Where Do CVS Customers Buy Tobacco Now?

Well here’s part of the answer.   Rite-Aid reported that their front end same-store sales were up  1.2% for 2014, while CVS reported theirs were down 4.0%, and for the last quarter Rite-Aid was up 2% while CVS dropped a whopping 7.0% over the last 3 months of the year.   Walgreens was up 1.3% in the 4th quarter and around the same for the year.

Rite-Aid continues to show positive results both in income and sales, which continues their ascent from near bankruptcy.  All 3 drug chains showed large increases on the pharmacy side which in particular helped CVS stay out of the negative on overall sales comps after the front end sales dropped.

All three companies are around 70% (or more) pharmacy sales.  When I started in the drug store business it was almost the opposite, 70% of the business came from the front end.  Drug stores are no longer a destination for most of the categories they used to do well in, but have become a pharmacy with a convenience store up front.

 

Rite-Aid results are here. 

Walgreens results. 

CVS results. 

One thought on “Where Do CVS Customers Buy Tobacco Now?

Comments are closed.