Kerr Drug, AdPerk introduce video rewards
SAN FRANCISCO A regional pharmacy powerhouse and a provider of strategic video merchandising solutions for retailers have teamed up to develop a new marketing platform that leverages existing suppliers’ videos to engage customers who are researching purchase decisions online.
Kerr Drug and AdPerk said that Kerr Drug Video Rewards allows customers to select and watch videos from a variety of brands to earn offers and valuable information. Participating suppliers now are able to use video to bridge the gap between the Internet and stores by communicating with customers online and motivating purchase with coupons or other offers.
“Video is powerful. In fact, so powerful that many of our suppliers have already invested in the creation of video. Their problem is distribution and how to use it to sell more products,” said Bill Baxley, Kerr Drug SVP merchandise and marketing. “Kerr Video Rewards is a win-win for customers and suppliers. Not only is it a resource for customers looking for more information, but it offers suppliers an accountable environment where their video can make an meaningful impact.”
Early brand participation in Kerr Drug Video Rewards consists of a strong variety of Kerr Drug suppliers, including Bayer, Bic, Novartis and Pharmavite, as well as such major brands as Ensure, TRESemme, Huggies and Kleenex.
“As brands look for cost effective solutions to deeply engage customers, it is critical to leverage existing marketing assets and deliver value to customers beyond product and price,” said Barry Soicher, AdPerk CEO. “All AdPerk video merchandising solutions are opt-in programs where customers choose to participate so advertisers know their investment is reaching the most relevant and motivated customer on the Web.”
Bashas’ rejects Albertsons’ buyout bid
NEW YORK Bashas’ has turned down a nearly $300 million buyout offer from Albertsons, according to published reports.
According to an American City Business Journals article, the Chandler, Ariz.-based Bashas’ was uninterested in a buyout offer of $290 million for the chain.
Bashas’ filed for Chapter 11 bankruptcy protection in July, announcing the following month that it would close 14 stores. Still, the published reports quoted an attorney representing the company as saying that the reorganization plan would ensure Bashas’ remained in the hands of the Bashas family, which has owned it since 1932.
Shoppers’ new initiatives sets chain up to become retail giant
WHAT IT MEANS AND WHY IT’S IMPORTANT While the decision to move in this direction may have been made before Chong Bang crossed the border, there is no questioning that industry watchers will be focused on what SDM’s new top merchant will do to further improve the stores.
(THE NEWS: Shoppers Drug Mart takes a page out of CCR playbook. For the full story, click here)
That has a lot to do with Bang’s pedigree — he’s directed a significant merchandising program at Walgreens, one of the leading pureplay pharmacies in the United States. And now he’s at Shoppers, the leading drug store retailer north of the border.
Bang will be armed at Shoppers with the sales data generated by 9.7 million members of the pharmacy’s Optimum loyalty program, 80% of whom are women. When you consider that there are only 34 million Canadians, that means that almost 1-in-3 Canadians are members of Shoppers’ loyalty program, and almost 1-in-2 Canadian women.
Presently, Shoppers plans to grow its square footage at a clip of 8% to 9% with a new distribution center slated to open in 2010 to help support that growth. And that’s really going to be Bang’s merchandising challenge — finding a way to slip one more item into that Shoppers marketbasket in a saturated marketplace. Bang certainly can’t build front-end sales by attracting new customers. There just aren’t that many Canadians who don’t already shop at Shoppers.
For Bang, it’ll be a question of optimizing categorical synergies and in doing so help drive impulse purchases. Similar to Walgreens, Shoppers is on a mission to make a good shopping experience better, and Bang’s expected to help realize that goal.