What You Should Know:
– Walmart acquires app-based patient medication management platform CareZone for reportedly $200M to enhance its digital health and wellness capabilities.
– CareZone’s technology and team members will join Walmart to augment their current Health & Wellness capabilities and support its focus on digital health care solutions. CareZone will remain a separate company unrelated to Walmart.
Walmart announced it has acquired CareZone, a San Francisco, CA-based smartphone service for managing chronic health conditions for reportedly $200M. Founded in 2012, Founded in 2012 by former CEO of Sun Microsystems, Jonathan Schwartz and former Microsoft and Apple engineer, Walter Smith, CareZone helps individuals, families, and caregivers manage chronic health conditions. The company makes it easy to manage multiple medications, automate pharmacy refill requests, organize and share caregiving information, and access insurance services, all from a delightfully simple smartphone app.
CareZone Pharmacy Services
CareZone facilitates prescription medication delivery throughout the nation. By working with a network of pharmacy partners, CareZone’s concierge services assist consumers in getting their prescription medications organized and delivered to their doorstep, making pharmacies more accessible to individuals and families who may be homebound or live in rural locations.
“Acquiring the technology platform of CareZone is another example of our continued commitment to helping lower the cost of healthcare for our 160 million customers who shop Walmart each week while offering convenient options across multiple channels to help them manage their health and wellness,” said Lori Flees, Senior Vice President, Health & Wellness, Sam’s Club, & Sean Slovenski, Senior Vice President, Health & Wellness, Walmart U.S. in the company announcement.
Integration Plans for Walmart
As part of the acquisition, Walmart will integrate Carezone’s technology platform with their existing Digital Health & Wellness capabilities and support its increasing focus on digital health solutions. CareZone will continue to operate as a stand-alone company unrelated to Walmart.
“The goal of any technology startup is to build a product or experience that touches the lives of as many people as possible,” said Walter Smith, co-founder and chief technology officer of CareZone. “Adding our technology platform to Walmart’s existing digital capabilities and physical reach creates a unique opportunity to redefine what the future of digital health and wellness can look like. The CareZone team members joining Walmart are excited to bring our knowledge and apply it to such a broad canvas.”
Impact on Digital Health & Prescription Drug Market
“Consumers are engaging and adapting with digital health more than ever and incorporating it into their daily routines. With Walmart, you’re taking a retail giant with pharmacy capabilities and licenses across all 50 states and adding a digital health component. It’s a great model for Walmart and this acquisition solidly moves them into the digital health space. Walmart will now gain vast amounts of healthcare consumer data and, coupled with its vast network of brick and mortar stores, the addition of CareZone may even put it one step ahead of Amazon. What will be key to watch for is Walmart’s ability to support those patients managing chronic conditions who require dedicated programs to affect lasting behavior change in addition to end-to-end support which requires coordination across the healthcare ecosystem,” said Omri Shor, CEO and Co-Founder, Medisafe.