Amazon buys PillPack, an online pharmacy, for just under $1B • Hacker News Board

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#91

Post by pen2l » Thu, Jun 28, 2018, 4:31 PM UTC

petra wrote: post #73

Aloha wrote: post #58

Earlier quoted context omitted.

It's likely they'll integrate on the ecommerce side of things, not on the supply chain side anyhow - the economy of scale that amazon has for shipping will be beneficial.

People don't want to buy legal drugs from their UPS guy. EDIT: i'm from outside the US, and after reading all the complains about delivery people throwing packages etc, i thought people don't trust delivery guys enough for medicine. It appears i was wrong.

What exactly do you mean here?

That you don't feel safe receiving your medicine being delivered last mile from some random UPS guy?

If this is what you mean -- I get my medicine by mail order from CVS. I cannot imagine now having to go to CVS every single month I get my medicine.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#92

Post by Riesling » Thu, Jun 28, 2018, 4:33 PM UTC

simonsarris wrote: post #17

charleyma wrote: post #2

Meanwhile, CVS + Walgreens lost $6B in market cap on the news Amazon is moving directly into pharmacy space. It's crazy how competitive Wall Street views Amazon moving into a market; have there been examples of Amazon making a large purchase/move but completely failing? (sure there are, just not coming me off the top of my head)

All the time. They tried to make a move into retail registers to compete with Square, and failed. They shuttered Amazon register in 2015: https://bits.blogs.nytimes.com/2015/10/30/amazon-shutting-do... They tried to take on Etsy with Amazon Handmade which bombed Etsy stock, but Handmade has gone pretty much nowhere, except some re-branding this year. People just forget Amazon's failed ventures, even fairly high profi…

Two additional quotes from Bezos himself:

> "If you double the number of experiments you do per year you’re going to double your inventiveness."

> "If you decide that you’re going to do only the things you know are going to work, you’re going to leave a lot of opportunity on the table."

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#93

Post by paulcole » Thu, Jun 28, 2018, 4:35 PM UTC

tombrossman wrote: post #18

This is interesting because Amazon isn't exactly known for supply chain integrity. Who here hasn't received fakes from Amazon? If you rely on a specific medication for your health, is Amazon a brand you trust to deliver it? How long until they start commingling pills and shipping random counterfeit/fake product to users? Hope it never happens but if they do with pharmaceuticals what they did with everything else they…

Amazon only has a supply chain issue because they allow 3rd party sellers to provide inventory with essentially no oversight.

I'm not sure anyone thinks Amazon will allow 3rd parties to sell prescription medications. Although if they want to let me cash in on my dead mother's extra chemo meds and pain pills, let me know where to sign up.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#94

Post by nsp » Thu, Jun 28, 2018, 4:36 PM UTC

toomuchtodo wrote: post #54

colejohnson66 wrote: post #43

Earlier quoted context omitted.

> So now I have to worry about counterfeit pills showing up from Amazon? No, because that would land them straight in jail.

I don’t believe that for one moment. It’d end with a fine and a scapegoat getting fired. Is Elizabeth Holmes in jail?

She’s been charged with fraud, which carries a jail sentence. So most likely, yes.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#95

Post by Molaxx » Thu, Jun 28, 2018, 4:38 PM UTC

The issue isn't fakes, it's the fact over medication is a real problem. Thank heavens that where I live drug advertising is illegal. After a visit to the US and encountering the brainwash machine of drug companies I realized just how important this law is.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#96

Post by xkjkls » Thu, Jun 28, 2018, 4:38 PM UTC

protonimitate wrote: post #22

tombrossman wrote: post #18

This is interesting because Amazon isn't exactly known for supply chain integrity. Who here hasn't received fakes from Amazon? If you rely on a specific medication for your health, is Amazon a brand you trust to deliver it? How long until they start commingling pills and shipping random counterfeit/fake product to users? Hope it never happens but if they do with pharmaceuticals what they did with everything else they…

I understand the fear, but I don't think fake medicine is as big of an issue as fake market place items. PillPack already has an established distribution network and prescription delivery licensing in 50 states. I don't know for certain, but I would assume that fake prescription medicine is a much bigger risk and would threaten the operation more than, say, fake batteries.

Yeah, the penalties for selling fake insulin are muuuuuuuuuuuccccccchhh greater for distributors than selling a fake Gucci belt. Also the number of companies with licenses to sell regulated substances is pretty small making it really easy to validate.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#97

Post by pkaye » Thu, Jun 28, 2018, 4:38 PM UTC

petra wrote: post #73

Aloha wrote: post #58

Earlier quoted context omitted.

It's likely they'll integrate on the ecommerce side of things, not on the supply chain side anyhow - the economy of scale that amazon has for shipping will be beneficial.

People don't want to buy legal drugs from their UPS guy. EDIT: i'm from outside the US, and after reading all the complains about delivery people throwing packages etc, i thought people don't trust delivery guys enough for medicine. It appears i was wrong.

I mail order my recurring prescription medicines from the hospital pharmacy all the time. No waiting in line and they give me a substantial discount.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#98

Post by joeax » Thu, Jun 28, 2018, 4:39 PM UTC

simonsarris wrote: post #17

charleyma wrote: post #2

Meanwhile, CVS + Walgreens lost $6B in market cap on the news Amazon is moving directly into pharmacy space. It's crazy how competitive Wall Street views Amazon moving into a market; have there been examples of Amazon making a large purchase/move but completely failing? (sure there are, just not coming me off the top of my head)

All the time. They tried to make a move into retail registers to compete with Square, and failed. They shuttered Amazon register in 2015: https://bits.blogs.nytimes.com/2015/10/30/amazon-shutting-do... They tried to take on Etsy with Amazon Handmade which bombed Etsy stock, but Handmade has gone pretty much nowhere, except some re-branding this year. People just forget Amazon's failed ventures, even fairly high profi…

+ I'm wary of Amazon Grocery. We had a bad experience with home delivery 10 years ago and my wife refuses to do it again. For packaged goods and non-perishables it's fine, but with fresh meats and produce it's hit and miss.

It may not be failure but I doubt it will kill or disrupt the grocery business.

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#99

Post by xkjkls » Thu, Jun 28, 2018, 4:40 PM UTC

maimeowmeow wrote: post #75

djrogers wrote: post #70

Earlier quoted context omitted.

Have you actually received fake food from amazon?

Food items can end up 2x+ times the price over a grocery store because there are hidden shipping costs. And many times the higher prices cause less people to purchase, so the item has a short experiation date. And Im concerned about knockoffs as well.

Knockoffs of what food? Like selling not organic produce as organic?

Re: Amazon buys PillPack, an online pharmacy, for just under $1B

#100

Post by xkjkls » Thu, Jun 28, 2018, 4:42 PM UTC

Texasian wrote: post #20

tombrossman wrote: post #18

This is interesting because Amazon isn't exactly known for supply chain integrity. Who here hasn't received fakes from Amazon? If you rely on a specific medication for your health, is Amazon a brand you trust to deliver it? How long until they start commingling pills and shipping random counterfeit/fake product to users? Hope it never happens but if they do with pharmaceuticals what they did with everything else they…

Maybe this is related to Amazon's health venture? Both it and Pillpack are based in Boston after all.

Possibly, CVS has a program which uses it's big discounts it gets on the drugs it sells in stores to sell them to employees for their health care needs: https://www.benefitnews.com/news/cvs-e-prescription-program-...