Like retail at large, retail pharmacy is evolving and restructuring. Many large chains are closing stores, scaling back primary care services, and struggling to keep relevant front-of-store offerings beyond prescriptions. Exhausted pharmacists are staging walkouts, further affecting customer experience. Long gone are the golden days of 2010 to 2015, when large pharmacy chains were adding stores and enjoying 25% to 30% gross margins and steady profit growth. Today, retail pharmacy economics are under significant pressure. While pharmacy benefit managers (PBMs) have recently been less aggressive on rate negotiation, pharmacy gross profits are not keeping pace with revenue growth.
Read the full article: Bain: A New Prescription for US Pharmacy //
Source: https://www.bain.com/insights/a-new-prescription-for-us-pharmacy/