U.S. Compounding Pharmacies Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2025

Description

U.S. Compounding Pharmacies Market was valued at USD 6 billion in 2024 and is estimated to grow at a CAGR of 6.2% to reach USD 10.8 billion by 2034. This growth is driven by the increasing demand for personalized medications, particularly among pediatric and geriatric populations who may require allergen-free or tailored formulations. Additionally, the rising prevalence of chronic diseases such as diabetes, cancer, and endocrine disorders is contributing to the need for customized treatment options. Compounding pharmacies play a crucial role in addressing drug shortages by providing alternative formulations of medications that are in limited supply. Their ability to create products that are not commercially available or customizable is shifting them from the background to the forefront of healthcare services. The growing recognition of these pharmacies is further supported by the increasing prevalence of chronic diseases, expanding the market as they demand long-term adherence to treatment protocols with precise dosages, making compounded medications a suitable solution.

U.S. Compounding Pharmacies Market - IMG1

The non-sterile segment led the market in 2024 and is anticipated to grow at a CAGR of 6.1% between 2025 and 2034. Non-sterile dosage forms include medicines taken orally, such as pills and liquids, or topical applications like creams and ointments. The rising demand for such dosage forms will boost the compounding pharmacies market and propel segmental growth. Additionally, non-sterile formulations are subject to less strict regulatory requirements, making them more accessible for 503A pharmacies operating under state pharmacy boards. As the incidence of chronic conditions, geriatric care needs, and lifestyle-related conditions continues to rise, the non-sterile segment is well-positioned to sustain its leading role in the U.S. compounding pharmacy landscape.

Market Scope
Start Year	2024
Forecast Year	2025-2034
Start Value	$6 Billion
Forecast Value	$10.8 Billion
CAGR	6.2%

The oral segment dominated the market in 2024 with a market share of 33.1%. Increasing demand for oral compounded medications can be attributed to several benefits associated with the oral dosage form, such as self-administration, convenience, and pain-free. The availability of several medications in oral form, such as solid preparations that include capsules, tablets, powders, and liquid preparations like syrups and suspensions, compared to other dosage forms, fuels the segmental growth. Moreover, a higher preference for oral compounded medications in children and the geriatric population further drives the oral segment market growth.

Major players operating in the U.S. Compounding Pharmacies Industry include Triangle Compounding Pharmacies, Pavilion Compounding Pharmacy, Nephron Pharmaceuticals, McGuff Outsourcing Solutions, Institutional Pharmacy Solutions, Fagron, Dougherty's Pharmacy, Baxter International, Village Compounding Pharmacy, Wedgewood Pharmacy, Pencol Compounding Pharmacy, QuVa Pharma, Rx3 Compounding Pharmacy, B. Braun, and Harrow. These companies are adopting various strategies to strengthen their market position. They are investing in research and development to innovate and customize formulations effectively. Additionally, they are expanding their product portfolios to include a broader range of compounded medications. Strategic partnerships and collaborations are also being pursued to enhance distribution networks and improve market reach. Furthermore, these companies are focusing on compliance with regulatory standards to ensure the safety and efficacy of their compounded products. By implementing these strategies, they aim to meet the growing demand for personalized medications and address the challenges posed by drug shortages.

Product Code: 2961

Chapter 1 Methodology and Scope

1.1 Market scope and definition
1.2 Research design
- 1.2.1 Research approach
- 1.2.2 Data collection methods
1.3 Data mining sources
- 1.3.1 Global
- 1.3.2 Regional/Country
1.4 Base estimates and calculations
- 1.4.1 Base year calculation
- 1.4.2 Key trends for market estimation
1.5 Primary research and validation
- 1.5.1 Primary sources
1.6 Forecast model
1.7 Research assumptions and limitations

Chapter 2 Executive Summary

2.1 Industry 360° synopsis
2.2 Key market trends
- 2.2.1 Zonal
- 2.2.2 Pharmacy type
- 2.2.3 Sterility
- 2.2.4 Product
- 2.2.5 Compounding type
- 2.2.6 Therapeutic area
- 2.2.7 Application
2.3 CXO perspectives: strategic imperatives
- 2.3.1 Key decision points for industry executives
- 2.3.2 Critical success factors for market players
2.4 Future outlook and strategic recommendations

Chapter 3 Industry Insights

3.1 Industry ecosystem analysis
- 3.1.1 Supplier landscape
- 3.1.2 Value addition at each stage
- 3.1.3 Factor affecting the value chain
3.2 Industry impact forces
- 3.2.1 Growth drivers
  - 3.2.1.1 Increasing geriatric population and improved longevity
  - 3.2.1.2 Growing acceptance of personalized medicines in the U.S.
  - 3.2.1.3 Increasing drug shortage
  - 3.2.1.4 Convenience of using compounded drugs
  - 3.2.1.5 Growing demand for compounded bioidentical menopausal hormone therapy (BMHT) among women
- 3.2.2 Industry pitfalls and challenges
  - 3.2.2.1 Issues related to safety standards of compounded drugs
  - 3.2.2.2 Changing regulatory scenario
- 3.2.3 Market opportunities
  - 3.2.3.1 Expanding veterinary compounding
  - 3.2.3.2 Advancements in delivery technologies
3.3 Growth potential analysis
3.4 Regulatory landscape
3.5 Reimbursement landscape
3.6 Innovative compounding technologies
- 3.6.1 Web-based quality management system
- 3.6.2 Digital tools
3.7 Future market trends
3.8 Consumer behaviour analysis
3.9 Porter's analysis
3.10 PESTEL analysis

Chapter 4 Competitive Landscape, 2024

4.1 Introduction
4.2 Company matrix analysis
4.3 Competitive analysis of major market players
4.4 Competitive positioning matrix
4.5 Strategy dashboard
4.6 Key developments
- 4.6.1 Mergers and acquisitions
- 4.6.2 Partnerships and collaborations
- 4.6.3 New product launches
- 4.6.4 Expansion plans

Chapter 5 Market Estimates and Forecast, By Pharmacy Type, 2021 – 2034 ($ Mn)

5.1 Key trends
5.2 503A
5.3 503B

Chapter 6 Market Estimates and Forecast, By Sterility, 2021 – 2034 ($ Mn)

6.1 Key trends
6.2 Sterile
6.3 Non-sterile

Chapter 7 Market Estimates and Forecast, By Product, 2021 – 2034 ($ Mn)

7.1 Key trends
7.2 Oral
- 7.2.1 Solid preparations
  - 7.2.1.1 Tablets
  - 7.2.1.2 Capsules
  - 7.2.1.3 Granules
  - 7.2.1.4 Powder
  - 7.2.1.5 Other solid preparations
- 7.2.2 Liquid preparations
  - 7.2.2.1 Solutions
  - 7.2.2.2 Suspension
  - 7.2.2.3 Emulsion
  - 7.2.2.4 Syrup
  - 7.2.2.5 Other liquid preparations
7.3 Topical
- 7.3.1 Ointments
- 7.3.2 Creams
- 7.3.3 Gels
- 7.3.4 Pastes
- 7.3.5 Other topical products
7.4 Rectal
- 7.4.1 Suppositories
- 7.4.2 Enema
- 7.4.3 Other rectal products
7.5 Parenteral
- 7.5.1 Large volume parenterals (LVPs)
- 7.5.2 Small volume parenterals (LVPs)
7.6 Nasal
7.7 Ophthalmic
7.8 Otic

Chapter 8 Market Estimates and Forecast, By Compounding Type, 2021 – 2034 ($ Mn)

8.1 Key trends
8.2 Pharmaceutical ingredient alteration (PIA)
8.3 Currently unavailable pharmaceutical manufacturing (CUPM)
8.4 Pharmaceutical dosage alteration (PDA)
8.5 Other compounding types

Chapter 9 Market Estimates and Forecast, By Application, 2021 – 2034 ($ Mn)

9.1 Key trends
9.2 Adult
9.3 Geriatric
9.4 Veterinary
9.5 Pediatric

Chapter 10 Market Estimates and Forecast, By Therapeutic Area, 2021 – 2034 ($ Mn)

10.1 Key trends
10.2 Pain management
10.3 Hormone replacement
10.4 Dermatology
10.5 Specialty drugs
10.6 Nutritional supplements
10.7 Other therapeutic areas

Chapter 11 Market Estimates and Forecast, By Zone, 2021 – 2034 ($ Mn)

11.1 Key trends
11.2 Northeast
- 11.2.1 Connecticut
- 11.2.2 Maine
- 11.2.3 Massachusetts
- 11.2.4 New Hampshire
- 11.2.5 Rhode Island
- 11.2.6 Vermont
- 11.2.7 New Jersey
- 11.2.8 New York
- 11.2.9 Pennsylvania
11.3 East North Central
- 11.3.1 Wisconsin
- 11.3.2 Michigan
- 11.3.3 Illinois
- 11.3.4 Indiana
- 11.3.5 Ohio
11.4 West North Central
- 11.4.1 North Dakota
- 11.4.2 South Dakota
- 11.4.3 Nebraska
- 11.4.4 Kansas
- 11.4.5 Minnesota
- 11.4.6 Iowa
- 11.4.7 Missouri
11.5 South Atlantic
- 11.5.1 Delaware
- 11.5.2 Maryland
- 11.5.3 District of Columbia
- 11.5.4 Virginia
- 11.5.5 West Virginia
- 11.5.6 North Carolina
- 11.5.7 South Carolina
- 11.5.8 Georgia
- 11.5.9 Florida
11.6 East South Central
- 11.6.1 Kentucky
- 11.6.2 Tennessee
- 11.6.3 Mississippi
- 11.6.4 Alabama
11.7 West South Central
- 11.7.1 Oklahoma
- 11.7.2 Texas
- 11.7.3 Arkansas
- 11.7.4 Louisiana
11.8 Mountain States
- 11.8.1 Idaho
- 11.8.2 Montana
- 11.8.3 Wyoming
- 11.8.4 Nevada
- 11.8.5 Utah
- 11.8.6 Colorado
- 11.8.7 Arizona
- 11.8.8 New Mexico
11.9 Pacific Central
- 11.9.1 California
- 11.9.2 Alaska
- 11.9.3 Hawaii
- 11.9.4 Oregon
- 11.9.5 Washington

Chapter 12 Company Profiles

12.1 Baxter International
12.2 B. Braun
12.3 Dougherty's Pharmacy
12.4 Fagron
12.5 Fresenius Kabi
12.6 Harrow
12.7 Institutional Pharmacy Solutions
12.8 ITC Compounding Pharmacy
12.9 McGuff Outsourcing Solutions
12.10 Nephron Pharmaceuticals
12.11 Pavilion Compounding Pharmacy
12.12 Pencol Compounding Pharmacy
12.13 QuVa Pharma
12.14 Rx3 Compounding Pharmacy
12.15 Triangle Compounding Pharmacies
12.16 Village Compounding Pharmacy
12.17 Wedgewood Pharmacy

U.S. Compounding Pharmacies Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2025 - 2034