As America’s population ages, so does the need for long-term care pharmacy (LTC) services. By 2030, 1 in 5 Americans will be age 65 and older,1 driving a need for higher acuity care. Skilled nursing facilities, assisted living facilities, and other residential care facilities are looking for partners who can provide the specialized pharmacy support these residents require.
For retail pharmacies, this demand creates new opportunities. You might be thinking of expanding your business to become a Combo pharmacy – one serving both retail customers and long-term care residents; or consider becoming a “closed door” pharmacy focused only on long-term care. If so, here are some important factors in mind as you assess this option.
Planning Your Transition from Retail to Long-Term Care or Combo
Moving into the long-term care pharmacy market requires additional research and careful planning. Start by performing a market analysis to understand the demand in your area – of both your existing and potential new patients who need these services.
Some questions to consider include:
- Do any of your existing patients qualify for LTC at Home services, such as Home and Community-Based Services (HCBS) programs?
- How many patients have difficulty with everyday tasks and might benefit from aids for daily living?
- How many patients are managing chronic conditions requiring ongoing medication management, delivery, and clinical coordination?
- Evaluate the number and types of facilities nearby
- How many are assisted living vs skilled nursing facilities?
- What are their bed counts?
With this understanding, you can develop a detailed business plan that outlines your transition strategy, financial projections, funding requirements, and a marketing strategy to attract and retain LTC facility clients.
