E-commerce retail giant Amazon (Nasdaq: AMZN) is making waves into the health care space, but the company has also been building a means to service providers in a more traditional way.
Amazon Business, the retailer’s B2B service line, is shaping the supply chain process for health care providers by enabling them to order in a familiar way online. After launching Amazon Business three years ago, the platform has more than 1 million business customers that use it to order everything from office supplies to certain medical equipment.
While Amazon doesn’t break out its customer base by provider type, the business platform services home health care providers, doctors, nursing homes, skilled nursing facilities, ambulatory surgery centers and more.
“[We] offer [the service] to businesses of all sizes—single doctors and offices with five employees or a 10,000-employee system, and everything in between,” Chris Holt, global health care leader at Amazon Business, told Home Health Care News. “[We have] home health customers and nursing homes, that’s right in our mid-size sweet spot, where it’s a company that maybe doesn’t have huge purchasing power, a lot of employees and a consumes a lot of products.”
Amazon Business takes the same approach as its consumer-facing retail site.
“[Amazon Business] is that [Amazon.com] experience but applied to business purchasing,” Holt told HHCN. “We launched three years ago [thinking, if] people love shopping at home from Amazon, maybe they will love shopping for work on Amazon.”
The purchasing model may help providers as they continue to streamline their businesses for value and efficiency to lower overall costs, he said. Amazon’s foray into the business marketplace could continue to expand in health care, as well.
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