Monday, August 17, 2015

Category Management: CVS Go On With Its Strategy With A New Store Concept

CVS now needs to move beyond with its concept.

 Hence, CVS has undertaken a clear category management strategy in order to stick with their core mission. And it is expressed in their new store concept.

“We are trying to help educate her right at the shelf so she can make some really good decisions for herself,” Foulkes said. One area in which the company has tried to raise the bar is in women’s wellness, where it has expanded offerings to provide a wider range of solutions to address the different stages of a woman’s life — not just prenatal but also post-natal; not just products to help manage menopause but also, perimenopause, Judy Sansone, SVP, front store business, told DSN.
“As we look to continue to strengthen our brand, we are looking to do some more innovative things in our core categories. The CVS/pharmacy brand is actually the No. 1 brand in our stores and as we think about it in our core categories first aid is a great example,” said Cia Tucci, VP, store brands.  “We just recently launched an expanded wound care line, which is an exclusive relationship with a supplier who specializes in hospital-grade wound care. … This is one way we are strengthening the core of our brand and we are really excited about this.”

CVS is working on its product range and service to provide a comprehensive shopping experience. You can see it in the example below:

Specific end of the aisle specific display to promote some categories

A reshape of the beauty sections, with lower shelves and a lot of marketing on the point of sales.

Clear labels to explain the different categories of products. Also an extensive work on categories, that go beyond medication, with food (gluten free, organic...)

I am convinced CVS made the right move, and we will soon enough the results of those initiatives.