To: Bill Harmond who wrote (12000 ) 7/29/1998 12:34:00 PM From: umbro Read Replies (1) | Respond to of 164684
Regulatory issues make online retailing of pharmaceuticals complicated. The pharmacy industry is state governed, and states have only just begin to address the numerous issues that such sales could raise. Still, the niche is quickly attracting participants: Former U.S. Surgeon General C. Everett Koop's Texas-based Empower Health last week launched Dr. Koop's Community, a Web site that lets consumers refill prescriptions online and pick them up at a local Rite Aid pharmacy. Empower CEO Donald Hackett says, "There are 2.6 billion prescriptions a year; 47 percent of that is refill. We want to be the Amazon.com of refills." As for the original Amazon.com, one observer notes that Drugstore.com reflects the evolution of Amazon.com founder Jeff Bezos' original concept, which was simply to pick products that made the most sense for e-commerce: "He had a list of what to sell, and here they're going to make their way down Jeff's little list." [ URL: thestandard.net ] Apart from the regulatory issues, I (really) am trying to understand the advantages of filling prescriptions over the net. After all, do I "browse" around for the "best" refill? Do I look for online reviews of drug refills? The only thing I can think of, is that I might look for the best price on a refill, but it sounds to me as if their idea is to team with a particular line of drugstores (Rite Aid). And what about the fact that most refills are paid for by either private insurance or Medicare? The billing aspects of this business sound complicated, if the company decides to "go direct" (ie, not go through a drugstore chain). And then there would be the issue shipping pharmaceuticals across state boarders via air freight carriers. Just sounds really complicated to me, and not a very good internet business. Any ideas, on how this business model might succeed? Any reason that Amazon would want to take this on, and team with drugstore.com? I checked the InterNIC records on drugstore.com. Kinda impressive, that they were able to score on this domain name, since the entry was only created in May, 1998.