Retail Health Clinics & Urgent Care Centers Poised For Strong Growth – Market Worth $10 billion

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Primary Care MD Shortage & Swamped Emergency Rooms Moves Consumers To Retail Sites, Says Marketdata

"Basic healthcare is moving to a retailer near you--and the hours and prices are attractive."

Marketdata Enterprises, Inc., a leading independent market research publisher of studies about service industries since 1979, has released a new 132-page report entitled: The Market For Retail Health Clinics & Urgent Care Centers . This is a new market study about a high growth niche sector. The study examines the operations of retail health clinics that provide anytime drop-in service with night, weekend, and holiday hours.

The study explores: the nature of the business, industry size and growth, demand factors, patient demographics, effects of the recession and the Affordable Care Act, operating ratios, major competitors, and more.

“ The primary care MD shortage is getting worse and consumers with less insurance are increasingly using retail health clinics for kids’ physicals, flu shots, ear infections, sore throats, and minor ailments. Soon, they’ll be using these clinics for diabetes monitoring, weight loss programs, and more.”, according to Research Director, John LaRosa.

Major Findings:

  • Marketdata estimates that retail clinics, now numbering about 1,400, will nearly double to 2,700 sites by 2016. Average revenues per clinic are $512,000. Urgent care centers account for $9.23 bill. and retail centers for $786 million – for a total of $10.08 billion.
  • Marketdata estimates that 9,000 urgent care clinics’ revenues will hit $9.23 billion this year, and rise to $14.16 billion by 2016.
  • The number of yearly patient visits to retail clinics exploded, from 1.48 million in 2007 to 5.97 million In 2009, and an estimated 10.5 million by year-end 2012.
  • The investment needed to open a retail clinic in a drugstore chain, supermarket or big box retailer is about $250,000, and to open a stand-alone urgent care center with on-site X-ray machines and other equipment is $750,000 to $1 million.
  • New retail clinics less than two years old may have 10-15 patients/day, at an average fee of $60-75, while “established” clinics will see 25-30 patients/day. Visits spike during the Fall flu season.
  • CVS (MinuteClinic) is the leader with 570 retail clinics, followed by Walgreens (TakeCare Clinics) with 360 sites. Walmart is still testing the waters and talking with potential partners, but could add hundreds of sites in its stores in several years.
  • 50% of urgent care centers are owned by physician groups and another 28% by hospitals, which are setting up their own centers separate from emergency rooms.
  • More consumers are using retail clinics and urgent care centers as their first point of entry to the healthcare system, and 32 million more will enter in 2014 when the Affordable Care Act begins. Primary care MDs and emergency rooms won’t be able to handle the increased volume.
  • Private equity firms are keen to invest in this niche healthcare sector, and several companies such as Doctor’s Express are already franchising.
  • Adding weight loss programs to their repertoire could push retail clinics from break-even to profitability. It’s a natural fit, since dieters want drop-in anytime convenience, low price, and personal attention. Partnerships are certain to multiply over the next few years.

“Retail health clinics will provide a boon for Nurse Practitioners and Physician’s Assistants, who are well qualified to treat minor ailments. Plus, it’s a great way to learn the business aspects of medicine. Healthcare is becoming more decentralized, being delivered where consumers shop and work – not just in the doctor’s office and not just 9-5, M-F, and at less cost.”, according to John LaRosa.

ABOUT THE STUDY

The Market For Retail Health Clinics & Urgent Care Centers , published in September 2012, is an independently researched “off-the-shelf” study. The study is 132 pages in length, has 25 tables, and costs $1,495. It is also sold by individual chapters at lower cost. John LaRosa is available for interviews (813-907-9090). A free table of contents is available by mail, Fax, email or the Web. Contact: Marketdata Enterprises, Inc., 8903 Regents Park Drive, Suite 120, Tampa, FL 33647. A 26 pp. Executive Overview summary is available to students, investors, and the general public for $79.

ABOUT MARKETDATA

Marketdata Enterprises, Inc., is a 33-year old independent market research and consulting firm that publishes market and industry studies focused ONLY on service and healthcare sectors.

Contact Information

John LaRosa,
Marketdata Enterprises, Inc., Tampa, FL
Phone: 813-907-9090
Fax: 813-907-3606

http://www.marketdataenterprises.com

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John LaRosa
Marketdata Enterprises Inc.
813-907-9090
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