The economy has truly changed the way people shop for everything. So, when drugstores noticed that women still want their premium beauty products, but at a lower price they ramped up their strategy. CVS and Walgreens have both redesigned their in-store experience by creating a destination for beauty.
CVS transformed their beauty department into a spa-like boutique. In addition to selling beauty supplies in select stores they are also offering spa services such as facials and manicures. The new boutique is attached to the drugstore through a breezeway offering a separate entrance. The objective of the new boutique would be a destination for those who want department quality product and experience.
Walgreens has a similar strategy, but instead of building a boutique onto the original store they are updating the current beauty section within a few of their stores. The new beauty department features a bright and spacious layout that has a similar feeling as the department store makeup counter.
Both stores plan to roll out these new concepts to more stores this year. Although the idea of updating their beauty department is definitely a good idea, especially with the focus on updating the shopping experience, I'm not sure they will reach the consumer they are hoping for. People shop drugstores for quick shopping solutions. To create a boutique atmosphere you are inviting the customer to spend longer in the department, which should increase sales. Although this is no doubt the objective, these drug stores need to do a great deal of brand positioning to inform consumers of their updated shopping experience. They should truly leverage the more welcoming in-store experience and rely heavily on word of mouth. I'm looking forward to seeing the activation in a store to judge for myself. If any of you have seen one of these test stores I would love to post photos. [Chicago Tribune]
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