From pharmacy school, to the whirlwind of pharmacy ownership, there will always be bumps in the road — and no pharmacy owner is immune.
Whether you just discovered that you wasted thousands of dollars on the wrong pharmacy software, your team is showing signs of toxicity, or even if you’ve just now realized that not having enough cash can kill your business, you’re not alone in learning these hard lessons. Many owners would throw in the towel, especially if they have made a significant investment that went under. Whatever problems plague your business, there is always hope.
Dr. Nido Qubein has a few tips to share with those pharmacy owners who feel as if they have reached rock bottom because there is always a way to turn your luck around. He is a firm believer that out of adversity, abundance can emerge. You just have to recognize it and seize it. The following are his tips to implement that will start a ripple effect of greatness within your life and business.
- Walk hand in hand with great people. This is no novel concept — you are who you surround yourself with. A key strategy to reach peak potential is to surround yourself with great people. After a time, those people will impart their successful habits and ways of thinking onto you.
- Out of adversity, comes abundance. Dr. Qubein believes that if you’re afraid of failure, you’ll never try success… and if you’re afraid of failing, you may not be worthy of it. Those who have failed significantly and risen above can speak to this fact: that they have found more opportunity in their darkest periods than they have by playing it safe.
- Plant the seeds of greatness in not only the minds, but in their hearts and souls of your team. In fact, do it with everyone you meet. When you walk through life and empower people to further themselves toward success, this will not only enrich their lives, but yours as well.
- Tell your story, tell your journey. When you put the human element behind your message, it inspires others to take action.
- Focus on value, not income. If you focus on rendering value, not on generating income, the doors of opportunity open up in ample supply.
Dr. NidoQubein, one of the keynote speakers at the 2017 PDS All Star Super-Conference, has made it his life’s mission to live in service of others. This mindset has created a life of abundance for him and opened a world of opportunities, such as becoming an educator, business leader and author. Today, he is president of a leading university and chairman of a national retail company — and one of the most sought-after leadership speakers on the professional circuit.
At the 2017 PDS All Star Super-Conference, Dr. Qubein shared his own story and his ideas and strategies for succeeding through even turbulent times. His presentation was dynamic, authentic, entertaining and delivered a powerful, inspiring message on finding focus, balance, and meaning in business, and in life. His presentation was a crowd favorite, if you attended, you saw many people on their feet waiting to greet him.
Missed the show? No worries! Join us for the next event in February! Click below for details.
The Walking Dead (TWD) series has captured the dark imagination of TV audiences over the past six years, and fans (many of whom work at Pharmacy Development Services) are counting down for the season premiere this Sunday. We’ve identified the top three TWD lessons that independent pharmacy owners can apply to running their business.
You may be thinking, “What can a zombie show teach me about running a pharmacy?”
Ok, so you aren’t facing literal life and death decisions in a post-apocalyptic world, but pharmacy owners everywhere are facing significant changes in an industry that is fighting to survive and thrive — just like Rick Grimes and his team. Continue reading “3 Independent Pharmacy Lessons from The Walking Dead”
Attending any pharmacy conference is an investment that should be weighed against the potential ROI. Before purchasing a ticket, ask yourself if it is worth the time and money to attend and how the event will add value and increase profits for your independent pharmacy.
This is where the 2017 PDS All-Star Super-Conference comes in — finding value here is only limited by your willingness to implement with intent to win. The enthusiasm and energy of pharmacy owners while in attendance is a major reason why headlining sponsors keep coming back, year after year. Owners arrive ready to find solutions and make decisions. The relationships created between exhibitors, and business owners are invaluable when it comes to solving problems and driving profits for pharmacy owners. Continue reading “3 Surefire Ways PDS 2017 Will Add Value to Your Pharmacy”
Data-Analysis for Independent Pharmacy Owners
Are you the type of independent pharmacy owner who is content to drift along with the dated model of taking whatever business happens to walk through the door? Don’t settle for “business as usual” and “my pharmacy is doing just fine.” The unfair game PBM’s are playing won’t change until you start to look at your profitability differently. Discover where big money can be made in independent pharmacy–it’s right under your nose, and you don’t even know it.
Pharmacy Development Services (PDS), believes that the success of each independent pharmacy is a win for everyone and we are ready to show you the level of commitment we have to your success.
Every Saturday morning for the past year, I have been reviewing the Wall Street Journal’s summary of the week’s best-belling books, as reported by Nielsen BookScan.
Many bestsellers have come and gone over that time period, but what continues to endure, is the type of books found on the Hardcover Business list. They are not about hidden business secrets or a recently discovered financial formula that will guarantee millions of dollars overnight. Most of these books that endure on the list are largely about the people – the life blood of all businesses
They are about understanding yourself, others or the characteristics of successful people.
They are also about improving skills for:
- Forming effective teams
- Building a winning culture
- Developing people
I have often asked myself why this is the case? Why are all of these books about the people within a business context?
According to Deliotte’s 2015 Global Human Capital Trends report, companies are struggling to attract, retain and develop leaders at all levels within their companies, yet they are largely unprepared to address these issues. In fact, according to the report, culture and engagement was rated the most important issue overall across a multitude of industries.
Furthermore, Gallup consistently reports on the dismal levels of employee engagement not only within the U.S. but reports even worse numbers worldwide. In fact, Gallup estimates that lost productivity due to actively disengaged employees cost U.S. businesses $450-$550 billion each year.
So why is it that so many companies are willing to invest in new equipment, technology, assets and systems that help to improve their business performance, yet they are often reluctant or ill-prepared to invest in tools and systems that focus their people? These issues are typically viewed as “squishy” and therefore hard to define or repair. How do you measure success?
Well, it may feel squishy but there are very real and concrete success measures related to hiring, developing and retaining a strong team. Gallup among many others has recently reported that businesses who focus on and invest in talent selection and improving employee engagement show consistently improved top and bottom line financial performance.
The TTI Success Insights®, 2016 Trends Article, explains the use of talent assessments for selection dramatically improves a business’s good hire ratios. U.S. business spending in this category has consistently been on the rise. The Wall Street Journal reported that the percentage of large US companies that are using online assessment tools for talent selection has risen from 26% on 2001 to 57% in 2013. They project this will continue to increase to 75% by 2020. Talent selection is not just for big business. This “Big Data” approach adds value at affordable rates even for small and medium sized businesses.
These self-help business books only stay on the best seller list because people continue to buy them. It follows that people must be buying them to want to solve these problems within themselves. Business leaders and employees alike are looking for ways to improve their relationships with each other in order to drive more successful business outcomes. The next step is to make the right investments to improve company odds for realizing that success.
Are you ready to invest in your talent?
The Oval Group has been providing talent insight to individuals and business leaders for over 10 years. The Oval Group is an authorized supplier of TTI Success Insights® talent assessment, a world class developer of talent selection tools that have been proven to dramatically reduce bad hires and enable improved employee engagement.
Want more info on this topic? Watch the webinar with The Oval Group we recently hosted. You will learn…
- The true financial impact bad hires and disengaged employees can have on your Pharmacy
- How to increase employee collaboration, engagement, and productivity
- 5 key steps to diagnose and repair employee related issues
- How some PDS Pharmacy member teams have benefited from one of the tools discussed
- How using science can solve employee problems and grow your business
In light of recent price increases of the life-saving device, Epi-pen, there are discussions happenings throughout the media and across industry message boards about lower cost or generic alternatives available to consumers. This situation puts independent pharmacies, as healthcare destinations, in a unique position to offer patients valuable information on Epi-Pen alternatives.
Patients that are lucky enough to have health insurance that covers the cost will likely never see the significant price increase, but those without coverage may have trouble affording $600-$650 prices of the Epi-pen. If a cash paying patient comes in and asks about alternatives or the reimbursement information for Epi-pen you have a few different options you can share.
- Anaphylaxis Kit – This is a much cheaper alternative to auto-injectors, but the patient should receive a thorough consultation on how to properly use the kit, as this is an injection and vial solution. This will cost the patient about $35-$45 dollars.
- Put the following items in a 5x1x3 box:
- 1 ml Adrenaline 1mg/ml
- 1 ml BD syringe
- 25g 1 inch needle
- Sterile alcohol swab
- Directions: For Anaphylaxis 0.3 to 0.5 mg (0.3 to 0.5 ml) undiluted. Administer the injection intramuscularly (IM) or subcutaneously and repeat every 5 to 10 minutes as necessary.
- Put the following items in a 5x1x3 box:
- Epi-pen Savings Card – Some patients may be eligible for the savings program offered by Mylan, but there are restrictions, and the patient will have to fill out a form to determine assistance eligibility.
- Adrena-click – This is a slightly lower-cost alternative, though not by much. The drug comes in 0.15 mg and 0.3 mg doses, similar to Epi-pen, but the switch has to be prescribed by the doctor and operating this brand is different from the Epi-pen so ensure your patient understands how the device works before they are in an emergency situation. Additionally, this is only recognized in a few states, for the time being, so you may not have this option for patients.
Patients may feel that there are no options available to them, but this is where independent pharmacies have the opportunity to step up and bring value to the community. By making your pharmacy a healthcare destination, building a sense of reliability, and providing excellent customer service — you are creating an ambassador for your store. If someone was able to save you hundreds of dollars on a life-saving drug needed for yourself or your child and invested the time to show you how to use it, wouldn’t you continue to come back for other health care needs?
PDSAdvantage is a web-based app that allows pharmacy owners and employees to engage in one place. Our exclusive message board connects you with a network of pharmacy professionals from across the nation discussing everything from relevant industry topics and training to current events and ideas to help your store succeed. Click below to get your pharmacy team signed up for PDSAdvantage.
Improve Pharmacy Profitability
The average independent pharmacy operates on very thin profit margins, forcing owners to reevaluate ways to keep costs low and profits high on a regular basis. Not knowing where to look first can be frustrating and overwhelming. Here are the three methods of improving your pharmacy profitability you should regularly assess in your business.
How to Buy Smarter with Pharmacy Wholesalers
Typically, a single wholesaler will not meet all of your purchasing needs nor provide the best pricing for all prescription purchases. A good way to avoid relying on one wholesaler and putting your already thin profit margins at risk, is to have several secondary suppliers as a point of comparison. Taking advantage of the Pharmacy Development Services (PDS) industry-exclusive message board in PDS Advantage will enable you to get peer recommendations, insights and customer service feedback, before making commitments.
Know Your ‘Top 20’ Prescribers
Not all prescribers are created equal so ramping up your profits should start with identifying your most profitable prescribers. A deep dive into your data will show you which prescribers are moving the profit needle, and which ones keep you busy behind the proverbial bench. Prescribers may land on your list for a number of reasons, but volume should not be one of them. Once you have identified key providers, start implementing ways to stay top of mind by providing value-added services and exceptional customer service to keep the referrals coming in your door.
An often overlooked way to increase your pharmacy’s profitability is to ensure you are recouping the maximum on insurance reimbursement claims. There are three strategies every pharmacy should implement and enforce to remain confident that you are not leaving any profits on the table.
- Regularly update U&C price points — This information is critical to setting an accurate cash price for prescriptions and receiving the maximum on insurance reimbursements. It should be standard operating procedure to examine your switch data to identify claims that paid at U&C.
- Ensure accuracy with DAW claim codes — Incorrect coding can result in the accrual of significant losses. Train your team to be attentive when submitting DAW codes, because not doing so will negatively affect the profitability and efficiency of your pharmacy; the reimbursements will be inaccurate; the pharmacy will lose time over claim resubmissions and misinformation on claims may trigger the most dreaded consequence — a pharmacy audit.
- Consistently update AWP information — Pricing and reimbursements models are still largely based on AWP, and ‘bad data’ leads to inaccuracies that affect profits. Pharmacy owners should make sure their software is updated daily with the latest pricing information. Many third parties lag in their updating of AWP, which will mean a pharmacy will have to invest time to reverse and resubmit claims to capture lost profit.
Independent pharmacy owners often believe they cannot impact their pharmacy profitability. However, the strategies above can result in thousands of dollars in profits each month. Yet, most pharmacies haven’t changed the management of prescriptions and processes in years. If you are waiting for prescriptions to come in the door, dealing with inventory and purchasing headaches and finding little time to implement new initiatives or improve your current processes..you are doing it wrong!
Running a reactive pharmacy is ineffective and killing your bottom line…but there is a better way! SyncRx Plus is a program that incorporates the traditional synchronization adherence model and with an added MTM component. The implementation of this program will improve your pharmacy’s profitability through data mining, improved quality measures, workflow efficiency and by leveraging your third-party contracts.
As social media becomes increasingly effective as a marketing tool, it is little wonder that small businesses as independent pharmacies are starting to take advantage of this convenient and cost-effective medium. Without a huge brand name or giant marketing budget, independent pharmacies need to get creative in engaging with customers and social media can be a great way to keep the relationship going beyond your store’s four walls.
However, many independent pharmacy owners and managers, find the thought of tackling social media confusing and overwhelming. Pharmaceutical marketing doesn’t have to be intimidating and in fact, here are a few easy ways to start using social media for business:
- Create a dedicated Facebook page for your pharmacy
By creating a simple Facebook page online, you will be able to post helpful information for your store, such as business hours, dates you will be closed, special events, disease-specific information, tips and more. Simply think of this as a modern day interactive phonebook, where people can look you up and stay in touch. You can post messages, answer questions and interact with customers and patients to help them find what they are looking for. Facebook provides easy instructions and best practices for getting started on their site.
- Consider setting up a Twitter account for your pharmacy
Pick an easy to identify Twitter handle (account username) for example @A1Pharmacy, which can be really effective for driving awareness to your store. Twitter is an easy and simple way to communicate with customers and prospects in real time. It can be a great tool to spread “short and sweet” messages about sales, vaccination clinics, CDC updates, awareness campaigns, educational seminars and so much more. Twitter can also be utilized for sharing information or suggestions either “live” or prescheduled at a later time that you designate. For example, you might tweet (a “Tweet” is a Twitter message in 140 characters or less) “Stop by our store today to get your flu shot before the season kicks into high gear.”
Regardless of what social channel you use, remember to create posts that lead to conversations rather than simply provide information. Negative comments should also be addressed on social media quickly and honestly. Complaints are a part of any business, but managing the issue and repairing your pharmacy’s brand with quick explanations or apologies will go a long way in increasing customer loyalty.
- Providing critical information to customers on your website
Although Facebook and Twitter can be easy ways to engage in online conversations, it is equally important to provide helpful information to customers via your website and follow-up with social media posts. This can include policy changes, medication recalls, emergency information after a natural disaster, job openings, disease education, government regulations, vaccine reminders and other important details about your pharmacy that customers should know and be able to learn about quickly. All information should be presented in a professional and knowledgeable manner, representing your pharmacy’s brand. Simply think of this method as another tool to engage and delight customers and reach those people who may not be responding to traditional direct mail or advertisements.
Both your website and social channels should be activated for promoting sales, seasonal events, invitations to customer appreciation days and other local community events.
Finding new methods to drive awareness to your store may seem challenging, but using a combination of traditional and new media marketing methods, will help your independent pharmacy thrive and grow.
With so much competition among pharmacies, it can be difficult for an independent pharmacy to gain traction in their local community. After all, larger chains tend to occupy every single corner in America, making it all the more important for community pharmacies to stand out.
Fortunately, there are some simple ways to increase your pharmacy profit. With the right pharmacy team and pharmacy programs, your store can be a hub of consumer activity.
It seems pretty straightforward, but make sure your team is doing the obvious and non-obvious things to best position your store effectively. Here are three simple steps you can take to better serve your customers and make your independent pharmacy more profitable.
Most of the time customers enter your store with a specific purpose in mind. It might be to fill a script, to purchase cosmetics or a greeting card. Key product placement is essential to a positive consumer experience and if your customers have trouble finding what they want, they are likely to become frustrated and stop shopping with you.
As a pharmacy owner, it is important to always analyze the layout of your store. Too often, owners fail to see things from the customer perspective so be sure and strategically place products in logical, convenient locations, have appropriate signage and prioritize popular products whenever possible. Also, think seasonally. For example, in the winter cold medicines should be easy to find. In the spring and summer, prime shelf space should feature sunscreen and allergy medication.
Additionally, items should be logically grouped so if someone is going to buy bandages, he or she may also want an antiseptic at the same time. When these products are placed close to each other, they will be easier to find and increases the likelihood of the consumer buying both products instead of only one.
It is not just about how the shelves are organized but what is on the shelves in the first place. Modern consumers are used to options. When they arrive in a store, they expect to compare and contrast different brands to find the best product at the best price.
To this end, similar products should be in the same aisle. If a customer wants to find pain medication, all the options should be readily available on the same shelf. This way, it is easy to compare brands, gauge prices, check out dosages, ingredients and more. In order for a community pharmacy to stay relevant, having the best selections in town is of vital importance.
By having enough brands on hand, every customer will find what he or she is looking for before checking out. This is all a part of providing a positive experience for customers, ensuring that they leave satisfied with their purchase. Just remember the context in which most people visit a pharmacy. Many customers visit the pharmacy when they or their loved ones are sick. This already causes enough stress. It is the job of the pharmacy staff to make them feel comfortable and help them as much as possible.
Although stocking your pharmacy effectively can make a huge impact on the bottom line, pharmacy employees also play a big role in increasing profitability through upselling. One of the easiest ways to increase profits is by encouraging your team to engage with patients and customers and be comfortable making recommendations or upselling.
Upselling is a common business strategy, in which employees leverage a conversation with consumers to get them to buy more. While it is important to never be too pushy in a selling context, pharmacy employees have a unique opportunity to provide targeted helpful product advice.
In a restaurant upselling means offering appetizers, alcoholic beverages and dessert to increase the cost of a meal. In a pharmacy it can be as simple as suggesting related products. When someone comes in to buy cold medicine, a friendly reminder that there is a good price on tissues or humidifiers might be effective. If a customer is picking up a box of diapers, pointing out the great deals on diaper cream or baby wipes might be a logical extension.
Employees should be well-trained to look for these opportunities, offering smart suggestions that appeal to a consumer’s specific needs. This will not only improve profits, but it can be a critical part of excellent customer service. A good upsell should never feel like a sales pitch. Instead, it should feel like one-on-one attention from a dedicated employee.
If you are interested in increasing profits at your independent pharmacy let’s talk. Schedule a free discovery call with an experienced Business Growth Advisor to get advice about leadership team development, increasing profitability and much more.