Amplifying the Role of Supermarkets in Wellness Marketing September 13, 2009 Sharon Glass Group Vice President Health & Wellness Marketing
The Forecast is Dire Our Potential is Powerful Opportunity Knocks
The Forecast is Dire Our Potential is Powerful Opportunity Knocks
Stronger Engagement through education & targetedt dincentives Supermarkets have tremendous opportunity to help customers: 1. Adhere to treatment regimens 2. Choose and prepare healthful foods 3. Lower risk of adverse conditions
Americans are modifying even minor habits to save money 22% say economy is causing them to see the doctor less. l 11% scaled back or reduced dosage on Rx Medications to make them last longer. Source: National Association of Insurance Commissioners
Persistence Curves show Concerning Rates of Compliance 100% Cholesterol Type-2 Diabetes Hypertension 64% 40% % of new patients refilling Rx in same chain within 30 days of refill due Refill # 1 2 3 4 5 6 Source: Catalina PatientLink Sample sizes within conditions >190K
Pharmacy has Great Potential to Improve Adherence Reasons Patients do not take Rx as Instructed Affordability of medication 20% Patient feels they do not need medication 20% 68% Side effects of medication 17% Forgetfulness 16% can be Lack of concern for their condition 5% influenced by Lack of information on disease 5% Pharmacy Lack of information on Rx prescribed 5% Lack of family/social support 5% Low satisfaction with Rx prescribed 3% Poor relationship w/ pharmacist or physician 2% Source: AstraZeneca Physician Survey October 2008
58% take more than one Rx medication for a single condition 69% treat t multiple l conditions with Rx medications Source: Catalina PatientLink Readership Study G&S Research
Therapeutic Category Type-2 Diabetes Concurrent Conditions create Complexity % of Patients Also Filling Rx for Other Categories Type-2 Diabetes Cholesterol Hypertension 100% 21% 15% Cholesterol 43% 100% 30% Hypertension 57% 57% 100% Source: Catalina Health Resources PatientLink Patient cohort: all new patients filling in each category 7/08. Look back of 180 days, analysis span 365 days. Sample size within conditions >190K to 676K.
How, When, Why to take Rx elicit it High Interest Consumer Receptiveness to Receiving Info at Pharmacy How to take Rx with other medications When to take medication Why it is important not to stop taking Rx Why to take Rx exactly as directed Ways to treat in addition to medication Website for Rx medication Website for condition Toll free # to get more info about condition Highest Interest High Interest Moderate Interest Source: Catalina PatientLink Readership Study conducted by G&S Research
Simple Print Communication Helps Patients Recall Important Info High Recall For Side Effects & Usage Directions % Recall on Aspects of Patient Communication Side effects 83% How to use Rx 79% Cautionary messages 76% Information about condition 32% Website reference 18% Source: Catalina PatientLink Readership Study conducted by G&S Research
Patients React to Pi Print tcommunication at tpharmacy Top Actions Look at website to get more information Call Doctor to discuss what I read Speak with Pharmacist about what I read Source: Catalina PatientLink Breakthrough Study 2009
By properly deploying incentives and nudges, we can improve lives and help solve many of society s problems. Source: Nudge, Improving Decisions about Health, Wealth and Happiness Richard Thale and Cass Sunstein
just 12% floss daily
Drive Compliance for Products throughout the Store Communicate i t benefits of regimen use Optimal timing for each shopper Compress purchase cycle up to 50%
Stronger Engagement through education & targetedt dincentives Supermarkets have tremendous opportunity to help customers: 1. Adhere to treatment regimens 2. Choose and prepare healthful foods 3. Lower risk of adverse conditions
Most Agree Yet Many Ignore Eating breakfast can help you lose 82% Agree weight Less than half eat breakfast every day Tracking what you eat makes it easier to lose weight 59% Agree Just 20% often track what they eat Source: Catalina Weight Management Survey 2009
Just 1/3 Agree Most Low Fat or Low Calorie Foods Taste Good Most Low Fat Foods Taste Good 27% Disagree 43% Unsure 30% Agree Most Low Calorie Foods Taste Good 24% Disagree 45% Unsure 31% Agree Source: Catalina Marketing Weight Management Study 2009
Taste Trumps Cost as Barrier to Choosing Healthy Options TASTE has 3 to 7 times the impact of COST as reason shoppers prefer a regular vs. healthy product across 15 categories Taste : Cost Ratio 3:1 4:1 5:1 6:1 7:1 Bread Cereal Pasta Mayonnaise Crackers Soup Milk Deli Meats Chips Cheese Ice Cream Cookies Soda Soy Sauce Salad Dressing Source: FMI Shopping for Health 2009
Helping Shoppers Overcome Barriers to Healthful l Choices Challenges Taste or taste perceptions Solutions» Drive trial with coupons, sampling & targeted messaging
Helping Shoppers Overcome Barriers to Healthful l Choices Challenges Knowing what options are best Solutions» Clear, simple labels on pack and at shelf» Nutritional guidance in-store and on the web
Helping Shoppers Overcome Barriers to Healthful l Choices Challenges Meal Planning & Preparation Solutions» Provide recipes in-store, in-ad and on the web» Healthy ready-to-eat and heat-and-eat meals» Cooking classes and demonstrations
Helping Shoppers Overcome Barriers to Healthful l Choices Challenges Cost or cost perceptions Solutions» Coupons, value messaging, shelf signs» Ad placement and promotional pricing
Helping Shoppers Overcome Barriers to Healthful l Choices Challenges Making a plan and sticking with it Solutions» Provide counseling, motivation and simple tracking systems» Help shoppers plan and make shopping lists
Challenges Taste or taste perceptions Knowing what options are best Helping Shoppers Overcome Barriers to Healthful l Choices Solutions» Drive trial with coupons, sampling & targeted messaging» Clear, simple labels on pack and at shelf» Nutritional guidance in-store and on the web Meal Planning &» Provide recipes in-store, in-ad and on the web Preparation» Healthy ready-to-eat and heat-and-eat meals» Cooking classes and demonstrations Cost or or cost» Coupons, value messaging, shelf signs perceptions» Ad placement and promotional pricing Making a plan and sticking» Provide counseling, motivation and simple tracking systems with it» Help shoppers plan and make shopping lists
Leverage Websites & Build Influence of Counseling & Merchandising % Using for Nutrition Info Build Internet 49% awareness of Magazines 34% meal planning, Television 29% time saving and Doctor 28% nutritional guidance p p available online and in the store. Grocery Store 22% Newspaper 20% Nutritionist/Dietician 10% Radio 7% Pharmacist 5% Source: FMI Shopping for Health 2008
Consumption Analysis Simple Substitutes Switching to Light Butter Annual Switching Nutrients Per Pound Weight cuts Loss calories, fat Calories Cholesterol Impact of Butter 3,200 960 mg Light Butter w/ Canola & cholesterol in half 1,600 160 mg Difference -1,600-800 Switching (Pounds) Average Annual Consumption & Benefit by Switching Overweight 9 lbs -14,400-7,200 mg 4.1 Diabetics Heart Concerned 8 lbs -12,800-6,400 mg 3.7 High Blood Pressure 13 lbs -20,800-10,400 mg 59 5.9 Source: Catalina Weight Management Study 2009
Labels, Coupons & Circulars have strongest influence on grocery products purchased Strongest Influence by Nutrition Labeling, Coupons & Store Ads % Stating Strong Influence on Grocery Purchases Nutrition Labels Coupons Store Ads/Circulars Shelf Signs Product Displays News, Talk Shows Pharmacists Websites, TV Ads, Magazine Ads Source: Catalina Weight Management Study 2009
Healthy Choices In the Store
and So Much More
Stronger Engagement through education & targetedt dincentives Supermarkets have tremendous opportunity to help customers: 1. Adhere to treatment regimens 2. Choose and prepare healthful foods 3. Lower risk of adverse conditions
Taking Healthy Living Services All The Way to Bright Condition Medication Screening Therapy Refill Management Notification Health Nutrition Seminars Counseling Rx In-store Healthy Persistence Health- Recipes Counseling Focused Custom Shelf Meal Planning Prepared ed Labels Meals Discounts for local health & fitness centers Community Outreach Website Nutritionist Interactive Q&A
Health & Wellness Marketing Top Challenges for Retailers Reimbursement of Pharmacist time for counseling Teaching people how to cook they would get healthier & it would drive sales Building credibility in wellness while selling cigarettes, alcohol & high calorie foods Promoting wellness while not negatively impacting sales and profit
Competing agendas Health & Wellness Marketing Top Challenges for CPG Marketers Managing variation across retailers Requirements for functional claims Good for you vs. great taste Consumer confusion Aligning message with consumer
Make it Relevant
Make the Right Connections for each Customer
Supermarkets are W ll Uniquely Positioned in Wellness»Pharmacist Trust, Satisfaction, Relationship» Breadth of Pharmacy & Wellness Services» Shopper analytics & ability to customize s messages, recipes, coupons at checkout» Trip frequency» Displays & circulars impact product choice» Nutritionists, store tours, cooking lessons Websites provide lifestyle advice access» Websites provide lifestyle advice, access a to nutritional counseling and recipes
The Forecast is Dire Our Potential is Powerful Opportunity Knocks
Join us to more effectively Amplify the Role of Supermarkets in Wellness Marketing