1 amv/calcium/other supplements derived importance although each segment has a different mix of key...

1

AMV/CALCIUM/OTHER SUPPLEMENTS DERIVED IMPORTANCE

Although each segment has a different mix of key motivators, key drivers across segments concern overall store experience, assortment and health and wellness expertise.

AMV CALCIUMOTHER SUPPS

The store has good customer service (STORE) 1 10 1The store offers a pleasant shopping experience (STORE) 2 12 14The store I can trust for health and wellness information (STORE) 3 14 4The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps) 4 7 13The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps) 5 4 7The store makes it easy to find the sections that I want to shop in (STORE) 6 15 12Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps) 7 5 2The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps) 8 3 8The store carries high quality VMS (AMV/Calcium/Other Supps) 9 2 5The store has good sales on VMS (AMV/Calcium/Other Supps) 10 11 6The store has store brand VMS that I trust (AMV/Calcium/Other Supps) 11 1 3The store carries a variety of new and unique products (STORE) 12 13 11The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps) 13 6 15The VMS are always in good condition (AMV/Calcium/Other Supps) 14 8 9The store has low prices for VMS (AMV/Calcium/Other Supps) 15 9 10The store often has items on sale or special deal (STORE) 16 17 17The store has low prices on all products (STORE) 17 18 16The store lets me do all my shopping in one place (STORE) 18 21 18The store has a good 'frequent-shopper card' program (STORE) 19 16 20The store is located close to my home or workplace (STORE) 20 20 22I shop there for other items (AMV/Calcium/Other Supps) 21 19 21The store has a wide mix of different departments to shop in (STORE) 22 22 19

RANK

Color Key:Overall store experience FindabilityProduct assortment Price/PromotionHealth & Wellness ConvenienceProduct quality

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IS THIS NOtE FOR US OR FOR HER?

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STATED VS. DERIVED IMPORTANCE FOR AMV STORE SELECTION

STATED IMPORTANCESTATED IMPORTANCE

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Adult Multi-Vitamins Having a wide assortment of high-quality AMV products is essential to driving AMV shoppers

to a store. Hidden motivators for AMV include being a trusted health & wellness source and having a pleasant,

easy-to-navigate environment and offer good customer service. In AMV, low pricing & good deals are assumed benefits across VMS retailers.


HIDDEN MOTIVATORThe store has good customer service (STORE) The store usually has available AMV I am looking for The store offers a pleasant shopping experience (STORE) The store carries high quality VMSThe store I can trust for health and wellness information (STORE)The store makes it easy to find the AMV I am looking for (AMV)The store carries a variety of new and unique VMS (AMV)The store makes it easy to find the sections I want to shop (STORE)Is a store I can trust for health and wellness products (AMV)

LESS IMPORTANTThe store has good sales on VMS (AMV) The VMS are always in good condition (AMV)

The store has low prices on all products (STORE)The store is located close to my home or workplace (STORE)The store has low prices for VMS (AMV)I shop there for other items (AMV)The store often has items on sale or special deal (STORE)The store lets me do all my shopping in one place (STORE)

The store has a broad selection of brands, types and forms of AMVThe store has wide mix of different departments to shop in (STORE)The store carries a variety of new and unique products (STORE)The store has a good 'frequent-shopper card' program (STORE)

CONSCIOUS MOTIVATORS

PRICE OF ENTRY

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Relative to Supplements, the overall store is more critical in AMV. Relative to Supplements, the overall store is more critical in AMV.

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STATED VS. DERIVED IMPORTANCE FOR CALCIUM STORE SELECTION


HIDDEN MOTIVATORThe store carries a variety of new and unique VMS (CALCIUM) The store carries high quality VMS (CALCIUM)The store has a broad selection of brands, types and forms of (CALCIUM) The store usually has available the VMS that I am looking for (CALCIUM)The store makes it easy to find the CALCIUM I am looking for (CALCIUM) Is a store I can trust for health and wellness products (CALCIUM)

The VMS are always in good condition (CALCIUM)The store has low prices for VMS (CALCIUM)

LESS IMPORTANTThe store makes it easy to find the sections that I want to shop in (STORE) The store has low prices on all products (STORE)I shop there for other items (CALCIUM) The store often has items on sale or special deal (STORE)The store is located close to my home or workplace (STORE) The store has good sales on VMS (CALCIUM)The store has good customer service (STORE)The store I can trust for health and wellness information (STORE)The store offers a pleasant shopping experience (STORE)The store lets me do all my shopping in one place (STORE)The store has a wide mix of different departments to shop in (STORE)The store carries a variety of new and unique products (STORE)The store has a good 'frequent-shopper card' program (STORE)

CONSCIOUS MOTIVATOR

PRICE OF ENTRY

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Calcium Calcium shoppers appear motivated by desire for product choice: they desire breadth of selection of high-quality, new and unique VMS, available in many brands, types and forms. In Calcium, while “good sales” is a cost-of-entry benefit, the promise of “low pricing” for VMS items attracts Calcium shopper to the store.

Relative to other segments, Calcium is more about quality and diversity of product offerings.

Relative to other segments, Calcium is more about quality and diversity of product offerings.


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STATED VS. DERIVED IMPORTANCE FOR OTHER SUPPLEMENTS STORE SELECTION


HIDDEN MOTIVATORThe store has good customer service (STORE) Is a store I can trust for health and wellness products (OTHER SUPPS)The store I can trust for health and wellness information (STORE) The store carries high quality VMS (OTHER SUPPS)The store carries a variety of new and unique VMS (OTHER SUPPS) The store has good sales on VMS (OTHER SUPPS)

The store usually has available the VMS that I am looking for (OTHER SUPPS)The VMS are always in good condition (OTHER SUPPS)

LESS IMPORTANTThe store makes it easy to find the sections that I want to shop in (STORE) The store has low prices for VMS (OTHER SUPPS)The store is located close to my home or workplace (STORE) The store has low prices on all products (STORE)The store has a broad selection of brands, types and forms of (OTHER SUPPS) The store often has items on sale or special deal (STORE)I shop there for other items (OTHER SUPPS)The store makes it easy to find the OTHER SUPPS I am looking forThe store offers a pleasant shopping experience (STORE)The store lets me do all my shopping in one place (STORE)The store has a wide mix of different departments to shop in (STORE)The store carries a variety of new and unique products (STORE)The store has a good 'frequent-shopper card' program (STORE)

TRULY IMPORTANT

PRICE OF ENTRY


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Other Supplements Other Supplement shoppers demand more VMS expertise: they want a VMS retailer they can trust

for health and wellness information, and to provide good customer service, They seek high-quality products and a selection of new and unique items. Unlike with other segments, “good sales” are particularly motivating to Other Supplement shoppers.

Relative to other segments, retailer choice in Supplements is more about health and wellness expertise.

Relative to other segments, retailer choice in Supplements is more about health and wellness expertise.


STATED IMPORTANCE* SUMMARY OF EXTREMELY IMPORTANT BY SEGMENT BUYER GROUP

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There are a number of characteristics that are more important to calcium buyers than they are to other buyers….notably price related and store image. Supp buyers share Calcium buyers low price interest – but more everyday low price than promotion.

Q12a/13a

(A) (B) (C) Base: Those Answering 5012 3507 1005 500

% % % %(Overall Store Experience) The store has good customer service (STORE) 35 34 38 A 34(Product Assortment) The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps) 21 21 22 19(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps) 38 35 42 A 39(Overall Store Experience) The store offers a pleasant shopping experience (STORE) 28 28 32 AC 26(Product Quality) The store carries high quality VMS (AMV/Calcium/Other Supps) 46 43 50 A 47 A(Health & Wellness) The store I can trust for health and wellness information (STORE) 27 26 32 AC 26(Product Assortment) The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps) 49 46 53 A 51 A(Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps) 37 36 40 AC 35(Product Quality) The store has store brand VMS that I trust (AMV/Calcium/Other Supps) 40 37 43 A 42 A(Price/Promotion) The store has good sales on VMS (AMV/Calcium/Other Supps) 41 38 44 A 44 A(Findability) The store makes it easy to find the sections that I want to shop in (STORE) 31 31 35 AC 28(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps) 29 28 31 A 30(Convenience) The store carries a variety of new and unique products (STORE) 17 18 19 C 15(Product Quality) The VMS are always in good condition (AMV/Calcium/Other Supps) 54 50 59 A 56 A(Price/Promotion) The store has low prices for VMS (AMV/Calcium/Other Supps) 48 45 51 A 49 A(Price/Promotion) The store often has items on sale or special deal (STORE) 42 40 47 AC 40

Total VMS AMV Calcium Supp

* Attributes arranged in descending order of derived importance

Stubs are WAY to wide…need to tighten up – can do as we have been doing – this and next few slides – make sure font size is consistent..insert lines to make easier to read

STATED IMPORTANCE * SUMMARY OF EXTREMELY IMPORTANT BY MULTIVITAMIN BUYER GROUPS

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Store brand buyers are generally less likely to find any of the characteristics extremely important. On a relative basis they are move motivated by low prices (NOT deals) and retail availability of what they are looking for. OAD buyers are more interested than others in a pleasant shopping experience and a store that is easy to navigate.

Q12a/13a

(D) (G) (H) (E) (F)Base: Those Answering 1763 859 791 312 1060

% % % % %

(Overall Store Experience) The store has good customer service (STORE) 35 F 37 34 37 F 31

(Product Assortment) The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps) 23 F 22 24 25 F 18

(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps) 35 34 36 38 33

(Overall Store Experience) The store offers a pleasant shopping experience (STORE) 31 F 34 H 29 31 F 24

(Product Quality) The store carries high quality VMS (AMV/Calcium/Other Supps) 43 41 45 44 40

(Health & Wellness) The store I can trust for health and wellness information (STORE) 28 F 27 29 25 23

(Product Assortment) The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps) 46 44 48 48 44

(Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps) 38 F 38 39 37 32

(Product Quality) The store has store brand VMS that I trust (AMV/Calcium/Other Supps) 34 33 35 38 41

(Price/Promotion) The store has good sales on VMS (AMV/Calcium/Other Supps) 38 37 40 44 DF 38

(Findability) The store makes it easy to find the sections that I want to shop in (STORE) 32 34 H 30 36 F 30

(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps) 29 F 30 30 33 F 25

(Convenience) The store carries a variety of new and unique products (STORE) 21 F 20 21 17 F 13

(Product Quality) The VMS are always in good condition (AMV/Calcium/Other Supps) 49 48 50 53 50

(Price/Promotion) The store has low prices for VMS (AMV/Calcium/Other Supps) 43 41 45 48 50

(Price/Promotion) The store often has items on sale or special deal (STORE) 41 42 40 48 DF 39

AMV BrandsNatonal

Brnd OAD Centrum Broad Line Stre Brnd


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TBD

WILL CHANGE

Q12a/13a

DIMPOrder

(P) (S) (T) (Q) (R)Base: Those Answering 620 76 220 205 385

% % % % %

(Overall Store Experience) The store has good customer service (STORE) 1 40 38 38 40 35

(Product Assortment) The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps) 2 24 R 20 20 31 PR 19

(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps) 3 41 33 39 45 43

(Overall Store Experience) The store offers a pleasant shopping experience (STORE) 4 35 R 37 36 32 26

(Product Quality) The store carries high quality VMS (AMV/Calcium/Other Supps) 5 49 42 45 52 52

(Health & Wellness) The store I can trust for health and wellness information (STORE) 6 32 26 32 34 32

(Product Assortment) The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps) 7 51 45 47 55 56

(Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps) 8 39 29 39 41 43

(Product Quality) The store has store brand VMS that I trust (AMV/Calcium/Other Supps) 9 38 28 34 42 50 PQ

(Price/Promotion) The store has good sales on VMS (AMV/Calcium/Other Supps) 10 44 38 42 48 44

(Findability) The store makes it easy to find the sections that I want to shop in (STORE) 11 37 R 36 36 38 31

(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps) 12 34 R 24 32 41 PR 27

(Convenience) The store carries a variety of new and unique products (STORE) 13 22 R 22 21 24 R 15

(Product Quality) The VMS are always in good condition (AMV/Calcium/Other Supps) 14 58 47 55 56 60

(Price/Promotion) The store has low prices for VMS (AMV/Calcium/Other Supps) 15 50 46 49 52 51

(Price/Promotion) The store often has items on sale or special deal (STORE) 16 48 47 45 50 45

Calcium BrandsNational

Brnd Citracal Caltrate Broad Line Stre Brnd

STATED IMPORTANCE * SUMMARY OF EXTREMELY IMPORTANT BY CALCIUM BUYER GROUPS


Key Findings ImplicationsOpportunity

Price/promotion

To be chosen for VMS, a retailer must do at least these four things well. . .

“Sales” will be most effective in Other Supps; “Low prices” in calcium.

And AMV is not the segment In which to heavily promote.

• Role of price differs from segment to segment

Assortment

A maximized assortment will include premium products as well

as value brands that are perceived as “high quality.” Leverage form innovations,

across VMS but particularly in Calcium.

Across VMS segments, shoppers seek high quality, new, and unique VMS.

Heath & Wellness

VMS expertise is not enough – Retailers must build credentials

as partners in shoppers health and wellness pursuits

Health and Wellness is a critical driver, especially in AMV.

VMS shoppers seek a retailer that is a credible source of Health and Wellness information

and of trustworthy products

Overall StoreExperience

Customer service is # 1 (in both AMV and Other Supps)

and among the top 10 drivers in Calcium. .

Relationships with VMS shoppers extend beyond the modular. Corporate

support is necessary for effective conversion strategies.

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How Retailers Stack Up

Costco sets a gold standard in satisfying its VMS shoppers. Key customers have stiff competition from specialty retailers who dominate? In VMS.

Overall Ranking Based on

% Excellent/Very Good

Costco 1Target 2Kroger 3Sam's 4Publix 5Whole Foods 6

Walmart 7BJ's 8

Walgreen's 9CVS 10GNC 11

Vitamin Shoppe 12

Rite-Aid 13Kmart 14

VMSRanking Based on

% Excellent/Very Good

Costco 1

Whole Foods 2

BJ's 3

Sam's 4

GNC 5

Vitamin Shoppe 6

Target 7

Walgreen's 8

CVS 9

Publix 10

Walmart 11

Rite-Aid 12

Kroger 13

Kmart 1410

HOW RETAILERS STACK UP (ON MOST MOTIVATING ATTRIBUTES)(Among the Store’s Unconverted Shoppers)

12b.Now we would like you to rate the stores listed below on each of the following items.13b. Now we would like you to rate the (AMV/Calc/Other Supps) section of the stores listed below on each of the following items.

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VMSDIMPOrder Walmart Target Walgreens CVS

Total ClubStore

Total Super-market

Total Vitamin

SpecialtyTotal

OnlineDollar Store

Base: 388 464 447 300 292 922 54 910 451% % % % % % % % %

1 20 27 24 28 30 31 37 29 15

2 22 22 21 32 21 16 46 26 5

3 26 28 33 43 26 24 50 30 6

4 19 33 21 27 2 1 0 2 3

5 34 34 36 49 32 29 46 36 5

6 17 20 28 33 1 1 0 1 1

7 31 29 29 40 23 22 46 32 6

8 29 38 31 36 29 27 38 31 9

9 30 32 33 41 31 28 42 32 6

10 20 19 19 23 22 15 15 23 8

11 25 36 24 26 2 2 0 2 3

12 29 26 26 39 21 20 31 31 5

13 20 23 14 15 2 1 0 2 2

14 38 46 42 45 45 40 58 37 12

15 28 18 14 17 28 11 19 23 18

16 28 24 23 21 2 1 * 1 4(Price/Promotion) The store often has items on sale or special deal (STORE)

(Convenience) The store carries a variety of new and unique products (STORE)(Product Quality) The VMS are always in good condition (AMV/Calcium/Other Supps)(Price/Promotion) The store has low prices for VMS (AMV/Calcium/Other Supps)

(Product Assortment) The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps)(Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps)(Product Quality) The store has store brand VMS that I trust (AMV/Calcium/Other Supps)(Price/Promotion) The store has good sales on VMS (AMV/Calcium/Other Supps)(Findability) The store makes it easy to find the sections that I want to shop in (STORE)(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps)

(Health & Wellness) The store I can trust for health and wellness information (STORE)

Do NOT buy VMS at these stores

(Overall Store Experience) The store has good customer service (STORE)(Product Assortment) The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps)(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps)(Overall Store Experience) The store offers a pleasant shopping experience (STORE)(Product Quality) The store carries high quality VMS (AMV/Calcium/Other Supps)

Walmart is also relatively weak among . . . To strengthen conversion, Walmart needs most to improve its image for providing

good customer service and having health and wellness expertise.

Impor-tance Rank

Ensure VMS Level

(Among Current VMS (AM? Data ?) Shoppers)

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Walmart is relatively weak on the most motivating driver of VMS retailer choice.

VMSDIMPOrder Walmart Target CVS Walgreens

Total Club Store

Total Super-market

Total Vitamin

SpecialtyTotal

OnlineDollar Store

1 35 41 44 44 37 42 43 47 44

2 39 33 37 40 27 24 56 56 33

3 44 42 49 56 43 36 59 48 33

4 30 29 24 25 26 23 8 14 26

5 51 50 50 55 51 44 59 59 40

6 27 17 29 29 18 17 8 9 15

7 52 46 48 53 48 44 56 59 42

8 52 51 47 53 50 46 55 56 48

9 52 49 48 52 49 43 55 51 37

10 41 33 41 40 36 30 37 41 47

11 37 27 23 23 27 26 7 14 26

12 51 42 45 49 34 36 51 62 30

13 30 22 13 14 22 12 4 13 17

14 54 54 54 60 55 50 64 53 63

15 50 37 31 34 47 29 29 47 58

16 33 23 28 25 21 25 5 11 26

Average 42 37 38 41 37 33 37 40 37

(Price/Promotion) The store often has items on sale or special deal (STORE)

(Findability) The store makes it easy to find the sections that I want to shop in (STORE)(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps)(Convenience) The store carries a variety of new and unique products (STORE)(Product Quality) The vitamins, minerals and supplements are always in good condition (AMV/Calcium/Other Supps)(Price/Promotion) The store has low prices for vitamins, minerals and nutritional supplements (AMV/Calcium/Other Supps)

(Price/Promotion) The store has good sales on vitamins, minerals and nutritional supplements (AMV/Calcium/Other Supps)

Mass MM Drug Store

(Overall Store Experience) The store has good customer service (STORE)(Product Assortment) The store carries a variety of new and unique vitamins, minerals and supplements (AMV/Calcium/Other Supps)(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps)(Overall Store Experience) The store offers a pleasant shopping experience (STORE)(Product Quality) The store carries high quality vitamins, minerals and supplements (AMV/Calcium/Other Supps)(Health & Wellness) The store I can trust for health and wellness information (STORE)(Product Assortment) The store usually has available the vitamins, minerals and supplements that I am looking for (AMV/Calcium/Other (Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps)(Product Quality) The store has store brand vitamins, minerals and supplements that I trust (AMV/Calcium/Other Supps)

Impor-tance Rank

Walmart is also relatively weak among . . . To strengthen conversion, Walmart needs most to improve its image for providing

good customer service and having health and wellness expertise. HOW RETAILERS STACK UP (ON MOST MOTIVATING ATTRIBUTES

Ensure VMS Level

Top Levers Rank Target Costco Grocery Drug Vitamin

Specialty Online

Has good customer service 1 -- -- -- -- -- --

Carries a variety of new and unique VMS 2 + + + = -- --

Is a trusted source of health and wellness products

3 = = + -- -- --

Carries high quality VMS 4 = = + = -- --

Is a trusted source for health and wellness information

5 + = + -- + +

Has available the VMS that I am looking for

6 = = = = -- --

Makes it easy to find the product 7 = = = = = --

Good VMS sales 8 + + + -- = --Makes it easy to find category 9 + + + + + +

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Walmart’s Strengths and Opportunities (among total VMS shoppers)

Add Walmart column in. Put in percents? Store brand atts should be missing from this perspectiveNeed to do for Target, Walgreens & CVS

CVS Overview: Shopper Dynamics

Walmart Target Walgreens CVS Kroger0

204060

Conversion% of Store Shoppers who Bought VMS at

Store


20406080

Trip Loyalty% of VMS Trips at

Store out of next 5


10

20

30

40

50

VMS Shopper Sat-isfaction

Brand Development(relative to key FDM competitors)

One A Day M

Centrum H

Nature’s Bounty ?

Store Brand M

Segment Development(relative to key FDM competitors)

Adult Multis MH

Kids Multis M

Calcium M

Heart M

Probiotics M

What differentiates a Drugstore VMS Trip? Quick trips (17-18 min) to nearby stores (less than 10 min away)

Shoppers more likely to check for coupons look at circulars, and know the store for its sales.

Shoppers more likely to be on a pharmacy trip (though still only a minority of time (20% vs. 15% across all stores))

What differentiates CVS shopper from Walgreens shopperMore likely to use frequent shopper cards.

More likely to be on pharmacy trip

More likely to be engaged in digital activities as part of VMS trip.

CVS Overview: Shopper Dynamics


204060

Conversion% of Store Shoppers who Bought VMS at

Store


20406080

Trip Loyalty% of VMS Trips at

Store out of next 5


10

20

30

40

50

VMS Shopper Sat-isfaction

Brand Development(relative to key FDM competitors)

One A Day M

Centrum H

Nature’s Bounty ?

Store Brand M

Segment Development(relative to key FDM competitors)

Adult Multis MH

Kids Multis M

Calcium M

Heart M

Probiotics M

CVS VMS Shoppers

Walgreens VMS Shoppers

All VMS Shoppers

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9

43

2

Use of Digital as part of VMS TripUse Computer Use Smartphone

What differentiates a Drugstore VMS Trip? Quick trips (17-18 min) to nearby stores (less than 10 min away)

Shoppers more likely to check for coupons look at circulars, and know the store for its sales.

Shoppers more likely to be on a pharmacy trip (though still only a minority of time (20% vs. 15% across all stores))

What differentiates CVS from Walgreens More likely to use frequent shopper cards.

More likely to be on pharmacy trip.

Top Levers Rank Target Costco Grocery Drug Vitamin

Specialty Online

Has good customer service 1 -- -- -- -- -- --

Carries a variety of new and unique VMS 2 + + + = -- --

Is a trusted source of health and wellness products

3 = = + -- -- --

Carries high quality VMS 4 = = + = -- --

Is a trusted source for health and wellness information

5 + = + -- + +

Has available the VMS that I am looking for

6 = = = = -- --

Makes it easy to find the product 7 = = = = = --

Good VMS sales 8 + + + -- = --Makes it easy to find category 9 + + + + + +

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CVS Strengths and Opportunities (among total VMS shoppers)

Add Walmart column in. Put in percents? Store brand atts should be missing from this perspectiveNeed to do for Target, Walgreens & CVS

HOW VMS RETAILERS STACK UP (ON MOTIVATING ATTRIBUTES)(Shop Store for VMS P6M Among CVS Shoppers)

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Total Club Store

Total Super-market

Total Vitamin

SpecialtyTotal

OnlineDollar Store

Base: Those Answering/Bought VMS 1026 299 403 627 420 330 284 84 56% % % % % % % % %

1 35 45 43 43 38 40 38 48 54

2 40 33 34 35 27 24 51 51 33

3 46 43 50 52 46 36 58 51 33

4 29 26 21 25 25 18 7 11 20

5 52 52 51 51 51 43 65 57 44

6 25 16 26 30 17 12 9 6 13

7 50 51 47 47 47 45 60 54 39

8 49 49 49 48 52 47 45 52 57

9 40 37 39 42 33 29 39 42 51

10 35 26 20 25 27 19 6 11 20

11 51 43 43 45 32 34 55 56 38

12 28 20 13 13 20 11 5 10 16

13 53 54 53 55 57 54 59 48 66

14 50 38 26 33 46 27 32 48 72

15 32 22 23 29 21 20 5 7 24

Mass MM Drug Store

(Findability) The store makes it easy to find the sections that I want to shop in (STORE)(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps)(Convenience) The store carries a variety of new and unique products (STORE)(Product Quality) The VMS are always in good condition (AMV/Calcium/Other Supps)(Price/Promotion) The store has low prices for VMS (AMV/Calcium/Other Supps)(Price/Promotion) The store often has items on sale or special deal (STORE)

(Overall Store Experience) The store offers a pleasant shopping experience (STORE)(Product Quality) The store carries high quality VMS (AMV/Calcium/Other Supps)(Health & Wellness) The store I can trust for health and wellness information (STORE)(Product Assortment) The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps)(Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps)(Price/Promotion) The store has good sales on VMS (AMV/Calcium/Other Supps)

(Overall Store Experience) The store has good customer service (STORE)(Product Assortment) The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps)(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps)

HOW RETAILERS ARE PERCEIVED(Among The Unconverted- Shop for Anything But Do NOT Buy VMS At Stores)

12b.Now we would like you to rate the stores listed below on each of the following items.13b. Now we would like you to rate the (AMV/Calc/Other Supps) section of the stores listed below on each of the following items.

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Total ClubStore

Total Super-market

Total Vitamin

SpecialtyTotal

OnlineDollar Store

Base: 388 464 447 300 292 922 54 910 451% % % % % % % % %

1 20 27 24 28 30 31 37 29 15

2 22 22 21 32 21 16 46 26 5

3 26 28 33 43 26 24 50 30 6

4 19 33 21 27 2 1 0 2 3

5 34 34 36 49 32 29 46 36 5

6 17 20 28 33 1 1 0 1 1

7 31 29 29 40 23 22 46 32 6

8 29 38 31 36 29 27 38 31 9

9 20 19 19 23 22 15 15 23 8

10 25 36 24 26 2 2 0 2 3

11 29 26 26 39 21 20 31 31 5

12 20 23 14 15 2 1 0 2 2

13 38 46 42 45 45 40 58 37 12

14 28 18 14 17 28 11 19 23 18

15 28 24 23 21 2 1 * 1 4

(Health & Wellness) The store I can trust for health and wellness information (STORE)

Shop but Do NOT buy VMS at these stores

(Overall Store Experience) The store has good customer service (STORE)(Product Assortment) The store carries a variety of new and unique VMS (AMV/Calcium/Other Supps)(Health & Wellness) Is a store I can trust for health and wellness products (AMV/Calcium/Other Supps)(Overall Store Experience) The store offers a pleasant shopping experience (STORE)(Product Quality) The store carries high quality VMS (AMV/Calcium/Other Supps)

(Price/Promotion) The store often has items on sale or special deal (STORE)

(Convenience) The store carries a variety of new and unique products (STORE)(Product Quality) The VMS are always in good condition (AMV/Calcium/Other Supps)(Price/Promotion) The store has low prices for VMS (AMV/Calcium/Other Supps)

(Product Assortment) The store usually has available the VMS that I am looking for (AMV/Calcium/Other Supps)(Findability) The store makes it easy to find the product I am looking for (AMV/Calcium/Other Supps)(Price/Promotion) The store has good sales on VMS (AMV/Calcium/Other Supps)(Findability) The store makes it easy to find the sections that I want to shop in (STORE)(Convenience) The store has a broad selection of brands, types and forms of (AMV/Calcium/Other Supps)

CVS shoppers who do NOT shop for VMS in the store apparently have fairly strong perceptions of the store as a place to shop VMS.

Overarching Retailer Insights

• Target shopper IS involved in the category, just not at Target. Need better link to H&W to convert more VMS shoppers.

• Walgreens is relatively strong where it counts. While no one owns the H&W white space, this retailer is best poised for the opportunity.

• Walmart needs to bring the VMS shopping experience up to par with rest of store. Strengths to leverage are in new/unique and findability.

Potential Synergies betweenBrand and Retailer Opportunities

21

• VMS buyers went through a selection process to let us figure out what five specific factors drives their purchase decisions. The factors were:

StoreBrandSize Price/Promotion Loyalty overlay

• Consumers were shown a number of alternative types of purchases occasions.

• The stores that were shown to any respondent were limited to the stores in that respondent’s consideration set.

• They saw up to 12 scenarios at a time, and were asked to allocate 5 purchases across the featured alternatives (or if they would not, in fact buy ANY) – EXAMPLE ON NEXT PAGE

22

What consumers saw….

23

SEGMENT MEMBERSHIP BY STORE BOUGHT VMS

Q.6b/c

(A) (B) (C) (D) (E) (F) (G) (H)Total 1107 233 304 355 377 407 212 62

Store 8 F 7 9 F 10 EF 6 5 7 8Store & Price 22 BCD 15 16 18 19 26 BCDEG 20 23Store & Product 25 CG 23 CG 15 19 22 CG 24 CG 14 24 CG

Product 8 18 ACDEFG 12 ADH 7 11 ADH 9 12 ADH 5Product & Price 18 21 21 22 G 22 G 19 16 22 G

Price 8 7 13 ABEF 10 7 9 14 ABEF 10Deal 11 FH 9 14 BFH 15 BFH 14 BFH 8 16 ABFH 7

Total Vitamin Stores

Total Dollar stores Walmart Target CVS Walgreens

Total Club

Stores

Total Super-market/Grocery Stores

24

SEGMENT MEMBERSHIP BY BRAND BOUGHT

Q.8

(A) (B) (C) (D)Total 854 784 205 969

Store 8 CD 9 CD 5 6Store & Price 17 17 24 AB 22 AB

Store & Product 24 BC 19 C 11 28 ACB

Product 14 CD 14 CD 6 4Product & Price 16 24 AD 24 A 20 A

Price 9 D 7 17 ABD 6Deal 12 10 D 13 13

One-A-Day CentrumNatureMade

Store Brand

25

Seven Shopping StylesDifferent value-drivers for different shoppers.

Style Explanation Size (% of AMV Shoppers)

More likely to shop

More likely to buy

More likely to be

Product & Store

Will pass up a deal/low price to get preferred Product at preferred Store.

22% Walmart One-A-Day & SB

50+ adults (average education & income)

Price & Store

Switches between Products to get a good price at preferred Stores.

20% Walmart &Food

Broad Line 35+ adults, less educated, lower income

Price & Product

Switches between Stores to get a good Price on preferred Products.

20% (No skews) Centrum 35-49 married females, higher income

Deal-focused

Switches between Stores and Products to get a good Deal (sometimes passing up the lowest price).

12% Walgreens & Vit. Spec.

(No skews) 35+ males (average education & income)

Product-focused

Stick with their preferred Product at whichever Store and Price.

9% Target One-A-Day & Centrum

Under 35, higher income adults, with larger households

Price-focused

Switches between Stores and Products to get the lowest Price (sometimes passing up deals.)

9% CVS & Vit. Spec.

Broad Line Under 50, kids in the house

Store-focused

Stick with their preferred Store and accept the product and price they get there.

7% Walmart & Walgreens

Centrum Under 35, lower income and ethnically diverse

Back-up

27

MOST DIFFERENTIATING CHARACTERISTICS OF P6M VMS STORE SHOPPERS

Walmart Target CVS Walgreens Total Club Total FoodTotal Vitamin

StoreTotal

On-Line Dollar Store

Closest to home Closest to home Farthest awaySpend the most time shopping(44.3 minutes)

Spend shortest time shopping

(9.6 minutes)

Spend shortest time shopping

(9.6 minutes)

Spend the most time shopping(48.3 minutes)

Perceived Pricing Policy

Known for EDLPHas items on

saleHas items on

saleKnown for EDLP

# of Items Purchased Last

Trip

A lot of items purchased most

recently(27% 25+ items)

A lot of items purchased most

recently(31% 25+ items)

Fewest items purchased

(66% 1-3 items)

Food Clothing Pharmacy Pharmacy Food/ Food OTC ProductsBaby products Paper goods Paper goods

Personal Care Prod.

Personal Care Prod.

More VMS Personal Care Prod.

Home Inventory

Running Out Stock up

# of Brands in Mnd Q.8a2

One brand in mind

One brand in mind

One brand in mind

No brand in mind

Where went for info

More likely to: talk to a friend,

use smart phone, use on-

line

More Important To Shopper

- one-stop shopping

- low prices (store-wide)

- freq. shopper card (STORE)

-#NAME? #NAME? #NAME?

Shopping Behavior of P6M VMS Store Shoppers

Proximity &

Time Spent

Other Categories

Planned Last Trip

Walmart shoppers are more likely to spend more time, appreciate low prices and plan Food & Personal Care purchases. . .

28

MOST DIFFERENTIATING CHARACTERISTICS OF P6M VMS STORE SHOPPERS(Continued)

Walmart Target CVS Walgreens Total Club Total FoodTotal Vitamin

StoreTotal

On-Line Dollar Store

Where went for info

More likely to: talk to a friend,

use smart phone, use on-

line

Home Inventory

Running Out Stock up

Shopping behavior:

Coupon Use Q.8b2

No coupons(83%)

redeem coupons(33%)

redeem coupons(32%)

redeem coupons(32%)

No coupons(97%)

Circular Use checks circular

(36%) checks circular

(41%)

Frequent Shopper Card

Use

Freq. shopper card

Freq. shopper card

Where Buy VMS in P6M

Also Likely to buy VMS on line

# of Retailers (Past 6 Mos)

2.7 4 3.7 3.4 3.1 3.2 4.2 4.9 3.9

Types of VMS Bought

Less likely Calcium

More likely to buy Children's

MVs

More likely to buy Calcium, Heart & Joint Health Supps

Less likely Calcium

More likely to buy Nutritional

Supps (Generally)

More likely to buy Nutritional

Supps (Generally)

Shopping Behavior of P6M VMS Store Shoppers

Walmart shoppers are also less likely to use coupons, to stock up or to buy Calcium.

29

Under 5 minutes

5-9 minutes

10-14minutes

15-24minutes

25+minutes

Under 9 minutes

10-19minutes

20-29minutes

30-39minutes

40+minutes

Low everyday prices on all products

Items on sale or special deal

Don't know store's approach to pricing

1-3 4-10 11-15 16-25 Over 25

NoneEnough for a few days

Enough for more than a few days

Yes No

Base: 3507

Q.8b2 Thinking about the last time you purchased adult multivitamins at (INSERT MOST RECENT STORE FROM 6b/c), Please describe that shopping trip by checking ONE box for each characteristic below.

PROFILE OF LAST ADULT MV SHOPPING TRIP

Mean # ofMinutes

13

33

Create for Calcium & Supps

PROFILE OF LAST ADULT MV SHOPPING TRIP Among Total AMV Shoppers

30

I only had one brand in mind

I had more than one brand in mind

I didn't have any specific brand in mind

Number of Brands Considered Information Sources UtilizedChecked for coupons

Checked a store circular

Made a shopping list

Used a computer to get online information

Used smart phone to get online information

Health websites

Product websites

Retailer websites

Shopping websites

Talked to friend

Talked to doctor/nurseOther Departments Planning To Shop In

Base: 3507Q.8a2 Please indicate which one of the following phrases best describes how mbrands you considered before making your most recent purchase of adult multivitamins.Q.8a3/a4 Which if of the following things did you do to help you make your most recent purchase of adult multivitamins? Which if of the following kinds of websites did you check to help make your most recent purchase of adult multivitamins? Q.8b1 Please think back to the circumstances of your most recent shopping trip when you bought adult multivitamins. Before getting to the store that day, in which of the following departments were you PLANNING to shop?

Online 12%

PROXIMITY TO STORE

31

Under 5 minutes

5-9 minutes

10-14minutes

15-19minutes

20-24minutes

Mean # ofMinutes

10.9

Time spentTo Get There: 25+

minutes

14.1

13.4

8.4

9.8

Continued…

PROXIMITY TO STORE (CONTINUED)

32

Under 5 minutes

5-9 minutes

10-14minutes

15-19minutes

20-24minutes

Mean # ofMinutes

10.9

Time spentTo Get There: 25+

minutes

9.6

17.8

17.2

13.2

33

DEMOGRAPHIC PROFILE

Total StoreStore

& PriceStore & Product Product

Product & Price Price Deal

Base: Total Respondents 3495 262 702 757 330 694 320 430% % % % % % % %

GenderMale 49 53 46 49 50 45 47 55Female 51 47 54 51 50 55 53 45

Age18-34 32 44 29 32 36 28 37 2835-49 32 31 32 27 32 33 39 3550+ 36 25 38 41 31 39 24 37

Household Size (Mean # of People) 2.65 2.74 2.57 2.50 2.81 2.64 2.92 2.66Have Children Under 18 33 40 31 28 33 34 43 35Marital Status

Married or living with someone 58 51 55 59 55 65 59 57Not Married 42 49 45 41 45 35 41 43

Responsible For Making Healthcare Decision for Another Adult 23 38 21 20 24 19 29 25Employment Status

Employed 55 57 52 53 63 54 62 55Not Employed 44 42 47 47 36 45 38 43

Education LevelHS or Less 25 28 28 26 20 21 22 26Some college 32 33 35 33 31 33 30 28Completed college/Graduate School 43 39 37 41 48 46 48 46

EthnicityWhite 81 72 81 83 78 84 78 81Non-White 19 28 19 17 22 16 22 19

Household IncomeUnder $30,000 26 32 32 27 19 22 23 23$30,000-$49,999 26 29 28 26 22 26 25 26$50,000 to less than $75,000 23 17 21 24 27 23 23 24$75,000+ 25 22 18 24 33 29 29 28

7 seg solution

34

RELATIVE IMPORTANCE OF FACTORS

Q.8

Product 33.4 23.3 25.5 38.5 50.5 36.5 25.0 31.4

Store 29.1 50.5 33.8 34.3 19.7 22.7 18.4 24.5

Price 15.7 8.5 19.2 9.1 10.8 20.7 27.5 12.7

Promotion 15.2 11.4 14.6 11.5 12.9 13.9 22.0 23.7

Size 4.2 3.8 4.4 4.0 3.7 3.9 4.5 4.8

Loyalty Offer 2.5 2.6 2.4 2.6 2.5 2.3 2.6 2.9

7 seg solution

Total DealStoreProduct & Price Price

Store & Price Product

Store & Product

These numbers above explain % of variance. Red/green indicates statistically sig. differences vs. the complement group (which is not shown).

35

STORES PURCHASED VMS FROM MOST RECENTLY

Q.6b/c

Total StoreStore




Wal-Mart 32 35 35 36 28 29 26 28Target 7 6 5 7 13 7 5 5CVS 9 11 7 6 11 9 12 10Walgreen's 10 13 9 9 8 11 11 12Club Stores 11 9 10 11 12 12 8 12Supermarket/Grocery Stores 12 8 15 13 11 11 11 8Vitamin Stores 6 6 6 4 8 5 9 8Dollar stores 2 2 2 2 1 2 2 1

7 seg solution

36

BRAND BOUGHT LAST

Q.8

Total StoreStore




One-A-Day 24 27 21 27 35 20 23 24Centrum 22 27 19 20 33 27 17 18Natures Made 6 4 7 3 4 7 11 6Store Brand 28 24 30 36 13 28 19 29

7 seg solution

37

OVERALL EXPERIENCE OF STORE(S) SHOPPED IN P6M - Summary of Excellent -

Q.4b/7b

Total StoreStore



Base: Store Shopped P6M % % % % % % % %

FOR ANYTHINGWal-Mart 32 43 34 36 26 26 34 30Target 29 30 29 30 32 27 28 28CVS 21 26 22 24 16 17 25 19Walgreen's 23 28 24 24 20 21 21 26Any Club Store 46 57 50 45 38 40 53 48Any Food 40 41 38 46 36 46 44 18Any Vitamin Store 34 43 28 38 28 34 40 31Any On-line Store 50 56 52 60 58 36 48 41Dollar stores 18 24 20 19 13 15 15 18

FOR VMSWal-Mart 44 52 43 48 42 41 42 39Target 40 40 48 37 43 36 43 37Kmart 29 35 15 29 31 32 38 30Any MM Store 42 48 43 45 42 39 42 38CVS 38 55 42 33 36 33 41 39Walgreen's 38 46 39 43 28 37 38 35Any Drug Store 38 48 39 40 34 36 40 35Any Club Store 45 53 50 49 38 41 46 44Any Food 34 30 32 38 28 35 43 24Any Vitamin Store 52 55 51 50 48 56 53 53Any On-line Store 45 53 50 42 44 38 51 37Dollar stores 41 60 26 47 57 28 56 58

7 seg solution

38

TYPES OF VMS (OTHER THAN AMV) BOUGHT IN P6M

Q.5a

Total StoreStore




Any Supplement 71 71 67 71 71 72 79 73Vitamin C 34 42 32 32 30 34 41 36Vitamin D 28 31 30 27 26 28 31 26Heart Health Supplements 26 19 26 28 25 27 31 26Calcium supplements 24 23 22 24 22 28 30 21Joint Health Supplements 19 13 19 20 17 18 26 18Other Single vitamins 18 13 19 20 12 19 22 18Sleep Aid Supplements 14 15 14 14 14 14 20 13Memory Supplements 12 10 13 10 13 12 15 11Weight Supplements 12 14 11 11 18 9 19 13Immunity Health Supplements 11 10 9 8 11 10 18 11Probiotic supplements 11 12 10 9 13 11 14 13

Children's chewable and gummy multivitamins 20 21 19 15 25 21 27 23

7 seg solution

39

TRIP SUMMARY

Total StoreStore

& PriceStore &Product Product



Time Spent to Get ThereUnder 5 minutes 20 17 21 19 20 22 22 195-9 minutes 28 23 27 28 31 29 28 2810-14 minutes 23 27 22 23 22 22 23 2115 or More 30 33 30 31 27 27 26 32

15-19 minutes 12 14 11 12 12 11 10 1520-24 minutes 8 9 9 7 8 7 7 925+ 11 10 10 11 6 10 10 7

Mean # of minutes 13 13.8 13.4 13.6 11.9 12.6 12.2 12.8Total Time At Store

Under 10 16 24 16 15 14 13 19 1710-19 minutes 20 21 17 19 19 20 25 2220-29 minutes 18 18 18 16 18 20 16 2130-39 minutes 18 13 18 18 18 20 16 1940 Minutes Plus 28 25 31 33 32 27 24 22Mean # of minutes 33 29.4 34.1 35.7 34.4 33.1 30.2 29.5

Stores PricingStore has low everyday prices on all products 50 50 50 58 49 49 40 47Store has items on sale or special deal 42 43 41 34 44 44 50 43

Number of Items Purchased1-3 items 26 20 24 26 25 28 31 27Between 4 and 10 items 32 39 31 29 31 32 33 36Between 11 and 15 items 17 19 17 15 22 15 17 17Between 16 and 25 items 10 9 11 11 10 11 9 9Over 25 items 15 13 18 19 13 13 10 11

How Many Adult MV Pills/Tablets You Had At HomeNone 9 6 11 10 10 9 8 10Enough for a few days 45 48 44 46 44 48 43 40Enough for more than a few days 46 46 45 44 46 43 48 51

Redeemed Coupon For This PurchaseYes 24 27 23 21 31 25 31 21No 76 73 77 79 69 75 69 79

7 seg solution

40

TRIP SUMMARY

Total StoreStore

& PriceStore &Product Product



Departments Planning To Shop InVitamins, minerals or supplements 79 68 75 82 82 84 76 77Packaged foods 46 47 50 47 48 43 43 41Personal care items 43 38 43 43 48 42 44 43Perishable foods 42 39 47 46 42 38 38 41Household cleaning products 31 29 32 31 33 31 29 32Over the counter medicine 29 27 27 32 30 28 30 29Paper goods 25 23 27 27 26 22 23 24Pharmacist/pharmacy department 14 17 15 16 13 14 10 13Clothing 9 18 10 9 9 6 11 7Baby products/diapers 7 9 6 6 7 5 10 6Housewares or appliances 5 8 5 5 7 5 5 5

7 seg solution

1 amv/calcium/other supplements derived importance although each segment has a different mix of key...

Documents

workplace store

wellness information

store brand attributes

overall store experience

unique vms amv

items amv

amv shoppers

available amv