D2C wellness and telehealth startup Hims & Hers is looking to cut down the time between medication orders and delivery for certain customers.
Thanks to a newly announced partnership, patients receiving virtual primary care services through Hims & Hers may choose to select Alto as their preferred pharmacy for prescription deliveries. They will have their orders fulfilled automatically through the digital pharmacy and receive free, same-day receipt of their medications.
Customers will also receive access to Alto's patient app, which lets them: set preferred times for home delivery, review medication payment info, text-chat with pharmacists and receive medication reminders.
The arrangement is only available to Hims & Hers users in the San Francisco Bay Area, Los Angeles, Orange County, Seattle, Las Vegas and the Denver-Boulder area.
WHAT'S THE IMPACT?
Hims & Hers carved out its niche in the wellness space by stressing ease of access for its mail-order goods. A partner that can provide immediate delivery and support for more complicated medications – at no additional charge to the consumer – will help the brand reinforce those strengths as it looks to make a dent in the virtual care market. Alto, meanwhile, will likely see a new influx of users enter its own ecosystem.
“Hims & Hers is a natural partner to Alto’s courier-based platform,” Melissa Baird, COO of Hims & Hers, said in a statement. “We’re excited to work with Alto to bring the ease and convenience of their same-day delivery experience to those using Hims & Hers to access primary care services."
The arrangement also comes at a time when social distancing and quarantines are driving new demand for virtual care services. Greater access to expedited the home delivery of medications could play a role in limiting COVID-19 exposure for chronic-disease patients and others at risk of poor outcomes.
THE LARGER TREND
Founded in 2015 as ScriptDash, Alto's digital pharmacy was very well funded prior to the outbreak, having raised a total of more than $350 million early this year for a valuation of over $1 billion. Other players in the same-day medication delivery space include NowRx and Medly, both of which saw their own recent funding rounds.
Hims & Hers was trending upward prior to COVID-19, but has since found new opportunities to grow the virtual care side of its business with new service offerings. The brand is also rumored to have a $1 billion valuation. It appears to be investigating a deal that would bring its business to the public markets. Its primary competitor, Ro, recently raised $200 million for a $1.5 billion valuation.
ON THE RECORD
“At Alto, we’re constantly looking for new ways to improve the healthcare and pharmacy experience, and we’re excited to partner with Hims & Hers to offer free, same-day courier medication delivery for their patients,” Omar Nagji, VP of enterprise at Alto Pharmacy, said in a statement. “Our partnership with Hims & Hers offers patients control, discretion and pharmacist access without making a trip to a doctor’s office or pharmacy.”