It's not really about the generic drugs at all. When customers are in Walmart for their generic drugs, they will probably buy whatever else they need at Walmart and not at Walgreens. Walmart probably figured this out but Wag(Bag) holders haven't figured this out yet. So instead of getting other items ate Walgreens that Walgreens makes more money on, these now Walmart customers will buy them at Walmart as long as they are in the store (and get them at cheaper prices too which could make them a regular Walmart customer). That's why Wag is down and probably not going anywhere anytime soon. You could say negative things about my posts I don't care, but any reasonable person would realize this is probably already what's happening. Wait til earnings...
A Trend continues! Walgreens keep increasing their market share in pharmacy and Walmart keeps losing money in pharmacy! Convenience with drive-thru pharmacy and 24 hour locations! We're there when you need us, while Walmart is closed after 10:00PM! Simple really! Even Yank should understand this concept! Well, maybe it is NOT that simple! LOL!
I do not post often any more, but I had to comment on one of your posts where you said:
"When they Copy You, You know that Your point is being made."
I agree 100%. Therefore, all the times you cut an pasted my posts and copied them into yours, you were just admitting that I was correct and that my point was made.
Thanks, buddy, I knew it all along.
Yes, I agree. There are about 10,000 different active pharmaceutical compounds. Walmart promotes 300+ $4 generics. When you strip away the multiple strengths of the same compound, the number is around 100. So their littel discount loss leader is not the panacea that Sprawl-Mart promotes it as. Add in the fact that 95% of Rx are paid by a 3rd party with the customer paying the same copay everywhere, and the current environment where every player has a discount program for cash payers (again, only 5% of customers) and we're back to convenience, where of course Walgreens rules, IMO.
With similar clientele shopping there like YANK! He feels right at home!
Dirty, what's dirty asks Yank?
It seems cleaner than the bottom of the barrel where he lives!
i dont know how it is where you live, but out west were we see all the winter visitors, they do not like to drive the extra 10 miles to go wait at wal mart. they are coming back to wag big time because of the extra drive, no drive thru, extra time to park and walk 1/2 mile to even get to the pharmacy. walmart is a big inconvenience, it will keep its share but the retirees are not really buying into it our wag business in arizona is way up..service and convenience. watmart is a crowded, sloppey mess of a store, and always a big wait even to get a pack of gum just watch the stock wag is so much smarter than wal mart
Having been a Wag stockholder for many years I find it un-reasonable to to blame Wag management for failure to react to Walmart's desperate attempt to overtake Wag in the Rx sales area. Walmart's generic price cutting is very limited if one reviews which generic drugs are included in the $4.00 list. With the average cost per share of my holdings at $0.75 per share I find that I have done very good as to return on investment. Wag should be considered a strong buy.
Here is what is really behind Walmart's push to sell generic drugs at 4 dollars a shot......
In many states, selling products below cost is illegal. Walmart runs into this problem all the time. Walmart and Target are using the political popularity of selling prescriptions below cost in order to apply pressure to state legislatures to repeal the laws against selling below cost. If this happens, Walgreens and pretty much any other speciality retailer of any kind will get slaughtered, one by one. Walmart and Target will target pharmacies first, speciality electronics retailers next and so on. This is their end game. The press in this country, including the purportedly "savy" financial press has completely missed the boat on this one.
I am not sure if this will work. In fact, I would not be shocked if Walmart and Target have opened themselves up to some litigation over this -- both from the Walgreens of this world and from consumers. If it does work, Walmart and Target will make Microsoft's dominance in the software biz look weak.
Just kidding Yank. Lighten up will ya. I�m just having a little fun at your expense. Seriously though, I would have taken the �gift� and perhaps set up a foundation or scholarship to honor your generous in-laws. Then I�d work hard and try to make it on my own, you know, like a real man � but that�s off topic.
I have good news for you yank: You may enjoy my next post.