By On Wednesday, CVS Caremark announced it would stop selling tobacco products at all locations across the country.
CVS is expected to pull all tobacco products off the shelves by October.
CVS Caremark is the country’s largest drugstore chain in overall sales, according to an article in the New York Times.
The company said it’s decided to stop selling tobacco products because CVS is largely a healthcare provider, rather than solely a retail business.
“We have about 26,000 pharmacists and nurse practitioners helping patients manage chronic problems like high cholesterol, high blood pressure and heart disease, all of which are linked to smoking,” said CVS Chief Executive Larry J. Merlo to the NY Times. “We came to the decision that cigarettes and providing healthcare just don’t go together in the same setting.”
As a result, the company is estimated to lose $2 billion in sales from tobacco products and items related to “smoking,” according to the NY Times.
President Barack Obama and former mayor of New York, Michael Bloomberg, openly praised CVS on its move to create a healthier image.
What we find confusing is that CVS claims to be trying to create an image based on healthcare, but if that’s the case, why don’t they pull all non-healthcare related items from the shelves?
CVS Caremark currently sells a variety of alcoholic beverages, high caloric snacks, soft drinks and infomercial products that have nothing to do with healthcare at all.
We think that pulling tobacco products from its shelves to elevate their healthcare standard is a good thing, but to continue the sales of other non-healthcare related items is a bit contradictory.
In theory, this is all good news for CVS and overall healthcare in the U.S., but we’re a little skeptical about the real motives behind CVS’ attempt at rebranding its image.
It seems more like a marketing tactic than anything else.
The $2 billion loss in tobacco sales may easily be made up by the increase in flu shots and other services that CVS will expand on.
It is speculated that pharmacy’s may begin to compete with hospitals by offering testing and diagnostics at lower prices, according to an article in Forbes Magazine.
Additionally, the Affordable Care Act is bringing a larger influx of consumers to drugstore retailers for flu shots and other ailments, due to the shortage of primary care doctors.
Not to mention, Obama’s endorsement of CVS’ decision is some of the best advertising it could hope for.
After October, smokers will just have to mosey on down to one of the hundreds of other tobacco retailers.
