New report compares costs of mail-order pharmacy sites

January 14, 2008

A new report by the Boyd Co. finds that it's less costly to set up a mail-order pharmacy in Sioux Falls, S.D., than San Diego.


If you're looking for a location to set up a mail-order pharmacy, which city would be least costly? According to a new report from The Boyd Co., San Diego would cost you the most at $35.3 million per year, while Sioux Falls, S.D., would cost you the least, at $32 million. The researchers based their conclusions on looking at the labor, utilities, taxes, and other costs involved for a hypothetical 65,000 sq.ft. mail-order facility employing 120 nonexempt workers in 21 metropolitan areas. These metro areas all house major mail-service distribution centers, such as Express Scripts, Caremark, Medco, and others. The Boyd Co., Princeton, N.J., provides independent location recommendations to U.S. and overseas corporations.

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