Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept & Close

Drug Store Shopper - Canada - July 2017

"Canadians remain faithful to traditional drug stores for their drug store needs. However, the convenience of one-stop-shopping at other retailers poses a threat to patronage. Positively, Canadians still see drug stores as differentiated in their expertise. Having said this, diversification of products and services has worked to draw in a wide range of customers, showing that a multipronged strategy will continue to be necessary to maximize shopper engagement – especially considering the wide range of demographic segments who shop at drug stores. As consumer definitions of health and wellness evolve, drug stores would do well to cater to the shifting focuses to maximize audience interest."

- Carol Wong-Li, Senior Analyst, Lifestyles and Leisure

This report will cover the following areas:

  • Drug stores face competition from other retailer types
  • Appeal of drug store shopping is weaker amongst men
  • Drug store shopping occurs primarily in-stores

What you get

What's included

Why buy from us?

Succeed

Our reports will provide you with market data, consumer research and competitive intelligence to succeed in your market.

Instant Access

Buy now and you'll have instant access to the information you need to make the right decisions.

Opportunities

Find out what's next in the markets that matter to you: where opportunities lie and what challenges you will face.

Trusted

A business Superbrand, Mintel is a source you can trust. We have been defining and refining the Market Intelligence mix since 1972.

Table of contents

  1. Overview

    • What you need to know
      • Definition
      • Executive Summary

        • The issues
          • Drug stores face competition from other retailer types
            • Figure 1: Shopping location, May 2017
          • Appeal of drug store shopping is weaker amongst men
            • Figure 2: Repertoire analysis of items purchased, by gender, May 2017
          • Drug store shopping occurs primarily in-stores
            • Figure 3: Drug store purchase (any category) by channel, by age, May 2017
          • The opportunities
            • Millennial women are an ideal target for expansion into food
              • Figure 4: Purchase of food and non-alcoholic beverages, Women 18-24 vs overall, May 2017
            • Upgrading mobile support will draw the next generation of shoppers
              • Figure 5: Technology interest, women 18-24 vs overall, May 2017
            • Expertise draws in Quebecers, guidance will keep them shopping
              • Figure 6: Drug store shopping behaviours, Quebec vs overall, May 2017
            • What it means
            • The Market – What You Need to Know

              • An aging population may mean differences in the way health is defined
                • An aging population also has implications for resources
                  • Diversity in population leads to diversity in health issues
                    • Canadians are concerned about their weight
                      • Wellness encompasses both physical and mental health
                      • Market Factors

                        • An aging population means a need to frame health and wellness issues accordingly
                          • Figure 7: Population aged 0-14 and over 65, 1995-2035*
                        • An older population also means greater demand for access to experts
                          • A more diverse population means greater variance in health concerns
                            • International migration puts more pressure on CMAs
                              • Figure 8: Share of population of Canada, by territory/province, 2014
                            • Nearly half of Canadians are concerned about the health risks associated with their weight
                              • Figure 9: Body mass index, self-reported rate of being overweight or obese among Canadians, 2003-14
                            • Canadians are prioritizing both physical and mental wellness
                            • Key Players – What You Need to Know

                              • Beauty and personal care items gaining the attention of women
                                • Other retailer types eating into drug store loyalty
                                  • Men are less engaged with drug store categories
                                    • Shoppers Drug Mart considers convenience
                                    • What’s Working?

                                      • Efforts highlighting beauty and personal care is attracting women
                                        • Figure 10: The Night Before The Party | Holiday 2016, November 2016
                                        • Figure 11: Love Your Lip Colour, April 2017
                                        • Figure 12: Inspired Beauty – The Day Look, February 2017
                                      • Shoppers Drug Mart is likely a contributor in this regard
                                        • Beauty products are best tried in stores
                                          • Figure 13: Purchase of beauty and personal care items at drug stores, by women and age, May 2017
                                      • What Are Some Areas of Concern?

                                        • Competition from other retailers for drug store items is heating up
                                          • Figure 14: Shopping location, May 2017
                                        • Drug stores may be missing out on the male audience
                                          • Figure 15: Repertoire analysis of items purchased, by gender, May 2017
                                        • Snacking and grooming may be areas of interest for men
                                          • Figure 16: Dove Men+Care Elements Minerals+ Sage (Canada, March 2017)
                                          • Figure 17: Nivea Men Creme (Canada, March 2017)
                                          • Figure 18: L'Oréal Men Expert Hydra Energetic X (Canada, March 2017)
                                      • What’s Next?

                                        • Shoppers Drug Mart innovations are moving the needle
                                          • Grab-and-go foods a focus for Shoppers Drug Mart
                                            • Efficiency is a consideration
                                              • Shoppers Drug Mart embraces mental health as a platform
                                                • Outside companies providing beauty advice in partnership with retailers: ChickAdvisor
                                                • The Consumer – What You Need to Know

                                                  • Drug stores face competition from other retailers
                                                    • Diversification in products is working to buoy visitations
                                                      • Expertise draws in customers who are willing to shop once there
                                                        • Loyalty programs may be leveraged to encourage cross-category purchases amongst women
                                                          • Younger drug store shoppers want more tech support
                                                          • Shopping Location for Drug Store Needs

                                                            • Traditional drug stores lead, though other retailers are encroaching
                                                              • Figure 19: Drug-store needs shopping location, May 2017
                                                            • Shoppers Drug Mart has a dedicated audience in Millennial women
                                                              • Figure 20: Shopped at Shoppers Drug Mart, women 18-34 vs overall population, May 2017
                                                            • Opportunity to keep them coming back for more than BPC as they age
                                                              • The threat of mass merchandisers is greatest amongst women 35-54
                                                                • Figure 21: Shops at mass merchandisers for drug store needs, women 35-54 and mothers with children vs overall, May 2017
                                                              • Remind them that there’s more to drug stores than just beauty and medical items
                                                                • Affluent consumers are turning to warehouse clubs
                                                                  • Figure 22: Shops at warehouse clubs for drug store needs, by household income, May 2017
                                                              • Items Purchased

                                                                • Beauty and personal care items help drive visitations
                                                                  • Figure 23: Type of items purchased, May 2017
                                                                • Diversity in product categories drives visitations – in their words
                                                                  • Women are more engaged with drug store categories
                                                                    • Figure 24: Type of items purchased, by gender, May 2017
                                                                  • Millennial women are an ideal target for fresh food offerings
                                                                    • Figure 25: Desire for better selection of fresh foods, Women 18-24 vs overall, May 2017
                                                                  • Household supplies are a draw for mothers and women aged 25-54
                                                                    • Women over 55 are actively seeking to address health and medical issues
                                                                      • Less potential lies with on-the-go food when targeting Quebecers
                                                                        • Figure 26: Purchased food and non-alcoholic drinks, Quebec vs overall, May 2017
                                                                      • Snacks and drinks draw Chinese Canadians
                                                                        • Figure 27: Yum Yum Old Style Bacon & Maple Flavoured Kettle Cooked Chips (Canada, June 2016)
                                                                        • Figure 28: Campbell's Slow Kettle Style Andouille Sausage Jambalaya Soup with Chicken & Ham (USA, November 2016)
                                                                        • Figure 29: Quaker Apples & Cranberries Instant Oatmeal (USA, February 2016)
                                                                    • Attitudes towards Shopping at Drug Stores

                                                                      • Expertise draws consumers
                                                                        • Figure 30: Drug store shopping behaviours, May 2017
                                                                      • Over-55s typically shop where they fill prescriptions
                                                                        • Figure 31: Seeking advice and buying products recommended by pharmacists, by age, May 2017
                                                                      • The expert voice matters to men over 55
                                                                        • Quebecers seek expertise
                                                                            • Figure 32: Drug store shopping behaviours, Quebec vs overall, May 2017
                                                                            • Figure 33: Desire for availability of on-site medical advice, Quebec vs overall, May 2017
                                                                        • Loyalty and Drug Store Shopping

                                                                          • For the most part, Canadians are loyal
                                                                            • Figure 34: Loyalty to drug stores and the impact of loyalty programs on shopping behaviours, May 2017
                                                                          • The influence of loyalty programs – in their words
                                                                            • Loyalty programs have a stronger pull on women – particularly 18-34s
                                                                              • Figure 35: Loyalty to drug stores and the impact of loyalty programs on shopping behaviours, May 2017
                                                                              • Figure 36: Desire for better loyalty program benefits, Women 18-34 vs overall, May 2017
                                                                            • The need for rewards may be practical, but the quest can be fun
                                                                            • Interest in Mobile Support

                                                                              • Shopping and health management efficiencies will resonate
                                                                                • Figure 37: technology interest, May 2017
                                                                              • Women aged 18-24 are most keen about added support
                                                                                • Figure 38: Technology interest, women 18-24 vs overall, May 2017
                                                                              • Potential to highlight offerings through food recommendations that address ailments
                                                                                • Parents are interested in speaking to experts via apps
                                                                                • Canadians vs Americans – Shopping at Drug Stores

                                                                                  • Drug stores are seen as more differentiated in Canada
                                                                                    • Canadians are more dedicated to traditional drug stores
                                                                                      • Figure 39: Shopping location, Canada vs US, May 2017 (Canada)/February 2017 (US)
                                                                                    • Expertise is more of a factor for Canadians
                                                                                      • Figure 40: Type of items purchased, Canada vs US, May 2017 (Canada)/February 2017 (US)
                                                                                      • Figure 41: Agreement with ‘I regularly seek advice from the pharmacist’, Canada vs US, May 2017 (Canada)/November 2015 (US)
                                                                                    • Canadian drug stores should not get too comfortable
                                                                                      • Figure 42: Agreement with ‘I prefer to shop at another retailer type than drug stores for my drug store needs’, Canada vs US, May 2017 (Canada)/February 2017 (US)
                                                                                    • Messages emphasizing expertise holds the most potential with Canadian Boomers
                                                                                      • Figure 43: Type of items purchased, Canada vs US, May 2017 (Canada)/February 2017 (US)
                                                                                      • Figure 44: Agreement with ‘I typically shop at drug stores where I fill prescriptions’, Canada vs US, May 2017 (Canada)/November 2015 (US)
                                                                                  • Appendix – Data Sources and Abbreviations

                                                                                    • Data sources
                                                                                      • Consumer survey data
                                                                                        • Consumer qualitative research
                                                                                          • Abbreviations and terms
                                                                                            • Abbreviations

                                                                                            Companies Covered

                                                                                            To learn more about the companies covered in this report please contact us.

                                                                                            Drug Store Shopper - Canada - July 2017

                                                                                            US $3,995.00 (Excl.Tax)