Predictive Acquisition Cost

The most accurate true acquisition cost

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The power of predictive analytics applied to drug pricing

Predictive acquisition cost (PAC), developed by Glass Box Analytics, applies the power of predictive analytics to drug pricing. Independent validation tests confirm that PAC consistently tracked actual drug acquisition cost more effectively than AWP.

Ensure accuracy

By using various factors associated with the cost of a drug (such as industry MAC benchmarks and published price lists), PAC tracks the acquisition cost with sufficient accuracy to support pricing activity.

Explore a new standard

By addressing the shortcomings of existing drug pricing standards, PAC could serve as a long-term drug pricing reimbursement benchmark. PAC meets all criteria for becoming the industry-wide standard:

  • transparent, a genuine relation to the actual acquisition costs of drugs
  • accessible, designed to be distributed to all parties in the pharmaceutical supply chain
  • comprehensive, supports brands and generics, including new drugs for which survey-based acquisition cost may not have been collected
  • timely, adjusts as soon as any of the input factors adjust
  • immune to manipulation, robust monitoring detects unusual movements or attempts at manipulation
  • simple to administer

Reduce spending

Cuts unnecessary spending for all stakeholders in the drug supply chain by creating opportunities for more timely price adjustments; enhances operational efficiency by accurately tracking a truer drug acquisition cost.

Support relationships

PAC’s established pricing ranges lead to fair and balanced pricing and reimbursements, improved negotiations and stronger industry relationships.