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GOUVERNEUR, N.Y. — At Kinney Drugs, last year marked the launch of a new wellness format, Good for You Health + Wellness by Kinney Drugs, and the debut of Circle of Care Pharmacy Services, the rollout of which continues in 2016.
“This new format underscores our commitment to health and wellness and the total store customer experience,” points out Jim Spencer, president of the drug chain, which has 100 stores in New York and Vermont. “Key features include showcasing professional pharmacy services that help our patients achieve healthy outcomes, an expanded front-end merchandise assortment that highlights a brand new beauty department, and an expanded nutrition and over-the-counter set within a store layout that easily guides our customers to the pharmacy.”
In 2015, Kinney Drugs also focused on growth in patient care, medication adherence and health outcomes. “In 2015, our company continued to expand our offering of pharmacy services that help our patients manage their health, improve medication adherence and achieve better health outcomes,” says Spencer.
He cites the offering of such services as immunizations, automatic prescription refills and medication synchronization as avenues Kinney Drugs has followed to improve patient care. In addition, the pharmacy retailer provides several disease state management programs, including blood pressure management, smoking cessation support and diabetes counseling.
“We have also significantly increased MTM [medication therapy management] completion rates, further strengthening our relationship with patients and helping them to achieve healthier outcomes,” Spencer says.
Kinney Drugs has also been working with LOC Software to develop a new point-of-sale system for all of its stores. Planning and development was carried out throughout 2015, and the installation of the system — which features touchscreen monitors for cashiers, new PIN pads for customers and numerous other features — will begin this year. “When [the P-O-S system is] complete, both customers and store personnel will notice substantial improvements in transaction speeds and efficiencies,” explains Spencer.
He also gave his perspective on the impact of consolidation in the health care marketplace.
“While there has been a lot of merger and acquisition activity within the industry, our core business strategy remains acutely focused on the customer and growing share within existing markets,” he says. “Our strategy is concentrated on providing patients with exceptional service that improves patient health outcomes. This is driven by our knowledgeable employee-owners, coupled with customer-focused products and services that make it easier for our patients to stay healthy and live better. Our intimate knowledge of the local customer is also key to our ongoing success. As part of this, we are able to deliver a customized customer experience by tailoring our front-end assortment to better reflect the needs of the individual communities we serve, which we refer to as the ‘store of the community.’ We encourage current and potential vendor partners to help us expand this customized experience.
“Finally, we continue to leverage relationships within the local health care system to improve patient access to quality health care services.”
At Kinney Drugs, the role of pharmacists has continued to progress from that of a dispenser of medications to a community health care provider that supports many patient care initiatives. “And as such, we have been focused on providing quality patient interactions through our patient care programs,” says Spencer. “In addition, we are highly focused on improving adherence and quality measures.
“These offerings have allowed Kinney Drugs to provide patients with the services, support, guidance and information they need to improve and manage overall health.”
Kinney Drugs is also focused on the final AMP rule that was recently released by the federal government.
“We are concerned that states will not have enough time to make necessary legislative changes to implement the rule or have enough time to properly conduct cost-of-dispensing studies to fairly reimburse pharmacies,” notes Spencer. “Additionally, achieving pharmacist provider status at the national level remains a top priority for us.”
MAC transparency legislation — especially the establishment of a defined appeals process — remains extremely important to Kinney Drugs, Spencer says. “Our ability to continue to provide lifesaving prescription services for all of our patients depends on our ability to be reimbursed at a consistently fair and reasonable level,” he stresses.
The retailer, too, has concentrated on combating opioid abuse as one of the priorities for the company and all of its employee-owners. “Participating in patient education programs, providing drug take-back events, and working closely with regulatory agencies to maintain appropriate and legitimate access to critical prescription services are all steps that we are taking to ensure the safety and health of the communities that we serve,” says Spencer.
In addition to the success that Kinney Drugs enjoyed in its pharmacy operations last year, 2015 was notable as a strong year in the chain drug retailer’s branded over-the-counter health category, with pain, cough/cold, and similar products leading the way.
Sales of incontinence products remained strong in the personal care category, and in the convenience sector came an expansion of everyday grocery sets, with significant sales gains in such product segments as coffee, cereals and freezer products, according to Spencer. He adds that general merchandise experienced a resurgence in the fourth quarter, with brisk sales recorded in such sectors as toys, apparel and giftware.
Spencer says that Facebook continues to be the best social media channel for the retailer to use to foster relationships with its target audience as well as to generate excitement for its brand and create positive viral buzz.
“Facebook is the most popular channel for adults, especially baby boomers, who are our primary target audience,” concludes Spencer. “However, with multiplatform usage from consumers continuing to rise, and our focus on reaching Millennials increasing, we are expanding our social media strategy in 2016 to incorporate a second channel in order to capitalize on the multiplatform benefits.
“Along with that, we will be expanding our digital marketing campaigns to integrate with our social media program in order to drive consumers to our social pages and to increase engagement.”
