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"A pure-play online pharmacy is really just delivering prescriptions." "As you think about those types of services that we'll be able to provide, you can't get that from a pure-play online pharmacy," he said. This way, he said, it can stand out from Amazon and other companies that simply fill a prescription.
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Rite Aid is in the midst of a turnaround effort complete with a new logo and store design.ĬVS Chief Operating Officer Jon Roberts said the company is eliminating some general merchandise to free up square footage for health services. CVS and Walgreens are both getting new CEOs. The companies have had their share of internal changes, too. "They, as an industry, have all been trying to figure out 'What do we need to do to pivot our strategy, so that we don't become the next RadioShack?'" he said. And Walmart is opening a growing network of health clinics next to its big-box stores, which could steal business from CVS and Walgreens' medical clinics.īrian Tanquilut, a healthcare services research analyst for Jefferies, said each company has had to hammer out strategies to make sure they "remain a viable and vital part of the healthcare and retail ecosystem." Amazon, which is eating into drugstores' front-of-store sales, launched a pharmacy business in November with a savings program and free two-day shipping for Prime members. Big-box stores like Target have gained market share during the global health crisis, as they offer one-stop shopping with everything from deodorant to pajamas. These trips will be a chance for the companies to prove to shoppers they're still relevant, while investors will be looking to gauge their growth potential.ĭrugstores are fending off challengers that have encroached their turf. All three chains plan to offer the shots at their stores, when they're available, which could boost vaccine-related revenue and drive foot traffic that leads to other purchases. CVS and Walgreens are administering shots at nursing homes and other long-term care facilities and plan to finish the first round by Jan. For the companies, Covid vaccines offer an opportunity to reach new customers.