When CVS moved forward with its agreement to purchase Aetna Insurance Company for $69 billion, analysts saw it as a preemptive move and tactic in response to Amazon’s ongoing interest in the healthcare industry.
It’s now been reported that Amazon purchased a pharmaceutical license which will be used for the sale of medical supplies and durable medical equipment in several U.S. states nationwide. With Amazon’s reputation for fast and convenient delivery services, this puts the retail giant on a higher plain for reaching the healthcare customer.
CVS had already taken preemptive steps in 2006 when the company purchased MinuteClinic and began to serve retail customers with convenient healthcare services at many of its pharmacy locations around the country. When launched in 2001 as the first-ever walk-in-clinic in the United States, many health-conscious customers were skeptical of the concept that MinuteClinic represented. However, the retail clinics now have healthcare services at over 1,100 locations within 33 states.
With everything that is known about Amazon and the aggressive actions it has taken towards gaining a market share of the healthcare customer, there will be greater ease to convert customers to receive medical-related items from the retailer. You can visit his website drew-madden.com
The actions by CVS and Amazon provide a positive opportunity to bring a “consumerization” to the healthcare system that could transform it in a way that would be less-feared. With the bridging of customer-centric technology, the resources of a state-of-the-art pharmacy benefit manager alongside one of the largest insurance companies in the nation, CVS, Amazon, and Aetna could create a business model that allows people to live longer and healthier lives.
Drew Madden is an Executive Healthcare IT Consultant and successful entrepreneur. Drew Madden graduated from the University of Iowa College of Engineering and holds a B.S.E. in Industrial Engineering with an emphasis in medical systems. He’s been serving as president of the firm for five years and contributed to the rapid associate growth while increasing annual revenue from $1 million to $130 million. Drew Madden has a passion for the electronic medical records system which he is a subject matter expert.