CVS, which has approximately 10,000 retail and pharmacy stores, plans to close about 900 of them over the next three years. Although the company did not release a list of the locations to be shuttered, it did indicate that communities in which there are multiple stores in fairly close proximity to each other likely would be targeted.
The company plans to make changes to many of the stores that will remain in operation, saying it will create three distinct models of outlets to serve as community health destinations. These would include:
- Sites dedicated to offering primary care services
- An enhanced version of HealthHUB™ locations with products and services designed for everyday health and wellness needs
- Traditional CVS Pharmacy stores that provide prescription services and health, wellness, personal care and other convenient retail offerings
The company, headquartered in Woonsocket, Rhode Island, said it has been evaluating changes in population, consumer buying patterns and future health needs to ensure it has the right kinds of stores in the right locations for consumers and for the business. It said that employees affected by store closings would be offered other opportunities with CVS.
CVS said that the strategic changes, along with store closings, would begin this coming spring.
The company announced several changes to its executive lineup and Karen Lynch, president and CEO of CVS Health, said, “Our retail stores are fundamental to our strategy and who we are as a company. We remain focused on the competitive advantage provided by our presence in thousands of communities across the country, which complements our rapidly expanding digital presence.”
