Blog

CVS, the retail pharmacy health chain of which Aetna Insurance is a part, has created a platform for progress with the aim of being in a prominent position to provide continuous health care to communities. This plan was developed and implemented in advance of the current corona virus crisis. This platform helps build a branded business geared towards sustainable profitable growth.

In an interview for Barron’s, the financial newspaper published by CVS CEO Dow Jones & Co., Larry Merlo discussed the chain’s approach to delivering healthcare, particularly during this oversized pandemic crisis. Mr. Merlo described a strategic approach and actions that fit well into what I call a “plan to win” paradigm for the operational framework. Especially now with extraordinary uncertainty, the organizational alignment behind an agreed plan to win is a great advantage.

A plan to win is a coordinated strategic document that is structured around 8 P’s: purpose, promise, the five critical action P’s – people, product, location, price, advertising – and performance. A coherent plan to win is the most important guiding document for a company. It is the document that outlines the direction for action that will promote sustained profitable growth. CVS is a good example of a branded business strategy based on the principles of the 8Ps of a Plan to Win.

Purpose and promise

A brand’s purpose defines its North Star. Employees need determination: They want to know that their work is important. According to Merlo, the purpose of CVS is “… to change the way healthcare is delivered” and to help “… people achieve their best health”. Mr. Merlo describes his CVS colleagues as “… having a tremendous goal in helping others.” CVS ‘brand promise is “… to make healthcare local, easy and helpful.”

People

One of the keys to the success of any company is the workforce. In order to deliver its products and services to local communities during this pandemic, CVS is offering its employees nationwide cash bonuses and continued pay if an employee falls ill. CVS offers its part-time employees day care and sick leave, because it is important for these colleagues to know that they can take care of themselves and their families in the event of illness. CVS works to keep its employees safe while serving local communities. Delivering local, personal, and personalized services requires motivated, caring, and dedicated employees. Employee pride is a powerful force. The shop front is his gold mine.

Product / service

Products and services are the ultimate proof of the truth of the brand promise. CVS extends its services beyond just selling products and filling out prescriptions. It focuses on telemedicine, delivery, extension of parking lot virus tests, including first responders from 100/110 per day to 500 tests per day (beta testing currently in Shrewsbury, MA). Customers experience no disruption and offer a wider range of medical services. In areas of the country where there is a serious impact, CVS is prioritizing products for local businesses.

city ​​square

The place is the face of the brand. Every place where customers interact with the brand is a brand contact. When people enter a store, they enter the brand. When people enter a website, they enter the brand. To make progress towards its vision of changing the way healthcare is delivered, CVS is transforming its businesses into HealthHubs. The HealthHub provides local access to convenient, personalized, and integrated health support and services. As described in its PR, the HealthHub is “… a major transformation initiative resulting from the combination of CVS Health and Aetna. HealthHub is a unique community-based store concept of its kind that focuses on helping customers get healthy – and stay healthy – by offering a wider range of health services, wellness products and services, trusted advice and personal attention – all Go straight to a local CVS pharmacy with ease. “

price

The price is higher than the amount you ask for the offer. Marketers define the cost. Ultimately, the price is determined by the customers. The price is not what it costs. The price is what it’s worth. Value is what you get for what you pay for. Be the best value for the promised brand experience. In the current crisis environment, Mr Merlo said that Aetna will waive co-payments and deductibles for COVID-19 hospital stays. CVS has also waived some payments, including those related to COVID-19 testing. Mr. Merlo indicated that there will be a cost to CVS for this path, but it is the right path.

financial support

“Promote” means “increase”. Promoting a brand means implementing a focused, integrated, relevant, differentiating, and trustworthy brand message that aims to build brand preferences. Advertising does not mean undue emphasis on discounts and offers. The price promotion alone builds loyalty to deals and not brand loyalty.

The best promotion comes from proud employees. Employees play an important role in promoting the brand through positive communication. Proud employees who stand up for a brand improve the perception of external and internal interest groups. Employee satisfaction and pride contribute to customer satisfaction. Based on the steps taken by CVS and the commitment of the employees, the image of CVS with customers is well on the way to strengthening the image of CVS.

perfomance

Build a culture of results. Create a well-balanced branded business scorecard. Is business getting bigger, better, stronger? Building a culture of results requires evaluating the right things in the right way to get the right results. Mr. Merlo is focused on promoting retail visits, the use of health services including his established pharmacies and his new telemedicine. CVS has already had measurable results from its virus testing and HealthHub extensions.

Following the 8 Ps of the Plan to Win creates a common clarity and encourages all employees and managers to strive in the same direction to achieve common goals. Plan to Win is the platform for building and maintaining a strong, healthy company.

Contribution to Branding Strategy Insider by: Larry Light, CEO of Arcature

At The Blake Project we help clients from all over the world in all phases of development, redefine and articulate what makes them competitive in critical moments of change through online strategy workshops. Please email us for more.

Branding Strategy Insider is a service from The Blake Project: A strategic brand consultancy specializing in brand research, brand strategy, brand growth and branding

FREE Publications and Resources for Marketers