Walgreens Tests Lower SKU Counts and Prices

Select Florida stores simplifying store layout and offering new subscription program.

May 02, 2018

GAINSVILLE, Fla. – Walgreens is testing a new program in 17 Gainesville, Fl. area locations that offers lower prices on more than 5,000 items. The marketing test will last 12-18 months and will “gauge customer reaction and adjust quickly based on feedback.”

Pharmacies at these test stores are introducing a new subscription program, Walgreens Plus, where customers pay a $20 annual fee to receive an additional 20% off prices storewide. Subscribers can also receive a 60% discount on cash-paid generic prescription prices and free, same-day prescription delivery through Walgreens.com.

Aimed to target millennial subscribers, a portion of every Walgreens Plus enrollment fee will be donated to help provide clean water to a family in need via the company’s existing charitable partnerships.

In addition to the new program and benefits, Walgreens is testing out a new shopping experience by simplifying store layouts and reducing SKUs, or Stock Keeping Unit identification codes. And customers in these select locations will be able to purchase mobile phones and plans from an in-store Sprint representative.

“People give drug stores roughly seven minutes [of their time],” said Alex Gourlay, Co-COO of Walgreens Boots Alliance and President of Walgreens. “If you can give them two minutes back, they’re really happy. And in the modern world, more people will order in advance. We’re trying to redefine modern convenience.”