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NowRx crowdfunds $23M+ and teams up with Hyundai to steer a faster delivery strategy—but the competition is fierce

The news: Digital pharmacy startup NowRx raised over $23 million in its Series C equity crowdfunding round on SeedInvest. The round is set to close on May 20. While it falls short of its $73 million target, it’s the largest round SeedInvest has seen to date.

This news comes shortly after NowRx partnered with Hyundai to test last-mile medication delivery.

  • The pair is testing automated dispatch, fleet management, and other last-mile optimization technologies.
  • Hyundai will provide slightly modified Hyundai Ioniq 5 vehicles (its electric SUV) as part of the partnership.
  • The aim of the partnership is to validate medication delivery via autonomous vehicles to reduce delivery costs down the road.

More on NowRx: NowRx is a fully digital pharmacy, meaning it has no brick-and-mortar stores.

Its fulfillment centers operate a system of software and robotics that automate prescription processing and quickly dispense medications in less than 30 seconds. NowRx provides free, same-day prescription delivery. NowRx’s software also automatically applies coupons to consumers’ medications to give them the lowest cost possible.

  • Last March, it expanded into telehealth by offering patients access to virtual visits followed by same-day medication delivery.
  • It operates 8 licensed fulfillment centers across California and in Phoenix.
  • To date, NowRx has delivered over 487,000 medications to over 64,000 customers.

What’s next for digital pharmacies? There are many other digital pharmacy players with similar offerings to NowRx. To go one step deeper, they’ll need to hone features within their digital pharmacy platforms (like electronic prior authorizations) to better connect their digital pharmacy and virtual care businesses.

  • For example, 39% of physicians say prior authorizations often delay access to necessary care, per the American Medical Association.