The Rx Report:

The Rx Report: The future of community pharmacy opens doors to healthier communities | 1

The future of community pharmacy

opens doors to healthier communities

Consumers rely on p. 3
community pharmacy

Pharmacists need
more support
p. 4

The future of
pharmacy
p. 5

Digital-first, not p. 5
digital-only

Pharmacy and p. 7
health equity

Preparing the p. 8
next generation

Winter 2024
The Rx Report: The future of community pharmacy opens doors to healthier communities | 2

The COVID-19 pandemic demonstrated the

impact community pharmacy can have on
public health...

41,000
pharmacies were mobilized to
300M+
vaccines were administered
administer vaccines across the country

1 pharmacy= 10k 1 syringe = 50M

Overview — Today’s community pharmacies are In addition, the industry needs to inspire more
well-positioned to help make a difference in the pharmacists and aspiring pharmacists to establish
lives of everyday Americans. They can provide their careers in community pharmacy by
convenient access to quality, affordable clinical demonstrating the meaningful impact they can
health care services and help close gaps in care have on health outcomes in their local communities.
across the country.
To get there, we must foster an environment that
More than any other event in recent history, the creates sustainable working conditions, including
COVID-19 pandemic clearly demonstrated the creating more efficiency and capacity for pharmacists
positive impact community pharmacies can have to exercise the clinical abilities consumers are
on public health. The ease of access, reach and asking for, while easing the administrative tasks
convenient locations, including in underserved associated with dispensing medications. This
areas, was an advantage only community includes deploying consumer-friendly digital tools
pharmacies could deliver. During the pandemic, and efficiency-enabling innovations that create a
some 41,000 pharmacies were mobilized to better experience on the bench, clearing the path
administer more than 300 million vaccines for the next generation of community pharmacy
across the country.1 to play an even more transformative role in health
care. Critical to this is also modernizing the retail
This demand, in many ways, has not eased,
pharmacy model to help address challenging
despite the retreat of the pandemic itself. While
market dynamics.
it’s an exciting time to be working in community
pharmacy, it’s also time for industry-wide change The 2024 Rx Report details the findings from a new
that evolves how community pharmacy works and CVS Health® survey2 of 4,000 adults, on the latest
supports patient care and the practice of pharmacy consumer and industry trends affecting
in new and important ways. community pharmacy.

1 Centers for Disease Control and Prevention. The Federal Retail Pharmacy Program for COVID-19 Vaccination. August 18, 2023. Available at: https://archive.cdc.gov/www_cdc_gov/vaccines/covid-19/retail-pharmacy-
program/index.html. Accessed September 2023.
2 The research was conducted online in the United States as part of the CVS Health Dimensions of Health Care study. The Harris Poll surveyed 4007 US adults aged 18+, 203 US Family/General Practice and Internal Medicine
Physicians, and 202 US retail, hospital, and independent Pharmacists. The survey was conducted from March 9-20, 2023.
The Rx Report: The future of community pharmacy opens doors to healthier communities | 3

Consumers are relying on In addition, pharmacists can have a tremendous

impact on health outcomes beyond filling
community pharmacy teams prescriptions. Eighty-four percent of consumers

now, more than ever say pharmacists play a critical role in providing
health care services to patients.2 This includes
improving medication adherence and
The COVID-19 pandemic left more than one outcomes in chronic conditions2 because of
legacy. Widespread recognition of the impact of their ability to provide quality clinical care and
community pharmacy on public health during close gaps between regular provider visits.
the pandemic fundamentally changed the way
Americans view their local pharmacy. Data shows
that the work of pharmacy teams throughout
the pandemic was not only far-reaching but
potentially lifesaving for the millions of people Convenience is key
they served. In fact, a report conducted by
the Global Healthy Living Foundation and
IQVIA found that in the last two years, more
90%
routine adult vaccinations were administered in of Americans live
pharmacies than in non-pharmacy settings.3 within 5 miles
Trust runs deep when it comes to consumers of a retail pharmacy
and their local pharmacists. Nearly 90% of
Americans say they trust their local pharmacist
and pharmacy teams, and overall customer
satisfaction is higher among customers who
say they know their local pharmacy team
Nearly 1 in 3
members by name.2 Furthermore, nearly 3 in 4 Americans visit their
Americans agree they would feel comfortable pharmacy at least
discussing their personal health or the health
of a family member with a pharmacist.2 It’s once per week
important that the industry works to enhance
and increase this trust to also close care gaps
and serve communities more equitably.

Convenience is also key. Almost 90% of the

7 in 10
U.S. population is located within five miles of prefer pharmacies
a pharmacy.4 Nearly one in three Americans for their health care
said they visit a pharmacy or business that needs because of the convenient
contains a pharmacy at least once per week
locations with evening and
or more, and about seven in 10 say they
prefer pharmacies for their health care needs weekend hours
because of the convenient locations with
evening and weekend hours of operation.2

3 IQVIA. Trends in Vaccine Administration in the United States. January 13, 2023. Available at: https://www.iqvia.com/insights/the-iqvia-institute/reports/trends-in-vaccine-administration-in-the-united-states. Accessed September 2023.
4 Lucas A. Berenbrok, Shangbin Tang, Nico Gabriel, et al. Access to community pharmacies: A nationwide geographic information systems cross-sectional analysis. Journal
of the American Pharmacists Association. November – December 2022; Volume 62 (Issue 6): Pages 1816-1822
The Rx Report: The future of community pharmacy opens doors to healthier communities | 4

Pharmacists want to do This includes solutions such as enabling teams to

schedule additional staffing support as needed,
more for their communities – enhancing pharmacist and technician recruitment

but they need more support and hiring, and strengthening pharmacy technician
training. In addition, supporting higher wages, benefit
enhancements, dedicated daily breaks, new
A majority of pharmacists express interest in pathways for career advancement, and operational
performing duties beyond filling prescriptions, improvements are also key. And digital innovations
including providing immunizations (97%), educating can support both pharmacy teams and consumers,
customers on diseases or conditions (96%), counseling helping to alleviate administrative tasks and provide
about medications or therapeutic alternatives (94%), more flexibility and capacity for pharmacy teams
providing heart health services (89%), sharing to be able to focus on providing the meaningful,
practical tips for prescription savings (84%), and personalized care patients depend on.
offering diagnostic tests for certain illnesses (75%).2
And 87% of pharmacists wish their customers would But these solutions alone may not be enough over
ask more questions about their health needs.2 the long-term to address growing pressures on the
industry, including challenging market dynamics
But the industry is experiencing high levels of and business economics.
workforce burnout. According to a 2023 Pharmacy
Times survey of 194 pharmacists, respondents That is why CVS Pharmacy is leading the way,
reported an average burnout rating of 5.89 on a by creating a sustainable retail pharmacy
scale of 1 to 7, with 1 being “not at all” and 7 being reimbursement model, to bring more transparency
“extremely” burnt out.5 and simplicity to the system. Specifically, the
new model, called CVS CostVantage™, will
There is recognition across the industry that more shift how the pharmacy is compensated by
can and should be done to help address long-standing aligning reimbursement to the quality services
issues in pharmacy to help foster a more balanced, provided and prescriptions dispensed. The
positive work environment for pharmacy teams. model will also allow for the company to
Critical to achieving this is listening to pharmacy continue to invest in stores and colleagues.
teams and making sustainable and scalable
changes based on their feedback.

A majority of pharmacists express interest in performing duties

beyond filling prescriptions, including...

Providing Education on Counseling about

immunizations diseases or medications
(97%) conditions (96%) (94%)

Providing heart Sharing practical Offering diagnostic

health services tips for prescription tests for illnesses
(89%) savings (84%) (75%)

5 Aislinn Antrim. Pharmacists Report High Levels of Burnout, Resulting in Understaffing and Alternative Career Paths.
Pharmacy Times. April 26, 2023. Available at: https://www.pharmacytimes.com/view/pharmacists-report-high-
levels-of-burnout-resulting-in-understaffing-and-alternative-career-paths. Accessed September 2023.
The Rx Report: The future of community pharmacy opens doors to healthier communities | 5

Altogether these types of changes will help

create a more durable pharmacy industry,
further contribute to positive patient outcomes,
enable higher job satisfaction and sense of
Up to 90%
of Americans believe that a
purpose and provide a professional career connected, digitally-led pharmacy
track that offers growth opportunities.
experience enhances the overall
patient experience

The future of pharmacy is online

prescription
prescription
delivery
tracking
both digital and in-person
scheduling paying
appointments online or via
Community pharmacies are innovating to or pick-up mobile app
transform pharmacy care and provide consistent
and differentiated pharmacy experiences that
meet consumers where they are. Advancements While others in the industry have introduced
in technology and digital health tools can fuel digital-only initiatives like online care options and
efficiency for patients and pharmacy teams alike, generic medication subscription programs, CVS
leading to an improved consumer and pharmacy Pharmacy is taking a different approach with its more
team experience. than 55 million digitally connected customers7 –
using technological innovation to help enhance,
Innovative community pharmacies are doing digital
not replace, the important relationship between
in a whole new way. In fact, 81% of consumers say
community pharmacists and their patients.
they use digital technology to interact with their
Those personal interactions continue to be highly
pharmacy, through websites, mobile apps, and text
valued by both consumers and pharmacists;
messages.6 Digital tools, such as online prescription
Americans say that being able to speak with a
tracking, prescription delivery, scheduling
pharmacist in person (91%) and over the phone
appointments or pick-up and paying online or via
(88%) are important for their experience.2
mobile app provide patients with options that allow
them to receive care at the touch of a button.

The overwhelming majority of Americans – up to

90% – believe that a connected, digital pharmacy Digital fuels efficiency and
experience enhances the overall patient experience.2 capacity on the bench
Doctors and pharmacists agree: three in four
physicians and almost all pharmacists (91%) say
While apps and consumer-facing technology
that better use of technology to connect with
are aimed at improving the consumer experience,
patients and customers would improve overall
they also can help improve efficiency behind the
health.2 Overall, Americans recognize the growing
pharmacy counter. This is critical to enabling the
importance of digital tools in health care since the
future of community pharmacy and addressing
pandemic and believe a greater use of technology
burnout and workload issues.
would make the pharmacy experience better.

6 J.D. Power. Retail Pharmacy Customer Satisfaction Surges as Digital Engagement Keeps Rising. July 27, 2023. Available at: https://
www.jdpower.com/business/press-releases/2023-us-pharmacy-study. Accessed September 2023.
7 CVS Health, Redefining health care delivery – Healthier Happens Together, June 2023, Available at: Investor-Fact-Sheet.pdf (q4cdn.com)
The Rx Report: The future of community pharmacy opens doors to healthier communities | 6

Digital innovations can help. For example, when

patients self-service via an app, it often reduces A smarter way to do DUR
calls to the pharmacy for things like prescription
CVS Pharmacy is the first in the industry to
status or initiating a refill that can be easily resolved
introduce a reimagined Drug Utilization Review
digitally. Technology can also help pharmacy teams
(DUR) system that generates targeted, patient-
with balancing workloads, enabling them to have
specific alerts, including recommended
more control over their day. The approach is
“next best actions” and potential therapeutic
backed by pharmacists – 85% of pharmacists say
alternatives for prescribers to consider. The
that digitally automating more processes would
system filters out identical, repetitive alerts
improve the quality of interactions with patients.2
that have already been addressed and are
associated with subsequent fills, resulting in
significant reductions in the total number of

Digital automation DUR alerts – and, consequently, reduces alert

fatigue, a recognized challenge across the health
care industry. Talking points for reference in
85% of pharmacists say conversations with patients and physicians are
also provided to support pharmacists. Backed by
that digitally automating more best-in-class guidance, pharmacists can focus
processes would on the personalized interactions patients value.
improve the quality
Supporting workflow and workload
of patient interaction CVS Pharmacy is also introducing a game-changing
dynamic workload-sharing model that enables
pharmacies to collaborate on the prescription filling
process, dispersing and balancing the workload
across pharmacies where state law allows.
Committed to improving both the consumer and The approach is aimed at providing pharmacy
the pharmacist experience, CVS Pharmacy is teams more support, which will create greater
creating sustainable solutions that position valued flexibility to deliver clinical care and manage the
pharmacy teams for success, informed by feedback unpredictable nature of customer demand.
from them. This includes revolutionizing its approach
to workflow and Drug Utilization Review (DUR), Virtual verification
for example, by embracing digital technology. CVS Pharmacy uses an innovation that has earned
CVS Pharmacy is also using digital technology for high praise among its pharmacists for its gains in
early risk detection, among other things, to add efficiency and streamlining product verification
complementary layers of safety and accuracy – traditionally a time-consuming and manual
checks throughout the prescription process. The technology enables pharmacists to
fulfillment process. perform product verification based on an image
of the medication captured while the script is
These types of digital pharmacy innovations help
being processed. This provides an extra layer of
ensure consumers receive consistent, personalized,
validation to prescription production accuracy,
quality care while supporting pharmacists
saving time and creating more flexibility for
to do their best.
pharmacists to perform clinical services.
The Rx Report: The future of community pharmacy opens doors to healthier communities | 7

Community pharmacy can and accessible services, and rely less on traditional
health care channels. In fact, people of color visit
aid in the pursuit of health their local pharmacies more often than white

equity Americans, with more than four in 10 visiting

in-person at least a few times per month to speak
with a pharmacist about their health care needs.2
By better supporting our pharmacy teams and
implementing some of the sustainable changes In addition, the Centers for Medicare and Medicaid
previously mentioned, the industry is poised to help Services (CMS) recently introduced a Health
close gaps in care for certain populations and have Equity Index Reward as part of its Medicare
an even greater impact on public health. That is Advantage Star Ratings program. Starting in 2024,
because pharmacy teams are well-positioned to CMS will begin measuring social risk factors and,
provide continued access to important services, as part of 2027 Star Ratings, will incentivize Medicare
like vaccination, particularly in medically plans that narrow social disparities and inequities
underserved areas or populations. for beneficiaries with certain social risk factors
(such as socioeconomic neighborhood deprivation,
Their convenient access makes community income, and education). This includes an increased
pharmacies an ideal setting to help drive equity focus on medication adherence and improving
and fill gaps in patient care. Given continued health outcomes for high-risk beneficiaries, which
inequities in health care, pharmacies can offer provides an important opportunity for local
greater inclusion, as people of color increasingly community pharmacies.
trust local pharmacists, seek out more affordable

People of color use pharmacies for basic health

services more frequently than white Americans
2

People of color visit

Heart health services 19% 32%
their local pharmacies
more often than white
Education on diseases 18% 32% Americans

Immunizations

Diagnostic tests
19%

17%
30%

30%
4 in 10
visit at least a few times
per month to speak with
Prescribing contraception 15% 29%
a pharmacist about their
health care needs
white Americans people of color 40%
The Rx Report: The future of community pharmacy opens doors to healthier communities | 8

Preparing the next

Championing health equity
generation of pharmacy
Across its enterprise, CVS Health is focused teams
on providing the highest level of care for all
patients, including addressing inequities that
directly impact certain patients’ ability to access Talent acquisition and retention are at the heart
quality health care. Dedicated health equity of successful community pharmacies. Unfortunately,
teams have been launched across its businesses. despite the increasing need and opportunity for
For example, a new Retail Pharmacy Health pharmacists, in less than a decade, pharmacy school
Equity team is focused on infusing health equity applications have decreased by more than 60%.8
into everything the company does – building trust Demonstrating the potential impact of community
in communities, providing tools and resources pharmacy and public health as well as supporting
to reduce cost barriers, promoting healthy the day-to-day and careers of pharmacists and
behaviors among patients, and integrating technicians will be the differentiators in attracting
culturally-relevant models into the care and retaining talent. This is crucial to the growth of
they provide. community pharmacy and community health
In addition, CVS Pharmacy launched a new care as a whole.
condition management education pilot program,
featuring videos in both English and Spanish
that help to simplify clinical information and aim “ As leaders in community pharmacy,
we have an obligation to better
to improve patients’ prescription management
skills. Since its launch, the company has support our pharmacy teams
engaged more than 6 million consumers, today and create a better place
250,000 of whom are Spanish speaking. for tomorrow’s pharmacists
Additionally, CVS Pharmacy is also piloting a through important and sustained
community immunization program in Atlanta, workplace changes and ensuring
GA in partnership with trusted residential the momentum toward expanded
housing developments in underserved
pharmacy services continues. We
communities. The program helps educate
patients and deliver expanded immunizations also need to raise awareness among
to close gaps and enhance patient trust to students and potential students
address vaccine hesitancy. of the important role community
pharmacy plays and the impact
they can have on public health.”
— Prem Shah, Executive Vice President and Chief Pharmacy
Officer, CVS Health and President, Pharmacy and
Consumer Wellness

8 Aislinn Antrim. Despite Rapid Growth of Institutions, Pharmacy School Applications Decline. Pharmacy Times. April 5, 2023.
Available at: https://www.pharmacytimes.com/view/despite-rapid-growth-of-institutions-pharmacy-school-applications-decline. Accessed September 2023.
The Rx Report: The future of community pharmacy opens doors to healthier communities | 9

This means helping inspire more to consider Conclusion — Community pharmacists are
pharmacy school, and also guiding the nearly increasingly seen as true partners in patient care,
15,000 PharmDs who graduate from pharmacy helping to fill gaps between regular provider visits,
schools each year9 toward a fulfilling and impactful addressing health inequities and offering trustworthy,
career in community pharmacy. These graduates accessible and affordable services when patients
are the future of the community pharmacy need them most. The historic role community
workforce, and it’s up to the industry to help pharmacy played during the pandemic placed
guide them into their careers as pharmacists. unprecedented demand on community
pharmacies, exacerbating industry issues.
Tuition assistance and reimbursement programs
are key. For example, CVS Health will be launching There is recognition that more can and should be
a new Rx Tuition Assistance program, alongside done to help address long-standing issues across
similar education assistance programs available the industry, stabilize the business economics, and
from other community pharmacies. help foster a more balanced, positive work
environment for pharmacy teams. The digital
The internship experience is another crucial innovation taking place behind the pharmacy
building block of pharmacy education for students, counter can have a major impact on efficiency
exposing them to all facets of pharmacy work in and can build capacity for pharmacists and their
a hands-on setting. Similar to other community teams to deliver the personalized care
pharmacies, CVS Pharmacy offers an array of consumers want.
internship and pharmacy rotation programs to
ensure students can obtain valuable experience While most Americans want enhanced technology
before starting their professional careers. In and expanded digital services, they still want to
addition, many pharmacy companies recognize engage with their pharmacist in multiple ways,
that inspiring future pharmacists may mean including both in-person and by phone. The
engaging and educating students about a career future of pharmacy integrates a digital-first, but
in pharmacy while they are still in high school. not digital-only, approach to improving the overall
patient and pharmacist experience.

“ As the desire for pharmacy care

grows, pharmacies must adapt
The strongest pillar of pharmacy growth is at its
root – pharmacy students. Providing comprehensive
to their patients’ needs, and education and hands-on training helps them prepare
pharmacy colleges play a critical for the ever-changing world of community pharmacy.
role in preparing their students for They are the future of the industry, and it’s imperative
to prepare them with the tools needed for success
this evolution. In fact, many have
as well as providing a sustainable, supportive
already been working to create environment that enables continued job satisfaction,
curriculums based on holistic care balance and quality clinical care when they
to develop the next generation of enter the workforce.
community pharmacists that can The industry is poised to grow in ways that can have
help meet this growing demand while far-reaching effects on public health and transform
also ensuring the diversity of the the meaning of accessible, convenient health care
workforce that the profession needs.” for Americans. It’s up to the entire industry to help
to make it happen, together. Because the future
— Lee Vermeulen, B.S.Pharm., M.S., FCCP, FFIP
Executive Vice President and CEO of the American of community pharmacy can help open doors to
Association of Colleges of Pharmacy healthier communities. And that future is now.
9 Amir Emamifar, PharmD, MBA. Pharmacist Job Outlook: Supply Versus Demand. Health Care Logistics Inc. September 24, 2021. Available at: https://gohcl.com/advisory-board-blog/pharmacist-job-outlook-supply-versus-
demand#:~:text=Not%20surprisingly%2C%20there%20are%20more,American%20Journal%20of%20Pharmaceutical%20Education. Accessed September 2023.
The Rx Report: The future of community pharmacy opens doors to healthier communities | 10

Dimensions of Health Care Research Study Methodology

The research was conducted online in the United States by The Harris Poll on behalf of CVS Health among
4007 US adults aged 18+, 203 US Family/General Practice and Internal Medicine Physicians, and 202 US retail,
hospital, and independent Pharmacists. The survey was conducted from March 9-20, 2023.

Data are weighted where necessary to bring them in line with their actual proportions in the population. US
adult data were weighted by education, age by gender, race/ethnicity, region, household income, size of
household, marital status, and employment status. Physician data were weighted by gender, age, specialty,
and race/ethnicity. Pharmacist data were weighted by education, age by gender, race/ethnicity, region, and
employment status.

Respondents for this survey were selected from among those who have agreed to participate in our surveys.
The sampling precision of Harris online polls is measured by using a Bayesian credible interval. For this
study, the sample data is accurate to within +2.0 percentage points for US adults, +8.2 percentage points for
Physicians, and +8.4 percentage points for Pharmacists using a 95% confidence level. This credible interval
will be wider among subsets of the surveyed population of interest.

All sample surveys and polls, whether or not they use probability sampling, are subject to other multiple
sources of error which are most often not possible to quantify or estimate, including, but not limited to
coverage error, error associated with nonresponse, error associated with question wording and response
options, and post-survey weighting and adjustments.