Ritzman implements staff OTC sales incentive plan

Drug Store News, Feb 14, 2005

WADSWORTH, Ohio -- Regional operator Ritzman Pharmacies is hoping to drive front-end sales through a suggestive-sell program in which it educates its nonpharmacy sales staff and gives them incentive to engage and advise consumers.

Instead of just having the natural products on the shelves, it's time to talk them up, said Jon Fiume, vice president of retail operations. "There's plenty of other places for people to be shopping for these [front-end] products," Fiume said.

The program goes beyond the suggestive selling of natural products with prescriptions. "We have already invested a tremendous amount of time into training these associates in the area of natural products," Fiume said. "It's just creating more of a sales-driven culture that is expanding the already-existing relationships we have with our customers."

When the business skews 85 percent to 90 percent toward pharmacy, even a small-box operator cannot afford to commit a tremendous amount of operational support to the front end of the stores without focusing on possible sales drivers.

Accordingly, Ritzman has been training its sales staff regularly through a combination of internal programs, vendor-sponsored education sessions and third party educational programs.

As incentive, Ritzman is developing a small-ticket reward system for business units to exceed goals, including meals and movie tickets, and plans on revisiting its bonus and profit-sharing programs in the immediate future. "We are looking at very creative ways to incentivize [the employees]," Fiume said.