Taking Prime position? A look at <b>Amazon's</b> potential impact on pharma | RetailTechPodcast

Taking Prime position? A look at Amazon's potential impact on pharma

As the pharma market is rocked by the news of Amazon's acquisition of PillPack - the online pharmacy - we briefly take a look at the history of the e-commerce giant and what impact its move into pharma may have on the traditional space. As we have recently witnessed the retail giant, Amazon's, first real big push into the online pharmacy market, the question on most peoples' lips is: Could this be the end of traditional pharma space as we know it? What about its move into online pharma? Rumours and hearsay about various forays into this field have been rife for a little while, ranging from Amazon hiring a general manager to head up a pharma sales department last year4 to its proposal to deliver drugs via unmanned drones in 2015 - Amazon Prime Air.5. Through this acquisition, not only does Amazon now have an online pharmacy in its pocket it also has one with pharmacy licences in 50 states in the US, which means it has what it needs to launch a full-scale pharmacy business. Amazon is expected to benefit from the PillPack acquisition with penetration of the over 55 market sector, something that has proved elusive for the company until now. With the managing director of data and analytics company, GlobalData, Neil Saunders, stating this move to be 'a warning shot in what is about to become a major battle within the pharmacy space' it will be interesting to see what the next steps will be and what further impact will be seen in pharma. At any rate, the pharma market is much more complex than simple delivery of pills so despite the immediate ramifications seen in share prices as a result of Amazon's acquisition, a lot of experts anticipate this 'up-ending' of the pharma space to bottom out eventually with the market finding an equilibrium of sorts. Read more