On average, pharmacy owners have over 90% of their revenue tied to PBMs. That means you aren’t in control of your own profitability 90% of the time! The good news is that small changes to this percentage can make a huge difference to your bottom line.
NON-PBM REVENUE OPPORTUNITIES
Prescriptions may be the number one reason patients come into your pharmacy, but with DIR fees and clawbacks constantly shifting, how predictable is the financial health of your business when this is your only source of revenue?
Prescription profit margins have seen a decline in recent years. On the other hand, OTC or front-end product profit margins have remained consistent and strong. While prescriptions make up the bulk of your revenues, a good OTC sales strategy can be just as impactful to your profitability.
Additionally, independent pharmacies are increasingly becoming regarded as important healthcare resources for the communities they serve. The Covid-19 Pandemic has shown us that testing and immunization programs can not only be very profitable, but can serve as a means to exponentially grow your customer base and brand awareness.
Now is the time to seize the opportunities and operate at the top of your license. PDS provides pharmacies like yours with the resources and tools to take your pharmacy beyond dispensing and put more control of your revenue where it belongs…in your hands.
Increasing non-prescription revenue by as little as 5% can mean tens of thousands of dollars in additional profit that the PBMs can’t touch.
Here are a few ways you can do it:
PDS helps you identify opportunities to diversify your non-PBM
revenue and provides you with the tools and resources to successfully implement these programs and more:
Expand or launch your immunization program by offering clinics in conjunction with local businesses and prescribers.
Offer annual wellness visits in partnership with a physician. It is a great way to streamline communication between the two offices.
Consider healthcare coaching programs such as smoking cessation, diabetic maintenance or weight loss.
Offer your patients elevated care with diagnostic testing. You are their most accessible healthcare provider.
Recommend specific OTC products to your patients that will improve their overall care. You will become a healthcare resource for your patients through education.
Focus on other revenue streams – whether it’s Workers Comp Prescriptions, Long Term Care Prescriptions, or Direct Employer Contracting, PDS has solutions to help.
Download the PDS OTC Guide now.
Take back your ability to earn with easy wins your customers will love.
MEMBER SUCCESS
“PDS has paid for itself and more. My coaches
have helped me to address any and all issues I’ve
had since joining… 15/10 recommend!”
Econo-Med
Cherokee Village, AR
Econo-Med has an extensive front-end but they weren’t focused on OTC. Their sales were around $1k – $2k per month. They knew there was an opportunity to drive more revenue, but didn’t know where to start.
Working with their PDS team, they identified UpSolutions as their solution! Their team dedicated their time twice a month to working with PDS on how they could grow their OTC revenue (and help their patients). They focused on new ideas, promotions, and marketing strategies to get their products in front of their patients. Everything they did, they did it with the intent of educating their community.
The key was measurement. The team worked with PDS to set incremental goals to bring them closer to their overall goal. Econo-Med went from about $2K to $4K, then to $6K, then to $8K, and then to $12K per month in OTC sales … ALL IN JUST 8 MONTHS!
COVID CARE OPTIMIZATION PROGRAM
DIR FEE
MITIGATION
NON-PBM REVENUE OPPORTUNITIES
CASH FLOW
CHALLENGES
