Help Turn Occasional Shoppers into Loyal Customers by Investing in the Front End

Every day, your independent pharmacy plays a critical role in your customers’ health. The trusted relationships you’ve built allow you to deliver personalized care and serve as a powerful engine for long-term business success.

Experts agree that acquiring a new customer can be much more expensive than retaining an existing one. Moreover, even a modest 5% increase in customer retention can boost profitability anywhere from 25% to 95%.¹ That means loyalty isn’t just a “nice-to-have” — it’s often a cornerstone of sustainable growth.

Investing strategically in your pharmacy’s front end can enhance the customer experience and build lasting relationships. By tailoring your pharmacy to meet the needs of customers across both prescription and over-the-counter (OTC) products, you can transform your store into a long-term community destination for total health and wellness.

Private-Label Partnerships can Streamline Operations and Enhance the Customer Experience

Offering a broad selection of private-label OTC products can help your pharmacy stay competitive and support your customers’ evolving needs.

Private-label brands allow you to deliver the same quality as larger name brands, often at a lower cost. They can also support your financial goals, sometimes delivering up to twice the gross margin compared to name-brand products.² This potential to boost profitability is critical for independent pharmacies navigating tight operating budgets.

Consumer perception is evolving, too, as private-label brands have seen increasing appeal among customers seeking high-quality products at affordable prices. According to NielsonIQ, nearly two-thirds of Gen Z and millennial shoppers say private-label brands are just as good as their name-brand counterparts.³ These value-conscious, quality-driven customers provide independent pharmacies with an opportunity to strengthen loyalty and increase basket size.

When evaluating private-label partners, independent pharmacy leaders should prioritize partners with robust product portfolios and reliable fulfillment capabilities. For example, Foster & Thrive offers over 500 OTC products and high-touch service backed by McKesson’s proven supply chain. This can help you pivot into seasonal trends or consumer shifts with ease, keeping your shelves stocked with what your customers need – and want – most.

Differentiate Front-End Offerings with a Local Focus

To truly differentiate your front-end offerings, consider a hyper-local approach. Customizing your product mix based on your community’s specific health and lifestyle needs can position your pharmacy as a one-stop shop for everyday wellness.

Start by analyzing your customer demographics. For example, a pharmacy serving a large senior population might focus on products to help manage chronic conditions and mobility aids. A suburban location catering to young families could benefit from a stronger emphasis on pediatric health, beauty products and school-year essentials.

Additionally, today’s consumers are more mindful of how their choices impact the planet. PwC’s 2024 Voice of the Customer report found that 80% of consumers are willing to pay more for sustainably produced or sourced goods, despite overall rising costs.⁴ Stocking eco-conscious products, such as items with recyclable packaging or low-waste formulations, can help your customers meet their sustainability goals while strengthening their connection to your brand.

Drive Loyalty with Member Benefits

A well-designed loyalty program is one of the most effective ways to drive retention and increase visit frequency. These programs can form deeper connections between your business and your customers, transforming routine transactions into lifelong relationships.

There’s no one-size-fits-all approach, but successful loyalty programs often include perks such as:

• A points system for OTC purchases that consumers can collect and redeem for discounts or giveaways
• Member-only monthly specials or discounts on seasonal products
• Punch cards tied to seasonal health needs, such as sunscreen in the summer, or cold and flu care in the winter

These benefits not only reward current buying behavior but also incentivize customers to choose your pharmacy over larger retail competitors.

A Personal Touch in the Front-End for Loyal Customers

Just as a trusted pharmacist provides individualized care to each patient they serve, your front-end can offer the same level of personalized attention. That means offering affordable, relevant product options, curated selections aligned with local needs, and loyalty perks that show appreciation for your customers’ continued trust.

By building a front-end strategy that is as thoughtful and intentional as your clinical services, you can foster stronger relationships, enhance customer satisfaction, and drive lasting growth for your business.

Editor’s Note: Connect with Foster & Thrive at McKesson ideaShare 2025

At Foster & Thrive, we’re committed to supporting our customers as strategic partners to deliver reliable care and achieve business success.

Join McKesson at ideaShare 2025 to explore how we’re helping community pharmacies unlock new growth through front-end innovation. Our team will be on site to share insights and showcase our portfolio of more than 500 health and wellness OTC products through the Foster & Thrive brand name, including affordable and eco-friendly offerings that reflect today’s consumer priorities.

1. Fred Reichheld. Prescription for cutting costs. Bain & company.
2. Daymon, 2022 Private Brand Intelligence Report, May 2023.
3. NielsonIQ. US Consumer Outlook 2025 Private Label & Branded Products. April 2025.
4. PwC. Consumers willing to pay 9.7% sustainability premium, even as cost-of-living and inflationary concerns weigh: PwC 2024 Voice of the Consumer Survey. May 2024.