Overview of "Retailing in Healthcare"
Almost everyone has had strep throat or an ear infection and for many patients they know exactly what is wrong with them as soon as the infection sets in, and when this is the case they want to be seen by a health care provider and receive a prescription as soon as possible. Often times, these patients don’t have the time or ability to make a specific appointment and take off work for this somewhat routine procedure; however, if retail companies were able to provide these services on a walk-in basis a patient could easily stop by while picking up dinner. This innovative way of treating patients is only the beginning of what appears to be an evolution in health care. No longer is health care just focusing on treating sick patients, but now a huge part of providing medical services is the customer service aspect, which is something that retail stores know best.
By venturing into healthcare industry, retailers such as CVS Pharmacy, Walmart, and Target claim that they can provide quality healthcare at more affordable prices and in more convenient situations. While the corporations do have a lot to gain from this new concept, companies such as Walmart are stating that this is not about expanding their corporation, instead they are only trying to venture into this business to make healthcare as affordable as possible (Frazier, 2005). Today, many patients want to be quickly treated for a problem that they view as very routine. This is going to be made possible by staffing popular retail companies with nurse practitioners. Throughout 2006 Publix will be doing just that by opening a string of “Little Clinics” throughout their supermarkets. Orlando will be one of the first cities to have Publix stores opening “Little Clinics” where nurse practitioners will be able to write prescriptions for common problems. They expect that this cost may be almost half of what it would be to see a doctor (Publix to Offer Healthcare With Shopping, February 6, 2006).
Retail stores will be able to market to customers by providing these simplistic medical services at discounted rates, by offering only a very narrow set of services, performing these services in large quantities, providing these services in the convenient location of their already existing buildings and by hiring providers such as nurse practitioners that may have slightly less education, requiring less pay, but still enough knowledge to treat the patient.
While patients are setting out to receive faster, more efficient care, they may also encounter some negative effects. All of these clinics are opening on the basis that they can improve quality, access, and decrease costs, but the truth is with convenience comes costs (. Already in America there is fragmentation in our healthcare delivery system. This will only continue to increase if patients consistently seek assistance from different medical professionals. According to Landro (2006), “Last month the American Medical Association and the American Academy of Family Physicians warned that retail clinics with no ties to health-care systems could lead to more fragmentation of patient care, inadequate follow-up for patients, and missed opportunities for preventive care” (D1).
Bachman J. (2006, May). What do retail clinics mean for family medicine? Family Pracitce Management, 13 (5), 19-20.Frazier, Mya. (2005, November 28). Need to see a doctor? Try Target or Wal-Mart. Advertising Age, 76 (48).Landro, L. (2006, July 26). The New Force in Walk In Clinics. The Wall Street Journal, pp. D1, D2.Publix to Offer Health Care With Shopping. (2006, February 6). The Tampa Bay Business Journal. https://webmail.fiu.edu/cgi-bin/fetch.cgi?url=http%3A%2F%2Ftampabay.bizjournals.com%2Ftampabay%2Fstories%2F2006%2F02%2F06%2Fdaily2.html
Group 1
Michelle Au
Sara Ca
Janet Co
Kari Fl
Diane Fu
Shakeitha He

3 Comments:
My understanding of this topic was greatly enhanced by reading an essay retrieved 10/23/06 from:
http://content.healthaffairs.org/cgi/content/full/24/6/1478
This essay was by Jamie Robinson; a professor of health economics at the University of California, Berkeley, School of Public Health. The problem with Managed Care which he calls a “market-oriented health care system” is that it simply has not served the consumer well. He suggests that the consumer has to be taken into consideration first in the entire scheme of things and he refers to this new approach that combines some of the economic principles of the market-oriented system with simple consumerism as; “Managed consumerism.”
Walmart and Target are certainly marketing gurus. But they are not the answer to healthcare marketing or retailing. What’s wrong with going back to having a personal physician? The family doctor? We could learn a great deal from listening to our economist friends.
After analyzing the entire gambit of tried approaches Dr. Robinson states this; “After having tried every alternative it is to be hoped that a market-oriented health care system will do the right thing and combine the best elements of the demand-side approach embodied in consumerism with the best elements of the supply-side approach embodied in managed competition.”
I feel that for managed care to work the insurers must create viable networks of providers that are organized into distinct organizations that have taken the time to educate their members or consumers in the choices they have left to make. Health care, after all must require the participation of an educated consumer.
TimRi
Dr. Robinson has been studying the health care system, especially changes such as managed care. His work always makes me think about the consequences of our actions when we implement changes in health care.
The retail approach to health care is not well understood at this point. We have only just begun to identify the phenomenon. Your blog is making a contribution to what we know about retail-based health care. TimRi's posting is a good adjunct to this week's posting.
I couldn't open the essay from Dr. Robinson. If you could repost that would be great.
I do think that a point you made regrading Walmart and Target being marketing guru's is very valid. Until researching I never thought of the potential downside to this. I never thought that although I may, for instance, view my tonsilitis as routine and easily treatable, if it is occuring repeatedly a tonsilectomy may be needed; however, if I am continuously seeing different caregivers there would be no one looking into these things.
I hope to read the article soon.
KariFl
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