Improving pharmacy store performance: the merits of over-the-counter drugs

Abstract

Purpose

This study aims to increase understanding of the factors that affect retail pharmacy performance. This paper investigates how various product-, store-, customer- and competitor characteristics affect over-the-counter (OTC) drug sales and thus store performance.

Design/methodology/approach

This paper specifies and estimates a hierarchical model comprising scanner-based information, as well as individual-level data from a customer survey.

Findings

Results indicate that the drivers of retail pharmacy performance in OTC categories are different from those identified in traditional retailing research.

Originality/value

This is the first study that determines which factors impact the sales of OTC drugs in pharmacies.

Citation

Wieringa, J.E., Reber, K.C. and Leeflang, P. (2015), "Improving pharmacy store performance: the merits of over-the-counter drugs", European Journal of Marketing, Vol. 49 No. 7/8, pp. 1276-1299. https://doi.org/10.1108/EJM-06-2013-0331