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Veterinary GPOs Explained: Discounts vs Rebates, Membership Fees, Vendor Alignment & Real Savings (with Vetcelerator CEO Drew Bartholomew)On the Vet Launch Podcast, host Dr. John Younker interviews Drew Bartholomew, CEO of Vetcelerator , to explain how veterinary group purchasing organizations (GPOs) work and how independent practices can choose and use them effectively. They compare GPOs and break down the three core value mechanisms—membership fees, rebates, and upfront discounts—emphasizing that vendor alignment (matching a GPO to what’s already on your shelf) determines whether savings are realized. Bartholomew explains why rebates can fail in day-to-day workflow because true net pricing isn’t visible at ordering, cites a VHMA survey showing many practices don’t know their savings, and estimates potential savings from $0 to about $2,000 per month per doctor. They discuss stacking GPOs, “primary” status, contractual terms and clean exits, adjacent services (study groups, coaching, marketing, etc), Vetcove’s role in reducing search costs, and key takeaways on standardizing formularies and avoiding duplicate products.00:00 How GPOs Work01:08 Podcast Intro and Guest02:49 Drew Background and Vetcelerator04:01 GPO Basics and Supplier Power06:09 GPO + Costco Model Explained07:41 Fees Rebates and Discounts09:40 Why Discounts Beat Rebates13:36 Measuring Savings and Deals16:48 Typical Savings and Membership Fees19:28 P&L Levers and COGS Focus23:27 How GPOs Choose Vendors26:49 Exclusivity And Primary29:06 Stacking Multiple GPOs31:07 Choosing The Right GPO32:25 Formulary Tradeoffs Framework36:56 Value Add Beyond Discounts39:49 Vetcove Price Aggregators43:38 Direct To Clinic Shift45:30 Exiting And Reviewing Contracts47:15 TLDR And Final Takeaways
By John Younker, DVM, MBAVeterinary GPOs Explained: Discounts vs Rebates, Membership Fees, Vendor Alignment & Real Savings (with Vetcelerator CEO Drew Bartholomew)On the Vet Launch Podcast, host Dr. John Younker interviews Drew Bartholomew, CEO of Vetcelerator , to explain how veterinary group purchasing organizations (GPOs) work and how independent practices can choose and use them effectively. They compare GPOs and break down the three core value mechanisms—membership fees, rebates, and upfront discounts—emphasizing that vendor alignment (matching a GPO to what’s already on your shelf) determines whether savings are realized. Bartholomew explains why rebates can fail in day-to-day workflow because true net pricing isn’t visible at ordering, cites a VHMA survey showing many practices don’t know their savings, and estimates potential savings from $0 to about $2,000 per month per doctor. They discuss stacking GPOs, “primary” status, contractual terms and clean exits, adjacent services (study groups, coaching, marketing, etc), Vetcove’s role in reducing search costs, and key takeaways on standardizing formularies and avoiding duplicate products.00:00 How GPOs Work01:08 Podcast Intro and Guest02:49 Drew Background and Vetcelerator04:01 GPO Basics and Supplier Power06:09 GPO + Costco Model Explained07:41 Fees Rebates and Discounts09:40 Why Discounts Beat Rebates13:36 Measuring Savings and Deals16:48 Typical Savings and Membership Fees19:28 P&L Levers and COGS Focus23:27 How GPOs Choose Vendors26:49 Exclusivity And Primary29:06 Stacking Multiple GPOs31:07 Choosing The Right GPO32:25 Formulary Tradeoffs Framework36:56 Value Add Beyond Discounts39:49 Vetcove Price Aggregators43:38 Direct To Clinic Shift45:30 Exiting And Reviewing Contracts47:15 TLDR And Final Takeaways