Aligning health services, nutrition
“Our health-and-wellness experts are leading the way for the future of health care in our stores and beyond.”
For any retail pharmacy provider, that would be a bold, perhaps even overly confident, assertion. But coming as it does from Walmart, it’s something that both the U.S. healthcare system and Walmart’s competitors are taking seriously.
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Walmart’s goal, said Labeed Diab, president of health-and-wellness, is to be nothing less than “the No. 1 U.S. portable healthcare provider.” The world’s largest retailer is throwing its vast arsenal of resources behind that effort with a fast-expanding network of smaller stores with pharmacies; new pharmacy-based health services, such as immunizations, health screenings, insurance services and smoking cessation programs; a radically new concept for in-store walk-in clinics; a line of low-priced diabetic-care products called ReliOn; and a growing commitment to provide healthier nutritional choices.
“Whether it’s a small or large format, we have 140 million Americans who walk through out doors every single week,” Diab said. “In health-and-wellness, [we’re looking to be] a one-stop shop that American consumers can leverage.”
To that end, Walmart is taking big steps to make itself the destination of choice for virtually every facet of front-line, primary health services. That includes the care programs and prescription services developed by 53 U.S. clinical service managers and delivered by its 17,000 pharmacists, vision center services provided by some 4,000 opticians and optometrists, and expanding efforts to align all its health care and nutritional programs more seamlessly under one roof, according to Diab and other Walmart health-and-wellness leaders.
One major spearhead of Walmart’s campaign debuted in 2014 with the launch of a new in-store clinic format under the banner Walmart Care Clinic. The company opened 17 of the new care centers last year, positioning them as a full-service alternative to a visit with a primary care doctor with a range of health services, including urgent and preventive care, as well as management of such chronic diseases as diabetes and hypertension.
With its ambitious menu of primary health services and its radical payment structure — virtually free for employees and $40 for all customers regardless of service — the new clinic could be a disruptive force in U.S. health care if it’s rolled out nationally. “It’s just like going to your primary care physician,” Diab said.
Meanwhile, Walmart continues to drive home its message of “affordability and accessibility ... the building blocks of our success.” Since the advent of its $4 generic drug pricing strategy in 2006, the company said it has saved shoppers “a total of $4.9 billion in prescription medication costs alone by switching from branded to generics.” And “the ability to walk into our stores and find affordable food [has] saved our customers $2.3 billion by offering low prices on fruits and vegetables,” to date, Walmart reported.
In addition, customers with diabetes “can save up to $784 on testing supplies per year” with the private label ReliOn brand of diabetic testing strips and other supplies, the company asserted.
On the broader front, Walmart is focusing heavily on the rapid rollout of such highly fruitful smaller store formats as Neighborhood Market, whose concentrated mix of groceries, general merchandise and pharmacy have been a hit with consumers. “Neighborhood Markets delivered approximately a 7.7% comp during the [fourth] quarter,” said Greg Foran, Walmart U.S. president and CEO. “We opened 233 Neighborhood Markets during the year, and customers like their easy and convenient access to fresh foods, pharmacy and services.”
The company also is steadily ramping up its automation, online marketing and distribution capabilities. “We’re also leveraging global best practices to increase site visits and add services such as the Asda Direct kiosk — which allows customers to order from online catalogs while they’re still in the store — to grocery delivery and drive-through pickup, which we’re testing in Denver,” Walmart Stores EVP and CFO Charles Holley Jr. reported.