Friday, February 02, 2007

Drug stores getting largest share of "quick trips" and HBC

Unilever's study last May revealed that "quick trips" have become the regular way consumers are shopping. (See link to "Quick Trips" blog article in the sidebar.) Now, IRI data is showing that 68% of those "quick trips:" are being captured by the drug store channel.


Not surprising, perhaps, is that skin care was the growth leader, in the HBC category, followed by hair care. But growth of all CPG at drug was at 4% whereas supermarkets saw only a 1.1% increase.


This change in how consumers are shopping provides a lot of opportunity for CPG companies to tap into their consumers where and how they prefer to shop. Being in the right place at the right time has long been a foundation for influencing consumer behavior. Fewer SKUs and a streamlined shopping experience at drug vs. grocery means every brand has to work a little harder, for sure, but the payoff in terms of exposure to their core consumer could be huge.


Many drug store chains are taking advantage of this new trend in quick trips by better organizing their merchandise and providing improved flow through the store. Helping consumers find what they want quickly and easily helps this channel continue to attract quick-trip shoppers.


In an effort to recoup some of the trips its losing to drug store competitors, Giant Eagle announced this week that they will be testing 13,000-sq ft. hybrid stores in Pennsylvania that seek to tap into consumers' "quick trip" mentatility.


Sources:
http://www.supermarketnews.com/2007/02/02/hbc-growing-drug-stores-capturing-largest-share-iri
http://www.drugstorenews.com/story.cfm?ID=11497RHR&RefPage=Homepage