Because the NPI registry is public, verification is a direct lookup: the number a buyer provides is checked against the registry entry to confirm it is active and that the name or organization on the account application matches what is on file. This is a lighter check than a full licensure or credentialing review, but it screens out accounts that do not correspond to a real, registered provider or organization.
Suppliers that sell only to licensed clinics, medspas operating under physician supervision, and physicians use this step, alongside other account-opening information, to keep sales restricted to that audience rather than the general public. It is one part of a broader account-verification process, not a complete substitute for a clinic's own credentialing or a supplier's fuller vendor-qualification review.
From a buyer's side, having an active, correctly registered NPI on hand, with practice name and address matching what is in the registry, speeds up account setup with any distributor that requires this step. Mismatches between registry details and what is submitted on an application can delay account approval.
Keeping NPI registry details current and matching what you submit on a distributor application is a small step that avoids unnecessary delays in account setup.