“Drugstore operator Rite Aid Corp. said Thursday its losses more than doubled in the fiscal fourth quarter and said it plans to close as many as 117 stores over the next year.”
Funny how much we all let our own “model” get in the way of our success. Here’s an example: Rite Aid believes it’s a drugstore but, in reality, it’s a convenience store that sells prescriptions too. Rite Aid needs to rethink the whole category because we don’t need it as it stands now. It’s time for them to think in terms of something else.
Years ago we took them a few ideas on how to become more relevant. It was in the days of the old regime. We suggested that they try to mean more than drug store and we suggested, based upon market research, that they stopped selling cigarettes and reposition themselves with meaning. Research indicated that even smokers would admire the move. But, we were told it was a profit center and with the loss of film developing, they could not lose such an important product line. I wonder how they feel not that CVS has stolen the thunder?
I swear as they pulled away from our offices and got into their limo like cars, that it looked like a 1930’s gangster movie. What a crew. Glad the old guard is gone and fresh leadership is in place. Is it too late? Who knows. But they have never contacted us again.