Sainsbury’s is negotiating with a number of suppliers as it looks to replace the instore LloydsPharmacy outlets which until recently had been a permanent fixture in nearly 240 store locations nationwide.
LloydsPharmacy revealed in January it was closing all 237 of its pharmacy sites located in Sainsbury’s supermarkets just seven years after buying the instore services for £125 million.
It aims to have closed all outlets this by the end of this year, in response to “changing market conditions”.
According to reporting in The Grocer, a number of suppliers have been contacted by Sainsbury’s as it looks to attract investment and make use of the newly freed-up free space. How the pharmacy space will be used is believed to differ from store to store.
One source said: “Sainsbury’s has been speaking to suppliers asking them what they would do with this space in store, in return for the investment of six-figure sums.”
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It is believed the move is coming as part of Sainsbury’s Food First 2.0 strategy, which was put in place by CEO Simon Roberts in 2020, giving suppliers a voice in its ‘food first’ offer.
Suppliers are being asked to bring ideas for more creative layouts and other instore innovation as part of this strategy. For example, last year the supermarket rolled out a beauty hall format across more stores, improved its layout of fresh ranges and bakeries and increased its offer of world foods.
One supplier said Sainsbury’s hoped to use the space being left behind by LloydsPharmacy’s departure as a bargaining tool as it looks to negotiate cost price increase (CPI) requests with suppliers.
“Food First 2.0 is effectively an ask for money, in the form of a cost price reduction, in return for increased distribution and listings,” they told The Grocer.
The request for investment from suppliers is the latest move from Sainsbury’s as it looks to keep prices low and compete with discounters amid the rising cost of living.
12 Comments. Leave new
The problem is that customers like myself have become used to putting in prescriptions for picking up the next week doing the weekly shop returning the following week pick up prescription do the weekly shop if no pharmacy tendency is to do the same with rival store with pharmacy thus cutting footfall in sainsburys by 50% or 25% if two monthly prescription
Well move too tesco pharmacy then. sainburys have been loosing my custom for a while now and even more so now I’ve had too move too tesco pharmacy, also nectar has become terrible the last few years for deals points etc and forcing more people too use apps. Be fair like other competitors are!
I too like too see too pharmacies too be too
Their “Food First” strategy (not paying suppliers a fair price) meant there was no milk in Sainsbury today along with a few other items. All supermarkets are doing it. That’s why there are shortages. The produce is there but the chains won’t pay a fair price for it so the suppliers won’t deliver.
A simple answer, why don’t Sainsbury’s create a Pharmacy with paid staff, not rely on outside parties which has caused this issue. Do Sainsbury’s want our custom? Clearly not.
For several years I combined picking up my Mother’s prescriptions with our weekly shop at Sainsburys. I now do both at our Tesco Extra.
It was easy to get medication with shopping in sainsburys
It will affect so many elderly people
Bad and selfish move
I got fed up with parts of my prescription not being available even though I had to give them 7 working days. They would often be unable to find my script. During lock down I switched to postal delivery. Works perfectly thank you.
Really sad that the pharmacy is closing in store. It’s been an excellent addition over the years and a draw to shop in Sainsburys more often, have flu jabs, seek advice from the pharmacist. I hope Sainsburys find another chain to take over the chemist, especially as they’ll be required to offer more help to relieve strain on GPs.
Well it seemed to me that the pharmacy was under used in our Sainsburys and in our experience the staff at a proper chemist more helpful.
At least Sainsburys are better than most in selling UK fresh produce so I would not rush to Tesco – Waitrose is even better ….
It’s very poor good service to your public eh Sainsbury’s bad show all round. Market conditions you make me laugh
I’ll do much more of my shopping at stores with a pharmacy. Sainsbury’s are asking me why I have not been there as often as in the past.