|
|
|
|
Federal delay of identity theft rules wins praise from independent Rx lobby By Jim Frederick ALEXANDRIA, Va. (Jun. 1) The independent pharmacy lobby is hailing a decision by the Federal Trade Commission to freeze temporarily a new rule that would require retail pharmacies and other healthcare providers to step up point-of-sale identity theft protections. The FTC announced Friday it would delay enforcement of the so-called “Red Flags Rule,” which was originally scheduled to take effect today, until Dec. 31, 2010. The delay follows a move in Congress to narrow the scope of the regulation. The new regulation is designed to protect consumers from identity theft, but the National Community Pharmacists Association has argued that it is too broadly written and would hamper the operation of retail drug stores with new red tape. NCPA EVP and CEO Bruce Roberts praised the agency’s decision. “We commend the FTC and its chairman Jon Leibowitz for taking this action,” Roberts said Friday. “This well-intentioned regulation is targeted at creditors and financial institutions, requiring them to have identity theft detection procedures in place.” Unfortunately, as it stands today, the mandates also would apply to community pharmacies and other small healthcare providers, creating a significant administrative burden for entities that aren't primarily in the lending business. “Specifically, community pharmacies that regularly extend credit to customers through patient charge accounts-sometimes known as house accounts-would be covered by the rule,” Roberts continued. “The FTC's moratorium on enforcement gives Congress additional time to approve an exemption for community pharmacies and others.” The delay marks a victory for the group, which has been urging Congress to enact a pharmacy exemption. While the House of Representatives approved such a measure, the U.S. Senate has not taken it up. Most recently, Sens. Mark Begich, D-Alaska, and John Thune, R-S.D., introduced S. 3416 to provide a small business exemption. “NCPA will continue working with these and other members of Congress in an effort to exempt community pharmacies from these requirements,” noted the group, which represents more than 22,700 independent pharmacies. New shopper economics to drive retail future By Antoinette Alexander S AN DIEGO (Jun. 7) While shoppers, retailers and suppliers look to counter growing complexity with simplicity amid the changing economic environment, they simultaneously are embracing new measures. With the new healthcare legislation will come coverage for about 32 million people who currently are uninsured. In order to meet consumers growing needs, retailers will be thinking about how they can expand into the healthcare system as the lines between retail and health care further blur over the next four to five years. That was one of the messages that Bryan Gildenberg, chief knowledge officer of Kantar Retail, had for attendees at Sunday mornings session, titled A shared ownership of the future: Activating the new economics of the shopper at the shelf. There already is evidence of this shift in focus (e.g., CVS acquisition of Caremark and the growth of retail-based clinics), and Gildenberg believes this trend will continue and will drive a number of innovations in the years ahead. Gildenberg also stated that in the next five years the industry will see continued growth in non-store retail, so retailers and suppliers should keep in mind that they will begin to see a volume shift from shoppers under the age of 30 years. Wrapping up the presentation, Gildenberg highlighted several keys to retail success through 2020:
Microsoft wants online pharmacies to be accredited By Alaric DeArment MOUNT PROSPECT, Ill. (Jun. 8) Microsoft has begun requiring online pharmacies to obtain accreditation through the Verified Internet Pharmacy Practice Sites program as a precondition for displaying ads on its search engine, Bing.com. The National Association of Boards of Pharmacy, which created the VIPPS program more than a decade ago, heralded the decision. A February 2008 study revealed that of the more than 6,000 websites selling drugs, 96% appeared to be out of compliance with pharmacy laws and practice standards, dispensing prescription drugs to patients without valid prescriptions or medical oversight, many of them substandard, contaminated or counterfeit. “NABP is pleased to work with companies to help weed out rogue Internet drug outlets that place patient safety at risk for the purpose of profit,” NABP executive committee chairman Gary Schnabel said. “We applaud Microsoft for barring these sites and for prioritizing consumer safety above advertising dollars.” Kashi, Burt's Bees team up for Day of Change tour By Allison Cerra LA JOLLA, Calif. (Jun. 8) Kashi on Tuesday announced the launch of its fifth annual Day of Change tour; but this year, the natural food company is joining forces with Burt's Bees. Kashi's 2010 Day of Change tour is free and open to the public. The experience begins as guests receive a "Passport to Change" with helpful tips, along with food and product information, to guide them on their journey through natural living. Next, visitors may participate in four interactive sessions:
"Our Day of Change tour is an established program that we're proud to continue offering as a means to educate and inspire individuals to achieve optimal health," said Keegan Sheridan, natural food and lifestyle expert for Kashi. "In celebrating our fifth year, we are excited to partner with an established leader like Burt's Bees and introduce people to even more ways in which they can embrace a natural lifestyle." The 2010 Day of Change tour features more than 50 unique events in more than 17 cities across the country through September. Female baby boomers get online, not in line, for beauty By ANTOINETTE ALEXANDER CHICAGO ( Jun. 07) —The online beauty market is poised to explode, and it’s likely that the techsavvy teen and young adult won’t be driving the significant growth. According to a recent report by Mintel, the female baby boomers will be behind the wheel—or the mouse, in this case. “Female baby boomers are one of the largest beauty care segments, known for their spending power, proactive health habits and dedication to product research,” stated Kat Fay, senior analyst at Mintel. “In fact, these women spend 13 or more hours online a week, making the online market a powerful resource if retailers can get boomers to log on.” In the Mintel “Beauty Retailing” study, 1-in-10 of the 1,020 female respondents—all ages 18 years or older—reported using some type of online retailer to purchase cosmetics and skin care aids, and as the female population ages, the female boomer population is expected to increase by 30.9% from 2005 to 2015. When strictly looking at online sales, 8% of those surveyed visit mass merchandiser sites for beauty products, 8% order from Target.com, 8% from Walmart.com, 5% patronize such drug store sites as CVS or Walgreens, and 8% visit other unnamed online retailers. Creativity of online beauty retailers has contributed to the continued growth of the Internet market. Fay noted that “innovations like virtual makeovers, new product tweets and online-only sweepstakes draw in consumers and provide them with benefits and discounts they can’t find in an actual brick-and-mortar store.” Mintel noted that, with the continued popularity of Twitter, Facebook and VideoEgg, beauty retailers can use social-networking platforms to measure consumer preferences and tailor their sites to appeal to online shoppers. New survey finds affluent consumers drive economic recovery By Allison Cerra BOSTON (Jun. 11) A new consumer study underscored the role affluent consumers play in driving the economy toward recovery. Consulting firm L.E.K.'s consumer sentiment survey polled 2,000 U.S. households in April and found that more than one-third (39%) of affluent consumers -- those households making more than $150,000 annually -- believed their spending was either not impacted materially by the recession or already has returned to pre-recession spending levels, making them drivers in the economic recovery. The general population is significantly more cautious, with only 12% expecting their personal finances to improve by fall 2010, while 65% don’t anticipate that their finances will rebound significantly for the next 12 to 24 months. According to the L.E.K. research, the affluent consumer is the only demographic that is spending more today than before the recession, and is the only group planning more purchases (expected 3.5% increase) in the near future. Furthermore, affluent consumers are more likely to purchase organic and natural food, "green" products and selectively splurge on higher-end brands, hence driving those retail categories to grow. “L.E.K.’s survey findings show that wealthy consumer spending is outpacing the general public significantly and appears to be literally pulling the United States out of its recession,” said Andrew Rees, VP and head of the L.E.K. consulting retail practice. “The distinct affluent demographic underscores why retailers need to truly understand what motivates each customer type. Deep customer segmentation will give retailers the insight to chart a clear course despite hazy market conditions.” Continued, next column… |
Engage Social Media Using The Post Framework How To Create Social Media Strategies For Your Conversationalist Customers Augie Ray; with Emily Riley, Sarah Glass, Angie Polanco, Jennifer Wise With real-time and social search appearing in Google search results and Facebook surpassing Google in number of visits per day, marketers are realizing that earned media on social networks — what customers say about brands — is more important than what brands say to customers. Forrester's Social Technographics® research recently revealed dramatic growth in the number of people who update their statuses using social media (we call them Conversationalists). By aligning outreach strategy with pre-established business objectives, marketers can tap into the power and popularity of status updates to support business goals. Nielsen unveils retail forecast report at conference By Allison Cerra LAS VEGAS (Jun. 15) Drug stores will experience an increase in dollar sales but will suffer share losses by 2015, research firm Nielsen projected in its new retail forecast, which was unveiled at its Consumer 360 Conference in Las Vegas. While the Nielsen Retail 2015 Forecast predicted that both mass supercenters and e-commerce would be the big winners by dollar share gains, growing by a combined five share points between 2009 and 2015, the report also underscored how technology, marketing trends and retail formats are converging to redefine how consumer packaged good retailers and manufacturers interact with consumers. One example of this, the report said, was the use of smart phones to engage consumers and help them make better shopping choices, a trend already underway. According to Nielsen, smart phone penetration stands at 23% of all mobile subscribers and is expected to overtake feature phones in the United States by the end of 2011. Nielsen predicts that by 2015, smart phones will be the primary enabler of consumer shopping engagements and new technology innovations will generate additional opportunities for retailers and manufacturers. Among the forecast's predictions included:
“Today’s big players will only grow bigger,” said Hale. “Industry change will grow faster and more intense in the next five years, requiring advanced, future-focused change management skills among CPG professionals. “When technology enables consumers to quickly locate the best price in their area, retailers will be forced to compete and differentiate themselves through factors other than price,” added Hale. “We’re at the beginning of a whole new world when it comes to consumer online and social marketing, and companies need to be developing and updating their digital and social media strategies now to remain competitive.” Plan to cut Saturday postal service draws heat from mail-order pharmacy By Jim Frederick WOONSOCKET, R.I. (Jun. 22) The much-discussed plan by the cash-strapped U.S. Postal Service to end Saturday delivery has drawn sharp opposition from managed care and mail-order pharmacy operators, Bloomberg news service reported. Among those leading the opposition are two pharmacy benefit management and mail-order giants, CVS Caremark and Medco Health Solutions, according to a Bloomberg report today. Both companies said the plan to cut postal deliveries to weekdays only would boost their operating costs as they shift Saturday shipments to UPS, FedEx or other alternative carriers, and delay the movement of needed medicines to patients. Together, CVS Caremark and Medco accounted for more than 150 million prescription drug shipments in 2009, according to the news service. They’ve joined a broad-based campaign by online retailers and small-newspaper publishers to stop the Postal Service from scrapping Saturday service, which the government said will annually save it roughly $3 billion. Speaking at a Postal Regulatory Commission hearing on behalf of those opposed to the move was Ken Czarnecki, CVS' SVP mail pharmacy operations, according to the report. Czarnecki testified that weekday-only postal service would hamper efforts to get medications to patients on time and create difficulties for many Americans. The postal service has been making Saturday deliveries since 1863, according to Bloomberg. But the agency has been stung hard by high operating costs and the ongoing shift away from mail and toward online communications, and postmaster general John Potter has projected the service an operating deficit of $7 billion this year alone if changes aren’t made. Shiff survey: Cardiologists recommend supplements to patients By Michael Johnsen SALT LAKE CITY (Jun. 23) According to a new national survey commissioned by Schiff Nutrition -- and conducted by an independent research firm -- an overwhelming majority of cardiologists (91%) have recommended dietary supplements to their patients to support cardiovascular health. The survey found that three-quarters of cardiologists said that if they had to choose one dietary supplement to specifically support the cardiovascular health, they would choose omega-3 fatty acids, far more so than antioxidants (7%), CoQ-10 (2%) and vitamin E (1%). CRN: Dietary supplement manufacturers must be GMP-compliant By Michael Johnsen WASHINGTON (Jun. 25) The Council for Responsible Nutrition on Friday noted that all dietary supplement manufacturers without exception now are legally bound to comply with dietary supplement-specific good manufacturing practices. With the third and final phase-in of the law, small dietary supplement firms (those with less than 20 employees) now join large and mid-sized companies in the legal requirement to be GMP-compliant. “This is a historic day for the dietary supplement industry and its consumers,” stated Steve Mister, CRN’s president and CEO. “Full implementation of the GMP regulations that we fought so hard for should put to rest any skepticism that our industry is not regulated. Clearly, there are stringent manufacturing standards that our entire industry must adhere to, and we expect that after three years of preparation for implementation, manufacturers are prepared to embrace GMP compliance as another illustration of an industry committed to its consumers.” The CRN also encouraged the Food and Drug Administration to ensure that the industry is meeting GMPs by conducting inspections. “[The] industry worked hard to get GMPs and we now expect the FDA to make complete use of the standards by holding the industry to them,” Mister said. “Full implementation of the GMPs, coupled with FDA attention to industry compliance, will help to weed out bad actors from our legitimate industry and assure that consumers are being protected.” PDX, mscripts seek to strengthen pharmacist-patient relationship By Alaric DeArment FORT WORTH, Texas (Jun. 28) Two pharmacy technology providers have formed a partnership to allow mobile communication between pharmacists and their patients. PDX and mscripts announced the availability of a system that will allow users of the PDX Pharmacy System to communicate with their patients via a number of mobile communication pathways using mscripts’ mobile pharmacy technology platform. PDX provides software and services to more than 10,000 retail pharmacies in the United States, while mscripts allows pharmacy patients to manage their prescriptions and pharmacy relationship via mobile phone. “This relationship allows PDX pharmacy system users to deploy the best mobile pharmacy service available, quickly and with minimal costs,” mscripts CEO Mark Cullen said. “The offering provides an innovative way for patients to communicate with their pharmacies through two-way, interactive SMS messaging and full-featured, branded mobile applications supporting a wide range of phones including iPhone, BlackBerry, Android, Windows Mobile and Palm. For patients, the service results in faster and easier prescription refills, better adherence, less time waiting, increased convenience and a closer relationship with their pharmacy.” |
