TRADITIONAL pharmacies could see their market share slashed by up to 20% when electronic prescriptions are introduced, digital medication management company, MedAdvisor, warns.
Outlining the potential impact e-prescribing could have on the sector as part of its first-half 2020 financial results, the company noted the impact of the move to e-prescribing was "expected to be significant", with online pharmacies likely to gain traction with patients.
"Experience internationally suggests that when e-prescribing is introduced...traditional community pharmacy market share is eroded in the order of 10-20%," the company told the Australian Securities Exchange (ASX).
The commentary follows the Australian Digital Health Agency's Nov forecast that e-prescribing would come into effect before the end of Mar (PD 15 Nov 2019).
Meanwhile, MedAdvisor reported a 14.4% increase in its first-half operating revenue to $4.4 million, driven by a combination of recurring SaaS (software as a service) revenue through a growing pharmacy network, and user-based revenue from health services and programs that promote health literacy and improved adherence.
Annual recurring revenue climbed 31.1% for the year to 31 Dec, with 3,400 pharmacists using MedAdvisor, connecting with approximately 1.3 million patients, and processing $150 million in medication orders in first six months of the financial year.
The company also noted it had signed long-term agreements with Chemist Warehouse and Sigma Healthcare in H1FY20, while also announcing a deal for click and collect, and home delivery facilities as part of its PlusOne platform.
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