What if we told you that with a drug discount card you can save up to 80% on your prescription? I bet that you would find this incredibly hard to believe, am I right? Well, happily enough, it’s true. If you had a drug discount card, it’s possible that you could save up to 80% on your prescriptions.
The concept of a drug discount card was created to help Americans save money on their prescription medications, by offering members a drug discount card they can use when they pay for prescriptions. Pharmacies are more than willing to accept these drug discount cards from customers for a number of reasons.
Why Pharmacies Accept Drug Discount Cards – Even up to an 80% Discount
Pharmaceuticals is a $500 billion industry so there is fierce competition between pharmacies. If a pharmacy doesn’t accept the discount card, they know the pharmacy across the street will, thus getting the cardholder’s business. If the card holder gets monthly prescriptions, they know how much that can add up to annually for their pharmacy.
All Medications are Identical
Since all medications are identical, it doesn’t matter which pharmacy a patient buys it from. Pharmacies are compelled to honor the drug discount card because they know the drugs they offer are the same as the drugs offered by their competitors -one pharmacy doesn’t have better Tylenol 3 than another.
Essential and Non-Essential Medications
Even without competition, pharmacies know that some medications make life easier, but aren’t essential. For example, antacids. If the price is too high, some patients may not get their antacid prescriptions filled because it’s not important for their health, only their comfort.
When a pharmacy accepts the drug discount card, they know they will gain an entire market segment based on the price, because they would gain the patients who would pay for the non-essential medications because they can afford it, with a discount.
Increased Revenue from Other Sales
Pharmacies know that when they accept the drug discount card, they will have customers coming in their store who may buy a lot more than just their medication.
Have you ever wondered why stores often put their pharmacy so far in the back of the store? As you’re walking all the way to the back of the store, you go by thousands of products ranging from batteries to clothes, to stuffed animals and greeting cards, etc. The more people coming in for prescriptions, the more money stores can make on other items in the store.
Who Creates Drug Discount Cards?
Drug discount cards are created by a group of managers called pharmacy benefits managers (PBMs). The managers work with pharmacies in a lot of different ways. When it comes to drug discount cards, PBMs negotiate price discounts for their cardholders, knowing that pharmacies are willing to accept them, because of the above-noted reasons.
But what do the PBMs get out of it, you may wonder? When a prescription is filled using the PBMs discount cards, the PBM gets a small percentage of the revenue obtained from the sale, and now that you know what’s in it for pharmacies and PBMs, let’s take a look at how the consumer benefits from a drug discount card.
Prescriptions cost a lot of money, that’s a fact, and some people need expensive medications on a regular basis. Getting insurance coverage can sometimes be a serious problem, or too expensive if there is a pre-existing condition.
Drug discount cards can save consumers up to 80% on prescription drugs at thousands of pharmacies across the U.S. On average, the drug discount card saves 15% on brand name prescriptions, and 55% on generic prescriptions, plus drug discount cards can be used over and over, because there is no expiry date on them.
How to get a Drug Discount Card
To get a drug discount card, all you have to do is go to a participating website and print your card. The card is free, and you don’t have to join a membership, or pay a monthly fee.
Essentially everyone wins with drug discount cards. Pharmacies and stores get more business, while cardholders get their prescriptions filled at a lower price. Sometimes drug discount cards help cardholders save up to 80% on the cost of their prescription and PBMs get a cut of the profits. It’s the classic win, win, win situation.
This article was written by James Sosa, a healthcare writer, who believes that a Drug Discount Card offers a win-win situation for both customers and pharmacies.