The news: The Trump administration is rolling out its own direct-to-consumer (D2C) prescription drug website, called TrumpRx, where Americans can purchase some prescriptions at lower negotiated rates. It’s also inked a specific deal with Pfizer to cut many of its drug prices by 40% or more, and in turn, receive a three-year delay on tariffs.
Pfizer also committed to a "most favored nation" price for its Medicaid drugs (the lowest price offered to any developed country). It also agreed to use revenues from foreign drug sales to fund new medications for Americans.
How we got here: Pharma companies and the leading trade group PhRMA have been rushing the past few weeks to meet Trump’s Sept. 29 deadline to lower drug prices and create D2C websites.
- On Sept. 29, PhRMA said it will aggregate the D2C efforts of its members on a new AmericasMedicines.com website set to launch in January. (For context: Most of the top 20 Big Pharma companies are members, although AbbVie, AstraZeneca, and Novo Nordisk are not.)
- Also on Sept. 29, Novartis said it will debut a direct-to-patient website for its psoriasis medicine Cosentyx on Nov. 1, offering a 55% cash-pay discount of $3,571 per month, down from its list price of $7,936.
- Boehringer Ingelheim launched its platform on the same deadline day with respiratory drug Spiriva Respimat available for cash-pay patient delivery at $35 per month compared to the average retail price of more than $600.
- Last week, Bristol Myers Squibb pledged to launch D2C in January with psoriasis drug Sotyktu at an 80% cash-pay discount ($950 per month versus list $6,828).
- AstraZeneca also promised an Oct. 1 D2C website along with more than 50% direct-pay discounts on asthma drug AirSupra and diabetes, heart failure and kidney disease med Farxiga.
Why it matters: Drugmakers want to adopt more D2C avenues to cut out intermediaries like insurers and pharmacy benefit managers (PBMs). In turn, consumers are interested in purchasing prescriptions online—especially if they can get lower prices.
- PhRMA called out PBMs and middlemen for taking “massive rebates on medicines while charging patients the full price,” in its announcement.
- More than one-third (34.8%) of consumers bought prescription medications online last year, per our December 2024 Digital Health Survey, citing “better prices” as the top reason to buy online.
Yes, but: Direct cash-pay discounts only benefit a smaller percentage of uninsured and underinsured consumers.
- An estimated 8.2% of Americans did not have insurance in 2024, per the CDC.
- Another 23% are considered underinsured, that is with insurance, but still with high out-of-pocket costs and deductibles, per the Commonwealth Fund’s survey in November.
Yes, and: A report released by Sen. Bernie Sanders (I-VT) on Monday pointed out the price of 688 drugs have increased, by an average 5.5%, since Trump took office. Twenty-five drugs have more than doubled in price, it found.
Our take: Pharma companies are technically meeting Trump demands with D2C announcements, but the initial moves may not be enough to satisfy either policymakers or consumers. Many of the launches are positioned as first steps, so the real test will be how they evolve.
Marketers and agencies need to deliver D2C experiences that match consumers’ daily digital life expectations.
- Pricing is important, so marketers should be transparent about D2C medicine costs.
- Pharma website also need services that make patients’ lives easier and show clear benefits. Features like companion apps, free home delivery, 24/7 helplines staffed by healthcare providers, and proactive follow-up inquiries can turn transactions into longer-term loyalty.
This content is part of EMARKETER’s subscription Briefings, where we pair daily updates with data and analysis from forecasts and research reports. Our Briefings prepare you to start your day informed, to provide critical insights in an important meeting, and to understand the context of what’s happening in your industry. Not a subscriber? Click here to get a demo of our full platform and coverage.