💥 Are Branded Drugs Draining Your Profits? Here's How to Fight Back

On paper, running a pharmacy sounds simple:Buy low ➡️ Mark up ➡️ Sell responsibly.

But in reality, especially when it comes to branded prescription drugs, this model gets turned upside down.

The result? A broken system that’s costing pharmacies time, money, and patients.

🚨 The Problem with Branded Drugs

Pharmacies should be in control of their profit margins—just like any other retail business.

But branded medications are a different story:

🔻 Low ReimbursementsInsurance companies and PBMs set reimbursement rates. Many don’t even cover your acquisition cost, leaving you at a loss.

💸 Rebates Go ElsewhereDrug manufacturers offer rebates—but they don’t go to you. PBMs pocket them, while you’re stuck with razor-thin margins.

🧾 DIR Fees = Retroactive PenaltiesThese surprise fees can hit months after dispensing,

turning a profitable script into a financial hit.

❤️‍🩹 Serve the Patient or Stay in Business?Do you fill the high-cost script at a loss to help your patient—or refer them elsewhere and risk losing them?

🧭 How to Navigate This Branded Drug Maze

You may not be able to change the system overnight, but here are a few smart strategies to protect your pharmacy:

✅ 💊 Focus on GenericsThey usually come with better margins and fewer surprises.

✅ 📦 Be Strategic with InventoryAvoid overstocking expensive branded meds that might not move or could be reimbursed at a loss.

✅ 📢 Get Involved in AdvocacySupport reform efforts targeting PBMs and DIR fee transparency.

✅ 🗣️ Educate Your PatientsExplain how insurance formularies work and offer cost-effective alternatives when possible.

⚖️ It's an Unfair System — But You’re Not Powerless

Independent pharmacies are vital to our communities, but the branded drug system is working against them. With the right strategies and support, you can fight back.

👉 Stay informed.

💡 Be strategic.

🗳️ Advocate for change.

🤝 Support your patients

while protecting your business. Learn how CostPlusRx program exclusively from RxConnexion can help you navigate through the brand name dilemma.

Want to learn how RxConnexion can help your pharmacy stay profitable while navigating branded drug challenges?📅 Schedule a Strategy Call Today »