The Caution Needed in Addressing US Pharmacy Closures

While many reports on the business of US pharmacies have highlighted increased rates of closures and openings,¹ many industry experts are calling on government leaders to address overall pharmacy access across the country.

However, with a robust variety of pharmacy types operating under different authorities and rules, there are several risks and opportunities in prospective legislation geared toward pharmacy sustainability.

“When you put policies in place to protect the incumbent, meaning the business that's already established, you actually harm new entrants, new market interest, new businesses, because they have a structural advantage to already being in existence,” Joey Mattingly, PharmD, MBA, PhD, associate professor and vice chair of research at the University of Utah College of Pharmacy, told Drug Topics. “I think you have to be really careful.”

Returning to provide deeper insights into the business side of pharmacy practice, Mattingly joined Drug Topics to discuss a recent article he co-authored titled “Community Pharmacy Turnover and Context of Openings and Closings by Ownership Type.” He talked us through the overarching implications of both pharmacy openings and closings. Mattingly also explored the varying market mechanisms that differentiate each business type, creating both risks and opportunities for every pharmacy storefront.

“As you put policies forward that prevent an existing business from closing, are you missing out on the opportunity of a new business opening up down the road that actually has some new ideas, maybe new layout, new services, new model?” he continued.

Whether it be increasing the chances for new pharmacies to open, or ensuring existing pharmacies stay sustainable, Mattingly helps pharmacies better understand how the greater industry will navigate pharmacy turnover trends as well as whatever government policies are enacted as a result.

READ MORE: Q&A: Pharmacy Closures, Openings Persist Despite PBM Influence

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Reference

Mattingly TJ, Sahu M, Anderson KE. Community pharmacy turnover and context of openings and closings by ownership type. JAMA Health Forum. 2025;6(8):e251988. doi:10.1001/jamahealthforum.2025.1988