Walgreens says no to the $4.00 generic prescription. Their answer is the prescription savings club, but you have to pay for it with a membership fee. I don’t know about yourself, but my wallet is getting full of all the “discount” cards that I have to carry these days, grocery store, Pet Store, etc, you name it. Personally I would like to have less of those cards to carry around, but I also realize it allows for intelligent marketing information to be given to the retailer so they can better stock, price and market the products they sell, including pharmaceuticals. BD
Discount retailers and grocers including Wal-Mart, Target, Kroger and Giant Food, have been making a push to offer cheaper prices on prescription drugs, especially generics. Does that have big pharmacy chains like Walgreen, which make big profit margins from generics, back on their heels?
During an earnings conference call with analysts this morning, Walgreen President Gregory Wasson noted that “the competitive environment has clearly changed” as the economy has been slowing and “discount retailers and grocery chains are pushing harder on promotional pricing, especially in the pharmacy, which they use to build foot traffic.”