From the Seattle "Retail Innovation Summit" in May, 2018. This presentation covers three major upcoming threats to retail pharmacy. Using Game of Thrones analogies, it also discusses how technology can be used to mitigate those threats, or even turn them into an advantage.
5. @pillsyapp
The War of the Pharmacies
is coming…
Customer Experience and Medication Adherence
are the two key battles
6. @pillsyapp
Pressure on Healthcare Spending
Means Pressure On Pharmacies
70% increase in
federal healthcare
spending over
next 8 years
7. @pillsyapp
The Annual Cost of Non-
Adherence to Medications:
$300 Billion
Annual Cost to U.S. Healthcare System1
Responsible for 30% to 50% of all
treatment failures2
1) Aurel O Iuga and Maura J McGuire. Adherence and health care costs. Risk Manag Healthc Policy. 2014; 7: 35–44.
2) Wroth TH, Pathman DE. Primary medication adherence in a rural population: the role of the patient-physician relationship
and satisfaction with care. J Am Board Fam Med. 2006; 19(5): 478-486.
8. @pillsyapp
The “Triple Threat” to
Retailers With Pharmacies
Value-
Based Care
(Only a threat to low-
performers on adherence)
Narrow
Networks
(Industry Consolidation)
Amazon
(Wants to eat your lunch,
using technology)
10. @pillsyapp
Consolidation and Vertical Integration
Clinical &
Managed
Care
CVS +
Anthem
Walmart +
Humana
Cigna +
Express Scripts
United
Healthcare
EVERYBODY
ELSE
Transition to narrower networks focused on driving medication adherence
Pharmacies with lower medication adherence
are at increased risk of being shut out of narrow networks
19. @pillsyapp
Meet Cindy
• Has three medications
• Owns a smartphone (like 80% of U.S. adults)
• Primary caregiver for her kids, her husband, and
her aging parents
• Interested in using tech that helps her manage
her manage her family’s health
27. @pillsyapp
Pharmacy Analytics & Communication Tools
Communication
Tools
• Two Way Texting
• Click-to-Call
• Chatbots
• Rules-based Interactions
Communication informed based
on data collected by Pillsy
Right person. Right message. Right
time.
31. @pillsyapp
What Makes Pillsy Different?
• More seamless user experience
(+ works with mobile app)
• Pharmacy Integrations
• Clinical Support Tools
• 1-Year Battery Life
• Lower cost
• Building a platform of devices
The Healthcare System is
Now Primed and Ready