Wal-Mart makes new Rx sector inroads

The world's biggest retailer, Wal-Mart, has announced a pilot program to provide assistance to US employers on managing the processing and payment of prescription drug claims. Lee Scott, the retail giant's chief executive, was speaking at the firm's annual general meeting in Kansas City, Missouri.

Although details of the Wal-Mart scheme have not yet been made public, Mr Scott said he believes that savings of over $100.0 million would be achievable for companies signing up to the project. The Wall Street Journal described the project as an indication that the retail behemoth is planning to enter the pharmacy benefit management sector.

Since the introduction of the Medicare Part D prescription drug benefit for seniors, Wal-Mart has introduced a number of marketing schemes to promote its pharmacy services, including on-line prescription ordering and a $4 per month price tag for a number of generic drugs (Marketletters passim). Wal-Mart's moves may also reflect a desire to improve its reputation as an employer with poor employee health care benefits.