Amazon Introduces Lifestyle Drug Service, Challenging Hims & Hers

Amazon has expanded its presence in the pharmacy sector, announcing a new service designed to offer low-cost treatments for lifestyle conditions such as hair loss and anti-aging skin care. This move is seen as a direct challenge to companies like Hims & Hers, with Amazon’s entry causing a notable dip in Hims & Hers stock by over 17%.

The new service, which is part of Amazon’s broader pharmacy expansion, builds on the success of its $5-per-month RxPass service launched in January 2023. This service provides Amazon Prime members access to a wide range of common prescription drugs at discounts of up to 80%.

Amazon’s latest offerings in lifestyle treatments include:

• Anti-Aging Skin Care: Starting at $10 per month
• Hair Loss Treatment: Starting at $16 per month
• Erectile Dysfunction Treatment: Starting at $19 per month

The company highlights that Prime members can save up to 92% on erectile dysfunction treatments when compared to popular subscription service alternatives.

Industry analysts are viewing Amazon’s move into the lifestyle drug space as a serious competitive threat, noting that it could shake up the market. Amazon CEO Andy Jassy also shared his thoughts on the growth potential within the pharmacy sector, emphasizing that traditional pharmacy experiences are often cumbersome and inefficient, especially with security measures like locked cabinets and high instances of shoplifting.

In addition to expanding its lifestyle drug offerings, Amazon has made significant strides in its pharmacy division, such as extending RxPass to Medicare recipients in June and planning to open 20 physical pharmacies in 2025 in cities including Boston, Dallas, and San Diego.

One of Amazon’s key selling points is its ability to simplify healthcare for its customers. Through its Prime membership, users can see the total cost for medications and telehealth consultations upfront, helping to avoid surprise medical bills and high medication costs. Dr. Vin Gupta, Amazon Pharmacy’s chief medical officer, emphasized the service’s goal of reducing the burden on patients by streamlining the healthcare process, making it easier for individuals to access care without navigating complex systems or long waits.