Global trends in technology for retailers and how they are impacting the pharmacy sector
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David Audley - Invited Speaker - HiNZ 2015 Conference, Christchurch.
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Global trends in technology for retailers and how they are impacting the pharmacy sector
- 1. Technology in the Pharmacy Sector Dave Audley | Christchurch | October 2015
- 2. TECHNOLOGY IN THE PHARMACY SECTOR| 2 Agenda Evolution of Pharmacy The Bigger Picture Disruptive Technology Emerging Capabilities
- 3. TECHNOLOGY IN THE PHARMACY SECTOR| 3 Scientists from the RAND Corporation have created this model to illustrate how a “home computer” could look like in the year 2004. However the needed technology will not be economically feasible for the average home... A cautionary note…
- 5. TECHNOLOGY IN THE PHARMACY SECTOR| 5 Evolution of Pharmacy Empiric Era Industrialisation Era Patient Care Era Biotechnology and Genetic Engineering Era Start of time 1600 AD 1600 - 1940 1940 - 1970 1940 – Present The New Era Ancient Era
- 6. TECHNOLOGY IN THE PHARMACY SECTOR| 6 The vision
- 7. TECHNOLOGY IN THE PHARMACY SECTOR| 7 Developments in genomics and microbiome studies
- 9. TECHNOLOGY IN THE PHARMACY SECTOR| 9
- 10. TECHNOLOGY IN THE PHARMACY SECTOR| 10 SupplierSupplier LR App/Push Notifications Life pharmacy visitor Cloud Www.life co.nz Customer Management Platform Supplier Direct Mail Email Finance/Retail Platform Automated Offer Platform FinanceMarketingData Team Merchandise Digital Signage POS CMS Target Architecture v6 Ring Network PMS Www.unichem.co.nz Unichem pharmacy visitor Online pharmacy visitor
- 11. TECHNOLOGY IN THE PHARMACY SECTOR| 15 320 stores 1 million transactions 1.1 million customers
- 12. TECHNOLOGY IN THE PHARMACY SECTOR| 16
- 14. TECHNOLOGY IN THE PHARMACY SECTOR| 18 Disruptive technology TIME PERFORMANCE
- 15. TECHNOLOGY IN THE PHARMACY SECTOR| 19 IBM pc vs…?
- 16. TECHNOLOGY IN THE PHARMACY SECTOR| 21 Finding a job, Booking a hotel…
- 17. TECHNOLOGY IN THE PHARMACY SECTOR| 22 New Disrupting Technology in Pharmacy Accessible by consumers using Mobiles Tech to ID customer in Store Send real time specials while in store to the customer Connected Cloud Systems Email receipts (no paper)
- 18. TECHNOLOGY IN THE PHARMACY SECTOR| 24 Showrooming Consumers are showrooming more than ever… 44% of consumers are showrooming frequently 36% of consumers use their mobile device to shop more in-store than they did 2 years ago
- 19. TECHNOLOGY IN THE PHARMACY SECTOR| 25 Five types of mobile assisted shoppers Experience Seekers 31.7% “Value the best experience not just price” Traditionalists 30.2% “Prefer the in-store shopping experience” Price Sensitives 19.4% “Don’t plan, but always opt for deals” Savvys 12.6% “Calculating, but persuadable” Exploiters 6.1% “Premediated about lower prices”
- 21. TECHNOLOGY IN THE PHARMACY SECTOR| 27 Disrupter or Niche?
- 22. TECHNOLOGY IN THE PHARMACY SECTOR| 28 Progress Overseas
- 23. TECHNOLOGY IN THE PHARMACY SECTOR| 29 24/7 healthcare access to over 50% of the Swiss population. 4,300 consultations each day. Half don’t require a follow-up face-to-face consultation. Now in Australia, coming to NZ.
- 24. TECHNOLOGY IN THE PHARMACY SECTOR| 31 Home health care for chronic patients Spanish example – remote elderly patient monitoring. Uses Microsoft gaming technology. 18% interactions between healthcare professional and patients are now telephonic. 23% reduction in hospital readmissions.
- 25. TECHNOLOGY IN THE PHARMACY SECTOR| 32
- 26. TECHNOLOGY IN THE PHARMACY SECTOR| 33
- 27. TECHNOLOGY IN THE PHARMACY SECTOR| 35 The internet of everything We expect to see 25 billion Internet connected things by 2020, and close to $2 trillion of economic benefit globally. These things are not general purpose devices, such as smartphones and PCs, but dedicated objects, such as vending machines, jet engines, connected soap dispensers and a myriad of other examples.
- 28. TECHNOLOGY IN THE PHARMACY SECTOR| 36 Contact lenses that monitor diabetes Sits on your eye and takes a reading once per second Monitors blood-sugar levels and corrects vision Wireless to your phone Novartis & GoogleX partnership Expected on market sometime this year
- 29. TECHNOLOGY IN THE PHARMACY SECTOR| 39 Swallow this digital pill Ingestible & wearable sensors that monitor medication- taking, activity and rest patterns Your body powers the ingestible sensor. No battery. No antenna. Sensor technology cleared by FDA in 2012 www.proteus.com
- 30. Exciting Trends in Retail
- 31. TECHNOLOGY IN THE PHARMACY SECTOR| 41 Predicting customer behaviour Are you buying mineral supplements, scent-free lotion and blue-rugs? …chances are: – it’s the beginning of your second trimester, – your baby’s a boy Target predicting delivery day with 83% accuracy Lock-in customers at a ‘pivot’ time No “privacy” breach (but still creepy)
- 32. TECHNOLOGY IN THE PHARMACY SECTOR| 42 Billboards responding to planes London billboards tracking flights in real time Synchronise a video of a child pointing to the plane Display the flight number and information about its destination or origin Uses planes’ transponder data
- 33. TECHNOLOGY IN THE PHARMACY SECTOR| 43 Hijack your competitors ‘Edgy’ Guatemalan shoe store. When a customer enters a competitor’s store, they receive a timed discount that starts at 99% and decreases by the second. The faster they reached the store, the better the deal they got.
- 34. TECHNOLOGY IN THE PHARMACY SECTOR| 44
- 35. TECHNOLOGY IN THE PHARMACY SECTOR| 46 Li-Fi is the new Wi-Fi
- 36. TECHNOLOGY IN THE PHARMACY SECTOR| 47 I showed my 10 year old son a floppy disk…. He said “WOW…Cool!..You 3D printed the Save Icon!”
- 37. TECHNOLOGY IN THE PHARMACY SECTOR| 48
- 38. Thank You Dave Audley | david.audley@greencrosshealth.co.nz
Notas do Editor
- In 1954, Popular Mechanics showed its readers what a home computer might look like this year (2004) – debunked: http://web.archive.org/web/20061108123941/http://www.popularmechanics.com/technology/upgrade/1303271.html
- Ancient Era; early man used leaves, mud and cool water to stop bleeding. Dry clay used as a splint. Copied animals. Started documenting healing on clay tablets in BC 2600. 1500 BC Ebers Papyrus; Evacuation of the Belly; cow’s milk, grains, honey – mash/sift/cook and take in 4 portions Cancer; do thou nothing there against Bowels; Melilot and dates – cook in oil and anoint sick part Clothing; protect from mice and rats by applying cat’s fat Finally, half an onion and the froth of beer is a delightful remedy against death Romans and Greeks began thinking logically instead of mythologically. Hippocrates. The Arabian influence – the first Pharmacy shop in Baghdad 792 AD Renaissance – start of Pharmacy Guilds. Physicians didn’t take pharmacy seriously – put in same guild as spicers. Empiric Era; Roots, bark, herbs and flowers. Controlled by governments and emerged interest in toxicology. William Proctor – Father of American Pharmacy. New drugs and chemicals – nitrogen, chlorine, zinc, oxygen, quinine, caffeine, morphine, codeine, penecillin and testosterone. Industrialization Era; WW1, American Civil War. Drugs needed for injuries and illness from war. Mass production. Scientific research. Patient Care era; Focused on treating conditions with drugs – and the side-effects of the very same drugs. Biotechnical Era; Gene therapy linking disease to genetic defects. Modifying genetic make up to prevent or cure disease. Synthetic DNA generation
- …not sure this fits in presentation. I just thought it was funny. Depends on tone of presentation. Could make a point – it’s easy to romanticise old technology
- Let’s look at some other industries. First: TV and videos: Sep 2014 – Foxtel slashed prices by 50% YouTube numbers increasing rapidly while TV viewing is declining. Stan & Presto launched early 2015. NetFlix in March 2015.
- THE IMPORTANT BIT IS THAT YOU HAVE TO REACH YOUR CUSTOMERS WHEREVER THEY ARE AND HOWEVER THEY WANT TO COMMUNICATE WITH YOU. Walgreens – “It’s about being where your customers are” Pharmacy customers will continue to come into your store (same as you can still listen to rock music on the radio) BUT those customers NOW want to be able to communicate with you whilst they aren’t in the store and even whilst you aren’t in the store. There are technologies around now that allow you to do this and they will progress fairly rapidly over the next few years. Get on board. "Digital and technology is a major focus for Woolies' marketing this year. "Our members want to be able to get, over their mobile, every piece of information about their shop, whether it's what's on special, what the best deals are or how to use them in a recipe. It's all proximity based information, as people are on their mobiles all the time." Elizabeth Ryley, GM of Customer Loyalty, Woolworths.
- Here’s an example of Google search being used to fight against flu.
- Path to purchase Digital browsing, Complex path to purchase Challenges with browse instore and shop online
- Source: http://www.prnewswire.com/news-releases/new-research-debunks-showrooming-myths-shows-brick-and-mortar-retailers-how-to-keep-smartphone-wielding-shoppers-spending-in-store-223468151.html
- There are successful models to look at overseas. Let’s look at two. Firstly in the US: http://www.teladoc.com 24/7 access to a doctor by phone 8 million individual patients with 4,000 clients 550 doctors - mostly doing additional work on top of their practice or hospital. Waiting list to join as a doctor raised $100m in funding revenue between $25m & $75m (private company so limited reporting requirements) tipping point was convincing major health insurers and employers to sign on - saves them money limited set of conditions treated annual subscription charged plus a $40 co-pay they dump customers who use them too often
- Second example is European. Key to success of the overseas model is acceptance by the funders. Telstra started advertising for doctors in February 2015 for a mid-year start.
- Osakidetza, the public health system in the Basque region of Spain, is using Microsoft Kinect devices to enable telemedicine treatment of chronic patients. Using the Kinect devices, patients are given not only a more natural way to interface with technology but also new ways to experience medical care. Using insights from the Kinect devices, physical therapists get access to a wealth of granular data that can be used to offer remote consultations and to quantifiably gauge progress. In doing so, therapy sessions can be more frequent, more targeted, and shorter, thus reducing costs, improving outcomes, and reducing patients’ recovery times. http://www.accenture.com/SiteCollectionDocuments/PDF/Accenture-Basque-Country-Managing-Increased-Chronicity-Through-Public-Health-Transformation.pdf https://www.youtube.com/watch?v=VkF1u7pO7zc
- Maybe we’ll be using Microsoft HoloLens for Telehealth before too long. Augmented reality – more than video conferencing. Different to virtual reality – like Occulus Rift. There’s also Google Glass.
- What will happen when smart objects surround us in smart homes, offices, streets, and cities? http://en.wikipedia.org/wiki/Internet_of_Things Medical and healthcare systems[edit] IoT devices can be used to enable remote health monitoring and emergency notification systems. These health monitoring devices can range from blood pressure and heart rate monitors to advanced devices capable of monitoring specialized implants, such as pacemakers or advanced hearing aids.[30] Specialized sensors can also be equipped within living spaces to monitor the health and general well-being of senior citizens, while also ensuring that proper treatment is being administered and assisting people regain lost mobility via therapy as well.[50] Other consumer devices to encourage healthy living, such as, connected scales or wearable heart monitors, are also a possibility with the IoT.[51] A thing, in the Internet of Things, can be a person with a heart monitor implant, a farm animal with a biochip transponder, an automobile that has built-in sensors to alert the driver when tire pressure is low -- or any other natural or man-made object that can be assigned an IP address and provided with the ability to transfer data over a network. So far, the Internet of Things has been most closely associated with machine-to-machine (M2M) communication in manufacturing and power, oil and gas utilities. Products built with M2M communication capabilities are often referred to as being smart. “Today computers -- and, therefore, the Internet -- are almost wholly dependent on human beings for information. Nearly all of the roughly 50 petabytes (a petabyte is 1,024terabytes) of data available on the Internet were first captured and created by human beings by typing, pressing a record button, taking a digital picture or scanning a bar code. The problem is, people have limited time, attention and accuracy -- all of which means they are not very good at capturing data about things in the real world. If we had computers that knew everything there was to know about things -- using data they gathered without any help from us -- we would be able to track and count everything and greatly reduce waste, loss and cost. We would know when things needed replacing, repairing or recalling and whether they were fresh or past their best.”
- http://www.nbcnews.com/technology/internet-things-pits-george-jetson-vs-george-orwell-6C10462818 What will happen when smart objects surround us in smart homes, offices, streets, and cities? http://en.wikipedia.org/wiki/Internet_of_Things Medical and healthcare systems[edit] IoT devices can be used to enable remote health monitoring and emergency notification systems. These health monitoring devices can range from blood pressure and heart rate monitors to advanced devices capable of monitoring specialized implants, such as pacemakers or advanced hearing aids.[30] Specialized sensors can also be equipped within living spaces to monitor the health and general well-being of senior citizens, while also ensuring that proper treatment is being administered and assisting people regain lost mobility via therapy as well.[50] Other consumer devices to encourage healthy living, such as, connected scales or wearable heart monitors, are also a possibility with the IoT.[51] A thing, in the Internet of Things, can be a person with a heart monitor implant, a farm animal with a biochip transponder, an automobile that has built-in sensors to alert the driver when tire pressure is low -- or any other natural or man-made object that can be assigned an IP address and provided with the ability to transfer data over a network. So far, the Internet of Things has been most closely associated with machine-to-machine (M2M) communication in manufacturing and power, oil and gas utilities. Products built with M2M communication capabilities are often referred to as being smart. “Today computers -- and, therefore, the Internet -- are almost wholly dependent on human beings for information. Nearly all of the roughly 50 petabytes (a petabyte is 1,024terabytes) of data available on the Internet were first captured and created by human beings by typing, pressing a record button, taking a digital picture or scanning a bar code. The problem is, people have limited time, attention and accuracy -- all of which means they are not very good at capturing data about things in the real world. If we had computers that knew everything there was to know about things -- using data they gathered without any help from us -- we would be able to track and count everything and greatly reduce waste, loss and cost. We would know when things needed replacing, repairing or recalling and whether they were fresh or past their best.”
- http://www.wsj.com/articles/novatis-google-to-work-on-smart-contact-lenses-1405417127 The lens consists of a wireless chip and a miniaturized glucose sensor. A tiny pinhole in the lens allows for tear fluid to seep into the sensor to measure blood sugar levels.[3] Both of the sensors are embedded between two soft layers of lens material. The electronics lie outside of both the pupil and the iris so there is no damage to the eye. There is a wireless antenna inside of the contact that is thinner than a human’s hair, which will act as a controller to communicate information to the wireless device. The antenna will gather, read, and analyze data. Power will be drawn from the device which will communicate data via the wireless technology RFID.[4] Plans to add small LED lights that could warn the wearer by lighting up when the glucose levels have crossed above or below certain thresholds have been mentioned to be under consideration.[2] Challenges presented by such a technology are that the LED lights contain the toxic metalarsenic.[5] The performance of the contact lenses in windy environments and teary eyes is unknown.[3] The prototypes being tested can generate a reading once per second.[2]
- Using big data, shopping centres can quite accurately predict their sales figures by monitoring the activity of mobile phones in the parking lot — even before customers have opened their wallets. Tesco are introducing Facial recognition in their stores. Target example (2002) Back in 2002, Target in the USA wanted to know which of its shoppers had just become pregnant — because it wanted more customers. You see, shoppers tend to shop at the same place that they've always gone to — and it's hard to get them to shift. But when women get pregnant, it's a whole new world — and the pregnant woman might be lured into changing to a new shop. So Target hired Andrew Pole (who has master's degrees in both statistics and economics) to see if he could data-mine his way into freshly pregnant uteruses. His starting point was the so-called 'guest ID number'. This is a number that Target assigns to each customer, and is linked to their name or email address or credit card. It soon became clear that women (who had voluntarily put themselves on the Target Baby Registry) were buying some 25 products around the beginning of their second trimester. These included mineral supplements such as calcium, magnesium and zinc, large quantities of unscented lotions, and so on. And if they bought a little bright blue rug, the new baby was probably a boy. And when they started buying scent-free soap, hand sanitisers, washcloths, a handbag large enough to carry a few nappies and extra-large bags of cotton balls — well obviously, they were getting close to their delivery date. Indeed, Target found it could predict their delivery date with some 83 per cent accuracy — just from their shopping habits. So Target began sending discount coupons for various baby items to customers, according to how they rated on Target's own "pregnancy prediction algorithm". But then it got messy. An angry father walked into a Target store just outside of Minneapolis, clutching a brochure that had just come through the mail, demanding to speak to the manager. Angrily he said: "My daughter got this in the mail! She's still in high school, and you're sending her coupons for baby clothes and cribs? Are you trying to encourage her to get pregnant?" Sure enough, the brochure did carry the daughter's name and address, and had advertisements only for maternity clothing, nursery furniture, and so on. The manager apologised. A few days later the manager called the father to apologise again. But this time, the father was a little embarrassed. He said: "It turns out there's been some activities in my house I haven't been completely aware of. She's due in August. I owe you an apology." Now some people like their privacy. Some Target customers were annoyed by receiving brochures packed only with baby merchandise, especially when they had not told anyone they were pregnant. So Target produced new brochures that had some non-baby merchandise sprinkled around the baby goodies, so the newly pregnant mothers didn't realise they had been data-mined.
- Video of it in action https://www.youtube.com/watch?v=GtJx_pZjvzc Everyday objects are becoming smart and expanding the definition of what it means to experience the real world. In London, British Airways has unveiled two digital billboards that actively track flights in real time, animate an image of a child pointing to the plane, and display the flight number and information about its destination or origin—inspiring onlookers to dream about where they could be escaping to on a British Airways flight.7 Aircraft info He goes on to say how his team used an ADS-B (automatic dependent surveillance – broadcast) antenna to read planes’ transponder data within 125 miles, which provided information on their location, speed, altitude and call-sign. “We created a virtual ‘tripwire’ in the sky, triggering our billboards to display our ads every time a British Airways plane flew overhead,” Andrews said, adding that that it was important to know the exact position of the aircraft, “because if our ad triggered even a fraction of a second early or too late, the children would be pointing at a clear sky instead of a plane – massive fail!” When a plane passed overhead, the aircraft’s flight number and point of origin showed up on the billboard, at the same time revealing pricing information for its country of departure. A neat touch was the incorporation of cloud-height sensors in the billboards, so if they detected that it was too cloudy to see the planes, the system would pause until more suitable weather prevailed. Other example: Tesco is rolling out face scanning digital signage at all 450 of its UK petrol stations to tailor engaging and on-screen content to the audience of five million plus adults who pass through its stations each week
- https://www.thinkwithgoogle.com/campaigns/meat-pack-hijack.html https://www.youtube.com/watch?v=SkGaFRwIs7c
- https://www.thinkwithgoogle.com/campaigns/meat-pack-hijack.html https://www.youtube.com/watch?v=SkGaFRwIs7c
- …not sure this fits in presentation. I just thought it was funny. Depends on tone of presentation. Could make a point – it’s easy to romanticise old technology
- …not sure this fits in presentation. I just thought it was funny. Depends on tone of presentation. Could make a point – it’s easy to romanticise old technology
- …not sure this fits in presentation. I just thought it was funny. Depends on tone of presentation. Could make a point – it’s easy to romanticise old technology
- …not sure this fits in presentation. I just thought it was funny. Depends on tone of presentation. Could make a point – it’s easy to romanticise old technology