Drug store closures will bring more available store space into the real estate market while having having a competitive effect beyond providing retailers with new location opportunities, according to the J.D. Power 2025 U.S. Pharmacy Study.
Mass merchants and supermarkets are well placed to benefit as drug stores shutter, in part because they score highly on key dimensions of pharmacy customer satisfaction, according to the J.D. Power study. The market researcher noted that, in core areas of the pharmacy customer experience, supermarkets and mass market retailers are substantially outperforming chain drug stores, especially in having sufficient staff, trust in pharmacists, ease of ordering prescriptions and prescriptions being filled quickly. Given the advantages of bringing former pharmacy customers into stores with broad assortments across an array of product ranges consumers restock frequently, mass market and supermarket operators might be smart to do what they can to entice consumers into visiting their drug counters.
According to J.D. Power, Sam’s Club ranks highest among mass merchandiser store pharmacies, and it has been tops for 10 straight years, with a score of 778. Costco, at 765, ranks second. Wegmans ranks highest among supermarket pharmacies with a score of 764. Publix, at 760, ranks second and H-E-B, at 756, ranks third.
Mail order pharmacies will also benefit from drug store closures, and J.D. Power saw an increase in satisfaction for that sector. It’s notable that PillPack by Amazon Pharmacy ranks highest in the mail order segment for the second consecutive year, with a score of 745, with Kaiser Permanente Pharmacy, at 740, ranking second and Amazon Pharmacy, 734, ranking third. As such, e-tail operations also stand to gain from drug store closings.
