Walgreens set to expand its estate of small format stores, announces partnership with Jenny Craig to launch shop-in-shop formats and appoints new chief marketing officer and senior vice president.
Expanding its small format store estate
Walgreens has announced plans to open over 30 'small store' wellness-focused pharmacies, which will predominately be positioned in urban areas of the US.
The new small format stores will focus on health and wellness, supply of over-the-counter medicines as well as additional products and services. The development will mirror what competitors are doing in the market, such as CVS's HealthHUB trial.
The news came amid the retailer's Q4 results, where pharmacy accounted for 75.1% of the division's sales in the quarter, an increase of 4.2% compared with the same period a year ago.
The news aligns with the retailer's continued drive to optimise its estate as part of its revised targets within its cost transformation programme.
The business has worked hard to innovate with its physical stores, for example the launch of shop-in-shop Birchbox fixtures, expanded in-store service offer and tie-up with Kroger. The move also follows the retailer's trial of small pharmacy-only stores earlier this year.
Partnering with Jenny Craig
The retailer has also announced its latest partnership with Jenny Craig, a US-based weight management and nutrition company.
The tie-up will see 100 Walgreens locations throughout 20 states in the US benefit from a Jenny Craig shop-in-shop format.
Shoppers at these stores will benefit from one-on-one consultations, weight loss support including menu planning and meal delivery.
The retailer is taking a test and learn approach, with potential plans to roll out the partnership to other stores across the estate.
The move aligns with Walgreens continued ambitions to develop the in-store offer within its existing estate.
Walgreens announces new chief marketing officer and senior vice president
Walgreens has announced it has appointed Patrick McLean as its new chief marketing officer and senior vice president. McLean begun his new role on November 4th.
McLean joins the business from TD bank where he has spent the past nine years, acting most recently as executive vice president and chief marketing officer.
In his new role, McLean will be responsible for overseeing all of the retailer's marketing activities as it seeks to attract younger shoppers.
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