There comes a point in time where a company like CVS — not a small dog in its industry, mind you — has to innovate in an effort to remain relevant. The world is changing, and never has that been more apparent than in the recent direction that online retail giant Amazon has taken with its dive into a license that permits sales of pharmaceutical equipment. They’re not yet ready to sell actual prescription medication yet; that’s a different kettle of fish with a different license to enable it, but Amazon appears to be gearing up for that next.
The likes of CVS, Walgreen’s and Rite Aid may have a problem here. CVS has decidedly moved its bishop in an effort to block Amazon into a corner, and that was nothing more or less than acquiring the well-known health insurance company Aetna. This acquisition has some obvious implications attached that will only improve the convenience of life for health insurance clients who’d benefit from CVS becoming a one-stop shop for prescriptions, general medical goods, and of course, health insurance.
Amazon won’t be able to follow suit here, at least not so easily. How a company of their size manages to bolster its offerings in such ways without spreading itself too thin is an entrepreneurial wonder, but for now, the celebrations are on hold. CVS and its ilk need to think about electing healthcare IT into their systems and embedding it where the likes of general-purpose retailers can’t mimic the niche as efficiently. Top-tier dogs in the medical IT industry like Drew Madden would easily prove their worth for the smaller companies that are trying to keep their corner locations next to North and Main.
Speaking of Drew Madden, here are a couple things you need to know about him:
- If CVS sweeps this man up into their good graces any time soon, it’s not an accident.
- He’s a genius at helping businesses incorporate catalogs of patient records and establishing trustworthy databases for prescription exchanges.
- Niche companies are going to find themselves gravitating toward the one-stop shop model of business as healthcare IT forges a strong web-based steel to float them with.
We’ll see what happens next.