- NowRx — a technology-enabled pharmacy that uses proprietary pharmacy software and last-mile logistics — announced that it completed a $20 million in Series B funding
NowRx — a technology-enabled pharmacy that uses proprietary pharmacy software and last-mile logistics for providing the same-day and same-hour delivery of prescription medications — announced that it has completed a $20 million Series B round of funding through SeedInvest.com — which is a leading Regulation A+ crowdfunding platform.
The funding round is the largest in SeedInvest history and it brings the company’s total funding to $30 million. This round of funding will be used to launch more of NowRx’s high-tech micro-fulfilment centers to bring free same-day prescription medication delivery to customers in additional territories. And NowRx will also use the funding to accelerate the technology roadmap for its proprietary pharmacy management software and logistics technology to increase efficiencies and improve profitability.
The retail pharmacy market is estimated to be a $400 billion industry — which often relies on expensive real estate to drive foot traffic and it depends on outdated legacy software systems to manage prescriptions. NowRx creates micro-fulfilment centers with advanced, proprietary technology, and low overhead in order to provide free same-day delivery so customers never have to come into a store.
The NowRx competitive advantage comes from its proprietary pharmacy management software technology, QuickFill (v3.5) — which was built from the ground up to streamline and simplify prescription fulfillment and delivery while reducing costs and improving customer service.
QuickFill was recently certified by the nation’s leading health information network: Surescripts Health Alliance Network — which unifies electronic health records (EHR) vendors, pharmacy benefit managers (PBMs), pharmacies, clinicians, and health plans, and connects QuickFill to over 1.5 million physicians across the U.S.
The QuickFill technology suite includes both a consumer app that provides customers with transparency and control over their prescriptions as they are being processed as well as Wheelz, which is the driver app that coordinates delivery by NowRx’s HIPAA-trained drivers, enables delivery signatures and transactions, and tracks deliveries in real-time through GPS.
QuickFill technology also incorporates end-to-end robotic dispensing. And when a customer clicks on the button to order a refill, that order is automatically routed to the nearest NowRx micro-fulfilment center where robots sort, count, bottle and label each medication in under 30 seconds.
Plus the Quickfill software also streamlines the insurance approval process and even has an automated coupon feature that has saved customers millions of dollars by automatically searching for and applying drug manufacturer coupons.
Recently, NowRx opened one of its high-tech micro-fulfilment facilities in Burlingame (its fourth in California) and it has recently received its pharmacy permit to operate another facility in Arizona.
Over the last year, NowRx has grown its new customer base by 84% and increased revenues by 78%. And since its first delivery in 2016, NowRx has delivered over 200,000 prescriptions to more than 28,000 customers.
Now NowRx is on track to achieve profitability even as it exceeds customer expectations by providing free same-day delivery.
SeedInvest CEO and Co-Founder Ryan Feit also pointed out that investors on the popular Regulation A+ crowdfunding platform were quick to grasp the advantages of NowRx even before the COVID-19 pandemic because so many have first-hand experience with the hassle of getting prescriptions filled.
KEY QUOTES:
“The real reason you are stuck waiting in line for your prescription is that the large chain pharmacies actually want you in their stores so you’ll make other purchases while you’re there. This flawed strategy ignores the fact that consumers are eager to avoid the hassle and risk of in-store shopping, especially during a pandemic.”
“By re-engineering pharmacy management software and deploying modern automation technology in our low-overhead, high-tech micro-fulfillment centers, NowRx provides a far better customer experience at the same or better margins than the largest players in the industry.”
“Speed, reliability, and convenience are particularly important right now amidst the COVID-19 pandemic. This funding round will help us accelerate our technology roadmap for developing the most efficient and convenient pharmacy experience possible.”
— NowRx CEO and co-founder Cary Breese
