PHSL Analyzes Data to Save Retail Pharmacy in Drug Costs

IndustryRetail Pharmacy
ProblemA small retail pharmacy chain’s wholesaler contract was expiring, and the chain needed to renegotiate a new contract. The pharmacy chain’s main goal was to obtain a more profitable contract. They also wished to simplify the number of rebates and discounts to create a more simplified agreement where it would be easier for the chain to track wholesaler compliance.
PHSI SolutionPHSL benchmarked agreements between wholesalers and similarly sized pharmacy chains to ensure fair pricing. PHSL used historical purchasing data and created dynamic excel models to map out contractual points for negotiation.
ResultsPHSL negotiated a new wholesaler contract that saved the client $2.5 million per year over the life of the three-year agreement.