After-summit webinar for all Pharmacy Profit Summit 2022 attendees.
Summary:
Lisa Faast discussed the importance of implementing ideas from the Pharmacy Profit Summit to improve pharmacy operations. She emphasized the need to prepare for the 2024 DIR fee apocalypse by reducing expenses to less than 17% and increasing revenues. Faast shared her success with point-of-care testing, cash OTCs, and supplements like Berkeley Life Nitric Oxide. She also highlighted the benefits of using secondary suppliers like RVP and EasyScript RX for cost-effective drug purchases. Additionally, she advised on leveraging telehealth platforms like Physician 360 and suggested strategies for handling brand-name pricing challenges.
Action Items
- @Lisa Faast – Share Peter’s contact information for GPO contract discussions.
- @Lisa Faast – Follow up on American Express Plum card details for cash flow management.
- Provide RX Advisors and Vicki Gotha contact information in chat.
- Send out meeting recording to all attendees.
- Consider implementing bonus programs tied to OTC sales and team goals.
Outline
Pharmacy Profit Summit Follow-Up and Implementation
- Lisa Faast explains the purpose of the follow-up pharmacy profit Summit, held three months post-Summit, to ensure attendees implement the ideas discussed.
- Emphasizes the importance of making a difference in pharmacies and not letting the excitement fade over time.
- Encourages attendees to discuss specific speakers, ideas, or companies from the summit in the chat or by unmuting.
- Introduces the concept of the “DIR fee apocalypse” of 2024, where DIR fees will be applied at the point of sale, affecting pharmacy revenues.
Preparing for the DIR Fee Apocalypse
- Lisa Faast details the changes in DIR fee application starting January 2024, which will impact pharmacy revenues.
- Explains the potential double DIR fees in 2024 due to retro fees from 2023 prescriptions.
- Discusses the financial strain on pharmacy owners who may run out of cash due to reduced revenues.
- Recommends fixing cash flow by optimizing inventory and increasing revenues, aiming for an expense ratio of less than 17-16%.
Implementing Summit Programs and Personal Updates
- Lisa Faast asks attendees about their goals and implemented programs from the summit, encouraging them to share their successes and challenges.
- Shares her personal experience of buying two pharmacies and focusing on point-of-care testing, cash OTCs, and supplements like Amanda Professional and Berkeley Life Nitric Oxide.
- Mentions the CLIA waiver for point-of-care testing and the success of the Berkeley Life supplement in improving patient energy and nitric oxide levels.
- Discusses the bonus program tied to objectives like OTC covid tests and direct billing of workers’ comp.
Negotiating with PBMs and GPOs
- Lisa Faast and Peter discuss their successful negotiation with McKesson, resulting in a favorable contract for brand purchases.
- Peter explains the benefits of using McKesson for brand purchases and RX Cherry Pick for generics, emphasizing net upfront pricing.
- Bobby inquires about setting up a similar agreement with Cardinal Health, and Lisa Faast confirms it is possible to have multiple buying groups.
- Peter shares his negotiation skills, focusing on what is important to the PBM, and how it led to a favorable contract.
Exploring Partnerships and Software Solutions
- Bobby asks about the relationship between Real Value Products (RVP) and EasyScript RX, and Lisa Faast explains their synergy and mutual benefits.
- Discusses the capabilities of EasyScript RX, including medical benefits claim checks and estimated reimbursement estimates.
- Lisa Faast highlights the affordability and user-friendly nature of EasyScript RX, and mentions a potential discount for attendees.
- Betsy shares her experience with adding CBD and Berkeley Life supplements, and Lisa Faast offers tips for marketing and leveraging telehealth platforms like Physician 360.
Strategies for Handling Brand Name Pricing and Employee Motivation
- Bobby and Lisa Faast discuss strategies for handling brand name pricing, including transferring prescriptions to other pharmacies and the potential impact on patient loyalty.
- Lisa Faast suggests being transparent with patients and offering alternative solutions to maintain their business.
- Bobby shares his struggle with motivating employees to make add-on sales, and Lisa Faast recommends offering bonuses and addressing underlying issues through open communication.
- Discusses the importance of recognizing employee contributions and the potential need for staffing adjustments to maintain performance.
Financial Strategies and Bookkeeping Options
- Lisa Faast advises attendees to secure a line of credit and explore financial strategies to prepare for the DIR fee apocalypse.
- Recommends RX Advisors and Prestige Bookkeeping for bookkeeping services, highlighting their expertise in pharmacy financials and tax strategies.
- Discusses the importance of understanding and optimizing medical billing for vaccines and other services, including the potential need for direct contracts with insurance companies.
- Lisa Faast offers guidance on submitting claims properly and ensuring reimbursement rates are accurate.
Innovative Solutions and Future Trends
- Lisa Faast and Bobby discuss the potential for innovative solutions to handle brand name pricing and the impact of PBM contracts.
- Mentions the possibility of leveraging mail order for brand names and the need for a more sustainable approach to pharmacy operations.
- Lisa Faast highlights the importance of maintaining complete patient drug profiles and the potential negative impact of fragmented care.
- Discusses the potential for broader scope of practice and provider status for pharmacists, and the role of state pharmacy associations in advocating for these changes.
Closing Remarks and Future Events
- Lisa Faast thanks attendees for their participation and encourages them to stay engaged with the pharmacy community.
- Announces the availability of tickets for the 2023 pharmacy profit Summit and highlights the exciting lineup of speakers and topics.
- Invites attendees to join the Pharmacy Badass University for ongoing support and resources.
- Concludes the meeting by offering to answer any remaining questions and expressing gratitude for the discussion.