Medical Practices — US Industry Report
Official NAICS classification: Offices of physicians (62111)
The offices of physicians industry in the United States generated an estimated ~$771.4B in annual revenue across 218.1K establishments employing 2.77M workers (Census Bureau). This 34-page report analyzes industry performance, competitive dynamics, and delivers 5-year growth forecasts.
Industry Snapshot
- ▸Physician practices remain highly fragmented despite moderate consolidation among leading operators
- ▸Large states show divergent staffing efficiency, with certain regions operating below peer averages
- ▸Employment growth in physician offices significantly outpacing broader economic expansion
- ▸Physician compensation declining while total payroll expenses rise substantially across the sector
Table of Contents
Key takeaways, industry definition, and current state overview. Covers the industry's scope, principal activities, NAICS classification context, and a concise snapshot of where the industry stands today. Reading this alone gives decision-makers the high-level picture they need before diving into data-backed chapters.
Historical performance analysis covering establishments, employment, and payroll (2012-2025). Examines what has driven industry performance in recent years, how the industry has responded to macroeconomic cycles, and which operating conditions have shaped revenue and labor dynamics. Includes source-cited tables and year-by-year data points.
5-year projections (2026-2030) with base case, bull case, and bear case scenarios. Each scenario combines historical trends, macroeconomic indicators from FRED, and industry-specific signals. Addresses questions on expected trajectory, forecast risk, downside drivers, and the assumptions behind each scenario.
Growth drivers, risk factors, and external environment analysis. Unpacks the forces that will shape the industry over the forecast horizon — demographic shifts, regulatory changes, technology adoption, and cyclical exposure. Frames both the upside opportunities and the structural risks operators and investors should weigh.
Market structure, concentration, barriers to entry, and competitive dynamics. Describes how the industry is structured between incumbents and entrants, typical competitive strategies, and what separates successful operators. Standard-tier reports add the official CR4, CR8, CR20, CR50 and HHI from the Census Economic Census, plus the largest public operators named from SEC EDGAR 10-K filings.
Cost structure, labor requirements, technology factors, and the regulatory environment. Examines where operators spend, how sensitive margins are to input costs, what workforce and technology investments are typical, and which compliance and regulatory constraints shape day-to-day operations and long-term planning.
Strengths, weaknesses, opportunities, and threats — each supported by concrete evidence from the underlying data. Moves beyond generic bullet points by tying each SWOT element to specific metrics, structural trends, or external forces identified elsewhere in the report. Useful for strategic planning and risk assessment.
Regional market concentration, wage dynamics, and emerging geographic opportunities. Breaks establishments, employment, and payroll down by state and region, identifies where the industry is densest, where it is growing fastest, and how local labor markets and wage levels differ. Standard-tier and higher includes state-level tables.
The largest public operators in the industry, named from their SEC EDGAR 10-K filings, with enterprise revenue and segment context. Sits alongside the official Census Economic Census concentration figures (CR4, CR8, CR20, CR50, HHI) so the named players can be read against the measured structure of the whole industry, public and private.
Report Preview

Low-resolution overview of all 34 pages
Want to see a full report before you buy?
Download a free sample report →Industry Analysis
The Offices of physicians industry (NAICS 62111) encompasses 218.1K establishments in the United States employing 2.77M workers, generating an estimated ~$771.4B in annual revenue (Census Bureau). Classified within Health Care and Social Assistance, the industry is positioned in a mature phase of its life cycle.
This report examines historical performance trends (2012-2025), competitive structure, geographic distribution, and provides a 5-year outlook (2026-2030) with growth drivers, risk factors, and industry-specific SWOT analysis.
Products & Services
Key service categories in the Offices of physicians industry.
Who Uses These Reports
Trusted by professionals who need verified federal data to make decisions
Investors & PE Firms
Size markets, validate deal theses, and benchmark targets with verified federal data before committing capital
Consultants & Advisors
Deliver data-backed recommendations to clients with sourced and cited industry metrics — Census, BLS, and FRED
Founders & Operators
Validate market entry, benchmark against industry averages, and present credible data to investors and boards
Corporate Strategy Teams
Support expansion planning, M&A due diligence, and executive reporting with NAICS-classified industry data
Top Questions Answered
What is the market size of the Offices of physicians industry?
The estimated market size of the Offices of physicians industry is ~$771.4B, a VantaInsights 2026 projection carried forward from the 2022 US Census Economic Census baseline at the industry's revenue... Full analysis available in report.
How fast is the Offices of physicians industry growing?
The Offices of physicians industry has demonstrated strong growth over the past decade, outpacing the broader U.S. economy across multiple measured periods. Full analysis available in report.
What is included in the Offices of physicians industry (NAICS 62111)?
NAICS 62111 covers establishments where licensed medical doctors (MDs) and doctors of osteopathy (DOs) provide outpatient medical care, including general practice, family medicine, and specialty... Full analysis available in report.
What is the outlook for the Offices of physicians industry over the next few years?
The Offices of physicians industry is projected to continue its growth trajectory, supported by aging demographics and sustained demand for outpatient care. Full analysis available in report.
How many physician office businesses operate in this industry?
The Offices of physicians industry is highly fragmented, with a large number of independent and small-group practices operating alongside a growing number of larger multi-specialty and... Full analysis available in report.
How competitive is the Offices of physicians industry?
Competition is shaped by high licensure and credentialing requirements that create meaningful barriers to entry, yet the industry remains fragmented with many independent operators differentiating on... Full analysis available in report.
What do employees in the Offices of physicians industry typically earn?
Compensation in the Offices of physicians industry varies considerably by role, specialty, and geographic market, but the sector is generally characterized by above-average wages relative to the... Full analysis available in report.
Who are the major players in the Offices of physicians industry?
The industry is served by a broad mix of national health systems with owned physician networks, regional multi-specialty groups, and a substantial base of independent local practices. Full analysis available in report.
Get complete answers with detailed growth rates, forecasts, and competitive analysis.
Methodology
This report is produced using AI-assisted analysis of official US government data sources. Our methodology combines automated data collection from federal statistical databases with AI-assisted synthesis and validation. Every numerical claim undergoes a validation pass against source data.
The Census Bureau's County Business Patterns and Economic Census provide establishment counts, employment, and payroll broken out by NAICS industry and geography. The Bureau of Labor Statistics QCEW program supplies wage data by industry. The Federal Reserve Economic Data (FRED) service contributes macroeconomic indicators used for industry forecasting — GDP, interest rates, housing starts, and sector-specific indices.
Data freshness varies by source: Census CBP has a ~2 year lag, BLS lags 6-9 months, and FRED provides near real-time macroeconomic data. Each report includes a data currency section showing exact year ranges.
Read our full methodology →Data Sources
Every chart, table, and claim in this report traces back to a published federal statistical database. Each data point in the PDF shows its source so you can verify it against the original dataset.
- U.S. Census Bureau — County Business Patterns & Economic Census
- Bureau of Labor Statistics — QCEW
- Federal Reserve Economic Data (FRED)
- SEC EDGAR — 10-K filings(Standard tier)
Report Details
Industry Classification (NAICS)
Where this industry sits in the North American Industry Classification System.
Related Industries
Related Guides
Get verified healthcare industry trends data from federal sources. Total US Healthcare Employment: 20M+ (Bureau of Labor Statistics, 2024).
Physician practices average a 7.3% net profit margin (IRS SOI, 2022), measured after the doctors are paid. Who the figure covers and how to benchmark.
Get verified daycare profit margins data from federal sources. Average Daycare Net Profit Margin: 10–15% (Industry Benchmarks, 2024).
The median SBA loan to open a child day care was $500,000 across 650 startup loans. The full distribution, what a loan size leaves out, and the economics
Dental industry trends from federal data sources. 135K+ dental practice establishments (Census CBP, 2023). DSO consolidation, workforce, and technology trends.