Pharmacy chains vying for prescription business

Capital News Service

LANSING – Wal-Mart decision to offer 331 generic prescription drugs to customers for $4 has smaller pharmacies focusing on convenience, customer care and location.

The program was tested in Florida last September. Because of its success there, Wal-Mart launched it on Nov. 28 across the U.S., industry in Michigan.

Michigan Pharmacists Association’s director of communications, Andrea Rybicki, said, “I don’t think people will sacrifice care for a discount. Local pharmacies have good relationships with their customers, and they know each patient’s medication list.”

Marc Steinberg deputy director of Health Policy for Families USA, a patient group in Concord, Mass., said, “The program is nice if a person can afford to go to a doctor and get a prescription written. The only problem many can’t.”

According to Families USA, of top 25 medicines prescribed to seniors only seven are on the list. Plus patents forbid the creation of a generic for drugs, such as Plavix or Lipitor. Plavix can cost consumers around $100 montly.

Rybicki said some medicines are not recommend for seniors to take a generic drug. The Beers list explains the possible side effects and complications of these generic drugs.

Drugstore chains don’t plan on changing the way they conduct business, counting on the fact that senior citizens won’t give up their local pharmacy, officials said.

Michael Polzin, director of external communications at Walgreens, said, “Wal-Mart is reacting to the success we’ve had attracting seniors to drugstores. Ninety-five percent of our customers have prescription co-pays right around the $4 mark, and seniors with Medicare D pay an average co-pay of $3.18.”

Rite Aid plans to focus on customer care, and has faith in its local pharmacies, said Judy Cook, manager of public relations at Rite Aid.

  “We don’t believe our patients will sacrifice their services and convenience,” said Cook. “Of our customers that pay cash for prescriptions only ½ of one percent are on the Wal-Mart list.”

The expansion of the program is due to consumer demand, according to Wal-Mart.

“This program has had a positive impact on millions of American. We have received hundreds of letters and e-mails from customers over the last few months telling us how this program has changed their lives,” said Bill Simon, executive vice president of Wal-Mart’s Professional Services Division. “There are so many folks out there who are living on limited budgets and have paid too much for their medicines for too long.

“Their stories drove us to expand this program as quickly as possible, and it drove our competitors to meet our $4 price,” he said. “This program is good for customers, our communities and our healthcare system.”

Some states, but not including Michigan, have pricing laws that don’t allow Wal-Mart’s program. In those states, all prescriptions must be sold above cost.

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