On May 9, 1963, brothers Sid and Stanley Goldstein, along with their partner Ralph Hoagland, opened a health and beauty aid store in Lowell, Massachusetts, under the name of Consumer Value Store (CVS). Since that first day of operations, CVS has enjoyed spectacular growth. Today, with its headquarters in Woonsocket, Rhode Island, the CVS chain is a $5 billion corporation with 1,400 stores that stretch from Maine to Virginia.
Growth at CVS is a continuous process. In 1996 the company plans to open 115 new stores -- including 10 in the Atlanta area -- and will acquire and relocate 35 others. In addition, CVS will absorb the prescription drug files of more than 120 pharmacies. Its overall plan is to enter new markets while increasing and solidifying its position in established ones. Currently, CVS is the number one or number two drug retailer in 25 of its 29 key markets. If this pattern continues, CVS will become the dominant drug chain in the Northeastern and Mid-Atlantic regions by the year 2000.
Both customer service and technology play major roles in CVS's success. "We are on a mission," says Tom Ryan, president and CEO. "We help people live longer, healthier, happier lives. Our vision is to become world class at knowing what our customers value most and delivering it without exception."
Each CVS store is tailored to the neighborhood in which it operates. Individual stores carry different items, depending on the demographics of the community and its needs. In addition, the company now has more than 80 stores that are open 24 hours a day.
The company's new Rx 2000 computer system is already saving the company $6 million in maintenance costs. At the same time, a pharmacy data warehouse is being designed to store all patient information in one centralized location.
A People Company
Ryan notes that the employees at CVS are the key resource upon which the company's success depends. "Our goal is to be the best in all retailing. If technology has made that goal possible, it's our people who will enable us to achieve it," he says.
In fact, according to company surveys, customers believe CVS stands for "convenience, value and service." CVS's employees have a reputation for helping people. In 1978 the company began a program designed to help stranded motorists on busy freeways in cities throughout its home region. CVS van drivers--many of whom are trained mechanics, EMTs, and crisis counselors--make their rounds on local highways looking for people who need assistance with all types of car trouble
In addition, the CVS drivers also remove debris from the road and provide traffic reports to radio and television stations
By maintaining this goal of helping people throughout the company's planned expansion, CVS will indeed continue its role as a leader in pharmacy care into the next century.