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CVS Health is one of the leading retail pharmacies in the United States. It has over 7,000 stores and employs more than 190,000 people.
CVS Caremark Corporation is a major drugstore in the United States, and it competes with Walmart for the most number of stores nationwide. Both companies are among Fortune 500’s most prominent corporations by revenue.
This article will explore the top 9 CVS competitors that you need to know about if you want to keep up with your competition or find out what is happening in this industry!
Their business model revolves around their retail pharmacy locations. In addition to selling prescription medications, they also offer other healthcare products and services. This allows them to attract more customers and provide a one-stop shop for their needs.
CVS pharmacy also offers its customers a loyalty program. This program rewards customers for every dollar they spend at CVS Health stores. This helps keep customers coming back, encouraging them to purchase more products and services.
CVS Health’s SWOT Analysis:
- Well-known and trusted brand.
- They have an extensive network of pharmacies.
- Offer a wide range of services.
- Always looking for new ways to improve.
- CVS has been slow to adopt new technologies.
- They have had security breaches in the past.
- The parent company is facing increasing pressure from online pharmacies.
- Expand services to include primary care.
- Enter the home health care market.
- Partner with insurance providers.
- Develop an online presence.
- Healthcare Reforms.
- Price Sensitive Customers.
- Health Insurance Companies.
- Drug manufacturers/Wholesalers such as Walgreens, Walmart, and Target.
CVS Health’s top competitors
Cigna is a global health insurance company with over 86 million customers in more than 170 countries. The company was founded in 1982 and provides a range of health insurance products and services, including medical, dental, and vision care. Cigna also offers life insurance, disability insurance, and accident insurance products.
Cigna occupies 15% of the total retail pharmacy market and has a revenue of more than $40 billion, and they have been working on improving the net margin. Their net income was $2.3 billion in 2016. They are also one of the most profitable companies in the United States.
The UnitedHealth Group is a diversified healthcare company that was founded in 1974. It has grown to become one of the largest healthcare companies in the world, with more than $100 billion in revenue. The company provides a wide range of services, including health insurance, pharmacy benefits management, and technology-based solutions. It also has a foundation that focuses on improving access to healthcare and preventing chronic disease.
UnitedHealth Group has a market share of about 15%. They are also one of the most profitable, with a net income of over $5 billion in 2017. In addition, they have a solid financial position, with over $30 billion in assets and no debt. This gives them the ability to invest in new products and services and expand their operations.
Wall Greens Boots Alliance
Wall Greens Boots Alliance is a significant competitor of CVS. They are a retail pharmacy chain that was founded in 1901. They have over 13,000 stores across 11 countries. They offer various services, such as health and beauty products, photo printing, and prescriptions. They also have a foundation called Boots Charitable Trust, which supports many community programs.
Wall Greens Boots Alliance operates as a holding company that owns several pharmacies and pharmacy chains in different countries. The company’s market share is about 11.8%, and it has a total revenue of $118.29 billion. Wall Greens Boots Alliance is also listed on the stock exchange and has a market capitalization of $86.81 billion. Despite being one of CVS Health’s competitors, Wall Greens is not doing well as CVS. For example, their net income was only $500 million in 2016, while CVS had a net income of $11.29 billion.
Rite Aid Corporation is an American drugstore chain. It was founded in 1962 by Alex Grass and is headquartered in East Pennsboro Township, Cumberland County, Pennsylvania. As of September 9, 2017, Rite Aid operated 2,527 stores in the United States.
The company also has a pharmacy benefit manager called EnvisionRxOptions. In 1997, Rite Aid and Kmart announced a merger agreement, but it was called off in 1999. In 2001, RiteAid bought Thrifty PayLess Drug Stores for $17 billion. The deal made Rite Aid the largest drugstore chain in the United States.
Rite Aid is one of the specialty pharmacy chains in the US, with a market share of around 13%. However, Rite Aid has struggled recently, with losses totaling over $1 billion in 2016. The company is also heavily indebted, with over $7 billion in liabilities.
The company has been closing stores and downsizing, but it is unclear if these measures will be enough to turn Rite Aid’s position around.
Express Scripts Holding Company is an American pharmacy benefit management company founded in 1986 and headquartered in St. Louis, Missouri. It manages over a billion prescriptions for employers, health plans, and unions each year. On December 20, 2018, CVS Health announced acquiring Express Scripts for $67.5 billion. The deal is expected to close in the middle of 2022.
Express Scripts is a pharmacy benefits manager that focuses on providing large employers and health insurance plans. The company has a market share of 31% and is the largest company in the United States that provides pharmacy benefits management. The company also has a significant international presence, with subsidiaries in Canada, Europe, and Latin America. Express Scripts generated $109 billion in revenue in 2016.
Humana was founded in 1961 and is headquartered in Louisville, Kentucky. The company provides health insurance, dental insurance, vision insurance, and other medical services to members around the United States. Humana is one of the largest health insurers in the United States and employs more than 43,000 people.
Humana is one of the main competitors to CVS. The company operates in various markets, including healthcare, supplemental insurance, and individual commercial and group plans. In terms of its financials, Humana reported $48.5 billion in revenue for 2020. This represents an increase of 6% over the previous year. In addition, net income was $1.7 billion for the year, up from $1.4 billion in 2019.
It is one of the leading retail pharmacy chains in the United States. The company was founded in 1986 and provides various pharmacy services to its customers. These services include prescription drugs, immunizations, durable medical equipment, and home health care supplies.
PharMerica has been experiencing a decline in its market share. In 2019, their market share was at 15.8%, and it has been gradually declining since then. They also had revenue of $4.5 billion in 2019, but their net income has steadily declined.
Cardinal Health is one of the leading retail pharmacy chains in the United States. The company was founded in 1971 and had its headquarters in Dublin, Ohio.
Cardinal Health provides a wide range of services, including pharmaceuticals, medical products and services, and health care information technology. The company operates in more than 25 countries and has 100,000+ employees.
The company has a large customer base and offers competitive prices. As a result, they can remain one of the leading retail pharmacy chains in the United States.
Cardinal Health is one of the top two retail pharmacy chains. It has a market share of about 21%, and it generated total revenue of $126 billion in 2016. It also has a net income of $3.5 billion.
Walmart Pharmacy was founded in 1950 by Sam Walton. It is a retail pharmacy chain that is headquartered in Bentonville, Arkansas. The company provides pharmacy services and health & wellness products. Walmart Pharmacy has more than 4,000 stores across the United States. It is the largest retail pharmacy chain.
They have a market share of around 17%. However, CVS is still the leading pharmacy chain with approximately 22% of the market. Rite Aid and Walgreens both have a market share of around 12%. These four pharmacies are constantly competing for market share. They are all trying to gain an edge on one another.
CVS offers a wide range of products and services, including prescription drugs, over-the-counter medications, beauty, personal care items, seasonal merchandise, greeting cards, and convenience foods.
However, CVS faces increasing competition from other retailers such as Walmart and Prime therapeutics. These companies are offering similar products and services at lower prices. As a result, a decline in CVS’s market data has been observed.
To remain competitive, CVS will need to continue to offer low prices and innovative products and services.
Related: Top 10 Costco Competitors