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Owner Of LloydsPharmacy Hires Boots Exec To Take Charge Of Retail Operations

McKesson UK, the owner of LloydsPharmacy and AAH, has appointed Kevin Birch as its new Chief Retail Officer, with immediate effect.

He previously worked for Boots for over 15 years where his most recent position was Retail Pharmacy Operations Director in charge of around 2,500 stores.

In his new role, Birch will be responsible for all UK retail operations, which includes the 1,500-strong LloydsPharmacy chain and John Bell & Croyden. He will take over from Nigel Swift, Retail and Marketing Director, who is leaving the business later this year after almost 20 years’ service.

Commenting on the appointment, McKesson’s CEO Toby Anderson said: “He joins at a time when the pharmacy industry faces a lot of change and that gives us an exciting opportunity to do things differently. Our retail business has faced many challenges recently which means we’ve had to adapt and refocus, but we know from speaking to our customers that they still value the face-to-face interactions they can have with our pharmacy teams.

“Bricks and mortar pharmacies, rooted in communities, will always be a huge part of our business. As we respond to changing consumer habits, we need to make sure we continue to add value for our patients and customers by making our services even more accessible and convenient. Having someone with Kevin’s experience and vision on-board will help us to do that.”

Birch added: “The vision that McKesson has for the future of community pharmacy is perfectly aligned with my own. We have an opportunity to create a truly compelling omni-channel offering for our customers and patients, with retail pharmacy at the heart of it.”

Back in May, McKesson hinted at further store closures in the UK and across Europe.  LloydsPharmacy has closed around 200 of its outlets in the last couple of years, blaming government funding cuts and higher operating costs.

Recent accounts filed at Companies House showed losses at LloydsPharmacy increased significantly during the year to 31 March 2018 on turnover that was almost unchanged.

NAM Implications:
  • A bet by LloydsPharmacy against online?
  • i.e. that Bricks & Mortar outlets make a real difference in pharmacy…
  • Pragmatic NAMs will take a position that embraces both…
  • …Just in case.