Amazon's losing ground in healthcare supply chain, report suggests

Fewer hospital purchasing managers are buying supplies from Amazon than last year, according to a survey from UBS Group AG cited by Bloomberg.

UBS surveyed 100 purchasing managers to compile its report. While hospitals are purchasing fewer medical supplies, they are increasing their office supply purchases. Respondents said they plan to increase their supply purchases from Amazon over the next three years, but the percentage of those in talks with sourcing agreements with Amazon has decreased to 7 percent from 11 percent last year.

Purchasing managers may be getting lower discounts from other retailers, according to UBS analyst Kevin Caliendo.

“Amazon Business is available in eight countries, serving healthcare customers of all sizes, from large IDNs to small and medium community hospitals," said Chris Holt, global healthcare leader for Amazon Business in an emailed statement. "More than half of the 100 biggest hospital systems in the U.S. make purchases through Amazon Business."

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