand The Little Clinic business
CINCINNATI Kroger views its in-store health clinic business, The Little Clinic, as an important part of its commitment to health and wellness, and is in the midst of developing an expansion plan, according to a local report.
"It is part of our long-term plan," Kroger spokeswoman Meghan Glynn was quoted as saying in a Cincinnati Enquirer article. "Customers more and more are focused on health, fitness and wellness, especially with rising healthcare costs."
There are currently 80 Little Clinics inside select Kroger stores nationwide. The relationship between Kroger and the clinic operator began in 2003 when Kroger opened its first Little Clinic in a Kroger store in Louisville, Ky. In February, Kroger acquired The Little Clinic for, according to the news report, a price tag of $86 million.
Kroger had declined to comment on how it might change the business model or growth Little Clinic brand going forward.
As previously reported by Drug Store News, Michael Stoll, former VP corporate benefits for Kroger, was recently named CEO of The Little Clinic.
Analyst upgrades AmerisourceBergen, deems company top drug distributor
NEW YORK Boasting more than 3,600 Good Neighbor Pharmacy banners under its independent network has helped push AmerisourceBergen ahead of its wholesaler competitors, prompting a Goldman Sachs analyst to name ABC his top pick among pharmaceutical distribution companies on Friday, according to an Associated Press report.
Because of that large network of independents, Goldman Sachs’ Robert Jones believes ABC stands to benefit the most from the number of generic drugs that will enter the marketplace over the next few years. Jones suggested ABC would get a “larger boost than its competitors” because the wholesaler has greater exposure across its independent affiliates as compared with its pharmacy chain customers.
Jones kept a “Buy” rating on AmerisourceBergen, with a price target of $35 per share, while downgrading Cardinal Health to “Neutral” from “Buy” and maintaining a “Neutral” rating on McKesson Corp, the AP reported.