A employee delivers Amazon packages in San Francisco on Oct. 24, 2024.
David Paul Morris | Bloomberg | Getty Images
Amazon on Thursday introduced Prime members can entry new fastened pricing for therapy of situations like erectile dysfunction and males’s hair loss, its newest effort to compete with different direct-to-consumer marketplaces akin to Hims & Hers Health and Ro.
Shares of Hims & Hers closed down greater than 24% on Thursday, the corporate’s worst day on report.
Amazon stated in a blog post that Prime members can see the price of a telehealth go to and their desired therapy earlier than they resolve to proceed with take care of 5 frequent points. Patients can entry therapy for anti-aging skincare beginning at $10 a month; movement illness for $2 per use; erectile dysfunction at $19 a month; eyelash progress at $43 a month, and males’s hair loss for $16 a month through the use of Amazon’s financial savings profit Prime Rx at checkout.
Amazon acquired main care supplier One Medical for roughly $3.9 billion in July 2022, and Thursday’s announcement builds on its present pay-per-visit telehealth providing. Video visits by way of the service price $49, and messaging visits price $29 the place out there. Users can get therapy for greater than 30 frequent situations, together with sinus an infection and pink eye.
Medications stuffed by way of Amazon Pharmacy are eligible for discounted pricing and shall be delivered to sufferers’ doorways in commonplace Amazon packaging. Prime members can pay for the session and drugs, however there aren’t any extra charges, the weblog publish stated.
Analysts at Bank of America downgraded shares of Hims & Hers from purchase to underperform on Thursday, citing Amazon’s push into hair loss and erectile dysfunction markets. The analysts stated Hims & Hers generates greater than 80% gross margins from its core erectile dysfunction and hair loss choices, and estimate that Amazon’s drugs for these situations are about 42% and 29% cheaper respectively.
As a outcome, the analysts stated they suppose Amazon will restrict the costs that Hims & Hers can cost and can hinder the corporate’s capacity to draw new prospects.
“While Amazon may not offer the same personalized products, its wide net (we estimate 150MM Americans have Prime) creates a serious competitive threat for HIMS, in our view,” they wrote in a Thursday be aware.
Amazon has been making an attempt to interrupt into the profitable health-care sector for years. The firm launched its personal on-line pharmacy in 2020 following its acquisition of PillPack in 2018. Amazon launched, and later shuttered, a telehealth service referred to as Amazon Care, in addition to a line of well being and wellness units.
The firm has additionally discontinued a secretive effort to develop an at-home fertility tracker, reported Wednesday.
— ‘s Annie Palmer contributed to this report.
