Earlier this year, Amazon started to hire pharmaceutical professionals which is a good indication of their next industry acquisition. Just last month, Amazon bought health food retailer Wholefoods for 13.7 billion dollars. This merger was a surprise for most, but strongly suggests that a pharmacy department could be coming to a Wholefoods near you. Stocks in CVS Health and Walgreens have already started to drop since Amazon purchased Wholefoods in June.
One thing that could stand in the way of Amazon’s pharmaceutical takeover is the relationship between patient and pharmacist. Healthcare is intimate and disrupting the personal aspect of the business could be tricky. Amazon would be competing for business in a very established industry and customers want excellent customer service, something that could be a challenge for such a large company. On the other hand, Amazon could help simplify the pharmaceutical industry with a streamlined process, allowing pharmacists to spend more time with their patients. Only time will tell how their plan unfolds.
Why its hot?
- This is another example of Amazon disrupting an established industry