Replies to post #31321 on Biotech Values

[urche]

Re: Healthcare at the drugstore

My concern is for the quality of service provided.

I concur and would take it further by being concerned that this care is not only prone to poor quality but has built in incentives to over prescribe to our already over-medicated US population. I admit it sounds great from a marketing perspective---CVS hires practicioners, and places them right next to a pharmacist, and then preys on clients who have a high likelihood of expecting medications for their ailments. But, consider how hard it must be in those circumstances to suggest to a client that maybe a drug is not the best treatment. For instance, it's all but certain that a mother of a kid with fever and earache is going to come out of the encounter with a prescription for an antibiotic that is probably unnecessary. And how well is that setting going to ascertain what other drugs these patients are already taking?

This approach to healthcare may deserve some merit for improving access at reasonable cost, but the incentives to prescribe inappropriately are perverse and alarming. I'd rather see these clinics at a kiosk in a mall than in a CVS store.

Urche.

[DewDiligence]

What’s good for CVS is
evidently good for Walgreen:

http://news.yahoo.com/s/nm/20060724/hl_nm/walgreen_clinics_dc_1

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Walgreen to open more in-store health clinics

Mon Jul 24, 1:29 PM ET

Walgreen Co., the largest U.S. drugstore company in terms of revenue, on Monday said it plans to open more health clinics within its drugstores, marking the latest move by a pharmacy chain to offer health services that go beyond filling prescriptions.

Earlier this month, CVS Corp., the largest chain in terms of the most stores, said it plans to buy MinuteClinic, the biggest operator of retail-based health clinics in the United States, a move that will help it expand offerings for customers at its drugstores.

Walgreen, based in Deerfield, Illinois, opened 10 Health Corner Clinics in the Kansas City market last week and plans to open nine more in the St. Louis area later this summer.

On Monday, it also said it plans to open at least a dozen of the clinics in each of the Atlanta, Chicago and Las Vegas markets later this year, starting with Chicago this fall.

The clinics offer diagnosis and treatment of routine medical conditions, as well as screenings for conditions such as diabetes and vaccinations for flu, hepatitis B, meningitis and tetanus/diphtheria.

There are currently 83 MinuteClinic locations in 10 U.S. states. Sixty-six of those are located in CVS stores.

Walgreen is partnering with InterFit Health (RediClinic) in Atlanta, Take Care Health in Chicago, Kansas City and St. Louis, and Pinnacle EasyCare in Las Vegas. The clinics offer services for insured patients, usually at the same price as an office visit co-pay, and offer uninsured patients services below the cost of a typical emergency room or out-of-pocket physician's office visit.
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[DewDiligence]

CVS is having second thoughts about MinuteClinic:

http://biz.yahoo.com/ap/080501/earns_cvs_caremark.html

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CVS is pulling back on its expansion of MinuteClinic, in-store clinics that offer treatments for a menu of common ailments. CVS operated 510 clinics at the end of the first quarter. The company said earlier this year that it planned to open 200 to 300 new clinics this year, but that is being scaled back to 100 new clinics, and the company may also close some existing clinics, Rickard said.

He said the company remains "very optimistic" about MinuteClinic, but will instead focus on adding and enriching services. "In any new business you learn as you go, and you adjust priorities accordingly," he said.
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