What’s Your Best Price?

When potential customers talk to sellers, there is often one question that comes up over and over again: “What’s your best price?”

The answer to this depends on the seller and what their goals are for the sales process. If a seller is looking to make the most profit on an item, they may be more willing to haggle over the price. If a seller wants to build long term relationships with their customers, they might be more likely to try and stay within the customer’s budget.

Best Price
The best price is the manufacturer’s net list price for the drug, less any cash discounts, free goods that are contingent on any purchase requirement, volume discounts, customary prompt pay discounts, chargebacks, incentives, promotional fees, administrative fees (except bona fide service fees), distribution fees, and any other discounts or price reductions, rebates, or coupons (other than those under Section 1927 of the Act). It does not include the cost of the pharmacy dispensing fee.

Some stakeholders, including AARP and the National Association of Medicaid Directors, are concerned that this policy could undermine the best price policies that have helped to lower drug prices for State Medicaid programs. They are worried that manufacturers may try to shift most traditional sales contracts to value-based purchasing arrangements and then use those more favorable terms to negotiate higher rebates with commercial insurance companies. Best price