As the company to ever create an internet pharmacy, cvs corporate address has brought a new flavor to the pharmaceutical industry. Currently, Consumer Value Store is #53 of fortune 500 companies. The company works primarily from prescribed drugs sales which accounts for 70% of the total revenues. CVS is really probably the most pervasive drugstore chains in America; it operates nearly 4,100 facilities, placing it side by side with three of its major competitors, Eckerd, Rite Aid and Walgreens. In the Consumer Value Store lies PharmaCare, a subsidiary which is considered key to the company’s expansion and profit margin due to diverse managerial tactics it provides to the company.
Initially, the first store opened its doors in 1963 selling health and beauty aids. In the end of this same year, the chain grew to 17 stores averaging $3.3 million annually. Ever since then, the chain has been growing at a rather outstanding rate. Today CVS is successfully operating in well over 32 states which is still expanding. During a lot of the 1990s, CVS has separated itself as among the most well managed chains in the national drug store industry, reaching the 4000 mark and still is increasing. The company
CVS faces challenges from three major competitors. Specifically, Walgreens which holds 38% of market share is expanding at a rate in excess of 400 new stores annually. Secondly, Eckerd currently the sixth largest U.S. market at 33% of market share is venturing the Phoenix market that offers long term growth. Finally, Rite Aid Corp with 30% of market share is intending to add around 300 private label SKUs including household chemicals, school supply and garden items just to mention a few.
As a means of reevaluating marketing strategies, cvs corporate email is closing some of their stores. Approximately 230 has been shut down to date because it is determined that disassociating off their chain of stores and malls to individual locations will be much more profitable as that not only target tourists, but additionally regular residents. According the 2004 agenda, CVS wants to start opening stores in Minneapolis, the 10th largest drugstore market in america, and high traffic areas like Chicago, Florida, Vegas, Phoenix and Texas for expansion.
CVS marketing strategies revolve mainly around expansion. Because the nations leading pharmacy with stores in additional than 32 states, CVS is gradually expanding its chain of stores in Florida. Currently, it has opened two stores in Central Florida, nine in the Tampa Bay area and eight in South Florida. Additionally, CVS has several stores under construction including two more in Central Florida, five in Tampa Bay and seven in South Florida. Based on the Senior Legal Counsel, Michael B. Nulman, entry in to the Florida market has become profitable beyond normal expectations because not just has customer acceptance of the Florida stores been incredible, but sales figures during these new areas have already been better than many previous locations.
Altering the format in the stores is an additional strategy that generates high profits. Moving from the convention 9600-square-feet prototype, CVS plan toward bigger and better free-standing facilities led to 22 billion dollars in sales and ranked it second of top pharmacy in 2002 among its competitors. Rather than the smaller stores, the ten,885 and 12,150-square-feet prototypes allow drive-through pick up that simultaneously serve two cars and supply significant amounts of convenience that is what the CVS chain is trying to achieve based on Alfred J. Callegarri Regional Director of Real Estate. Basically, the CVS chain tries to succeed where its competitors have failed.
In addition to medicine, CVS sells a number of other things. As a pharmacy, it sells the particular things that one would find at a convenient store. CVS plus a variety of supermarkets is addressing customer demands through providing one-stop-shopping and convenience to the shopping experience. According to the Food Marketing Institute, nearly all new stores and remodeled ones offer an ever-wider variety of products and services in one location including wine, ATM services and greeting cards just to name a few.
Although CVS product line sells at selling price, it is able to get more customers than its competitors. Being a pharmacy, CVS will be the only drug store that utilizes scannable consumer discount cards. Conversely, Rite Aid has a reward program that provides a reduction on specific markets, meaning only not many stores take part in that program which renders it largely ineffectual. On ffsdrp other hand, CVS card-scanning strategy helps it win even the finicky customers. In addition, the pharmacy gives 2% off on non-prescription items and one dollar off every two prescriptions. Finally, the credit card enables cvs customer service phone number not only to keep track of the buying habits of clients, but to communicate along with them more intimately and advertise accordingly.