Retail News Breaks
Walgreens wraps up drugstore.com acquisition
June 3rd, 2011
DEERFIELD, Ill. – Walgreen Co. has closed its acquisition of online retailer drugstore.com, which for now will retain its identity.
Walgreens said Friday that the $409 million deal, announced in late March, includes all websites directly owned and operated by drugstore.com, as well as its Bellevue, Wash., corporate office and customer service and distribution center operations.
Plans call for drugstore.com to maintain separate branding of its websites. Walgreens said that over the long term it aims to fully integrate the two businesses and enhance its multichannel product assortment and overall customer experience by leveraging drugstore.com's current websites.
Sona Chawla, president of e-commerce for Walgreens, will lead the combined Internet business. Former drugstore.com chairman and chief executive officer Dawn Lepore will continue through a transition period as a strategic adviser to Chawla, according to Walgreens.
"Today, we are better-positioned than ever before to offer our customers what they want, when they want it and where they want it — in our stores, online or through their mobile devices," Chawla said in a statement. "We want to provide our customers an exceptional experience, and together with drugstore.com we will give them more ways to connect and buy, easy access to a wide selection of products and services and increased delivery options. We are committed to joining drugstore.com's talented team with our strong and growing e-commerce organization."
Walgreens president and CEO Greg Wasson commeted that the addition of drugstore.com builds on his company ongoing multichannel strategy to be the nation's most convenient retailer of health and daily living needs.
"We welcome drugstore.com's leaders and employees to the Walgreens family," Wasson stated. "Drugstore.com complements Walgreens center of gravity — our 7,700 drug stores — by extending many of our own multichannel initiatives that have been driving our growth. This acquisition also provides us a unique opportunity to access more than 3 million savvy, online loyal customers and move even closer to our existing customers through relationships with new vendors and partners, adding approximately 60,000 products to our already strong online offering."
Besides its namesake site, drugstore.com's roster of websites includes Beauty.com, VisionDirect.com, SkinStore.com, SexualWellBeing.com, AtHisBest.com (for men), TheNaturalStore.com, AllergySuperstore.com and VitaminEmporium.com.
More Retail News Breaks >>