Placing a Value on Community Pharmacy Services

Date: 14 September 2017

Community pharmacies have long provided a wide range of in-pharmacy services to patients. Basic services such as blood pressure monitoring are often provided at no cost to patients. These types of services have traditionally been cross subsidised by other sources of revenue, such as generic margins and the great majority of patients expect services such as blood pressure monitoring to be provided at no cost.

With Price Disclosure, generic margins are shrinking and pharmacies should consider placing a value on their services. The Guild has developed the Professional Service Viability Tool which provides a fee for service guide for delivering pharmacy professional services. The fee suggested by the tool is a guide only and is by no means an indicated market price or recommendation by the Pharmacy Guild for pharmacy professional services costing. The Professional Service Viability Tool is available to Guild Members at no cost on the Guild website (Member login required). Utilising the tool will help you to understand the costs of delivering services in your pharmacy and allow you to place a monetary value on the service.

In the example of blood pressure monitoring, the tool may place a value of, say, $7.50 for the delivery of this
service. It is up to the pharmacy to decide whether this is an appropriate fee or not, however, this could be set as a “value” for the service. This can be done as follows: using Pharmacy X as an example, in the area used for blood pressure monitoring (e.g. the consultation room) the following signage could be used to notify patients of applicable fees:

Pharmacy X Blood Pressure Monitoring Service:

  • Professional Fee for Blood Pressure Monitoring General Patients: $7.50
  • Pharmacy X Loyalty Club Members: No Charge
  • Concession Card Holders: $3.75

These fees could be waived by the pharmacy at their discretion, however, patients will understand there are costs
associated with performing this service. This can be done for the full range of services provided by the pharmacy to
help change their patients’ preconceived ideas.

Think of the services offered by your pharmacy and consider putting together a menu of these services with a value attached to each, using the Professional Viability Services tool as a guide.

The following services (and many others) could be considered:

  • Blood pressure monitoring
  • Blood glucose monitoring
  • Blood cholesterol monitoring
  • INR monitoring
  • Dose Administration Aids/blister packs
  • Sleep Apnoea consultation
  • Wound care service
  • Influenza vaccination
  • Disease State Management consultations (e.g. Asthma, Diabetes)

It may also be useful to place a value on 6CPA programs such as Medscheck, Diabetes Medscheck and Home
Medicines Reviews for example:

  • Medscheck (In-Pharmacy Medicine Use Review): $64.70 (Eligible patients receive this service at no cost, funded by the Australian Government under 6th Community Pharmacy Agreement)
  • Diabetes Medscheck (In-Pharmacy Medicine Use Review for Diabetic Patients): $97.05 (Eligible patients receive this service at no cost, funded by the Australian Government under 6th Community Pharmacy Agreement)
  • Home Medicines Review (Comprehensive medication review performed at the patient’s home in collaboration with the patient’s GP):$216.66 (Eligible patients receive this service at no cost, funded by the Australian Government under 6th Community Pharmacy Agreement)

By placing a value on the services you provide, patients will further appreciate what their community pharmacy
is doing for them on a regular basis and increase loyalty to your pharmacy.

Contact: David Bryant
Phone: 02 9467 7131

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Page last updated on: 27 May 2021