Pharmacy pills in basket

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Amazon Broadens Same-Day Pharmacy Delivery Service to New York City and Los Angeles

March 27, 2024

Amazon is looking to make prescription delivery as seamless as possible for customers in New York City and Los Angeles by adding them to the list of cities where it provides same-day pharmacy deliveries. This decision is a part of the company’s efforts to strengthen and broaden its reach in healthcare and medicine.

The online shopping giant says it already offers prescriptions aimed at common conditions like diabetes and high blood pressure in two major U.S. metropolitan areas, and it now plans to expand this service to over a dozen cities by the end of the year. Amazon is already providing same-day pharmacy delivery in key locations such as Austin, Miami, Indianapolis, Phoenix, and Seattle.

This decision is Amazon’s next step in its aspiration to make prescription delivery as seamless as it can for retail orders. Customers have been shifting over to online services from medical prescription pickup at in-store pharmacies, and the tech giant faces the challenge of rivals and other roadblocks as it looks to build out its healthcare ambitions. According to executives, Amazon has enhanced its same-day delivery options and envisions speedy prescription delivery as a way to build patient interest.

Industry analysts note that although the interest in online pharmacies has been slow and fallen behind other retail segments, increased options are becoming available.

According to a market research survey carried out in 2023 by eMarketer, nearly 90% of U.S. adults bought prescriptions at in-store pharmacies, with around 30% saying they tried online pharmacies. Among the different age groups, people ages 18-34 years old displayed the most interest in online pharmacy purchases.

Amazon executives and industry analysts say there are a variety of reasons for the slow take-off of online pharmacies, such as awareness of services, medication options, and speed of delivery, all of which have made it a hurdle to get customers to try the services. Some people are also slow to switch away from longtime pharmacies they have used.

John Love, vice president of Amazon Pharmacy, said, “We’re making the process of getting the acute and chronic medications customers need easier, faster, and more affordable.”

The company has sold prescription medicines online since 2020, and it has “focused on removing the hurdles that prevent customers from getting the care they need.” Amazon Pharmacy is even testing out medical deliveries using drones in one Texas city.

Love said, “I don’t think patients often know they can get Amazon Pharmacy—it’s an awareness gap.” He added. “You have little kids and they get sick and you want meds right away, so speed has been a barrier. That’s why we’re investing in speed.”

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