Trillions of dollars are spent in the healthcare market every year. Therefore, when you start planning to enter into the healthcare space explore a few statistics of healthcare facilities to provide you an idea of the enormous Marketing Opportunities, Nationwide USA alone.

  • Physicians (AMA/2008): 954,224 – (AMA/2019) 1.4 Million
  • Veteran Administration (VA) Medical Centers: 172 (2019)
  • VA Community-Based Outpatient Clinics: (VA 2019) – 1,069
  • Veteran Admin: Vet Centers: 300

23 VISN’s (Veterans Integrated Service Networks) – VA divides facilities into Divisions. Furthermore, there is a contracting officer in each facility and, in addition, there is a contracting officer within each VISN for blanket purchasing contracts for marketing to the government and other group purchasing organizations. In summary, the VA facilities and their VISN’s all provide great marketing opportunities in the US.

Quick Stats Overview of various channels of Marketing Opportunities

  • All U.S. Registered Hospitals (AHA 2019) 6,210
  • U.S. Community  Hospitals   (AHA 2019)  5,262
  • Nongovernment Not-for-Profit Community Hospitals   2,968
  • Investor-Owned (For-Profit) Community Hospitals   1,025
  • State and Local Government Community Hospitals  1,045
  • Federal Government Hospitals  221 – down  (2019) 208
  • Nonfederal Psychiatric Hospitals  451
  • Nonfederal Long Term Care Hospitals   129
  • Total Staffed Beds in All U.S. Registered Hospitals  951,045
  • Staffed Beds in Community Hospitals  809,069
  • Rural Community Hospitals  2,001
  • Urban Community Hospitals   2,926
  • Community Hospitals in a System  2,755 (Multihospital or diversified single hospital system)
  • Hospital Groups: Community Hospitals in a Network  1,508
  • Pharmacies: Community Pharmacies (NACDS)  57,000
  • Certified Nursing Homes (AHCA) 15,777
  • Number of NH beds 1.7 million – Residents 1.5 million (CDC 2005)

Expenses for All U.S. Hospitals (AHA 2019) $1,060,933,249,000

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Marketing Opportunities with Group Purchasing Organizations

GPO’s Provide Purchasing Power to their members as a group and, as a result, there are amazing marketing opportunities through GPO’s.

Contracting with the right GPO (Group Purchasing Organization) can provide a product major exposure to the members of the GPO through taking advantage of vendor opportunities offered by the GPO. It is important to recognize, many opportunities are free of charge. Additionally, many GPO’s offer additional and/or fee-based marketing opportunities.

A few stats on 7 GPO’s – The first list represents only 4 of nearly 1,000 GPO’s and, once you review these stats, obviously, working with any one of these GPO’s will provide you an abundance of marketing opportunities.

  1. Currently serves more than 27,000 member facilities including hospitals, surgery centers, managed care organizations, closed pharmacies and integrated delivery networks. Acute care hospitals 2,277, Clinics 10,590, Long-term care facilities 3,137, coupled with, Physicians (hospital-based 2,930 – Ambulatory surgery centers 1,843 – Emergency services 46 – Other 6,771. In summary, a total 27,594 (140 IDN members are included)
  2. Counts among its clients more than 915 acute care hospitals, more than 2,600 sub-acute care facilities and, likewise, more than 18,000 physician practices
  3. Is a leading healthcare resource management and group purchasing organization, whose shareholders are faith-based or non-profit health systems. The membership encompasses over 500 acute care facilities and more than 1700 non-acute care sites with annual purchases of more than $705 million in 2006 )
  4. Based in Nashville, TN. The company’s main focus is to provide superior and cost efficient services to both their patients and their members. This GPO supplies 1300 member facilities, including acute care centers, surgery centers, psych facilities, LTAC’s and other Alt Care sites. 800 Acute Care facilities, 330 Surgery Centers, 107 Psychiatric facilities, and 91 Alternate Care sites. This GPO maintains a purchasing volume of $13.0 Billion and, as a result, provides enormous marketing opportunities.

A few additional GPO Stats

  1. The largest independent group purchasing organization in the country, serving more than 125 health systems, 3,300 hospitals, and 30,000 non-acute care healthcare providers. Therefore, this is a great marketing opportunity to be contracted with this GPO.
  2. Acts as the supply company for members, associates, and affiliates of both alliances, to help them manage and reduce supply costs. 2,500 members and affiliates and over 12,000 customers. This team’s alliance contracts to purchase $33.1 billion in supplies and services in 2007. Certainly, contracting with this GPO presents multiple marketing opportunities.
  3. A leading healthcare alliance which is collectively owned by more than 200 independent hospitals and healthcare systems in the U.S. This GPO’s owners include some of the nation’s largest and best-known not-for-profit hospital and healthcare systems. Together, they operate or are affiliated with nearly 2,000 hospitals 49,000+ other healthcare sites $31 billion in volume with 100+ regional field force and consultants. Indeed, contracting with any one of these GPO’s presents incredible marketing opportunities.

The United States General Accounting Office (GAO)

  • A few GPO’s dominate the market
  • Top 7 GPO’s account for more than 85 percent of hospital purchases through GPO contracts
  • Comparatively, 2 largest GPO’s account for 70 percent of the top 7 GPOs’ total medical-surgical purchasing volume
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