Can you really make this much?

[ChasingMyDreams]

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http://exclusive.multibriefs.com/content/are-independent-pharmacies-really-that-profitable

So I know we are supposed to take articles like the above with a grain of salt...but...is it possible that the majority of pharmacy owners are seeing these numbers? 247K a year? That isn't too bad, and 900K a year sounds amazing. They have to get these numbers from somwhere right?

Thoughts?

 

[MountainPharmD]

Adam Fein is an idiot that has zero understanding of the pharmacy industry. Oh, he thinks he's an expert. He may be an expert bean counter but his knowledge of how the retail pharmacy world works is near zero.

This article was written in January of 2015 and is based on 2013 data. The data he uses is junk. It is not independently verified nor is it a fair and representative sample of all pharmacy owners. The data comes from self reported surveys the NCPA collects every year directly from pharmacy owners. It has been reported the data represents less than 10% of the 22,000 plus pharmacy owners.

Can an independant pharmacy be profitable? Yes, in the right area with the right mix of customers. As a pharmacy owner I can tell you it gets tougher and tougher every year.

 

[ChasingMyDreams]

I figured as much. I have ambitious goals but I do want to be realistic at the same time. I have been out of school for 2 years now and the plan was always to buy/open an independent after 5ish years in retail. There is so much negativity with the exception of NCPA conferences...I just hope it will still be a possibility once I hit the 5 year mark.

Assuming I do all that I can to learn the business and make sound decisions is it reasonable to say I can at least clear what I make as PIC now (140K-180K depending on OT and bonus)?

 

[MountainPharmD]

I believe Adam Fein and his BS analysis of the BS NCPA data has done as much damage to independent pharmacies as the PBMs have.

 

[MountainPharmD]

With Obamacare, massive market consolidation and ever increasing PBM abuses, I believe it will be very difficult if not impossible to run an independent pharmacy that derives 90% or greater of its income from prescription sales.

I think there will be a niche that will survive in rural areas that have no competition from the soon to be massive national chains of Walgreens and CVS. It will still be tough because even a rural pharmacy has to deal with the PBMs.

 

[ChasingMyDreams]

With Obamacare, massive market consolidation and ever increasing PBM abuses, I believe it will be very difficult if not impossible to run an independent pharmacy that derives 90% or greater of its income from prescription sales.

I think there will be a niche that will survive in rural areas that have no competition from the soon to be massive national chains of Walgreens and CVS. It will still be tough because even a rural pharmacy has to deal with the PBMs.

So no then? Or can I be optimistic and think that if I mix in a good amount of front end items, immunization services, maybe some LTC contracts I might be able to make it? Working for Wags or CVS can't be the end all be all of retail pharmacy...I just won't accept that.

 

[MountainPharmD]

With the market consolidation we're seeing today, CVS and Walgreens may very well be your only choices when it comes to working retail pharmacy.