Pharmaceutical e-commerce and traditional pharmaceutical companies open a positive showdown
In May 2014, the "measures for the Supervision and Administration of Internet Food and Drug Business (draft for soliciting opinions)" began to solicit public opinions. the "measures" stipulate the framework and directional provisions that Internet food and drug operators should have, such as qualifications, regulatory principles, legal responsibilities, and so on. Regarding the final time of the "measures", there have also been a number of rumors in the industry from the end of last year, around the Spring Festival to around the two sessions. The final way to sell prescription drugs online has not been introduced, but many e-commerce companies in the industry have already begun to lay out and are committed to building network hospitals. The reporter asked relevant experts to verify that the final time for the "Measures" has not yet been determined, and it may be before and after the two sessions. For the industry's focus, that is, the supporting list of available prescription drugs, experts also agree that it may eventually appear in the form of a positive list, the initial release of the drug list is estimated to be limited, will continue to increase and improve with the actual situation.
Timeline of online drug policy
The Interim Provisions on the Administration of the Circulation of Prescription Drugs and Over-the-Counter Drugs were issued, stipulating that prescription drugs and over-the-counter drugs are prohibited from being sold online.
The Ten-Point Measures for the Supervision and Administration of Pharmaceutical E-commerce stipulates that some provinces and cities are allowed to carry out pilot sales of over-the-counter drugs online.
Interim Provisions on the Administration of Internet Drug Information Services: Allow online drug information services and prohibit drug transactions.
According to the Interim Provisions on the Examination and Approval of Internet Drug Trading Services, online transactions and sales of over-the-counter drugs are allowed.
The "National Pharmaceutical Circulation Industry Development Plan Outline (2011-2015)" stipulates that new circulation methods such as modern pharmaceutical logistics and chain operations should be developed, and modern scientific and technological means and information technology should be used to promote the development of modern pharmaceutical logistics.
The "Notice on Strengthening the Administration of Internet Drug Sales" stipulates that only retail chain companies can sell over-the-counter drugs online and use GSP-certified drug distribution systems to distribute them on their own.
The "Notice on Implementing the Key Tasks of the 2014 Medical Reform to Improve the Level and Efficiency of Drug Circulation Services" stipulates that it is necessary to speed up the clean-up and repeal of policies and regulations that hinder fair competition in the drug circulation industry, and build a unified national market; encourage the development of retail pharmacies and chain operations.
The "Internet Food and Drug Business Supervision and Administration Measures (Draft for Comment)" stipulates that Internet platforms that have obtained corresponding qualification certificates can not only sell prescription drugs, but also distribute drugs or medical devices by third-party logistics distribution platforms. The third-party transaction qualification approval authority will be delegated to the provincial drug supervision department.
Online sale of prescription drugs or two sessions before and after the release.
According to Yu Mingde, president of the China Pharmaceutical Enterprise Management Association, from the perspective of drug sales, about 80% of them are prescription drugs. If prescription drugs cannot be traded online, this means that about 80% of drug sales cannot be carried out online. The role of drug sales is also limited. It is obvious that once the online sale of prescription drugs is liberalized, the weight of e-commerce will increase significantly, and the liberalization of online prescription drugs is the general trend.
It has been more than half a year since the release of the draft. As for the final release time of the measures, there have been rumors in the industry at the end of last year, around the Spring Festival and before and after the two sessions. So far, the final version of the measures has not been published. An official of the State Food and Drug Administration, who spoke on condition of anonymity, told reporters that at present, the work on the measures is still in progress, but as for the specific date of introduction is still not convenient to disclose. Yu Mingde said that the "measures" may be introduced before and after the two sessions.
The first batch of prescription drugs to be released is limited.
Judging from the current situation, the liberalization of online prescription drugs also faces some obstacles at the policy and practical level, especially the final saleable catalog that the industry is most concerned about. In addition, the hospital's monopoly on prescriptions and the failure to follow up online payment of medical insurance cannot be ignored.
On the most concerned issue of the scope of prescription drug sales, Yu Mingde believes that this liberalization will be gradual and gradual improvement. Some media reported that prescription drugs sold online will eventually appear in the form of a list, that is, to formulate a catalogue of prescription drugs allowed to be sold. Yu Mingde agreed with this, "The possibility of formulating a formal list is relatively high, and the relative controllability and safety are relatively high. The first batch of released prescription drug catalogues may be limited and will be further expanded according to the actual situation."
The uncertainty of the allowed sales catalogue is the key reason why the final version of online prescription drugs has not been published for a long time. According to Mingde, there are indeed some difficulties in determining the list. "There are many kinds of drugs, and it is inevitable to make some comparisons when determining the catalogue. Safety is one of the criteria to be considered. Relatively safe drugs may be higher. For example, some drugs with harsh use and preservation conditions, for example, some biological agents and blood products that need to be refrigerated will be placed behind. In addition, it is not certain whether there are excellent conditions in the operation, storage and distribution chain."
Pharmaceutical e-commerce began to wade prescription O2O mode
In terms of the obstacles faced by the online sale of prescription drugs at the practical level, the acquisition of prescriptions is one of them, and prescriptions are still at the hospital level, in Mingde's view, the current hospital monopoly on prescriptions, allowing only hospital pharmacies to carry out services, which is also a mechanism problem that needs to be addressed, "because any monopoly of services is detrimental to consumers. This monopoly at this stage is actually driven by profit, and this monopoly should be broken." After the liberalization of online prescription drugs, joint participation in competition under transparent rules is a feasible way. Only when there is competition can there be the possibility of selecting the best, whether it is service, price, reputation, etc. Judging from the current market situation, pharmaceutical e-commerce companies such as Ali Health and Jingdong Pharmaceutical Mall have begun to wade into the O2O model of prescriptions, and the "competition" for prescriptions seems to have begun.
When talking about the hospital's monopoly on prescriptions and the outflow of online prescriptions, a deputy chief physician of the Department of Orthopedics of a tertiary hospital who did not want to be named told reporters that in his opinion, prescriptions are more like a kind of intellectual property rights of the hospital. If the online sale of prescription drugs is gradually liberalized, from the perspective of short-term effects, if the saleable catalog is limited, it will not cause much difference in drug prices, nor will it have a significant impact on hospitals, and it also depends on whether people's drug purchase patterns can be changed in a short period of time. In the long run, it is indeed conducive to a certain degree of decline in drug prices.
At the same time, the liberalization of online payments for health insurance needs to be gradual. "We have been lacking a corresponding system for a long time. If the online sale of prescription drugs is liberalized, the payment system must follow up, but in general, this problem is more technical and will not be difficult." Yu Mingde told reporters.
Online sales are conducive to removing the false high part of drug prices.
In addition to safety factors, once the online sale of prescription drugs is opened, whether it is conducive to lower drug prices is also of concern. Many people in the industry believe that the liberalization of online prescription drugs will stimulate the release of a large number of demand, break the monopoly of hospitals on prescription drugs, and consumers will have the opportunity to obtain more affordable drugs. A person in charge of a pharmacy told reporters that the liberalization of online prescription drugs can promote the reduction of drug prices within a certain range. Some people also think that the decline is limited. Wang Wei, vice president of the China over-the-counter Drug Association, said in an interview with the media that Internet sellers compete with physical chain pharmacies, but there will be no significant difference.
In this regard, Yu Mingde believes that, in general, the transparency and full competition of the market after the liberalization of online prescription drugs are conducive to the removal of false highs in drug prices. At present, this trend is clear. High efficiency is closely related to low cost, and the early layout of pharmaceutical e-commerce is the trend. As a model that has been successful in other industries, the pharmaceutical industry is no exception. With the help of the high efficiency of the Internet, the efficiency of each link is improved, and the cost is naturally reduced, which eventually leads to the reduction of drug prices within a certain range.
In the view of Jiang Zhitao, vice chairman of good pharmacists, the current consumption pattern of consumers has not been reversed, and the early publicity investment is essential after the liberalization. However, with the progress of time and the popularization of consumption patterns, the reduction of relevant investment will also lead to the decline of drug prices to a certain extent. In Mingde's view, allowing third-party distribution is possible in the most convenient way and at the lowest cost. The strength of warehousing and distribution is also testing pharmaceutical e-commerce. Logistics
Can be entrusted to the third party logistics independent distribution
Logistics is also a key part of online prescription drug sales. How to deliver drugs safely and quickly to consumers is also a concern of many pharmaceutical e-commerce companies. According to the "Notice on Strengthening the Administration of Internet Drug Sales" issued in 2013, only retail chain enterprises can sell over-the-counter drugs online and use GSP-certified drug distribution systems to distribute them on their own. Article 15 of the measures issued in May last year stipulates that Internet food and drug operators shall store and transport in accordance with the conditions prescribed by laws, regulations and rules to ensure food and drug safety. Food that needs to be kept fresh, refrigerated or frozen shall be stored and transported in accordance with the corresponding conditions. Those dealing in drugs and medical devices shall be stored and transported in accordance with the conditions indicated on the labels and instructions. Internet food and drug operators can entrust logistics and distribution enterprises to store and transport, and logistics and distribution enterprises shall have the storage and transportation conditions required by food and drug quality management standards to ensure food and drug safety. The Measures also stipulate that for the sale of prescription drugs and Class A non-prescription drugs, an online pharmacy service system for licensed pharmacists shall be established, and licensed pharmacists shall be responsible for the review and supervision of prescription deployment, and guide the rational use of drugs; third-party trading platform operators engaged in Internet drug trading services, Licensed pharmacists shall carry out online consultation services; for the sale of prescription drugs, an online pharmacy service system for licensed pharmacists shall be established, guide the rational use of drugs.
In Mingde's view, this is a great breakthrough at the policy level and a necessary link, because "if it is not allowed to entrust third-party logistics distribution, I am afraid that no one can successfully deliver drugs to patients all over the country." this is tantamount to stifling the Internet trade of drugs." Only by allowing third-party distribution can it be completed in the most convenient way and at the lowest cost.
The strength of storage and distribution is also testing pharmaceutical e-commerce. Cui Wei, head of Jingdong Pharmaceutical City, said that based on the advantages of the original last kilometer distribution, distribution can be professionally integrated into GSP storage system, and specialization can be improved in distribution details and process control, such as dynamic scanning and entry of key process points of sealed medicine boxes and mobile handheld devices, and professional compliance exploration has been continuously carried out.
■ Market and layout
Pharmaceutical e-commerce market space is expected to be nearly trillion
The frequent actions of pharmaceutical e-commerce are probably related to its market size. According to a report in china securities journal, according to industry estimates, once the Measures and the saleable list are issued, the market space of pharmaceutical e-commerce is expected to expand from the current nearly 200 billion yuan to the nearly trillion market. The industry will realize a leap from a new format to a widely used format. It is expected that oral drugs for chronic and common diseases will benefit first.
According to the "2013 China Pharmaceutical E-commerce Data Report" released by the China Pharmaceutical Materials Association, the total sales of online pharmacies in my country was less than 0.4 billion yuan in 2011, and it increased to 1.6 billion yuan in 2012, a growth rate of 400; in 2013, 3.9 billion yuan, the growth rate Also more than 200.
A number of pharmaceutical e-commerce layout
Although the final method for selling prescription drugs online has not been issued for a long time, it has not affected the frequent actions of many pharmaceutical e-commerce companies in advance. As of December 2014, the three major online shopping platforms of No.1 Store, Ali Health and Jingdong Mall have all obtained "admission tickets" for online drug sales. While many Internet giants such as Ali, Baidu and Tencent seize hospital resources, pharmaceutical e-commerce companies have also begun to carry out hospital layout. In January 2015, Beijing Good Pharmacist Pharmacy Chain Co., Ltd. (hereinafter referred to as "Good Pharmacist") and a Beijing anorectal hospital signed a strategic cooperation agreement in Beijing. The two parties will cooperate on operation, technical support, and high-quality resource sharing. After Ali launched the "Future Hospital Plan" in cooperation with Guangzhou Women's and Children's Medical Center through Alipay Wallet, in November 2014, it conducted the third test of its "Ali Health" mobile terminal (APP)-the last test before it was officially put into operation. In the words of Jiang Zhitao, vice chairman of pharmacists, "it will be too late to wait for the final version to come out."
Pharmaceutical companies have entered the field of e-commerce
Not only traditional e-commerce, the online prescription drug market has also been favored by industrial enterprises. At present, Tianshili Group, Yangzijiang Pharmaceutical and Yiling Pharmaceutical have all entered the e-commerce field. Take Ling Pharmaceutical's investment of 50 million yuan to establish Ling Health City as an example. Shao Qing, general manager of Ling Health City's e-commerce division, said in an interview with beijing business today that Ling Pharmaceutical has its own hospital. Once the policy that prescription drugs can be sold online is released, hospital prescriptions can flow out. Moreover, with the deepening of medical reform, medicine will be separated in the future. Patients can not wait in line to buy medicine in the hospital after seeing the disease, and directly upload prescriptions to buy medicine online. Industrial enterprises sell drugs online to save a lot of circulation, the price is relatively cheap. E-commerce countermeasures
O2O Mode Connected and Circulated with Hospital Electronic Prescriptions
On December 23, 2014, according to information released by the State Food and Drug Administration, Jingdong Mall obtained a Class A certificate for Internet drug trading services, which means that the three major online shopping platforms of Yihaodian, Ali Health and Jingdong Mall have all obtained Online drug sales "admission tickets", Cui Wei, head of Jingdong Medical City, told reporters that it is currently exploring the O2O model that connects and circulates with hospital electronic prescriptions. As for the operation mode of the platform after obtaining the transaction qualification, Cui Wei said that the principle of putting users' professional experience first will be taken as the principle. Currently, more than 30 cities and nearly 10,000 related stores have signed the agreement. In order to ensure high-quality user experience, the platform will be launched in batches. In the future, B2C mode of compliance distribution in the same city, O2O mode of quick delivery and self-promotion in the nearest store will be provided, pay more attention to safety compliance and professional pharmaceutical care.
Cui Wei also said in an interview with the media that Jingdong's prescription drug sales system has begun to take shape, and will explore the circulation of professional electronic prescriptions and traceable drugs in the future.
Pilot electronic prescription platform
According to information disclosed by Ali, Ali Health has also piloted an electronic prescription platform in Shijiazhuang. The principle is similar to that of taxi-hailing APP-patients can download Ali Health APP on smart phones. After seeing a doctor in the hospital, the prescription issued by the doctor will enter Alibaba's electronic prescription platform through the hospital information system. If patients want to purchase drugs outside the hospital, they can issue drug purchase requests through APP, which will distribute the drug purchase requests to nearby pharmacies, which can grab the orders.
According to media reports, Shijiazhuang's pilot is synchronized. After several rounds of demonstration, Ali Health's electronic prescription platform has been piloted in the General Hospital of Beijing Military Region-the pilot first targets hypertension and hyperlipidemia in chronic diseases, and only targets patients at their own expense, bypassing medical insurance. At the same time, in order to cooperate with the promotion of Ali project, the General Hospital of Beijing Military Region promised to allow Ali to publicize the electronic prescription platform for patients at the gate of the department.
Advantage logistics to do one step faster Talking about the current business preparations for the online sale of prescription drugs, Jiang Zhitao said that good pharmacists are "ready", whether it is good pharmacist official website or online pharmacies based on other platforms, including product photography, process links, etc. As soon as the catalog of prescription drugs is published, we will be ready in a very short time."
In Jiang Zhitao's view, there are probably two types of models for people to buy prescription drugs online in the future. One is to take photos and upload them after obtaining prescriptions in hospitals. Building an online hospital may be another way to obtain prescriptions. Jiang Zhitao said that good pharmacists are also committed to building a multi-point practice platform for Internet doctors so that users can ask professional doctors questions and obtain electronic prescriptions at the same time on the website platform, thus completing drug purchase, so as to realize the online solution of this process. Jiang Zhitao said that the open market situation after the liberalization of online prescription drugs will also make this cake a must for e-commerce, and logistics is one of their major advantages. "With the help of Kyushu Tong's sub-warehouses in all parts of the country, delivery can be realized nearby, which can be one step faster."