URGENT Message from our CEO

Pharmaceutical Returns

Reverse Distribution Data – What’s In It For You?

2 years ago  •  by Admin

Throughout its history, the Reverse Distribution Industry has facilitated this final component of the supply chain and has served the pharmaceutical industry by efficiently and effectively managing and accounting for their expired returns and the associated credits. But in the long run, the real boon to the pharmacy from Reverse Distribution is the beneficial by-product, DATA!

The Reverse Distribution process inventories, assigns value, and determines the eligibility status of your expired pharmaceutical returns before returning the eligible product to the manufacturer for credit consideration, and safely disposing of all the rest.

It goes without saying, your pharmacy’s “spend” for inventory can be offset by the credits recovered in the pharmaceutical returns process, and there is certainly  a real cash value in credit recovery overall.  These credits can also serve to completely cover the cost of managing and handling your expired products, while keeping your shelf space available for saleable goods, and facilitating formulary and protocol compliance in your facility.  

Much of the focus in the Reverse Distribution Industry is placed on the pharmaceutical returns products that are deemed eligible for credit consideration, and this is not surprising given the tangible cash-back they can generate. But it may just be that the products headed for the incinerator are the ones that deserve a long hard look.


The expired pharmaceutical returns items that cannot qualify for credit consideration due to their failure to meet the manufacturers required terms, represent financial loss of investment on the part of the pharmacy.  Mitigation of this segment of your returns can be key in improving the efficiency and profitability of the pharmacy.

When it comes to effective loss mitigation then, the most valuable business intelligence comes from the non-returnable manifest, and the reasons these products have been deemed ineligible. This is where vulnerabilities and waste trends, and their associated costs can be readily spotted and addressed. With the high price of pharmaceuticals, over time even a single product being handled poorly can result in hundreds of thousands of dollars in waste for the pharmacy.

Having clear and convenient visibility to the nature and composition of a pharmacy’s non-returnables can offer insight and assistance to the pharmacy that leads to smarter strategic planning and significant loss reduction. It can also result in better long-term resource management and more favorable purchasing options.