Problem: Marketing Channels - GAP Analysis
Walgreens sell prescription and non-prescription drugs, as well as a wide assortment of retail products, including health and wellness, beauty, personal care and consumables and general merchandise. Its retail and business brands include Walgreens, Duane Reade, Boots, and Alliance Healthcare. The company's global health and beauty brands include No7, NICE!, Finest Nutrition, YourGoodSkin, Soap & Glory, Liz Earle, Sleek MakeUP, and Botanics.
Environmental bounds sources of potential channel gaps consist of legal constraints due to political factors. Walgreens has locations in different countries with varying political environments. A lack of knowledge of these countries' stringent government regulations can cause constraints on channel members and partnerships developed and potentially slow the distribution of new products. A potential gap in physical and retailing infrastructure is the lack of innovation and understanding of the target consumer's needs and demands, including type, pricing, and delivery method of products and services, and a lack of innovation within the retailing infrastructure. Managerial bounds sources of potential channel gaps consist of the lack of understanding of new or upcoming distribution channel possibilities and lack of optimization for recent or upcoming products or services.
Assess the possible Types of Demand-Side and Supply-Side Gaps for Walgreens and include a strategy to close each Gap.
Demand-Side Gaps.
• Service Output Supplied (SOS) < Service Output Demanded (SOD)?
• Service Output Supplied (SOS) > Service Output Demanded (SOD)?
• Which service outputs?
• How to close the Demand-Side Gaps
Supply-Side Gaps.
1. Which flow(s) would be priced to high
2. How to close the Supply-Side Gaps?