Boots is a leading pharmacy-led health and beauty retailer with over 2500 stores in the UK. Its chains are also located in Ireland, Norway Thailand, and other territories. The company began its operation in 1848 by John Boot. The company is headquartered in Beeston, Nottingham, UK. The company provides medicines, health and beauty products and inspires customers to feel in control of their health.
Target Market
Boots UK offers a number of health and beauty products to different countries and territories. They usually target upper middle class and middle class. The target market for health products is usually for the patients of different age group and gender whereas, for the beauty products, Boots target females and homemakers with the age ranging from 18 to 40 years.
Industry Trend
Since the beginning, Boots prides itself to be a highly reputed pharmacy chain that is committed to providing healthy products to the customers. Boots invest heavily on their Research and Development to come up with as many ideas in a product funnel as possible. The company merged with Alliance UniChem in 2006 to form Alliance Boots. In 2012, Walgreen bought 45% shares of Boots and became Walgreen Boots Alliance.
Goals
The goals of the company are:
• To be the center for health and beauty customers
• To secure the market leadership in UK
• To build on their brands.
Strategies
The company strongly focuses on the following areas:
• Progressively differentiating the product offering
• Delivering excellent value to the customers
• Developing our people to be at their very best for our customers
• Making Boots more convenient and accessible for our customers
• Making a persuasive Omni channel health and wellbeing consumer offering
• Entering new untapped markets
Marketing Mix
Product
Boots is committed to providing innovative and healthy products to its customers. They have a portfolio of highly regarded product brands which include beauty, health and personal care range such as No7 which is the leading skincare brand of UK, the Botanics range, Almus, Liz Earle, Soap & Glory, etc. The company has a strong focus on innovation and development, packaging and product marketing capabilities.
Price
Boots product’s price range is suitable for its target market. The prices are relatively lower than the competitors present in the market.
Place
There are over 2500 retailer stores in the UK which are placed on high streets and in shopping malls. Boots also operates a website where the customers can shop the products online.
Promotion
Boots spend the massive amount in advertising and promotional activities. Boots give promotional offers where the customers participate in contests to get prizes and discounts. They also spend in events and sponsorship and offer a wide range of graduate schemes, jobs, and apprenticeships in the UK. Boots has also sponsored a grassroots program in the build-up to the London 2012 Olympic Games. The company also organizes PR programs to promote and protect the company’s image to its individual products.
Competitors
Boots have many competitors in the market such as Tesco, Superdrug, Morrison’s, Asda, Sainsbury’s, etc. For the beauty and personal care products, their competitors are Procter & Gamble, L’Oréal, Alberto Culver, etc.
Strengths
• Historical reputation of quality.
• Strong R&D force
• Strong Branding and marketing in the UK
• Alliance between Walgreen and Boots has made a strong global impact
• Strong relationship with customers
• Boots turnover and current sales are marginal to enter into the global market.
Weaknesses
• Lack of presence in global market and dependence on UK market
• The attention from core operations of the company has led to a loss for over-diversification.
• Price cuts in different products may effect on customer’s acceptability on boots products prices.
References
• About company. Retrieved from http://www.boots-uk.com/about-boots-uk/
• Walgreen Alliance. Retrieved from https://www.forbes.com/companies/walgreens-boots-alliance/