CDMA sees renewed focus on front-end marketing efforts

Drug Store News, March 21, 2005 by James Frederick

ATLANTA -- The venerable Chain Drug Marketing Association drew regional chain and independent pharmacy buyers to this city's Apparel Mart early this month with new merchandising and store-support programs that broaden its appeal as one of the nation's oldest retail buying groups.

CDMA's Spring Expo 2005, held March 1 to 3, gave the 74-year-old organization's leaders a chance to showcase new product and service offerings they assert will help level the playing field between small and regional drug store operators and chain giants like Walgreens, Wal-Mart and CVS. Among them: a new customer loyalty card, based on the group's Quality Choice private label program and called QCP2, or Quality Choice Points Program. Other new offerings range from CDMA's first comprehensive toy import program to a "newcomer"--program for building customer loyalty at the neighborhood level, as well as an expanded line of QC products and a digital photo kiosk for use in stores.

Although the group focuses its efforts on the front end of the store, its leaders say they also are trying to create bridges between the pharmacy and front end with their store-support programs.

"What we're finding is that because of all the challenges [facing pharmacy today], the front end is becoming a much bigger focus for our,, members than ever before," said Jim Devine, CDMA president.

"There are 8,000 [store] doors that are available to a vendor through this organization," said Bruce Kneeland, former CDMA vice president of special projects and now a consultant to the organization. More than 100 of those vendors, he said, had booths at the event.

Among the regional pharmacy operators, buying groups and wholesalers represented at the show were Happy Harry's, Medic Drug, Legend Pharmacies, Brookshire Grocery Co. and D&K Healthcare Resources. Buyers were given a firsthand look at a wide variety of front-end merchandise--some of it newly available as a full merchandising, pricing and support program from CDMA, and some tagged with show-only vendor discounts. The list of exhibitors underscored the wide range of categories CDMA now deals in, with names like Sony Electronics, American Greetings and Fruit of the Loom interspersed with pharmacy automation vendors like Innovation Associates, health suppliers like Invacare and battery maker Energizer.

Among the other noteworthy offerings: a new and very broad line of quality, brand name toys, domestics and soft goods from Worldwide Distributors through a direct-import program available from CDMA for the first time. The organization also brought out the latest offerings from its hardware distribution partner, True Value, and an interactive digital photo kiosk from Pixel Magic Imaging.