Group Purchasing Organization (GPO) Services

Global Group Purchasing Organization (GPO) Services Market to Reach US$10.6 Billion by 2030

The global market for Group Purchasing Organization (GPO) Services estimated at US$7.6 Billion in the year 2024, is expected to reach US$10.6 Billion by 2030, growing at a CAGR of 5.7% over the analysis period 2024-2030. Vertical GPOs, one of the segments analyzed in the report, is expected to record a 5.4% CAGR and reach US$6.4 Billion by the end of the analysis period. Growth in the Horizontal GPOs segment is estimated at 6.6% CAGR over the analysis period.

The U.S. Market is Estimated at US$2.0 Billion While China is Forecast to Grow at 5.5% CAGR

The Group Purchasing Organization (GPO) Services market in the U.S. is estimated at US$2.0 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$1.7 Billion by the year 2030 trailing a CAGR of 5.5% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 5.0% and 5.0% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 4.6% CAGR.

Global "Group Purchasing Organization (GPO) Services" Market – Key Trends & Drivers Summarized

Why Are Group Purchasing Organizations Reshaping Procurement Across Industries?
Group Purchasing Organizations (GPOs) are becoming increasingly vital for organizations seeking to improve procurement efficiency, lower operational costs, and gain access to negotiated vendor contracts. By aggregating the purchasing power of multiple businesses or institutions, GPOs secure better pricing, enhanced service terms, and greater supply chain stability. Traditionally dominant in the healthcare sector, GPO services have expanded into education, manufacturing, food services, hospitality, and IT. Amid global inflationary pressures, supply disruptions, and a rising focus on spend management, GPOs are being recognized as strategic partners for organizations looking to streamline procurement while maintaining quality and compliance.

What Service Innovations Are Enhancing the Value Proposition of GPOs?
Modern GPOs are evolving beyond bulk purchasing to offer a full suite of value-added services, including spend analytics, contract lifecycle management, benchmarking tools, and supplier diversity programs. Digitization of procurement processes through cloud-based platforms and AI-driven analytics enables real-time visibility into spend categories and compliance metrics. GPOs are also leveraging predictive insights to help clients anticipate supply risks and optimize inventory. In healthcare, GPOs are playing a pivotal role in strategic sourcing for pharmaceuticals, PPE, and surgical equipment—especially in the wake of pandemic-driven demand volatility. Additionally, sector-specific GPOs are customizing contracts and support services to meet the regulatory and operational needs of different industries.

Which Markets and Sectors Are Driving GPO Services Adoption?
The United States is the largest and most mature market for GPO services, particularly in healthcare, where hospitals and clinics rely on GPOs for everything from medical supplies to facility services. Europe follows closely, with GPO adoption gaining momentum in both public and private sectors due to rising pressure to optimize public procurement and improve transparency. In Asia-Pacific, GPOs are seeing increased traction in manufacturing, education, and retail, supported by the rise of regional trade partnerships and supply chain modernization. Latin America and the Middle East are emerging markets, where organizations are exploring GPOs as a way to mitigate procurement inefficiencies and reduce overheads in resource-constrained environments.

What Are the Key Market Drivers and Challenges Facing GPO Services?
The growth in the GPO services market is driven by the need for cost containment, increasing supply chain complexity, rising adoption of procurement technology, and growing demand for vendor accountability and compliance. Organizations facing margin pressure and limited internal sourcing capacity are turning to GPOs to enhance efficiency and strategic agility. However, the market also faces challenges, including data privacy concerns, hesitancy among vendors to participate in high-volume discounting models, and the complexity of aligning multiple stakeholders within large member organizations. In some regions, regulatory scrutiny and perceptions of exclusivity can hinder adoption. Nevertheless, as digital procurement becomes more sophisticated and demand for transparency intensifies, GPOs are positioned to expand their influence across a broader range of industries worldwide.

SCOPE OF STUDY:

The report analyzes the Group Purchasing Organization (GPO) Services market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Type (Vertical GPOs, Horizontal GPOs, Master Purchasing Organizations); End-Use (Healthcare End-Use, Hospitality End-Use, Food & Beverages End-Use, Industrial End-Use, Other End-Uses)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; and Rest of Europe); Asia-Pacific; Rest of World.

Select Competitors (Total 42 Featured) -

• Acuity™ GPO
• Amerinet
• AmerisourceBergen
• Acurity
• Cardinal Health
• CareSource
• Children’s Hospital Association
• Coretrust
• HealthTrust Performance Group
• HealthTrust Purchasing Group
• Innovatix
• MAGNET
• Mediq
• McKesson Pharmaceutical
• MedAssets
• Novation
• Premier Inc
• Renal Purchasing Group™ (RPG™) GPO
• Sourcewell
• Specialty GPOs by Cardinal Health
• Topco Associates LLC
• Traverse™ GPO
• Vizient, Inc.
• VitalSource™ GPO

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