Amazon Tackles Prescription Abandonment, Labs Could Take Note
Amazon Pharmacy kiosks aim to close the gap between prescription and patient. Labs can learn how to reduce delays and improve impact.
An alarming number of U.S. prescriptions never make it into patients’ hands. Recent data from a GoodRx survey found that 28% of Americans had a prescription sent to the pharmacy that was not filled.
In early October, according to an article from CNBC, Amazon announced it is taking another step into the U.S. healthcare market with the launch of prescription drug kiosks at select One Medical offices in Los Angeles, a move the company says will “remove a critical barrier” to care and could disrupt traditional pharmacy chains.
The kiosks, operated by Amazon Pharmacy, function “similar to a vending machine,” dispensing medications “within minutes” of a patient’s doctor visit, according to the company. Each kiosk “can stock hundreds of prescriptions, such as antibiotics, inhalers and blood pressure treatments,” with inventory customized to meet local demand.
What Labs Could Learn from Amazon’s New Kiosk Model
Amazon’s recent move is more than a pharmacy innovation—it potentially offers a model labs could adapt or draw inspiration from. The key idea is bringing the point of fulfillment closer to the point of care. If patients can leave a clinic with their medication in hand, many hurdles disappear: the extra trip to a pharmacy, delays in insurance coverage, or even forgetting to pick up the prescription.
For lab leaders, this suggests several key takeaways:
- Reduce handoffs and delays: Amazon is aiming to reduce the delay between prescribing and dispensing; labs can look at ways to shorten the time between performing tests and delivering results or follow-ups.
- Tailor inventory and /or capacity: Amazon’s kiosks are “tailored to specific locations,” meaning that the stock reflects local prescribing patterns. Labs could similarly adapt resources (staffing, assay panels, supply inventory) to match demand more closely.
- Enhance the patient experience: Removing friction at the pharmacy level improves medication adherence; labs strengthen the final steps of their work (communication, result delivery, patient follow-ups, etc.) can improve trust, accuracy, and utility of lab results.
- Integrate technology and workflow: Amazon uses QR codes, remote pharmacist checks, and app workflows. Labs can take a look at digital interfaces, remote consultations, or point-of-care tools to make their processes more seamless.
Recognizing how many prescriptions are unfilled and why, whether due to cost, access, or timing, can help lab leaders apply similar strategies in their own operations.
Removing Barriers
“We know that when patients have to make an extra trip to the pharmacy after seeing their doctor, many prescriptions never get filled,” said Hannah McClellan, Amazon Pharmacy’s vice president of operations, in the CNBC article.
“By bringing the pharmacy directly to the point of care, we’re removing a critical barrier and helping patients start their treatment when it matters most—right away.” (Photo credit:ContactOut)
The rollout comes as Rite Aid, CVS, and Walgreens face mounting pressures, including “falling drug margins” and growing competition from online retailers like Amazon and Walmart. Rite Aid recently “closed all of its remaining stores after more than 60 years in business,” while CVS and Walgreens “have also shuttered locations in recent years.”
Amazon has been steadily expanding its healthcare presence over the past several years. It acquired online pharmacy PillPack in 2018 for about $750 million, launched Amazon Pharmacy in 2020, and bought primary-care provider One Medical in 2022 for $3.9 billion.
The first kiosks will appear in downtown LA, West LA, Beverly Hills, Long Beach, and West Hollywood, with plans to expand “soon after” to additional One Medical offices and other sites. “Over time, we see real potential for this technology to extend to other environments—anywhere quick access to medication can make a difference,” McClellan said.
—Janette Wider
