The last three years have been very tough for retail pharmacies. Reimbursement rates have declined, formularies are more complex, preferred networks are becoming more aggressive, access to specialty drugs that are driving innovation is still limited, generic drug prices are deflating, and DIR fees are consuming more than 2% of sales revenue. At the same
As specialty drugs grow in importance and prominence, this is an ideal moment to consider the essential and evolving roles retail pharmacies play in this significant health care category. Whether patients are using specialty treatments to cope with a rare cancer or some of the most common chronic illnesses, including psoriasis, rheumatoid arthritis (RA), Crohn’s
Editor’s note: The fourth in a series of seven articles by A.T. Kearney on the trends that are radically transforming the health sector. By Todd Huseby and Carol Cruickshank Traditionally, the approach to health in the United States has been reactive or at best responsive. Patients visit their providers only when an issue arises; providers
The future of retail pharmacy is driven by your customers (patients/shoppers/consumers). Consumers have moved into the digital age — which is not news. It is up to you to determine how you will service their evolved expectations. They engage with their social communities online, complete tasks on the go and transact all via their mobile
BOSTON — Online retail giant Amazon will enter the broader health care market — it’s just a question of how, according to global management consulting firm L.E.K. Consulting. In a new report released yesterday, L.E.K. said Amazon has the right combination of capabilities for “its big health care-industry ambitions” and could launch offerings running the gamut from
ARLINGTON, Va. — Twenty-one senators have called on U.S. Secretary of Defense James Mattis to implement the TRICARE Acquisition Cost Parity Pilot Program for Retail Pharmacy. In a letter to Mattis, the lawmakers outlined the benefits of the pilot, describing it as a “sensible approach to reducing prescription drug costs in the TRICARE program.” The
Changes in the nation’s health care system have made pharmaceutical distributors more important than ever. Large pharmacy operators have strengthened their alliances with the Big Three Wholesalers to maximize purchasing power, augment operational efficiency and work through such challenges as implementation of new federal regulations to ensure a secure supply chain. The role of drug
ARLINGTON, Va. — The upcoming NACDS Regional Chain Conference will be a fertile source of ideas for retail pharmacy, says Kristin Williams, senior vice president and chief health officer at Hy-Vee Inc. “The Regional Chain Conference is a wonderful venue for in-depth exchanges with both retail colleagues and suppliers,” says Williams, who is chairing the
The explosion of data, analytics, and insights is shifting the ways that health care companies can create value. In a roundtable I recently facilitated on this subject at an industry summit, three themes emerged. First, companies across the entire health care value chain need scale to make the appropriate investments. Second, they need to focus
CHICAGO — Retail pharmacy is no stranger to technology. For many years pharmacy operators and their supply chain partners have relied on computer-driven systems to ensure efficient distribution of products, assist pharmacists in dispensing and adjudicate insurance claims. The digital revolution is now bringing about an exponential change in technology’s impact not only on pharmacy,
NEW YORK — Going forward, chain drug stores can bank on the same underlying trends that have fueled the retail pharmacy business in recent years. But the industry as they’ve known it won’t look quite the same. Retailer consolidation, changes in drug purchasing and the influx of specialty drugs are reshaping the competitive arena, industry
PORT ALBERNI, B.C. — Medicine Shoppe Canada is opening a pharmacy inside a Quality Foods supermarket here. The McKesson Canada drug store banner said longtime community pharmacist Larry Johannessen, who owns two other Medicine Shoppe locations, will operate the new location at the Quality Foods in Port Alberni, located on Vancouver Island. “At Medicine Shoppe
ANN ARBOR, Mich. — Customer satisfaction with drug stores fell last year as part of an overall decline among retailers, according to the American Customer Satisfaction Index (ACSI). ACSI covers six retail sectors — drug stores, supermarkets, department and discount stores, specialty retail stores, online retail and gas stations — and reports measures on a
BENTONVILLE, Ark. — Walmart has had a long history of making health care more accessible and affordable. From the launch of $4 generics in 2006 to the recent introduction of Walmart Care Clinics, which promise to have the same kind of impact on pricing in that sector as the earlier program did in pharmacy, the