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Target and CVS Will Be Joined in Branding
By: Cindy Wendland
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Can you believe it? Target is selling their pharmacy and clinic business to CVS. Being involved in healthcare and pharmacy for many years, this comes as a shocking news story. Imagine what all the other chains are thinking and wishing: wish we could have gotten that contract! It has huge branding issues for both Target and CVS.

We are Target customers and sometimes pronounce the store name the upscale French way – Tar-jay. It is a hip, cool place to shop that has everything we need. We get our few prescriptions there and are good friends with the pharmacy tech and pharmacist. We’ve never been CVS customers, just haven’t needed to, so can’t say much about them. What we remember notably about CVS was their decision to stop selling tobacco because they are a health store. We respected them greatly for that decision. Your opinion of Target and CVS will be colored by your particular situations, but now they are joined at the hip and each one will influence the other.

From Target’s perspective, they will be able to offer more dedicated health services to their customers and focus on other areas of their business. They will make some money on the deal, actually a nice $1.9B, and they will receive millions of dollars in rent payments over the years. CVS will get access to additional customers and receive branding benefit from being associated with Target. Target customers will be able to access CVS Health programs that provide specialty drugs which is currently a hot topic.

Will CVS get an image upgrade to coincide with Target's marketing? Will Target adopt some of the CVS ways? We love the creativity of Target's ad agency and hope that remains and CVS gets an upgrade. How will they tie the two together and yet keep them separate? We bet the creative team is excited at the possibilities.

This is such a huge move for Target and hopefully one that will excite their customers. We hope the pharmacy staff at our local Target stays the same, and we are hopeful to see the additional benefits CVS will bring us. We hope both brands experience positive growth.


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About the Author
Cindy Wendland has a background in marketing and finance. She is the creative director for an online men's health magazine, BrainBrawnBody.com, and she gets to write their leisure/travel blog. She is also a web designer helping her clients with online community engagement, websitesbywendland.com. Prior to her web years, she worked in pharmacy consulting.
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