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immunization program

Starting an Immunization Program in Your Pharmacy

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Providing an Immunization Program in your pharmacy is a great way to diversify your pharmacy’s offerings and revenue streams, while also filling an important community need. Help your patients and take control back from the PBMs.

Before You Start an Immunization Program:

Consider the clinical (and business!) benefits for your pharmacy.

  • Expand your service mix beyond traditional dispensing services
  • Don’t lose prescription revenue from customers who transfer their prescriptions over to a competing pharmacy that offers core and seasonal vaccines
  • Complement and support other chronic disease management services that you offer
  • Improve the overall health status of your community and become the clinical service hub of the area
  • Support medication adherence services like synchronization

 

How do I Get Started With Immunizations?

1. Understand State Regulations Regarding Pharmacist Vaccine Administration

State regulations determine which vaccines can be administered to what types of patients. Not all pharmacists can give all vaccines to all patients.

immunization

The first step is to know what’s permitted in the pharmacy’s own state. One of the most common restrictions is age as some states don’t allow pharmacists to administer vaccines to children under age 18.

Pharmacists need to be certified to administer vaccines in the pharmacy. They are required to take an ACPE-accredited immunization (like APHA’s course). Pharmacists must also be CPR certified and take a bloodborne pathogen or OSHA training.

Another regulatory consideration is reporting requirements. Some states require pharmacies to report the vaccines given and who received them to a state immunization registry.

It is also important to consider whether a state requires pharmacists to have collaborative practice agreements with physicians in order to administer vaccines. Collaborative agreements with physicians allow eligible pharmacists to administer vaccines to patients without individual prescriptions.

 

2. Understand How You Get Paid!

Independent pharmacies are hesitant to launch immunization programs due to complex and confusing reimbursement rules that dictate how pharmacies can bill for vaccines.

This is less of a barrier with the HHS order for Pharmacies to get paid for administration of the COVID 19 Vaccines.

If a pharmacy serves Medicare patients, it must go through the process of getting a PTAN as Medicare Part B provider in order to bill Medicare for vaccines including COVID Vaccines as a medical benefit.

It’s important you automate billing and collections for vaccine services through technology by outsource billing and collections through a third-party vendor. You want too be able to focus on providing clinical services. Hire the billing to professionals!

 

3. Have a Plan to Manage Vaccine Inventory and Supplies

Consider the requirements before ordering your first shipment of any vaccine. For example, planning and ordering flu vaccines for the next flu season starts before the previous flu season ends.

Pharmacies should know the storage requirements for the vaccines they intend to administer. The CDC has guidelines for each type. Some require refrigeration. Others require freezing. That requires a way to monitor temperatures.

In terms of physical space, pharmacies should create a private area in which they administer vaccines to patients. A private room is worth the investment.

 

4. Organize Your Workflow

Pharmacies should think about and walk through their workflows prior to starting a vaccine practice.

  • How will the pharmacy take walk-ins?immunizations form
  • Will you train all the pharmacists?
  • How will appointments be made?

As most experienced immunizing pharmacists can attest, actually giving a dose of a vaccine takes the least amount of time during the entire process. More time is spent by patients and pharmacies completing medical history forms, filling out consent forms, checking and verifying insurance benefits, copying health insurance cards and identification cards, billing for services and arranging and making payments.

Pharmacies should assign the most appropriate person to perform each task, ideally having technicians and other staff do most of the non-clinical work and leaving the pharmacist to administer the vaccine. The goal is not to disrupt the normal workflow of taking, filling and dispensing prescriptions and refills but integrate this new service into the workflow seamlessly.

 

5. MARKETING, MARKETING, MARKETING to Promote Your Immunization Program and Your Clinical Services!

It’s important for independent pharmacies to promote their programs via multichannel marketing campaigns. Your first target should be your current pharmacy patients.

A note about COVID vaccinations – this opportunity is driving new patients to you for FREE!! Spend the time and money to make sure you are getting all contact information for later programs. Also be sure you are educating your staff on how to make these COVID Vaccine patients NEW patients to your Pharmacy.

Vaccine programs can serve as gateways for pharmacies to grow their clinical operations. They can learn what it takes to run a clinical program and become comfortable adding other clinical services to their business. In doing so, they can expand their businesses to succeed in today’s industry.

 

Need More Information?

Learn more about how Community Pharmacists Make a Difference With Immunizations, written by PDS member, Travis Wolff, PharmD and Emma Leffler, PharmD. If you still need more help deciding if starting an immunization program is right for you, schedule a call with PDS and sign up for the 2021 Super-Conference in May.  

COVID Testing

COVID Testing: It’s Not Too Late

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Independent pharmacies are uniquely positioned to help their communities. COVID testing is still in high demand and there is a limited opportunity for our industry to provide the testing services their patients need and boost their profits.  

At this point, COVID has been a significant issue in our lives for almost a year (doesn’t seem real!). Many pharmacies think it’s too late to get started with COVID testing – but it’s not. The sooner you start providing testing services, the sooner you will be able to help those in need, increase your patient base, and drive revenue into your pharmacy that the PBMs can’t touch.  

You Decided to Provide Testing, Now What?

Once you’ve decided to bring testing into your pharmacy, the first consideration to make is do you have a CLIA Waiver. 

COVID Testing

If the answer is YES: 

You are ready to go! You’ll want to make sure you are registered as an independent lab for billing (if applicable). With the waiver, you can collect samples and process tests in your pharmacy. You’re also able to bill cash OR insurance for the tests.  

If the answer is NO: 

You will need to obtain a CLIA Waiver if you plan to process directly in your pharmacy or if you plan to bill insurance. Without a CLIA Waiver, you can only collect the samples and send them to a CLIA compliant lab to process. Whatever process you choose, it is highly recommended to get a CLIA Waiver to make sure you are compliant and things go smoothly. The good news is it’s easy and fast! NCPA has a great video that shows you how to complete the waiver.   

Implementation: Start with the Logistics 


Decide what test(s) you will offer.  

Questions to consider 

What options do you want to provide for your customers? Some employers or travel companies require different types of tests. Do you want to provide the Rapid Antigen Test? The PCR Test? Both? 

What kind of laboratory experience is required to administer the test and what level of training is needed? 

What is the test sensitivity and specificity? The more accurate the tests you are using are, the more confidence you will be able to instill in your in patients. Along with this, you will also want to think about the speed of the test and how quickly your patients need results. 

Discuss how you will document and bill for COVID testing. 

Questions to consider 

Are you going to charge your customers directly or bill insurance? You will need to take requirements into consideration. Many pharmacies have found that their customers WILL pay directly or with FSA/HSA. Patients are also able to submit for reimbursement through their medical insurance, and you can support them by providing the proper documentation. 

Will you use a manual / paper process or set yourself up to operate online? A manual system works well for low volume testing but if demand is high, an online system will help you to automate processes and minimize disruptions to the pharmacy’s overall workflow. The advantages of using an online system are it allows you to implement an appointment-based model with automated scheduling, encourages contactless online payments, and it opens the window for vaccinations moving forward.  

Check with your local health department for any reporting requirements. 

Steps to take 

Every state has their own requirements and they often differ, especially on the reporting side. We recommend that you start with your local county health department. They are normally very accessible and they will provide you will reporting requirements, specific forms for testing documentation, and requirements for waste generation.  

Next, check with the board of pharmacy to ensure you are compliant. With the high demand for COVID information, you can often find information in their FAQs or on their website. 

Once you have the logistics figured out, the next steps are to focus on education and workflow for your pharmacy and then execution. You can download the COVID Testing Implementation Plan that will give you the full list of steps you need to take to start testing in your pharmacy.   

COVID Testing Success 

Carolina COVID testingMany independent pharmacies are successfully implementing testing in their pharmacies. By following a strategic implementation plan, educating your employees, and considering the needs of your community, you can provide testing and be profitable. One PDS Member, Carolina Pharmacy Group, started doing curbside COVID testing (both antigen and PCR testing) and saw immediate demand (and ROI!). 

Since December, the Carolina team has done well over 6,000 tests. The pharmacy is not billing insurance and payments are made online. Currently they are experiencing an ROI of 10x.  

“Honestly this is the best return the pharmacy has seen since generics hit our shelves.” 

– Kavel Bhathela, PharmD and COVID Testing Lead at Carolina Pharmacy

Best practices for COVID testing

  • The pharmacy hired outside nursing staff to help with the tests to minimize disruption to their regular workflow and not cross-pollinate the pharmacy team with the testing team.  
  • They gained their team’s confidence by properly training them about the transmission of COVID, proper hygiene and PPE usage.  
  • The pharmacy provided education on the different tests available to the public and their application.   

Carolina Pharmacy is now offering services to help other independent pharmacies provide testing, help their communities, and increase their bottom line. Visit their website to learn more or place an order.  

Need More Information?

If you still need more help deciding if testing is right for you, schedule a call with PDS or watch our latest webinar: Your Blueprint for Successful COVID Testing.  

Click here to view the full PDS COVID Optimization Program. 

Open Enrollment

Open Enrollment: Help Your Patients and Protect Your Profits

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Every year, Medicare’s Open Enrollment period is October 15 – December 7. The process of enrolling or updating plans can be frustrating for aging patients, resulting in many staying with a plan, even if it isn’t the best option for their healthcare needs. Helping patients navigate this process is an excellent opportunity for independent pharmacies to act as a healthcare resource for their community. Providing high-touch, personalized service improves retention and increases the probability of the patient enrolling in a mutually beneficial plan, one that saves them money and doesn’t hurt your pharmacy’s bottom line.  

Differentiate by Delivering Exceptional Care 

Open Enrollment

The truth in our industry is that business growth can only come from great patient care. Launching a program around Open Enrollment doesn’t have to be intimidating. Start by identifying two important groups of patients in your dispensing data, those who are eligible for the first time to enroll in Medicare and patients who may benefit from an Open Enrollment consultation to select a plan.  

Once you’ve identified who would benefit from your expertise, start getting the word out, in your store and in your community.  

  • Marketing Your Services: Create in-store signs, bag stuffers, and encourage your team to highlight that your pharmacy is offering plan reviews.  
  • Encourage Referrals: Give cards with contact information to younger patients to share with their parents or older family members.  
  • Community Outreach: In-person events may not be in the cards for 2021 Open Enrollment, but you can still connect through Zoom or other video chat portals. Reach out to local prescribers and long-term care facilities to support their patient’s needs.  

What Pharmacy Owners Need to Know About Open Enrollment  


Prioritize Your Efforts in Open Enrollment


Priority #1 – Using your dispensing software or Amplicare Match identify the patients that meet two specific criteria.  

  • Those currently enrolled in a plan that will NOT be the most affordable for them next year. 

           AND  

  •  The most affordable plan next year is also the plan that will provide the highest contribution to pharmacy revenue.  

If the plan doesn’t decrease the out-of-pocket cost for the patient, we don’t recommend making the switch. The focus for any Open Enrollment period should be around improving outcomes and decreasing co-pays and premiums for your patients.  


Priority #2 – Find the patients that simply are not enrolled in the most affordable option.  

Conducting plan comparisons builds the relationship with patients and your pharmacy. If you can help your patients understand their options, save them money, and help them switch to a plan that suits their health care need, they are more likely to continue filling prescriptions with your pharmacy.  

PRO-TIP: Create a PDF that highlights how much you patient stands to save on their prescriptions per month. Always try to quantify the value you provide when possible.  


Priority #3 – Identify Low Income Subsidy (LIS) Network Patients.  

An often-overlooked segment of patients is those currently enrolled in or eligible for the Low Income Subsidy Network (LIS). There are four groups of people who may benefit from a consultation or assistance submitting the application for the LIS coverage.  

The premium and co-pays for are often the same or comparable across these benchmark plans; allowing you to help them choose a plan that offers better reimbursements and lower DIR fees for your region. Additionally, helping patients who qualify, but aren’t currently enrolled can help in driving referral traffic. You and your team can connect with low-income clinics highlighting this service for vulnerable patients.  

Identify Which Plans… 

  • Have restrictions in place 
  • Pharmacists and patients should know which plans cover ALL their drugs, require prior authorization, or step therapy for certain drugs. 
  • Have formulary changes 
  • Ensure you know the cost of a patient’s plan based on upcoming changes. This can help you find medication alternatives for patients that may not want to switch plans but their medication coverage has changed.  

Start Connecting with Patients Early and Often 

Some Medicare plans begin communicating with patients about their options before they turn 65, to shift their business to a chain or mail-order pharmacy. Reaching out to eligible patients before they are steered away from your pharmacy is critical.  

Additionally, many Medicare members are eligible for an annual MTM review with a pharmacist. Reaching out for an MTM prior to open enrollment helps keep the patient and pharmacist informed, as well as identify opportunities to highlight ways to save your patient money during the open enrollment period.  

Want More Information?

PDS teamed up with Enliven Health to help pharmacy owners discover Open Enrollment Tactics that they can implement NOW to protect (and increase) their profits in the coming year. Stay tuned for more information about our upcoming webinar.

Creating A (Successful) Virtual Event For Your Pharmacy

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2020 will be remembered for a lot of things. Staying apart, coming together, learning a new normal. Pharmacies have found innovative ways of keeping their businesses moving and operating efficiently – including an abundance of virtual communication. We are going to take it a step beyond virtual meetings and talk about virtual events in your pharmacy. This could be a product or service launch, a grand opening, a community event, etc. Big or small, there is a real advantage to hosting a pharmacy event virtually. 

Why Should You Host a Virtual Event?

The advantages of a virtual event don’t just apply during times when it has to be done, when we are all socially distanced. You can reap the benefits of a virtual event even when you can host an in-person event because it expands your reach.

Key Benefits of a Virtual Event

  • Engage with an entirely separate audience (along with your community AT the event).
  • Promote your pharmacy long after the event with the content you develop.
  • Save time and money; virtual events will cost you less of both.

How to Get Started

The first step to hosting a virtual event (or any event!) is to decide when you want the event to take place. Even though its virtual, it will be live, so you need to decide on a date and time that will work for your audience. 

Next, you need to decide on a platform. The easiest option for a virtual event is Facebook Live. This allows you to share the experience in real-time with your audience. It won’t be perfect (it’s live, so you can’t edit), but it will be authentic, and that’s what matters. Live streams are available to viewers with or without a Facebook account. Viewers without a Facebook account just need the live stream URL. Facebook has an easy outline that talks about the technicalities of how to set this up. We are going to focus on how to promote your event and some tips and tricks to help it go smoothly!

Promoting Your Virtual Event

Just as with a regular, in-person event – you have to let people know about it or they won’t show up. At least with this, you don’t have to worry about ordering the right amount of food! So, what are the best ways to generate interest for your virtual event?

  • Schedule the Live Video – Let your fans know when you’re going live! Facebook sends a notification to your followers when your stream begins.
  • Create a Facebook event – Publicize the event details and invite your network.
  • Promote on Facebook – Create a buzz with organic posts and paid advertisements. Think beyond just posts – include photos and videos for interest.
  • Promote via other social channels – You don’t have to limit yourself to Facebook, post on Twitter, Instagram, LinkedIn, etc. and include the link to the Facebook event.
  • Send direct mail / invites – They don’t have to be fancy (or expensive). A simple, handwritten note (copied and printed) will do just fine! Send to your patients, your community, and your broader network.
  • Promote via community channels – Think about the boards you sit on; the community organizations you are involved in. Can they help promote this to their extended networks as well?
  • Promote via email – Do you already have a database of email addresses? Send the invite out via email and include the link to the Facebook event.
  • Utilize your colleagues and friends – Have guests, employees, friends, etc. share with their networks to broaden your reach.
  • Send out a press release – If you can get local press to attend (in-person or virtually), they will help spread the word and gain publicity for your event.

Planning is Key

Now that you have spread the word and generated interest, you need to organize the event. A virtual event isn’t the same as an in-person event. You need to be able to engage your attendees even when you’re not face to face. A well-developed plan and a smooth-running event will help you do just that. There are technical considerations you need to make as well, but we’ll talk about that in a moment.

Start with the Goal in Mind

When you start developing a plan, first define what the goal of the event is. Once you have your goal in mind, you can plan out what you need to do to achieve that goal. Do you want people to know about the excellent patient care you offer? Do you want to drive patients to a new location? Are you trying to increase awareness about a new product? Each of these examples will have a slightly different plan.

Layout the Logistics

Take a look at the length of your event and break it out into beginning, middle, and end. Depending on what your overall goal is, set up the plan for the event. Some ideas may include a virtual tour or a look behind the scenes, a promotion for participants, a ribbon cutting ceremony, a giveaway, a speaker, etc. Each portion of the event should be engaging for viewers. Unlike an in-person event, you don’t need time built in for mingling or networking. Be thoughtful, keep it concise and keep your viewers in mind.

Add a Little Incentive

While many people will attend just to support you, you can also use incentives to entice more people. Offer something to everyone who joins the Facebook Live (a gift, discount, etc.). If you promote this ahead of time, it will increase the number of viewers and it will also help to drive business following the event. You can also design a more significant contest or giveaway that you can promote and then announce a winner during the Facebook Live.

Tips and Tricks for a Seamless Virtual Event

A virtual event does involve technology, so it’s important to be prepared. Here are just a few pieces of advice that will help ensure your event goes smoothly.

  • Stick to the plan (generally) – It’s live so you may go off script a bit, but in general, if you stick to your plan you will feel more prepared and your confidence will come across to the audience.
  • Use a tripod and mic – Nothing is more frustrating than bad audio or visual when you try to watch something virtually. Invest in some equipment (you can get them inexpensively on amazon)and test it beforehand.
  • Make sure lighting is good – See above. You want people to see what you are showing them.
  • Make sure bandwidth is sufficient – You’re depending on the ability to stream your event. Make sure your connection is reliable.
  • Make sure the background reflects the brand – We all know people stage photos (eh-hem, you who just took a photo of your kids and your house looks spotless; meanwhile there is a pile of unfolded laundry in the corner). Same concept. Show the viewers what you want them to see (even if you have to stage it!).
  • Use a horizontal frame – This will give viewers a more comprehensive view of the pharmacy or location and allow them to feel like they are part of it.
  • Interact with the viewers – Pretend you are in the same room. Acknowledge people who join, give people shout-outs, encourage questions, address comments, etc.
  • Have back-up – Back-up might include a person – someone to help with the technical aspect or problem solve any issues that may arise. That also includes back-up equipment (computer, phone, etc.).

That’s a Wrap. Now What?

You’ve made it through your event with minimal footage for the blooper reel and you’re feeling good. However, it’s not time to sit back and relax just yet. Following your virtual event, there are steps you will want to take to maximize and repurpose the content.

Once you complete the Facebook Live and post it to your page, you will want to add some context around it. Edit the post with a brief and actionable summary about the event and tell people why they should watch. You can also add closed captioning to the video since many videos on Facebook are listened to without sound.

Once your video is cleaned up, you will want to address comments and answer questions that you maybe didn’t get to during the live broadcast. This will continue the conversation and the engagement with your audience. Continue to keep an eye on the post in case questions and comments come in from people who didn’t watch it live.

Finally, don’t forget to repurpose the video. Post it on your website, on other social channels, create a blog about it, etc. The create thing about a virtual event is that it doesn’t have a hard end time. You can extend the shelf life of the video and reach more people by continuing to push it out to your network. Think “In case you missed it” or “Did you miss our grand opening? Check it out now for a special discount code.”

Don’t Stop There

Your pharmacy deserves to thrive, and there are many (both traditional and out-of-the-box) strategies you can implement today to make that happen. For more marketing ideas and advice to help grow your pharmacy, check out the webinar – How to Market Your Pharmacy During COVID-19, our Podcast – Marketing Strategies for Your Pharmacy and the blog – Marketing Your Pharmacy: Four Steps to Get You Started.

What Can Your Pharmacy Data Do?

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Here at PDS, we take pride in highlighting some of our incredible exhibitors. We know these companies have the potential to revolutionize pharmacies just like yours through their products and services. We’re excited to introduce American Associated Pharmacies (AAP). Read on for their sponsored blog post about building your bottom-line.

Data is everything. It can drive business growth, increase profitability, and improve your relationships with your patients, but only if you use it.

Here are just some of the key categories of data you should be interested in, and suggestions for how to get started acting on it.

Questionable and Open Claims

It’s important to monitor all claims going through your pharmacy. A good practice would be to double check any claims outside of some key financial rules that make sense for your business, to help avoid negative outcomes. If no copay is collected on a cash claim, was it processed correctly? If the profit margin on a prescription is less than the cost, are you purchasing that drug correctly?

Be sure to monitor and resubmit claims that are reversed. It’s also to your advantage to monitor changes in Average Wholesale Prices and consider other claims to resubmit. One pharmacy generated $2,000 in additional revenue in only a week using a tool to access up-to-date AWP data.

Timeliness of Refills and Missing Patients

Does your pharmacy monitor when patients are due for refills, or if patients disappear altogether? Using that data to stay in contact with these patients can mean better care for them, and more revenue for your pharmacy. Pharmacies using one tool have proven that contacting just a few dozen of these patients in a month can mean an average of $11,000 or more of increased revenue. With the added benefit of increasing adherence and Star Ratings, along with building essential loyalty with patients who feel cared for, it’s data you can’t afford to ignore.

 

Other Marketing and Outreach

Marketing and outreach are important ways to take the data you already have and apply it. Patient data can tell you if you have patients nearing 65 who may need help selecting a Medicare plan; it can tell you if you have brand new patients who could use some outreach to build a relationship; it can tell you if there are prescribers in your area who aren’t sending prescriptions your way, or if there are others who may make up a large share of your fills. Data can help you target your marketing efforts and spend less to do more for your pharmacy’s health and growth.

These are only some of the opportunities that can deliver great benefits from the data your pharmacy collects on a daily basis! The good news is, there are tools like AAP’s ProfitAmp that can sift through your dispensing, patient, and prescriber data and provide easy-to-use reports with immediately-actionable data.

Saying pharmacy is a busy profession is an understatement, especially considering current events. However, watching these metrics as much as possible can be a key way to optimize profitability.

About the Author

As a cooperative of over 2,000 member pharmacies with an independently owned warehouse and specialty pharmacy and qualified preferred partners, American Associated Pharmacies (AAP) is so much more than a buying group. AAP provides the tools and resources needed for members to improve their bottom lines, such as business intelligence tools, a powerful proprietary ordering system that syncs across devices, and more! Visit RxAAP.com/ProveIt to learn more.

Planning for Success with Adherence Packaging in Your Independent Pharmacy

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Here at PDS, we take pride in highlighting some of our incredible partners. We know these companies have the potential to revolutionize pharmacies just like yours through their products and services. We’re excited to introduce RxSafe. Read on for their blog post about planning for success with adherence packaging in your independent pharmacy. 

You’ve no doubt heard the saying, “If you fail to plan, you’re planning to fail.” Marketing adherence packaging is no different. If you begin with the end in mind, you’ll have a much better chance of success.

At RxSafe, we’ve worked with hundreds of independent pharmacy owners, including a few who have successfully added 15-30 new adherence patients each and every month. How did they do it? It starts with a plan, which incorporates best practices as well as taking into account your local market and its needs, your unique value proposition, your competition, the strengths of your team, and other factors.

“It’s definitely not Field of Dreams, like ‘If you build it, they will come’… you really have to build it and then go out and tell everybody about it,” says PDS member Matthew Massey, pharmacist and owner of Massey Drugs, with three stores in Florence and Tuscumbia, Alabama. “You have to educate your patients, you have to educate the doctors and your community that you’re doing this, and why it’s important. But I really believe you can grow this quickly, pick up new customers and take care of those customers better than they were being taken care of before. To me, it’s all about what’s in the best interest of the patient.”

Like Massey, fellow RapidPakRx owners and PDS members Bruce and Lisa Kocian have a lot of experience with compliance packaging.

“When you’re starting out, I would say to focus on communication,” says Lisa Kocian. “This is a new concept for a lot of people, and they don’t necessarily understand it, and they may have expectations that are not realistic. And so, we’ve learned to thoroughly explain the program to the patient, that we’ll have to sync their prescriptions first, and then we can get them in the RapidPakRx. People are so excited about getting their prescriptions in the packaging, they want them immediately in the packaging. And sometimes it takes a refill cycle to get everything synced up. But communication and doing a really good job of explaining what they should expect from the program, I think makes things run smoothly.”

 

PDS member Clayton Gilde, owner of McBain Family Pharmacy, recommends a multi-pronged marketing approach.

“We usually get about seven patients per week from the PakMyMeds Network (social media advertising), Gilde explains. “When we get a lead, we’ll usually reach out to them and ask them how they’re currently taking their medications. Sometimes the patients are taking it from another provider like PillPack, or something else, and they’re happy to switch over to someone local.

One thing we noticed was that we put in the PakMyMeds box right by the register, and by the drop-off area, it was able to spark a lot of conversations with our patients that are already using us. We also use ads in local newspapers and radio explaining the PakMyMeds program and how it can benefit patients.”

The three most important things to do when adopting automation for your synchronization program are:

  1. Make a plan for marketing and promotion.
  2. Effective communication and set proper expectations.
  3. Don’t rely on one marketing approach, use a variety of methods to get the word out.

About the Author

RxSafe is the leader in robotic automation that improves patient safety and boosts profitability for retail pharmacies. Our RapidPakRx™ adherence strip packager enables pharmacies to run a 30-day med cycle at the lowest possible cost. RxSafe’s BlistAssist™ medication blister card packaging assistant improves the manual preparation and verification of single or multi-med blister cards. Our RxSafe 1800™ system helps pharmacies achieve better accuracy & speed, space savings, narcotics security, and inventory management. Learn more at www.rxsafe.com.

How Vaccination Programs Can Bring Profits to Your Independent Pharmacy

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Here at PDS, we take pride in highlighting some of our incredible exhibitors. We know these companies have the potential to revolutionize pharmacies just like yours through their products and services. We’re excited to Drug Topics. Read on for their sponsored blog post about how vaccination programs can bring additional profits to your pharmacy

The majority of pharmacies in the United States now offer vaccinations, but there is still a significant opportunity to turn a well-run vaccination program into a profitable

endeavor that benefits both patient and pharmacy.

Many adults still fail to get the recommended vaccinations each year. According to the CDC, just 37.1% of adults received the flu vaccine during the 2017-2018 flu season. This presents a significant opportunity for independent pharmacies to improve these numbers by expanding their immunization efforts, marketing their programs to the community, and relying on what makes a pharmacy a unique health care setting.

“Pharmacies have a huge advantage right off the bat of being readily available and accessible,” said Beverly Schaeffer, RPh, of Katterman’s Sandpoint Pharmacy in Seattle, WA.

Katterman’s was one of the first to offer vaccines—starting their program back in 1996. Schaeffer said the pharmacy had been hoping to give 300 vaccines but found themselves administering 1,200. Since then, the program has continued to grow and the pharmacy now offers all available vaccines in the state and can even administer to children and infants.

“All pharmacists could be doing more immunizations than they are if they wanted to,” she said.

Expanding immunization efforts can not only improve public health, but it can also serve as an increased revenue stream for community pharmacies. Close to 100 million Americans get the flu shot each year, translating to $4 billion to $5 billion in revenue, PBA Health reported.

Immunizations outside the influenza vaccine can often bring in even larger administration fees for pharmacies. “Almost all immunizations pay an administration fee that varies from plan to plan, but you get paid for the vaccine plus an administration fee,” Schaeffer said.

Vincent Hartzell, PharmD, president of Hartzell’s Pharmacy in Catasauqua, PA, said successful immunization programs not only provide revenue for a pharmacy on their own, but they also often drive other areas of business. “Vaccines have allowed us to provide marketing and attract new customers,” he said.

The most effective marketing strategies, he said, don’t always have to be costly and can be as simple as an effective social media post, informing local physicians and area senior centers of the pharmacy’s immunization services, or using banners and signs.

Schaeffer has found one of her best marketing tools is a sandwich board placed outside the pharmacy each day that highlights different services such as its tetanus shots, travel vaccines, or the highly sought-after shingles vaccine.

Her pharmacy does a significant amount of business in travel vaccines, so she also tries to drive other store business through a separate travel aisle where customers can find everything needed for an upcoming trip; anti-diarrhea medications, rehydration packets, eye drops, all in one convenient area.

Hartzell believes it’s important that all the pharmacists in a community pharmacy be trained to give immunizations so that there is always an available staff member whenever a customer arrives at the store.

To improve the workflow, he said, non-pharmacist staff should also be a critical aspect of vaccination programs. Those workers should have ways to identify patients who may be behind on immunizations or could benefit from annual vaccines such as influenza and pneumococcal vaccines.

“Make sure that your technicians know how to do the billing, make sure your technicians know how to fill out the consent forms because that’s the stuff that you don’t need a pharmacist for,” he said.

Overall, Schaeffer and Hartzell agreed, successful vaccination programs can yield big rewards for community pharmacies and their patients.

About the Author

Drug Topics is the leading pharmacy journal for retail, health system and specialty pharmacists. Drop Topics provides news, information and trusted perspectives through peer-based forums and opinions, relative to all aspects of pharmacy practice and also offers direction on elevating your profession and career. Check it all out at drugtopics.com.

Solutions to Build Your Independent Pharmacy’s Bottom Line

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Here at PDS, we take pride in highlighting some of our incredible exhibitors. We know these companies have the potential to revolutionize pharmacies just like yours through their products and services. We’re excited to introduce American Associated Pharmacies (AAP). Read on for their sponsored blog post about building your bottom-line.

Your Brand Rx cost of goods is one of the largest factors affecting your independent pharmacy’s bottom line, but it isn’t the only one. You may have found the right buying group or wholesaler, but inefficient processes or small losses that may seem insignificant now could mean a huge difference for your profitability later.

growing pharmacy profits

Let’s look at some of the things you should watch for when evaluating the best independent pharmacy business solutions to build your bottom line.

Don’t Lose Your Specialty Patients

Patients on a specialty drug have an average of 13 additional prescriptions.* A majority of these are maintenance prescriptions your pharmacy can fill, but only if these specialty patients continue to come to your pharmacy. They may not return if they are directed to a pharmacy other than yours for their specialty needs, and the specialty drug market is one of the fastest-growing. Specialty drugs are expected to account for 50% of the drug market as soon as this year (2020).

It’s in your best interest to be able to help patients who need these medications, and the good news is that you don’t have to spend tens of thousands of dollars to become certified as a specialty pharmacy yourself. There are programs available to help you keep your specialty patients in your pharmacy while making sure they’re provided with quality specialty care.

*According to Specialty Pharmacy Times Magazine

Keep A Unique Front-End in Your Pharmacy

On average, front-end products carry a profit margin of 15% higher than on prescriptions. This average of 38% for OTCs and other front-end merchandise, much greater than the average of 22% on prescriptions, is a clear opportunity. Are you taking full advantage of that knowledge?

Rather than only stocking items your patients could find in any big-box retail store, you have the opportunity in your pharmacy to be unique. Basic supplements like vitamins are essential and can bring in a hefty amount of revenue. Don’t leave them out! But you can do more. You can carry the variety of over the counter products that big-box stores are spread too thin to offer.

There is a wealth of niche markets to branch into. From specialized health products to pet pharmaceuticals and diabetic footwear, do what only you can do as an independent pharmacy. Take your queues from your community or target market. Attract patients who might otherwise have to travel long distances to find the products they need or order blind from online sources. They’ll be glad you’re there.

Streamline Ordering Within Your Pharmacy

Save precious time by streamlining your ordering process. Having a plan and a robust ordering system will go a long way in this area. Make sure your system will keep an order queue consistent across devices to avoid redundant spending, automatically submit orders to keep you from missing deadlines and make the process as efficient as possible. Don’t waste time typing in numbers, dragging bottles to a stationary scanner, or ordering from multiple websites.

Do your research and find a solution that offers all the flexibility you need in your setup!

About the Author

As a cooperative of over 2,000 member pharmacies with an independently owned warehouse and specialty pharmacy and qualified preferred partners, American Associated Pharmacies (AAP) is so much more than a buying group. AAP provides the tools and resources needed for members to improve their bottom lines, such as business intelligence tools, a powerful proprietary ordering system that syncs across devices, and more! Visit RxAAP.com/ProveIt to learn more.

Three Tools that Lead to Smarter Decision Making in Independent Pharmacy

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When a methodology works for everyone, it gets its own name. Take Pearson’s Law, for example, which has helped everyone from basketball coaches to restaurateurs see better results. The rule says that “everything measured improves; everything measured and reported improves exponentially.”

In short: looking at your data leads to smarter choices. This is certainly true for pharmacy owners, who can find some of their most useful data in just three routine financial statements and gain the clarity and confidence to move their pharmacy forward.

Pharmacy Finances: If It’s Not Broke, Why Fix It?

Pharmacy owners don’t think about diving into their finances because that’s not what they studied to do (outside of a one-semester business class, maybe). Pharmacists are in the business of helping people, not balancing books – which is why they tend to be content as long as they’re in the black.

But the pharmacy world is fluid and increasingly suffocating, and without strategic financial planning, big moves (like opening a second location or taking on an esteemed hire) may not be feasible. Not being savvy with the financial basics and being unaware of the ins-and-outs of pharmacy performance data to make smart decisions — can cost your pharmacy businesses plenty.

In this blog, we’ll take a look at three financial statements, how to decode them, and what information you can get to develop the future of your pharmacy.

Get Your Footing with a Balance Sheet

Your Balance Sheet is a simplified overview of your current financial situation. It should be used to make budgetary decisions – similar to how you check your bank account balance before saying “yes” to that new car purchase.

The balance sheet lists everything in your pharmacy as either an asset or a liability for providing a comprehensive financial snapshot. Here are some quick tips for getting more out of your Balance Sheet:

  • Determine your accounting method. Ask your accountant whether he or she uses the Cash Method (working with money already in the bank or register) or the Accrual Method (popular with most pharmacies, it works with all money, including revenue still pending from insurance companies). As tax laws change, have discussions with your accountant about which method is best for your business.
  • Diagnose your pharmacy’s health. One of the most important figures here is the Retained Earnings, which is the go-to gauge for the health of your business. To find it, take your assets and liabilities (see the totals on the left- and right-hand side in the above example?) and add invested capital. The larger the difference, the healthier your pharmacy is.
  • Distinguish what you can (and would) invest. Know what you have in the bank to reinvest (e.g., “Current Assets”), and what is untouchable (e.g., “Payroll Account”). Determine what you feel comfortable with moving when considering what to spend. For example, what can you liquify from your Fixed Assets, like office equipment? To find out what you really have to work with, subtract the depreciation figure from your total fixed assets.
  • Work the ratio. The golden ratio for pharmacy owners is a different figure from that of Ancient Greece: for a healthy and robust pharmacy that is seeing positive growth, you want to have a 2:1 assets-to-liabilities ratio. This ratio is known as the quick ratio and can be an early indicator of financial trouble.

For more balance sheet hacks (and how often you should generate one), download our eBook or get in touch with us.

Income Statement = Outgoing Investments

An Income Statement is a two-page document that goes into further detail than the Balance Sheet. It will provide more insight around trends in your spending (where is the money pit?) and the performance of different revenue sources (like prescriptions vs. over-the-counter items). It’s also an excellent resource for comparing how your business has fared month-over-month or year-over-year.

     

It shows financial data current to the month, and data from the same time the year prior. Your revenue (income) should exceed costs (your spending). You’ll want to figure out the following using your Income Statement:

  • Find your hotspots. Even if your profits are stable, the sources may not be uniform; a few items could have wide profit margins while others really don’t, and this is certainly something to consider when deciding how to grow your business. The key lies in percentages. To find your gross margin, divide the gross profit by total revenues. To see your profit margins, divide net profit by total revenue.
  • Understand the outliers. Numbers don’t lie, but they don’t always tell the whole story. There are unlisted factors that pharmacy owners should consider when examining their Income Statement, such as depreciation. Using a car analogy, your new car lost some value as soon as you drove it off the lot — the same can apply to office equipment but it doesn’t affect cash. A good accountant will advise a pharmacy owner on how to work these factors into the equation.

For more information on this, read about additional influences you should consider when planning your pharmacy’s long-term success.

Go With The Cash Flow

A partner of the Income Statement is the Cash Flow Statement and is a bit of a fortune-teller. Instead of the retrospective that an Income Statement provides, the Cash Flow Statement gives pharmacy owners an idea of what to expect next.

The more pharmacy owners understand how to read this document; the more accurate their assessments will become over time. Here’s where to find some clues hidden in your Cash Flow Statement:

  • Ask for the time. While every business has a Cash Flow Statement, this document is especially valuable to pharmacists whose revenue is tied up with third-party payers. It’s difficult to accurately project future cash flow if you’re unsure of reimbursement time frames. To determine the gap, look at the difference in monthly revenue vs. cash sales (copays, OTC goods, etc.). Then add up the percentage of cash in Accounts Receivable that came from prior months’ sales. This will give you an idea of how much of your monthly cash flow relies on earlier transactions and how much available equity you shouldn’t expect to receive from your sales from month-to-month.
  • Play it safe. Always err on the side of underestimating the cash you expect to come in, and overestimate the cash you plan to spend, whether it’s due to surprise DIR fees or flood damage. Plus, ending up with more than you planned for is always a great way to operate!

Working With Your Accountant

Financial statements are interdependent, and you need both the parts and the whole to understand how you’re doing. Now that you’ve got the basics down for a better understanding of how your pharmacy is performing, it’s time to make informed, strategic decisions. This is a little harder to come by. And admittedly, even with a better understanding of these three financial statements, pharmacy owners have too much on their plate to stay on top of intelligent accounting choices. That’s why it’s crucial for pharmacy owners to partner with accountants who deeply understand the industry. Anyone can produce a Balance Sheet, but unless those numbers are examined in the context of the pharmacy industry, it’s easy for even the best accountant to miss key data (for example, taking DIR fees, 340b contracts and clawbacks into consideration). For a checklist of questions to ask your accountant in addition to tips for accounting software users, download our eBook. Are you interested in working with us to make more of your pharmacy? Good, because so are we! Schedule a short call with our accounting team.

For PDS members, log into PDSadvantage to find the applicable pharmacy team resources in the Knowledge Library that can help you start making your finances work for you such as the Finances Peer Group, Budgeting Worksheet, Profit vs. Cash Flow, and many more.

Flu Season Essentials for Your Patients

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Here at PDS, we take pride in highlighting some of our incredible exhibitors. We know these companies have the potential to revolutionize pharmacies just like yours through their products and services. We’re excited to introduce American Associated Pharmacies (AAP). Read on for their sponsored blog post about flu season essentials for your patients this flu season.

It’s that time of year where we experience an increase in cold and flu activity. Patients will be turning to your pharmacy for medication and remedies that they can rely on to get them through the winter.

Popular Supplements to Keep in Stock

According to the Nutrition Business Journal, the US supplement industry has seen an increase of 5-6% each year over the last two years, with growth expected to continue at that rate or higher until at least 2022. Make the most out of this opportunity for profitability by supplying your community with OTC products that carry valuable health benefits.

Elderberry

Elderberry syrup is growing in popularity as a powerful alternative to both prevent and fight cold and flu. It has been tied to a significant reduction in the severity and duration of symptoms in studies. Patients taking Elderberry syrup reported symptoms clearing up an average of four days earlier than those taking a placebo.

The syrup has been nearly impossible to keep on pharmacy shelves in recent flu seasons, and the market is expected to continue to grow at an accelerating rate of over 7% until 2022 at the very least. Don’t miss out! Your patients will thank you for keeping this new staple in stock.

Vitamin C

Studies have shown Vitamin C can boost your immune system, and possibly even help protect against heart disease, cancer, and stroke. This safe and effective supplement is a strong preventative for flu season. It’s recommended that the average adult receive at least 75-90mg daily for peak effectiveness.

Vitamin D

Vitamin D is particularly useful in areas with harsher winter weather. When the sun is hiding behind clouds, it’s harder to soak up enough! Vitamin D is essential to the body’s immune system and bone strength, but our bodies cannot store it for extended periods of time. Supplements can help combat this and will also keep your patients happy and healthy.

Iron

Iron is another immune booster. It has shown to help keep energy levels up during short, dim days. Iron is essential to blood flow and oxygen transfer in the blood, making it a key component to heart, lung, and neurological function. Deficiencies are common even here in the US, with an estimated 8-12% of Americans not receiving enough iron in their diets. Women, young children, and patients with heart conditions are among some of the most likely to have these deficiencies and could most benefit from iron supplements.

Zinc

Zinc is known as another preventative supplement that can help to prevent the common cold if used regularly. Similar to elderberry, it strengthens the immune system and can aid in reducing the length and severity of a common cold. The average adult needs about 9.5mg a day, while women need about 7mg.

Cold and Flu Shots and Medications

While supplements are popular and can help prevent sickness or shorten a bout already underway, encourage your patients not to pass on a flu shot.

If your patients do come down with the flu, a cold, or a fit of allergies, you can be ready. Keep plenty of flu medication, nasal spray, and cough syrup on hand, as some of these–particularly a prescription like Tamiflu–can grow scarce as the season drags on. Stock up and stay ahead of the rush as much as possible to avoid losing potential income.

From AAP’s Member-Owned Warehouse for Cold and Flu Season

Find these remedies and more at store.apirx.com.

  • Supplements: Vitamins such as C, D, & E; Iron; Zinc; and more
  • Medications: Generic Tamiflu, Fluticasone nasal spray, Promethazine-Codeine cough syrup, Mucinex, and more
  • Other: Nasal strips, thermometers, socks, and other winter essentials

About the Author

As a cooperative of over 2,000 member pharmacies with an independently owned warehouse and specialty pharmacy, the nation’s 4th largest PSAO, and qualified preferred partners, American Associated Pharmacies (AAP) is so much more than a buying group. AAP provides the tools and resources needed for members to improve their bottom lines. Visit RxAAP.com/ProveIt to learn more.

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