Points with Penley


Points with Penley
Posted: February 17, 2012


Christin Penley,
Assistant Category Manager

(800) 935-2362,
Ext 668

Special Interest Articles:

  1. 10 Simple Guidelines to Follow when Merchandising
  2. Rx technology
  3. Chocolate-covered raisins, peanuts from Dove
  4. Chocolate’s popularity keeps on growing
  5. Pharmacy Operators Ramp of Service Offerings
  6. One Source Industries Promotions
  7. Kroger installs Eyecon machine
  8. Kodak and Facebook!
  9. Have you ordered enough for Halloween?
  10. Pharmacy Automation
  11. Consumables in Drug Stores Growing
  12. FALVORx receives grant
  13. Grocery shoppers want
    more than low prices
  14. Donate Overstocked Merchandise
  15. Product Returns
  16. RDC & FLAVORx Make
    Connection
  17. P-O-S system
“Display Dos and Don’ts” 10 Simple Guidelines to Follow When Merchandising

This quick read from January’s edition of Fancy Food & Culinary Products contains some great tips on customer friendly merchandising. Use these tips for every product; from food to beauty to general merchandise.

10 Simple Guidelines for Follow


Rx technology is empowering pharmacists
Chain Drug Review
November 2011

NEW YORK – advances in pharmacy systems are streamlining the prescription filling process and furthering the evolution of the pharmacist from a medication dispenser to a medication and health care adviser, industry executives say. 

“Technology is at a point now where the value proposition has intersected with the need in pharmacy,” says Parata Systems chief executive Tom Rhoads.

That value propositions is time, as automation has increasingly enabled consistent, repeatable work-flow processes and lowered the cost per script.” Our automation and technology frees up quite a big time, allowing the pharmacists to spend that time out in front of the counter interacting directly with their patients, doing medication counseling, immunizations, diabetes counseling and even health clinics,” Rhoads explained.

Prescription errors also have been virtually eliminated. “So you not only have a repeatable, consistent process for prescription dispensing, but you also have on that’s extraordinarily safe,” he said. Parata is currently testing Remote Pharmacist, an add-on module that enables remote verification and patient counseling for pharmacies with limited staff resources, Rhoads added. The module is expected to be rolled out in early 2012.

Doyle Jensen, exectutive vice president of global business development at Innovation, noted that technology is paving the way for central fill capabilities, workload balancing and more efficient work flow – refocusing the pharmacist’s role from production to patient care.

“Redeployment of the pharmacist is the key, having technology protocols to allow the pharmacist to not be tethered behind the counter and to be out front engaged with patients,” he said. Innovation has developed “smaller, less capital-intensive” central fill options for regional chains, and via a recent partnership with RxSafe it has begun deploying a solution that will automate over 95% of a drug store’s prescription filling process, according to Jensen

And in August Innovation released PharmASSIST OPTx, and optical counting and imaging technology that enables remote prescription verification. “Technology has not only increased productivity, but it’s simultaneously improved the safety,” he added. “It has taken human error out of the equation.”

Expanded functionality also has honed pharmacy operations. For example, QS/1 this summer launched Sidebar, a new feature that lets pharmacists customize icons to access frequently used functions with on mouse click.

Sidebar can be found in QS/1’s NRx and PrimeCare GUI systems with Service Pack 19.1.7. “Pharmacists are getting busier,” QS/1 market analyst John Frady stated when Sidebar was announced. “Anything we can do to help them save time lets them focus on other projects and, most importantly, their customers.”

Questions? Contact Christin Penley at penley@chaindrug.com or (800) 935-2362 x668.


Chocolate-covered raisins, peanuts from Dove hitting store shelves this spring
Drug Store News; January 16, 2012
By Allison Cerra

The NEW Dove Raisins and Peanuts will be available for order at CDMA’s 86th Annual Trade Show next week! Just stop by the Mars booth.

HACKETTSTOWN, N.J. — Dove is pairing its chocolate with a new bite-sized candy that combines taste and texture.

New Dove chocolate-covered raisins and peanuts is the latest “hand to mouth” candy from the brand, which will debut on store shelves this spring for a suggested retail price of $3.49 for a 5-oz. bag. The launch will be supported by a creative, multifaceted marketing campaign, including print, broadcast, online/social media, consumer promotions, in-store and shopper marketing.

Questions? Contact Christin Penley at penley@chaindrug.com or (800) 935-2362 x668.


Chocolate’s popularity just keeps on growing
Chain Drug Review
September 26, 2011

NEW YORK – Sales of chocolate bars soared more than 15% in drug stores in the three months ended August 7 as consumers saw the confections as affordable indulgences during tough times.

Among the stronger performers in the category was 3 Musketeers, which saw volume jump more than 17% and has been relaunched with a new recipe to deliver more chocolate taste.

To spotlight the new taste, manufacturer Mars Chocolate North America surveyed Americans on their likes and dislikes. The 3 Musketeers “More or Less” survey delved into what else Americans want more – and less – of.

The poll found that over 90% of Americans want more chocolate. Debra Sandler, chief consumer officer for Mars Chocolate North America, says, “The updated 3 Musketeers bar still has the same fluffy personality. But now the bar is packed with even more chocolate taste that consumers love.”

Chocolate Growth

Questions? Contact Christin Penley at penley@chaindrug.com or (800) 935-2362 x668.


Pharmacy Operators Ramp Up Service Offerings
Chain Drug Review
November 21, 2011

NEW YORK – Community pharmacies are employing a variety of innovative programs and services to assist diabetes patients.

Select Walgreen Co. stores across the country have been offering free blood glucose testing during November, which is observed as American Diabetes Month. In addition, participation 24-hour stores scheduled three “Wellness Wednesdays,” during which information about diabetes-appropriate snacks and shakes, product demonstrations and diabetes education were presented.

Walgreens also teamed with Sharps Compliance Corp. and Novo Nordisk to offer a safe needle-disposal option for people who self-injest insulin and other medications. And Walgreens chief medical officer Cheryle Pegus recently participated in a Joslin Diabetes roundtable at which she discussed an array of programs that the retailer has rolled out to address the growing diabetes epidemic.

Rite Aid Corp. launched the “Rite Track Diabetes Tour,” Which has been offering complimentary blood glucose testing as well as disease educational resources and samples of products that assist diabetes patients.

The tour, in collaboration with LifeScan Inc., was slated to make stops at over 30 cities. In addition, the Rite Aid Foundation, the retailer’s nonprofit organization, has donated a total of $20,000 to local chapters of the American serving cities visited by the bus tour.

Furthermore, Rite Aid has unveiled wellness+ for diabetes, a program that offers exclusive access to a special Rite-Aid-sponsored section of WebMD’s “Diabetes head2toe online tools. The multifaceted program includes a personal diabetes work plan that is customized for individual members that offer such features as a daily glucose tracker, a weekly workout log, and recipe and meal planning trips.

CVS Caremark Corp. recently released results of a study of diabetes social media sites that finds few standards are used to ensure that the sites effectively provide information and answers to health-related questions. The report, by CVS Caremark with Harvard University and Brigham Women’s Hospital, concludes that social media sites use different communication and financing structures, vary in how they offer expert participation, and share little in common as it pertains to oversight of content and membership criteria.

Health Mart, McKesson Corp.’s network of over 2,900 independently owned pharmacies, has introduced Health Mart brand products, its line of private label, over-the-counter health care products. The Health Mart private label launched with diabetes products to coincide with American Diabetes Month.

“The Health Mart private label will help our Health Mart pharmacists advance their relationships with customers with an affordable, high-quality line of over-the-counter health products.” Says Brian Tyler, president, McKesson U.S. Pharmaceutical. Launching with diabetes care, the linen will add categories regularly, with smoking-cessation and analgesics products scheduled to debut in January 2012.

Marsh Supermarkets has launched Marsh  Diabetes Care Program, which includes access to more than half a dozen free diabetes medicines, available with prescription through a March pharmacy, as well as comprehensive nutrition and wellness support with a registered dietitian.


One Source Industries Promotions Becomes a Qualified Vendor of Promotional Products to Choice Hotels International
Agreement marks OSIP entry into the lodging industry
Source: One Source Industries Promotions, LLC

IRVINE, Calif.–(BUSINESS WIRE)– One Source Industries Promotions (OSIP), a division of One Source Industries (OSI) and leading provider of global supply chain management solutions, point-of-purchase displays, product packaging and turn-key corporate brand extension and custom promotions, today announced it has been named a qualified vendor of Choice Hotels International.

“We are very pleased that we will be joining the Qualified Vendor program at Choice Hotels to sell our promotional products. As a fully integrated, customer-focused company with a global network of resources, OSIP will provide branded promotional products to a network of over 5,000 Choice Hotels properties in the U.S. to help increase brand awareness among businesses and guests,” said Joe Baksha, President and CEO of OSIP.

OSIP will assist Choice Hotels by building and maintaining an official “company store” website offering an extensive catalog of promotional items and gifts for associates and guests.

“The quality of the products is high, their execution is excellent and OSIP’s pricing is very competitive. We look forward to a mutually beneficial relationship,” said Karianne Cibello, Director, Business Development of Choice Hotels International.

“OSIP can supply everything from a simple logoed bag to elaborate, one-of-a-kind custom produced items. We handle the entire project from start to finish, starting with ideas and design and then moving to global and domestic sourcing, custom product production, project management, fulfillment and logistics. Our in-house customer service team manages the entire project, freeing up our clients to do what they do best – operate their business. It is this turn-key execution of large-scale branding and promotions that sets us apart in the industry,” said Janet Sabato, Account Director for OSIP.

Baksha said the opportunity to work with Choice Hotels is an important step for the company. “The relationship with Choice Hotels marks our entry into the lodging industry and builds on the expertise we have developed with Fortune 500 companies in the cosmetics, consumer electronic products and apparel industries. The opportunity to work with one of the leading hotel chains in the world is a great partnership for OSIP,” added Baksha.

About Choice Hotels
Choice Hotels International, Inc., franchises more than 6,100 hotels, representing more than 490,000 rooms, in the United States and more than 30 other countries and territories.

The company’s Comfort Inn, Comfort Suites, Quality, Sleep Inn, Clarion, Cambria Suites, MainStay Suites, Suburban Extended Stay Hotel, Econo Lodge and Rodeway Inn brands serve guests worldwide. In addition, via its Ascend Collection membership program, travelers in the United States, Canada and the Caribbean have upscale lodging options at historic, boutique and unique hotels. Additional corporate information may be found on the Choice Hotels International, Inc. Web site, which may be accessed at www.choicehotels.com.

About One Source Industries Promotions
One Source Industries Promotions, LLC (OSIP) is a division of One Source Industries (OSI), one of the nation’s premier producers of award-winning point-of-purchase displays, custom packaging solutions and promotional programs. OSI services include strategic input, planning, concept, design, sourcing, manufacturing, testing, assembly, packaging, installation, measurement, warehousing, fulfillment and logistics, as well as promotional products. In addition to its Irvine, California, headquarters, other OSI facilities are located in Bentonville, Arkansas; Chicago, Illinois; Memphis, Tennessee; New York, New York and Hong Kong. For more information, please visit www.onesourceind.com or www.osipromotions.com.

Contacts
Joe Baksha
President and CEO
(949) 784-7205

Kroger installs Eyecon machines
Featuring CDMA Platinum Member Avery Weigh-Tronix

Read the story here!

 

Kodak and Facebook!
Kodak has introduced new kiosk software that will allow users to pull images from Facebook, which will greatly increase the ease and convenience of using photo kiosks. Read all about it here

Looking for more information on Kodak Kiosks? Contact John Massman from Logix at 1-800-465-6449 or jmassman@logix-usa.com.

Have you ordered enough for Halloween?

Great news! Consumers are expected to spend more celebrating Halloween this year; which means retailers may need to stock up on a bit more than they did last year. The attached article, from Drug Store News, reports that the average consumer is expected to spend $6.03 more this year on Halloween themed merchandise That $6.03 increase per consumer is huge when you consider that total spending for the holiday is estimated to equal $6.86 billion this year.

This anticipated increase in spending must have you thinking…did you order enough merchandise for Halloween?

Halloween Candy Stock Up

Pharmacy automation is longer a luxury; it’s a necessity. Pharmacy automation is the easiest way to optimize customer service and output, while minimizing costly and potentially deadly errors. Please read the attached article on how pharmacy automation has helped Kerr Drug succeed.

Consumables in Drug Stores Growing Quickly

Consumables are a quickly growing category among drug stores. A recently released study conducted by AlixPartners shows that 5% of all grocery trips are made to drug stores, and that number is still on the rise.

The article quotes Russ Jones, director in AlixPartners’ Global Retail Practice, is saying “Shoppers are more willing than ever to try new venues – and, unfortunately for traditional grocery store, many shoppers are finding a better fit elsewhere.”

How can drug stores take advantage of this growing market? They can start by carrying a small variety of impulse consumables, like candy and chips, if they do not already. Next, they can add in shelf stable basics, like peanut butter, jelly, jarred fruit and canned soup. Once they are ready to expand further they can add cereal, granola bars, boxed meal kits and even non-consumable grocery items like tin foil and paper plates.

 

Read the article from Chain Drug Review here.

Looking for consumables for your store? Contact Christin Penley at penley@chaindrug.com. CDMA members can also login and visit our order guides here.

FLAVORx receives grant to study impact of medicine flavoring

Congratulations to FLAVORx! Earlier this month FLAVORx was one of only 15 technology companies in the state of Maryland to receive a special Technology Product Development Grant. FLAVORx and University of Maryland professor William LaCourse, professor of chemistry and biochemistry, will study the impact of the FillMaster Medicine Flavoring on liquid medications. Previous studies have found compliance rates for children using FLAVORx flavored liquid medications are over 90%. The findings from this current study are sure to help FLAVORx and the pharmaceutical industry to improve those compliance rates even more.

Read more about the grant here.

Feel free to contact me if you have any questions at
(248) 449-0668 or penley@chaindrug.com


Grocery shoppers want more than low prices

Progressive Grocer
August 8, 2011

For retailers, price and promotion have been the name of the game as the U.S. economic recovery continues at its sluggish and uneven pace. But when it comes to choosing a grocery store, shoppers say food quality and store atmosphere remain equally as important considerations as price.

That’s according to a consumer survey by AlixPartners, the global business-advisory firm, which reveals that, despite the fragile economy, 70 percent of consumers are making trips to the grocery store at least once per week and 50 percent plan to spend more on groceries in the coming year, with 39 percent expecting to spend the same amount.

“Grocery shoppers are just as choosy as ever – it’s not enough for grocers to win on price alone,” said Keith Jelinek, director in the global retail practice at AlixPartners. “Shoppers are looking for more from their grocery store; if it doesn’t offer quality and a pleasant experience and value, then they’re out the door. And, with expected increases in grocery spending this year, the big question is: what stores will earn those grocery dollars?”

While perishable quality, store atmosphere and price are the primary factors influencing consumers’ grocery store choice, the survey showed “frequent sales and promotions” are a factor, and can have a big impact on shoppers’ in-store purchasing decisions.

The survey found that 86 percent of shoppers indicated they use a shopping list at least “sometimes,” and 79 percent use coupons when developing those lists. Despite careful preparation ahead of grocery-shopping trips, 93 percent of those surveyed said that product displays and in-store signage – which typically point to promotional and sale items – can influence them to purchase items not on their shopping list. Furthermore, 79 percent of those surveyed indicated that in-store product sampling can persuade them to purchase new items.

“Consumers remain focused on value, regardless of income levels, and promotions and coupons continue to stretch their spending on groceries,” said Russ Jones, director in AlixPartners’ global retail practice.

“And, as product display and signage remain two of the most important factors influencing purchasing, this continues to be an area of opportunity for grocers to communicate value.”

Competition between traditional and non-traditional grocery retailers is nothing new, but non-traditional players appear to be growing market share at a stronger-than-expected clip. According to the survey, shoppers are purchasing only 51 percent of their items in traditional grocery stores; mass merchandisers are capturing 30 percent of the total grocery spend, followed by club stores with 13 percent. And perhaps most disturbing for old-line players, a relatively new competitor – Internet retailers – are capturing 2 percent of shoppers’ grocery dollars.

“The battle with mass merchandisers, club stores and dollar stores has been dragging on for years, but it’s heating up and traditional grocery retailers are losing ground,” Jones said. “Shoppers are more willing than ever to try new venues – and, unfortunately for traditional grocery stores, many shoppers are finding a better fit elsewhere.”

When shoppers were asked to name and rank their preferred grocery retailers, the five most-cited in the top three on shoppers’ lists included two traditional grocery stores, two mass merchandisers and one club store. Nearly half of consumers surveyed ranked Walmart either first, second or third on their list of favorite places to shop for groceries, followed by Target and Kroger, Costco and Publix.

According to the survey, the lowest-income shoppers are purchasing only 45 percent of their groceries at grocery stores, with mass merchandisers capturing 38 percent of total spending from these consumers. However, it’s not just low- to mid-income consumers who are looking elsewhere for value. The highest-income shoppers (those with incomes of $100,000 and above) purchase most (56 percent) of their groceries at grocery stores, but club stores have become extremely popular, capturing 17 percent of this group’s traditionally larger grocery spending.

“Grocery retailers cannot lose sight of the fact that consumers at all income levels are willing to trade down to value-focused stores and products,” Jelinek said. “In addition to carefully targeted promotional strategies, grocers would do well to look at their private-label assortment and employ a ‘good-better-best’ strategy that offers quality and value to customers of all incomes.

“With growing threats from other channels, increasing price transparency made possible by mobile devices and the tepid economy, we see the potential for significant consolidation in the coming year,” he continued. “Grocers cannot continue ‘business as usual’ and expect to come out on top – and, though there is no ‘silver-bullet’ strategy, customer segmentation is key and it’s critical that grocers take a step back and look at their market and how they’re serving it. Fortunately, due to shopping frequency and existing customer-focused programs, grocery retailers have the means to know both their markets and customers better than any other type of retailer – it’s time for them to tap into those resources and make the strategic calls that will bolster their profitable customer base.”

Though earning new customers is important, keeping existing customers and getting them to spend more is critical. Loyalty-card programs, according AlixPartners, have become a gold mine of information on frequent customers’ behavior and preferences, but have not reached their full potential. According to the firm’s research, loyal customers can purchase 20 to 30 times the amount purchased by the occasional or new shopper, and can be a major source of revenue growth.

“Most grocers have loyalty programs now, and we’ve seen a lot of new ones lately, but very few grocers have unlocked the power of these programs,” Jelinek said. “Grocers who leverage existing loyalty programs to identify and understand their customers, and then use that information to develop customer segmentation strategies, will come out on top.”

A fully-developed loyalty program can also inform growth into new services such as in-store pharmacies. The AlixPartners survey showed that only 18 percent of consumers fill their prescriptions at grocery stores.

“With consumers looking to maximize efficiency and minimize shopping trips, this is a big opportunity for grocery stores,” Jones said. “Well-planned in-store pharmacies can lead to a significant margin boost, and mining the data from loyalty programs can be the key differentiator.”

The AlixPartners Grocery Shopper Preferences Survey was conducted April 11-12 among 1,000 U.S. adults. AlixPartners LLP is a global business-advisory firm offering comprehensive services in four major areas: enterprise improvement, turnaround and restructuring, financial-advisory services and information-management services.


New service helps retailers find ways to donate overstocked merchandise

By Michael Johnsen    July 12, 2011

NASHVILLE, Tenn. — The Retail Orphan Initiative on Tuesday announced the launch of an online charity locator to match up retailers looking to donate overstocked merchandise with local charities.

The charity locator features an interactive map of nearby charities from a Retail ROI-developed database of 501c3 organizations across the country that focus on at-risk children, women in distress or families in need.

The charity locator includes the top 125 cities and top 300 largest malls in the United States, with information on the types of items accepted by each charity, including clothing, food, furniture, building materials and educational materials.

Of an estimated $65 billion in overstocks, the vast majority is housed in small lots at local stores, which makes it costly to consolidate the merchandise, Retail ROI stated.

“Retailers’ overstocks can make a huge difference,” stated Greg Buzek, president of IHL Group and donor trustee for the Retail Orphan Initiative. “By cleaning their stores of the items that aren’t selling and getting their employees focused on the items that are, they help women and children in need — providing a lifeline that brings long-term dividends to the community. ”

RetailROI’s charity locator is available here.


Eliminate the Hassle of Expired Pharmaceutical Product Returns

Are you tired of trying to reconcile credit for your outdated product returns?  Return Solutions is a full-service pharmaceutical reverse distributor offering an industry-first program that issues your credit in a single check, eliminating the hassle of credit tracking, and gives you the opportunity to choose your own rate and reimbursement schedule.

With the revolutionary OneCheck Select program, you can choose to receive your credit in as little as 30 days, or choose from the 60 or 90 day options. Credit comes directly to your store in the form of a single check, so there is no need to track credits from the wholesaler or manufacturer, and the amount received from each

manufacturer is listed directly on the check stub.  The processing fee is backed out of the checks so you never pay up-front, and you never pay for shipping or destruction.

Return Solutions offers both the convenience and simplicity of the On-Site program or the freedom and economy of the Mail-In program. On-site service is completely comprehensive: a rep scans the shelves and pulls the outdated items, inventories them there, and arranges for FedEx to pick up the next business day.  He leaves a complete inventory and estimate for the pharmacist to review.  With the mail-in service, a pharmacy staff member scans the shelves and inventories the outdated items either on the

Return Solutions website or with forms that are provided.   Shipping labels can be printed online if you use the online inventory service or pre-paid shipping labels can be mailed if you prefer.

Within either 30, 60, or 90 days, depending on the time-frame you select, you receive a single check from Return Solutions that represents the majority of your credit.  The manufacturers that you have received credit from are listed on the check stub along with the dollar value of their credit. If there are any manufacturers that will issue credit directly to you, the amount you should receive from each is noted on the check stub as well.

Please contact me at Penley@chaindrug.com for more information or if you have any questions.


Open Communication Helps RDC and FLAVORx Make Connection

Making the connection is what CDMA does best, and we are so proud to have been able to help FLAVORx and Rochester Drug Cooperative make a great connection. FLAVORx, the makers of the Fillmaster medicine flavoring system, and Rochester Drug Cooperative signed a long-term distribution agreement this month after an initial discussion began at CDMA’s 85th Anniversary Spring Expo. While at the CDMA show representatives from both companies exchanged contact information and were able to schedule an immediate conference call. Natasha Hobson, Director of Accounts for FLAVORx,
credits the representatives from RDC with being responsive, energetic and open. “Consistent and open conversation has been the absolute key to our success with RDC thus far. The RDC team has been honest with us about concerns along the way, and we’ve in turn been flexible with customizing our business offerings to best fit the needs of their members’ needs.”
News of the partnership was featured in Drug Store News where it was reported that the new deal will bring the FLAVORx brand to more than 950 independent pharmacies.

Please contact me at Penley@chaindrug.com for more information on FLAVORx and their products.


P-O-S system a vital weapon in retail arsenal

New York- Robust frontend technology has become increasingly important for chain drug store operators, regardless of size.  In fact, it might be argued that the advantages that state-of-the-art point-of sale (P-O-S) systems provide are at least as important to small chains as to large ones.

“Given the complexity of running a retail pharmacy, having a pharmacy management system and an automated inventory and P-O-S system isn’t a luxury, it’s a requirement for success,” remarks Jack Walker, president of Walker Drug, a Grand Junction, Colo. -based chain with two stores in that state and one in Utah.

Walker Drug uses Activant Solutions Inc.’s Eagle P-O-S system to run retail and back-office operations, and the front-end technology is integrated with McKesson Corp.’s Pharmaserv pharmacy management system.  Walker asserts that having a retail business management system that integrates with the pharmacy system is a must for managing multiple locations. The technology helps Walker Drug do a better job of tracking inventory, making informed buying decisions, increasing profits and providing a positive customer service experience. The P-O-S system provides greater control, visibility and integration throughout the business. “Eagle P-O-S is easy to use and provides very useful inventory information to help us buy and manage our retail inventory better,” Walker says.