Why Dispensing Data Matters
A Clearer Basis for Rebate Calculations
Purchasing data confirms that a product has been acquired. Prescribing data records an intention to supply a medicine. Neither necessarily confirms that an eligible product was dispensed through a participating practice.
Safe Dispenser helps pharmaceutical manufacturers operate rebate schemes based on eligible dispensing activity. This connects calculations more closely with the activity the scheme is intended to support.
Purchased, Prescribed and Dispensed
Are Not the Same
Each type of information describes a different stage in the journey of a medicine. Choosing the right calculation basis depends on what the rebate scheme is designed to recognise.
Dispensed
Dispensing data records products supplied through participating dispensaries.
Where a scheme is intended to recognise eligible dispensing activity, this can provide a closer connection between the agreed scheme terms and the rebate calculation.
Purchased
Purchase data shows the products and quantities acquired by a dispensary.
It can provide a useful view of ordering activity, but products may remain in stock or be purchased in a different reporting period from the one in which they are dispensed.
Prescribed
Prescribing data records the medicine selected when a prescription is issued.
It does not necessarily confirm that the prescription was fulfilled, that the product was supplied through a participating dispensary or that the activity met the scheme’s eligibility requirements.
Purchased does not always mean dispensed. Prescribed does not always mean supplied.
Using the information that most closely reflects qualifying activity helps create a clearer and more relevant basis for calculating rebates.
Better Alignment With the Purpose of the Scheme
The most appropriate source of information depends on what a manufacturer wants its rebate scheme to achieve.
Where the scheme is designed around eligible products dispensed by participating practices, validated dispensing information can provide several advantages.
-
Closer Alignment
Rebates can be calculated against qualifying dispensing activity rather than every product purchased by a participating practice.
-
Reduced Timing Distortion
A product may be purchased in one reporting period and dispensed in another. Dispensing-led calculations can reduce the influence of stockholding and ordering patterns.
-
Consistent Eligibility Checks
Agreed rules covering products, pack formats, participating practices and reporting periods can be applied consistently to submitted activity.
-
Clearer Oversight
Structured reporting can provide manufacturers with a clearer view of qualifying activity, calculated rebate values and any exceptions requiring attention.
VALIDATING DISPENSING ACTIVITY
From Dispensing Information to a Qualifying Rebate
Validation means checking submitted dispensing information against the specific rules and data requirements agreed for the scheme.
Depending on the scheme, these checks can include:
Confirming that the product and pack format are eligible.
Confirming that the activity relates to a registered participating practice.
Checking that the dispensing date falls within the qualifying period.
Reviewing whether the required information has been provided.
Identifying possible duplicate, incomplete or inconsistent records.
Separating exceptions that require further review.
Once the relevant checks have been completed, eligible activity can be processed using the manufacturer’s agreed rebate terms.
Information that does not meet the required criteria can be flagged for review rather than automatically included in the calculation.
CLEAR AND DEFINED DATA REQUIREMENTS
Validation Designed Around the Scheme
Every scheme has different products, objectives and commercial terms. The required data fields and validation controls are therefore agreed with the manufacturer during scheme development.
This includes defining:
What information participating practices must provide.
How frequently information should be submitted.
Which products and pack formats qualify.
Which reporting periods apply.
How incomplete or inconsistent information will be handled.
How corrections and potential duplicates will be managed.
What information will be included in manufacturer reports.
Establishing these requirements at the beginning creates a more consistent process for participating practices and a clearer basis for manufacturer oversight.
MANUFACTURER REPORTING
Clearer Visibility of Qualifying Activity
Validated dispensing information can be converted into structured reporting based on the requirements of the individual scheme.
Depending on the agreed reporting format, this can provide visibility of:
Eligible dispensing activity during each reporting period.
Applied rebate rates and calculated values.
Activity excluded under the scheme rules.
Exceptions or queries requiring review.
Adjustments made following validation.
Overall participation and scheme activity.
This gives the manufacturer a defined record of how qualifying activity has been assessed and how the resulting rebate has been calculated.
When Is a Dispensing-Led Scheme Appropriate?
Dispensing data is not automatically the right basis for every rebate scheme.
Where a scheme is intended to recognise purchasing or ordering activity, purchase data may be appropriate. Where it is intended to recognise eligible products supplied through participating dispensing practices, dispensing data can provide a closer match.
Safe Dispenser works with manufacturers to understand the purpose of the proposed scheme and establish an appropriate calculation and validation process.
More Than Data Validation
Dispensing-data validation forms part of Safe Dispenser’s complete rebate scheme administration service.
We can also support scheme development, implementation, practice engagement, registration, rebate calculations, statements, payments, reporting and ongoing administration.
Button: Explore Complete Rebate Scheme Administration
Considering a new rebate scheme?
Talk to Safe Dispenser about your products, objectives and proposed timescale. We can help define the right administrative approach and the practical steps required to launch.