Pharmacies and Drug Retailers
Description
Pharmacies and drug retailers primarily function as essential retail hubs for the dispensing of prescription medications, over-the-counter remedies, and other pharmaceutical products to individual consumers and healthcare providers. These establishments operate as the primary interface between medical professionals and patients, ensuring that prescribed treatments are delivered safely and effectively to the public. Beyond simple medication sales, these businesses engage in a wide array of supporting activities such as providing immunizations, administering vaccinations, conducting health screenings, and offering advice on drug interactions and proper usage. They also frequently sell related health and wellness items including vitamins, supplements, first aid supplies, and personal care products. The sector encompasses diverse types of operators ranging from large regional pharmacy chains that serve hundreds of thousands of customers to independent family-owned clinics, hospital outpatient departments, and mail-order services. In terms of scale and scope, the industry is a critical component of the health and personal care retail landscape, utilizing sophisticated inventory management systems and electronic health record integration to track prescriptions and manage patient data. Their operational reach extends from standalone storefronts in urban centers to rural clinics and mobile units, collectively playing a vital role in maintaining public health and facilitating access to essential medical treatments across all communities.
Hierarchy
| Code | Title | Description |
|---|---|---|
| 45 | Retail Trade 2-digit sector | The Sector as a Whole The Retail Trade sector comprises establishments primarily engaged in retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. The retailing process is the final step in the distribution of merchandise; retailers are, therefore, organized to sell merchandise in small quantities to the general public. Retail stores are fixed point-of-sale locations, located and designed to attract a high volume of walk-in customers. In general, retail stores have extensive displays of merchandise and use mass-media advertising to attract customers. Retailers often reach customers and market merchandise with methods other than, or in addition to, physical stores, such as Internet websites, the broadcasting of "infomercials," the broadcasting and publishing of direct-response advertising, the publishing of paper and electronic catalogs, door-to-door solicitation, in-home demonstration, selling from portable stalls (street vendors, except food), and distribution through vending machines. Establishments engaged in the direct sale and home delivery of products, such as home heating oil dealers and home delivery newspaper routes, are included here. Retail establishments typically sell merchandise to the general public for personal or household consumption, but some also serve business and institutional clients. These include office supply retailers, computer and software retailers, building materials dealers, plumbing supply retailers, and electrical supply retailers. In addition to retailing merchandise, some retailers are also engaged in the provision of after-sales services, such as repair and installation. For example, new automobile dealers, electronics and appliance retailers, and musical instrument and supplies retailers often provide repair services. As a general rule, establishments engaged in retailing merchandise and providing after-sales services are classified in this sector. Retail trade establishments are grouped into industries and industry groups typically based on one or more of the following criteria: (a) The merchandise line or lines carried; for example, specialty retailers are distinguished from general-line retailers. (b) The usual trade designation of the establishments. This criterion applies in cases where a retailer is well recognized by the industry and the public, but difficult to define strictly in terms of merchandise lines carried; for example, pharmacies and department stores. (c) Human resource requirements in terms of expertise; for example, the staff of an automobile dealer requires knowledge in financing, registering, and licensing issues that are not necessary in other retail industries. The buying of goods for resale is a characteristic of retail trade establishments that particularly distinguishes them from establishments in the agriculture, manufacturing, and construction industries. For example, farms that sell their products at or from the point of production are not classified in retail, but rather in agriculture. Similarly, establishments that both manufacture and sell their products to the general public are not classified in retail, but rather in manufacturing. However, establishments that engage in processing activities incidental to retailing are classified in retail. This includes optical goods retailers that grind lenses, and meat and seafood retailers that process carcasses into cuts. Wholesalers also engage in the buying of goods for resale, but they are not usually organized to serve the general public. They typically operate from a warehouse or office, and neither the design nor the location of these premises is intended to solicit a high volume of walk-in traffic. Wholesalers supply institutional, industrial, wholesale, and retail clients; their operations are, therefore, generally organized to purchase, sell, and deliver merchandise in larger quantities. However, dealers of durable nonconsumer goods, such as farm machinery and heavy-duty trucks, are included in wholesale trade even if they often sell these products in single units. |
| 456 | Health and Personal Care Retailers 3-digit subsector | Industries in the Health and Personal Care Retailers subsector retail health and personal care merchandise. Establishments in this subsector are characterized principally by the products they retail, and some health and personal care retailers have specialized staff including pharmacists, opticians, and other professionals engaged in retailing, advising customers, and/or fitting the product sold to the customer's needs. |
| 4561 | Health and Personal Care Retailers 4-digit industry group | Industries in the Health and Personal Care Retailers subsector retail health and personal care merchandise. Establishments in this subsector are characterized principally by the products they retail, and some health and personal care retailers have specialized staff including pharmacists, opticians, and other professionals engaged in retailing, advising customers, and/or fitting the product sold to the customer's needs. |
| 45611 | Pharmacies and Drug Retailers 5-digit NAICS industry | See industry description for 456110. |
| 456110 | Pharmacies and Drug Retailers 6-digit U.S. detail | Pharmacies and drug retailers primarily function as essential retail hubs for the dispensing of prescription medications, over-the-counter remedies, and other pharmaceutical products to individual consumers and healthcare providers. These establishments operate as the primary interface between medical professionals and patients, ensuring that prescribed treatments are delivered safely and effectively to the public. Beyond simple medication sales, these businesses engage in a wide array of supporting activities such as providing immunizations, administering vaccinations, conducting health screenings, and offering advice on drug interactions and proper usage. They also frequently sell related health and wellness items including vitamins, supplements, first aid supplies, and personal care products. The sector encompasses diverse types of operators ranging from large regional pharmacy chains that serve hundreds of thousands of customers to independent family-owned clinics, hospital outpatient departments, and mail-order services. In terms of scale and scope, the industry is a critical component of the health and personal care retail landscape, utilizing sophisticated inventory management systems and electronic health record integration to track prescriptions and manage patient data. Their operational reach extends from standalone storefronts in urban centers to rural clinics and mobile units, collectively playing a vital role in maintaining public health and facilitating access to essential medical treatments across all communities. |
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Classification References
- 01Retailing food supplement products, such as vitamins, nutrition supplements, and body enhancing supplements--are classified in U.S. Industry 456191, Food (Health) Supplement Retailers; and
- 02Providing pharmacy benefit management (PBM) services--are classified in U.S. Industry 524292, Pharmacy Benefit Management and Other Third Party Administration of Insurance and Pension Funds.
Index Items
Apothecaries
Drug stores
Institutional pharmacies, off-site, exclusively on Internet
Institutional pharmacies, off-site, mail-order
Institutional pharmacies, on-site
Pharmacies
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