Half Of Branded Medication Purchase Dollars Go To Manufacturers

Of the total of the $670.4 billion spent on branded medications in the United States during 2023, about half (49.9%) went to the manufacturer and the other half (50.1%) went to non-manufacturer stakeholders such as pharmacy benefit managers (PBMs), insurers, and other supply chain entities; or to rebates and commercial cost-sharing assistance. Between 2013 and 2023, the share of brand spending retained by manufacturers declined from 66.8% to 49.9%.

During this period, total gross expenditures for branded drugs increased by 250%, from $268.7 billion in 2013 to $670.4 billion in 2023 . . .