From the recent Walgreens said that it will close its e-commerce website drugstore.com and beauty.com, once again can see the development dilemma for the C-end medical e-commerce model.
Walgreens' online thinking is still dominated by non-pharmaceuticals, especially beauty and personal care products. Walgreens acquired Drugstore.com in 2011, which was previously listed on the Nasdaq but has never been profitable. At the time, Walgreens envisioned expanding online sales through the acquisition of pharmaceutical e-commerce sites, but it was not as expected.
Online business has been a small part of the US retail pharmacy business. In 2015, Walgreens' online pharmacy revenue was approximately $1.3 billion, accounting for only 1.6% of total retail pharmacy revenue.
The main reason behind this is that pharmaceutical sales in the United States are mainly prescription drugs. There are two main sales channels for prescription drugs. One is to go directly to the pharmacy to buy medicines, and the other is to purchase drugs through the drug delivery service of the prescription management company PBM. For long prescriptions. PBM's mailing business is the core non-offline drug sales market, which is very different from the medical e-commerce that is understood in the Chinese market.
PBM is the direct manager after the doctor prescribes the prescription, supervising the rationality of the prescription and whether to pay for it. PBM is the price negotiation between the payer and the pharmaceutical company. The large PBM can get higher with the amount of the insurance company it serves. Drug discounts. Therefore, for users who need long-term medication, PBM offers a direct long-term prescription mailing service for up to 90 days. Users only need to enter the prescription number and user information on the PBM company's website, they can get the medicine by mail, and they can also set the medicine to use up the reminder, and then re-open the medicine by phone, mail, website.
![[Viewpoint] Medical e-commerce directly facing the C-end is difficult to become a climate](http://i.bosscdn.com/blog/20/16/08/15092349963.jpg)
The benefits of PBM mailing services are threefold. First, it is convenient for patients who need long-term medication to obtain medicines and continue medicines. Second, PBM can give users a better price. Third, PBM is directly connected to the payer. There is no problem with the purchase of drugs by third-party websites that do not accept the plan of the insurance company, or the insurance company's self-pay part.
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