July 22, 201511 yr I really hate to see this happen, and it's happening all over. A well known local pharmacy in Lawrenceburg where I live closed it's doors recently.
July 22, 201511 yr Similar to what happened to mom and pop hardware stores when Lowes and Home Depot came to town two decades ago. I used to always be confused when friends and relatives would lament about Levi Brothers Hardware, H&S Hardware and others in Louisville closing but yet admit they hadn't shopped at those places for years, instead always went to Lowes or Home Depot. I wonder if Genesis Diamonds and others like them will do the same to the local jewelry stores? Is Jewelry so specialized that customers still want to deal with Family owned stores or is it just a matter of time? The last time I bought jewelry was when I bought my senior ring at Trinity so, jewelry is an area I am pretty ignorant of but I hear Genesis's annoying commercials ten times a day so I assume they are making inroads. Two large companies are dominating the retirement home business (can't think of their names) but instead of moving in and putting others out of business, they are just buying out the mom and pops and making the former owners the managers of the homes. My family had been using Russman Funeral Homes in Germantown since the 1800's. We asked Mr. Russman how things have changed and he said the companies bulk buying is the big difference. They are able to get caskets and insurance for prices they could not have dreamed of when Russman was independently owned.
July 22, 201511 yr This is a vast oversimplification, and certainly doesn't apply in all cases...but, I firmly believe there are manufacturers/suppliers out there whose actions show that they really don't care about selling anything to the average-Joe customer. They make their money off of the retailer, whether the product sells or not. And in the end, that usually hurts the smaller mom/pop stores.
July 22, 201511 yr A lot of small pharmacies in my area have had their doors shut by the DEA for doing things they shouldn't.
July 23, 201511 yr A lot of small pharmacies in my area have had their doors shut by the DEA for doing things they shouldn't. Or sold to big chains before any investigations got any traction so they could be in the clear. The vast majority of sales to larger companies are because the independent pharmacy called them when they wanted to retire.
July 23, 201511 yr Will add my thoughts tomorrow in this when I have more time . The collusion between the chains and insurance companies is a huge threat to indy pharmacy. Its like the fox watching the hen house . CVS owns Caremark . Walmart is in bed with Humana . Last year generic supplier ANDA got caught charging indy pharmacies 80-95 bucks per 30 for Duloxetine and charging a chain pharmacy about 30 bucks . How can you compete with that type of Cost of Goods disparity ? Imagine Caremark sharing your patients data with CVS . Why should it be legal for Caremark Insurance Co to mail out cards to their members with " CVS Pharmacy" on the card ? The playing field is so uneven its difficult to survive.
July 23, 201511 yr Forgot to mention that a growing number of RXS are filled at a loss each and every day . Ins companies set reimbursement rates below what we can buy product for . I'd say 5 % are being filled at a loss every day . Sometimes a 20-50 bucks loss to actually fill a rx .
July 23, 201511 yr The weak, poorly run small pharmacies are in trouble. The well run ones are still doing well.
July 23, 201511 yr The weak' date=' poorly run small pharmacies are in trouble. The well run ones are still doing well.[/quote'] Extremely well. Your average pharmacist isn't a businessman, they don't all have the right mindset.
July 23, 201511 yr Will add my thoughts tomorrow in this when I have more time . The collusion between the chains and insurance companies is a huge threat to indy pharmacy. Its like the fox watching the hen house . CVS owns Caremark . Walmart is in bed with Humana . Last year generic supplier ANDA got caught charging indy pharmacies 80-95 bucks per 30 for Duloxetine and charging a chain pharmacy about 30 bucks . How can you compete with that type of Cost of Goods disparity ? Imagine Caremark sharing your patients data with CVS . Why should it be legal for Caremark Insurance Co to mail out cards to their members with " CVS Pharmacy" on the card ? The playing field is so uneven its difficult to survive. I think the reason you see this happening is because of more and more insurance companies trying to make patients get all of their maintenance meds via mail order l, thereby giving the patients even fewer options than what you get with your average Caremark plan. In that case you can do your maintenance meds via mail order or a CVS, which is more options than you would otherwise get. I do understand your point though, how can a company dictate where you can fill your prescriptions. Sadly it is the same in concept as an insurance owning a mail order pharmacy. It's just a bit more obvious with CVS\Caremark than it is with Rightsource (which is owned by Humana). It is frustrating to see that sort of thing happening, but given the control over the industry that insurance companies have it is not surprising to see a chain do that. On that subject though there has to be a firewall between both sides of the business to allow for that to happen.
July 23, 201511 yr And guess who owns the Mail Order house ? the same people forcing you into mail order . As far as managing a pharmacy and who is doing well and who isn't , there are lots of indy's closing , and most are long time successful ones . Me ? I'm doing OK , but don't see being able to expand or have good income growth bc of the incredibly low Ins. reimbursement . We are seeing prices below 5 bucks to fill 90 days worth of several meds . Yes there is some good gross margin rxs out there but a exploding number of rxs are being paid so low that salaries or employees must be cut .
July 24, 201511 yr Anthem just announced a 54 BILLION dollar takeover of Cigna ... think the ins companies are making any money ? Thanks Obama ! all part of the plan to drive the country into single payer misery .
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