E-commerce isn’t exactly a novel thing, but it was definitely boosted as Covid-19 started spreading and consumers preferred – and were often forced – to buy online due to lockdowns and social distancing protocols.
Countries that had already started their e-commerce boom before the pandemic were lucky and were able to continue business practices smoothly.
Interestingly, the pharmaceutical industry also started operating online as virtual patient care became commonplace during the pandemic. Leaders in the pharmaceutical industry saw this opportunity and invested in the online space, spurring competition in online pharmacies.
However, in order to make the online patient care and pharmacy model successful, pharmacies have to understand the inherent challenges that come with moving to E-commerce. Here are some thoughts on the relationship between pharmacies and E-commerce.
Growth of Pharmacy E-commerce
Pharmacy E-commerce is growing at a rapid rate since it’s a lucrative business model that has the potential to reap a lot of benefits.
The young population prefers e-services, which is why online shopping and pharmacy E-commerce has gained so much traction. An AARP survey showed this trend building with older demographics as 53% of the respondents in a survey wanted their medical needs to be managed by both technology and healthcare professionals. Additionally, there has been a 340% increase in telemedicine among people who use Medicare, with roughly 30% of the respondents in this survey opting to get their prescriptions from an online pharmacy.
Technology in the healthcare space is very beneficial since it provides pharmacies with real-time tracking, inventory management, and streamlined payment processes. Pharmacies are also able to increase the visibility of their business by utilizing online tools like Google AdWords, which help drive exposure for the business. For example, someone interested in buying medicines via the internet would simply type certain keywords into a search engine, such as “online ibuprofen” or “paracetamol.” Search engines will then rank websites that match one’s query based on relevancy and popularity. By paying for these listings, companies can be seen at the very topmost position after typing in generic keywords that do not directly point towards a specific website.
Virtual Patient Care is A Vital Part of Healthcare Delivery
Owing to the pandemic, virtual patient care has become extremely important in the healthcare industry. Since most hospital beds were filled with Covid patients, regular patients had to shift to virtual care.
Online patient care has been a hot topic among many healthcare executives as it offers a new channel of profits to what could otherwise be considered the stagnant patient market.
For example, more than half of all Americans are taking at least one prescription drug on a regular basis. With such an enormous number of people being served by pharmacies and physicians, it is surprising that only a few of these patients are shopping for their medications online.
This presents a huge opportunity for health care providers who wish to expand their business into this growing niche market. The fact that most patients continue to use traditional methods of getting medicine clearly illustrates that there is room for improvement in making the whole process smoother and easier for the average user.
What is Driving the Growth of Pharmacy E-commerce?
The growth of pharmaceutical E-commerce depends on a lot of things, such as the country and the economic status of its people. With the growth in pharmaceutical e-commerce, fraudulent activities have become widely recognized within this industry, thus corrupting its image and credibility with consumers looking for reputable sellers/pharmacies to purchase medicines from.
However, that’s not to say that people are losing trust in pharmacy E-commerce – they’re merely more careful now.
Sure enough, the pandemic set the rise of pharmacy E-commerce in motion. Still, the industry is being driven forward by the consumers’ interest and the availability of advanced technologies in the field.
Advanced Technologies Leading On
Currently, there are many advanced technologies in the healthcare field, such as artificial intelligence (AI) and related technologies. They will help develop more efficient online pharmacies, especially for people who live in remote areas or have difficulty accessing hospitals.
Convenience is the key factor of today’s society, so patients are willing to take the risk of buying medicine online as long as they receive the products they need from websites that offer them reasonable prices.
Now that both pharmacists and patients are benefitting from pharmacy E-commerce culture, it’s bound to become a larger a part of our lives.
Challenges in Pharmacy E-commerce
It’s not hard for patients to get any medicine they want online today. However, the pharmaceutical industry is facing a few challenges as the consumer demand has increased significantly in the past two years:
High Consumer Requirements
75% of the consumers expect healthcare providers to have the same level of service as other industries. However, it’s not always possible since the dynamics for the pharmaceutical sector are different.
Fierce Competition
In a market as big as the US, there’s a lot of competition for pharmacies. While one pharmacy is offering same-day delivery, another might be giving discounted rates. Owing to this, pharmacies have to ensure they take sufficient steps to keep up with the increasing competition.
Regulatory Barriers
Geographic restrictions on providing telehealth services are creating problems for patients in rural and remote areas.
It is important to understand that the Federal Trade Commission may take action against any business or company found to be engaging in anti-competitive telemedicine practices.
This can come in the form of fines, injunctions, or civil penalties intended to punish entities who have attempted to engage in conduct deemed “unfair” by the FTC.
Although telehealth is allowed in all 50 states of the US, pharmacy E-commerce services are restrictive in 32 states and not allowed in 26 states.
Conclusion
Pharmacies today have an opportunity to expand their services by offering personalized patient solutions and using digital tools to make the customer experience better.
With the increasing number of health and wellness apps, medical companies can easily connect with their patients either online or offline. Although there are still a few challenges, pharmacy leaders can work their way through them to ensure their growth in the medicine and healthcare sectors.
