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Sree Rajagopalan
Chain Drug Review's focus is on reaching the key decision makers across all retail channels, delivering comprehensive coverage of the latest shopping trends and in depth category analysis on health, beauty, over the counter products and wellness. Whether it's the latest trends, emerging technologies, or strategies for adapting to new consumer behaviors, Mass Market retailers deliver the critical information retailers need to navigate this dynamic environment. To subscribe to the newsletters of CDR and mmr, simply follow the hyperlinks in the digital liner notes of this episode. Chain Drug Review and Mass Market Retailers are published by Retail Media iq.
Kevin Host
Hi Kevin, Host, SVP of Walmart Health and Wellness Pharmacy and you're listening to the CPG Guys Podcast.
Peter V.
Welcome to the CPG Guys Podcast.
Sree Rajagopalan
Your hosts, Sree Rajagopalan and Peter V.
Peter V.
S Bond explore how brands and retailers engage consumers in an increasingly digitally driven world. And now, here are the CPG Guys. Hello and welcome to the CPG Guys Podcast. I'm your co host pbsb and when I'm not working on this podcast, I serve as head of Industry and Client Engagement at Flywheel, the commerce accelerator division of Omnicom. Now my co founder and co host, my BFF Sri Will as we record this episode. He's an la. He is hosting a number of panels at the next Media Days conference and so he can't be with us. I will however be seeing him tomorrow because I am catching the big silver bird out to LA so we can catch the first two games of the Yankees Dodgers series. We're. We're gonna if our accountants list listening, it's a board meeting so don't that that's how, that's how the expense is going to be listed. And if they're in the irs, we're not really going to the game. I'm just kidding. Maybe we are. But in any event do if you're, you know Sree, if you were here we would make mention that you should certainly be following his two incredibly successful pop star daughters, Rhea and Lara Raj on their meteoric singing careers. There are links to their social media profiles in the digital liner notes of this episode. For our audience, we're really grateful you join us today. What would make us incredibly happy is whichever platform you choose to listen to this podcast on Apple or Spotify, click the Follow button. That way when new episodes appear, as they do twice a week, they'll appear in your stream and you'll be able to listen to us very frequently. And hopefully you're finding us to be incredibly educational and entertaining at the same time. And now let's get to the reason why we're here today. Joining us for this episode is another guest from what we here at the CPG guys fondly call the world's most elite retailer. Of course we're talking about our friends at Walmart. We're diving deeper into healthcare and wellness with our guest today. He's the senior vice president of Walmart Health and Wellness Pharmacy. His name, Kevin. Host. Kevin, how are you? Welcome to the show.
Kevin Host
Hey, I'm doing great, Peter. Thank you so much for having me. I'm excited to be here.
Peter V.
Well, we love having guests from Walmart. You are by far our most frequent visitor. In pure numbers, we've had mostly we had a lot of your colleagues at the Walmart connect side. We're always great to have people on the merchandising side. Before we get to the questions that I prepared for you today, would love if you could give our audience a brief overview of what your role is at Walmart.
Kevin Host
Mark? Sure, absolutely. Well, I, I'm a trained pharmacist and I've been here just almost four years now. But basically I oversee anything with a drug in it. So We've got about 4,600 pharmacies across our super centers, neighborhood markets. We also have five central fill pharmacies as well as a mail order/petmed Pharmacy and Specialty pharmacy. So I overall, excuse me, I oversee all of that and then also my field teams oversee the operations of our roughly 3,000 vision centers.
Peter V.
That's great. That's very helpful. And I'll make mention, Kevin, that I spent a number of years myself working at a large national pharmacy retailer. So I have a bit of an experience. In fact, I spent a couple of days when I was first onboarding working behind the counter. I wasn't allowed to touch anything. I could watch things. But I understand what a big challenge that is. So it's really exciting to our audience. If you want to learn more about Kevin as we go on with this conversation, just check the digital show notes of this episode. I'll make sure to include a link to his LinkedIn profile and of course Walmart's website, the corporate site where you can learn more about the business. So let's get on with our conversation. So Kevin, you made mention the fact that your career is anchored on pharmacy. Tell us how different it is to lead a pharmacy versus what's going on in what we call the front of the store, the, you know, the merchandising non pharmacy part of the store. What are the drivers that you look at for success in Your business?
Kevin Host
Yeah, it's a great question. And you know, part of my history is going way, way back. I got my start in retail and managing the front end of drugstores, which is how I discover covered pharmacy in the first place. And so I haven't done it for a long time. And you know, the, the professionals that we have here at Walmart and the merchants are just absolutely incredible. But I'd say we all row the same direction around here. You know, at Walmart, we're people led, tech powered, we're an omnichannel retailer and we're dedicated to helping people save money and live better. You will hear that day in and day out. We all, you know, we all take that very, very seriously. And so for that reason, we're similar in many respects. You know, getting access to products and services that people need at affordable prices. That's what we all do. The nuances can be a little different. And you know, as you may know, in the world of pharmacy and the world of healthcare generally, you've got a lot of third party payers. We may have different or more regulations. Either way though, you know, the bar for trust is very high. You know, people trust that we'll have the right products on our shelves. They trust that we'll deliver their orders to their house when, when we say we will. And within healthcare, you know, people are also trusting you with their information, very personal, intimate information, and their, their lives. And in many cases. So we want to deliver on that across the board, no matter what it is. And I think that kind of sums up a little bit of how we think about it now. Walmart has been in the pharmacy business for over 45 years. We had our first pharmacy in Springfield, Missouri, 1978. And today, fast forward to today. Over 90% of the population is located within 10 miles of a Walmart pharmacy. And so in many cases, we're also providing things like $4 generics, vaccines for flu, shingles, pneumonia, health screenings, and we're open seven days a week. So because we're there for our communities and our customers, we're also making sure that we continuously remodel and renovate. And so by the end of 2025, we'll have remodeled and upgraded nearly 2,000 of our locations across the country. You know, just to make sure that we're, we're meeting the evolving needs of our customers.
Peter V.
You touched on something really interesting that I talked about in my past working at a, at a major pharmacy retailer, and that's around trust and privacy, right? And so when I think about that. I'm, I, you know, I'm sure like you have privacy officers and concerns and the firewalls between the two businesses in order to honor the HIPAA legal requirements on maintaining the sanctity, the privacy of medical information. So in light of that, what is the connection between Pharmacy and centerstorm? What kinds of cross collaboration can exist between you and some of the other leaders that are outside of the pharmacy business at Walmart?
Kevin Host
I think you hit the nail on the head, Peter. There is a lot of firewalls and a lot of security and we do honor the privacy of our customers, whether they're shoppers or patients. That said, there's a huge demand for omnichannel shopping experience that really meets our customers needs. We have 150 million people that walk through the doors every week and we're in just a really unique position to provide high quality health care in one single convenient location. So our customers will shop for fresh food as well as an assortment of wellness products, OTC supplies, household essentials, and they get support from those community pharmacists in the form of health screenings, vaccines, prescription pickup and more. So we don't share information unless our customers want us to. And we do that in a way that respects their wishes and their desires. And so for example, we just launched Pharmacy Delivery and one of the things that we do is we allow them to link their prescription profile with their e commerce profile and that enables them to shop us in all of their needs in a one stop shop. This was when we launched Pharmacy delivery earlier this year. It was the number one most requested service by our time sensitive, busy families that shop us online and in the store. So we're the first and only retailer to integrate prescription medications with groceries, general merchandise, all in one online order, delivered to their home, sometimes in an hour or less. And that's available same day delivery across 49 states reaching hundreds of millions of customers. That's one example. Pet pharmacy, pet services. I mentioned that I have a pet pharmacy that I'm accountable for and we also offer very affordable pet prescriptions as well as pet insurance for our furry family members. And the pet category is really, really dynamic. You know the projected annual spending ON that is 7% annually by 2030. And so you know, by doing that we also, part of what we also do is we widen access to care in terms of in person and virtual veterinary care. In certain, you know, certain stores of ours, I could go on and on, things like diabetes, nutrition counseling, our pharmacists will provide that as well. As clinical support for diabetes management in many of our sites across the country and help customers make healthy food purchases that help them manage their health. So those are some quick examples.
Peter V.
Yeah, the whole pet pharmacy experience is really interesting to me because in a human being, you go to a medical doctor, they don't dispense medication. But when you go to a veterinarian, you kind of expect that. So to some degree, you know, there's consumer education that needs to take place on their ability to choose where they procure the medication that's being prescribed to their, to their pets who are essentially part of their family. So I'm assuming that that to some degree falls, falls under, under your responsibility as well.
Kevin Host
That's exactly it. You know, I think more and more customers understand that it is their choice. They can choose whatever pharmacy they may want. They don't have to necessarily go through their veterinarian's office. And you know, if they do and that's more convenient for them, that's fine. You know, we're able to offer a very competitive experience and certainly a competitive price point on many veterinary meds. And the medications don't work the same way in animals as they do in humans oftentimes. And so what comes along with that is we provide additional education and ongoing continuing education to our pharmacists to help ensure that we're providing that level of pharmaceutical care to the pets that we do to our human customers as well.
Peter V.
All right, Kevin, let's shift to the concept of leadership. You have a very serious mandate in your role at Walmart overseeing health and wellness. Pharmacy. Would love to hear from your perspective. What are some of the principles you're guided by and how does mentoring the leaders below you and the emerging leaders play into the principles that you've been following for success?
Kevin Host
I appreciate the question, and if I think about it, pharmacy school taught me what it means, means to become a healthcare professional. But if you ask any pharmacist why they went into pharmacy, it's always about the patient. Everybody loves to take care of the patient. That primary care that we provide, you know, similarly, it's similar to what Mr. Sam did. If, if you've, I'm sure you've read his book, but he talks about the fact that he wanted to do retail. That was his craft, his profession. But when you, very quickly you see that his passion was all about the associates and the customers. That's what he loved most. And so I think that's why today Walmart is a people led, tech powered organization. And you know, even our CEO Doug McMillan talks about it's our humanity that's going to allow us to win in the future. You know, we have over 15,000 pharmacists across 49 states and over half of them have been with us for 10 or more years. So we have a really strong tenure. And I think that's because our culture allows for that. You know, we put the associate first. We know that they're the ones who are taking care of our customers. And that's the whole goal is together we're working to make sure that we deliver for that customer. So as I think about my own skills, it may have started off just having training to become more skilled clinically. And as I grew in my career, I adopted more managerial skills or developed more managerial skills. And certainly it's been leadership for the last many, many decades. In fact, one of the principles of leadership that I ascribe to is servant leadership. And I first read about that in a John Maxwell leadership book many years ago. But that's the same term that Walmart uses here with its leader. So it really resonates. And our market teams, our regional teams, the ones that are there to help support our pharmacists and our technicians and our vision center managers and opticians are, are all like minded. And so those core values, they come out in terms of what we like to talk about is rise respect for the individual, act with integrity, serve the customer and strive for excellence. And again, ultimately it all comes back down to servant leadership. And so as I mentor folks in my circle and as our leaders mentor folks in their circles as well, we all talk about how it is that we're here to support the stores who are here to support our customer. That's servant leadership and that's what we do really well here.
Peter V.
I love that concept because I think about when you talked about the pharmacists that you have serving the communities, right? To some degree, they really are servant leaders to their communities. And it's also interesting because the patients, your customers, right? In all likelihood, certainly for your customers that are dealing with chronic conditions, they're going to interact more with the pharmacy staff at Walmart than they are with their own primary care physicians, because they're not in there as frequently, but they're in your stores picking up their prescriptions on a fairly routine basis. And so, you know, you're much more a part of their health routine than even their primary care physician is. And so that has a lot of responsibility assigned with it.
Kevin Host
Yeah, you're absolutely right. You know, customers will talk to their pharmacist more than twice as often as they do to their physician, to your point. So, and we're a few minutes away, we're open late and on the weekends.
Peter V.
So it happened. That is true. Hey, when I think of Walmart these days, in the retail industry, omnichannel is a word that always comes to mind. There is no retailer and I mean that there is no retailer that is more adapted omnichannel capabilities than Walmart. You touched on this at the beginning of your comments about the marrying of Rx home delivery and pairing that up with the groceries that they're buying. You know, how are you looking to shape the Rx experience in omnichannel for Walmart consumers?
Kevin Host
Great question, because I'd start by saying that customers expect more from their shopping experience. Again, putting prescription delivery or prescriptions into our delivery experience was something that was requested to by more than half of our customers. And so they don't want to give up the in store experience either. But everything's starting to shift. And if I think about kind of the historical growth of pharmacy, 7 in 8Americans will say that they've picked their pharmacy based on convenience. And when you dig into that a little bit, convenience means how close is it to my house and does it have something like a drive through in case I don't want to jump out and go into the store? And so more and more that's shifting to can I just get everything in a one stop shop, groceries, general merchandise and can I have it delivered just in case I can't, you know, can't go into the store myself? I'm a great example of that. Personally, I love going into the store, I really do. But this weekend I think I had four different deliveries to my home because I had guests coming over. I didn't have the time to go down to the store and get the stuff. And it just, it really creates a, you know, a convenience impact in your life. And so as people shop online more, the in store experience is also changing a little bit. And we're investing in technologies like central Phil pharmacies that allow our pharmacists and our technicians to spend more time with patients. And they're doing so around things like primary care testing and treatment services is one example. And what I mean by that is if you think you have the flu or strep throat or Covid or something, in 21 states now, our pharmacists are allowed to not only do the diagnosis and the testing for that, they're also able to prescribe treatment for those types of ailments. And so far we've seen a huge uptake in that where it's available, more than 75% of those encounters are taking place after hours and on the weekends. So again, I think convenience kind of takes the cake here. And as you think about delivery, it opens up a whole new set of use cases where if you're a caretaker for an elderly parent, but you live in a different state, you can still order your mom or dad's prescriptions to be delivered right to their door, especially if they're not mobile, if you have surgery that immobilizes you for a period of time. We had a customer in Virginia that had brain surgery and she couldn't thank us enough because she was not allowed to leave the house, but yet we could bring all of her medicines to her. And so I think that's the way we're changing and shaping pharmacy within that omnichannel definition.
Peter V.
Yeah. You talk about the term convenience. Convenience is a subset of value. Right. Value is in the eye of the beholder. For some, it's about the price you pay. For others, it's am I driving value because they're allowing me to live better? Which is a motto I think we're very familiar with. Right. So I think you're absolutely holding up to what the mantra of Walmart is. A reminder our audience today I have the great pleasure of speaking with Kevin Host. He's the senior Vice president of Walmart Health and Wellness for Pharmacy. Okay, so, Kevin, I know that In April of 2024, you were named the chair of the national association of Chain Drugstores. Those in the industry know NACDS, and I know its annual meeting for 2025 just concluded a few weeks ago. Would love to hear about your role at nacds. What was expected of you in that. In that role and. And how did you seek to drive growth and transformation of the overall industry through nacds?
Kevin Host
Yeah, absolutely. It was a wonderful year sitting in the chairmanship position. I was very privileged and honored to have that opportunity to do it. And I love waking up and coming into Walmart and doing what I do here. You know, I've been wanting to. And I've been working on evolving the profession for many, many years, but doing it with nacds, it's literally the whole profession together working as one. And so NACDS has been advocating for community pharmacists for over 90 years. That's 30 years longer than Walmart has even been around. So it has an amazing, incredible legacy. You touched on this earlier, Peter, and called it out. But Americans use pharmacy more than any other healthcare setting. You know, that said, we're having, we have reimbursement pressures from PBMs that are really threatening that access to care. And unfortunately, we've seen some of our competitors from other chain pharmacies that have succumbed to that. And you know, obviously we've seen bank bankruptcies, we've seen store closures. And so, you know, part of what I did, the priority that I had as chair, is to really make sure that we were fighting together for meaningful reform to preserve pharmacy access for all communities. We have more than 800 zip codes in this country now that don't have a pharmacy. And you know, that's a tragedy. We have many, many more zip codes where there may be only one pharmacy in town. And so as you kind of step back a little bit and look at health care access in general, there's also a shortage of primary care physicians that is starting to, you know, grow faster. We're going to be short somewhere between 80 and 90,000 primary care physicians over the next 10 years. And so things like testing and treatment are great and they're, they're necessary though, but that's not even enough. So we, some of us at nacds also took a look at what's going on in other countries and we've seen that in Canada, pharmacists are treating a whole list of minor ailments that goes well beyond upper respiratory. We talked to the premier of Nova Scotia who was very vocal in terms of, he, he said that pharmacists are helping solve some of those gaps in care that they're having in his particular province. We talked to officials in Alberta where they're raising the level of pharmacists to something more like a mid level practitioner. United Kingdom is, is really similar and they're even going beyond that where primary care starts at a pharmacy. And so I could go on and on, but we, you know, I learned a lot in my year as chairman, but also really, it really fed my passion. And ultimately, you know, here at Walmart, we want to make health care more convenient. We want to build trust with our local communities. We want to increase access to care and improve drug affordability. And you know, I think nacds could probably cut and paste those, you know, those, those are something that we all want to achieve together. But you know, for Walmart, we're in a great position because we want to continue to stay relevant to our customers. As I mentioned, We've been in Pharmacy for 45 years, so we continue to invest in technology that's going to improve care experience and enable our pharmacists to spend more time with customers and just, you know, help them with their health needs.
Peter V.
Well, you touched on something personal to me, Kevin. You mentioned some of the learnings you had from Nova Scotia. My mother lives in Halifax and to bring it forward circle I, I use Walmart to have groceries delivered to her at her home from the store in Bears Lake. So I'm a big fan of what you're doing north of the border as well. So here, here at the CPG guys, the linkage between loyalty and, and insights is something we discuss very frequently. Obviously at Walmart you have an enormous amount of data at your disposal. I'd love to hear maybe an example or so, but philosophy, whatever around how you are leveraging the data assets. You have to stay at the forefront of the pharmacy industry. And what's your vision for the future? What are you, what do you hope this data will do to help your customers live better lives?
Kevin Host
You know, we're very careful to use our data in appropriate ways and I'll give you a great example. Central Phil Pharmacy. You know, we took our time to ensure that when we got into Central Phil Pharmacy, which by the way was 15 years ago, we wanted to make sure that when we made that investment, ramped up our central fill footprint. We did so very thoughtfully and, and we did it a little bit slowly at first but over the last few years we greatly accelerated that. It's because we had access to data and we had made the learnings that we needed to, to understand where we should invest and how we should invest. One of the key questions we had is, you know, do we build many smaller facilities and spread them out across the country or do we have fewer number but larger facilities? And then where would we put those? Where could you put those? It's harder to place a large facility in a community than it is in placing a smaller facility in certain communities. Anyways, the data was really key in determining the design of that network as well as the location. And so, you know, just recently we opened up our fifth Central Phil Pharmacy in Frederick, Maryland. And that is a site that's serving 17 states or will service 17 states and over 700 stores. It's an amazing facility filled with state of the art automation and it fulfills about 100,000 prescriptions a day. That's about 30 million prescriptions a year. And as of right now, we're the largest Central fill operator in the US or one of them at least. And we're continuing to grow that footprint. So we'll, by the end of next year we'll have seven of these facilities and you know, we'll be, we'll be reaching about 9 or supporting about 90% of our stores across the country and that's in 45 states. So we're really proud of that. You know, we've talked a little bit about pharmacy delivery there. Again, technology teams were collaborating on that seamlessly to deliver that to our customers. And you know, that network is a really intricate network and it's connected to Walmart's AI powered delivery platform, we call it Spark. And so that platform uses new geospatial technology to help define where delivery catchment areas are and put a lot of precision around that. So because we have that technology, just recently we expanded our delivery offerings to over 12 million more households. And so we just continue to expand our reach associates. You know, we've got a lot of data and insights that we can leverage to anticipate when we're going to see spikes in pharmacy visits, whether it be seasonal like cold and flu, or just back to school or certain days of the week or certain hours of the day. And we have that baked into a predictive model that we use to help with forecasting the hours that we'll need to provide service to our customers as well as the schedules that we'll need for our associates. So we're planning ahead and we're equipping our associates with the resources that they're going to need to support those communities. So those are a few quick examples. But you're right, Peter, data is everywhere here.
Peter V.
Kevin, for people like me who follow religiously the quarterly earnings results of Walmart, it's impossible to miss the contribution that the business units under the leadership of your colleague Seth Delaire, notably Walmart Connect, have have delivered to the organization. So my question to you is this. How is retail media? Because I think about retail media and I think of non pharmacy, right? It's the endemic non pharmacy items that are sold through Walmart. But how, if at all, is retail media starting to impact your team? And are there opportunities for health and wellness pharmacy to, and the, and the brands that you're selling? Because you do sell brands in many cases. How is that feeding into the ability of, of retail media to, to, to seep into your business?
Kevin Host
It's an interesting question because I think we're still trying to figure out, you know, where the right fit is. But if you Take a step back for a moment. You know, we've seen patients, just generally patients trust in health care has declined. And you know, this is a topic that's been discussed frequently in the media. That's happening at a moment in time where the incidence of chronic conditions is on the rise. And so there's a vital need for community level health support and resources so that people can live their best lives. And that's where pharmacists come in. According to the last Gallup poll in 2025, pharmacists rank as one of the most trustworthy professionals, even above medical doctors. And this is said often, but all healthcare is local and so every community has different needs and those needs are best understood by serving and being a part of a local community. That's our pharmacists, you know, they, they live and work and know the people of that community. In fact, of our 4,600 stores and pharmacies, about 4,000 of those stores are in areas with a shortage of medical providers. And so what we have been doing and working on is working with manufacturers who want to bring awareness about their product and the condition that it treats. And so they'll, you know, we're working with them on programs that'll bring mobile wellness centers into some of these communities, some of the most needed communities. They offer and support free health health screenings consultations, even access to immunization sometimes. And so it's an awesome opportunity for Walmart to work with some of our key partners. And beyond that, just broadly awareness, just, just, you know, most patients don't know that pharmacists can provide some of the services I mentioned earlier around diagnosing and treating upper respiratory conditions, or prescribing birth control in certain communities, or even prescribing HIV prevention therapies. So, you know, retail media is, I think, a really key facet to our future.
Peter V.
That's great. So let me close this out. Looking towards the future and thinking about consumer trends and technology trends that are of particular interest to you. I'd really love to understand, you know, your vision on where you think artificial intelligence and the different derivations of it can really help in the pharma journey of your consumers and your guests.
Kevin Host
You know, determining the future use cases for AI is, is a high priority for us. And we have several work streams as you might imagine internally looking at that. And so AI has already made impact, significant impact in other areas of health care as I come into pharmacy. Affordability is the top of mind for our customer though, you know, three in four Americans are very cost conscious. They're looking for ways to save money at the pharmacy counter. And while this involves zero AI, we've got $4 generic programs. We were the first to have a private label insulin like rely on. But we also have Walmart plus, which enables free pharmacy delivery to the vast majority of the customers that use pharmacy delivery services. And that's an area where AI is seeping in. How do we understand what our customers want and need faster, more efficiently? How do we turn that around, provide it to them as quickly as possible? Free delivery for Walmart plus members is a great example of that. Convenience is another area. I talked about how seven in eight Americans choose their pharmacy based on how convenient it is for them. You pointed it out conveniences as the perception of value or component of value. So when you see stats like half of women, over a third of men have reported delaying or skipping health appointments because they just can't get an appointment or it's a long wait time when you've got something like the flu, you wake up in the morning, you don't feel good and you might have a really important call or your kids are sick and you've got to get to work. That testing and treatment that our pharmacists can provide is really critical. And so three quarters of those visits have happened after 5:00pm or on, on the weekends. And they can be in and out with their prescription in as little as 30 minutes or they can just head home if they don't feel good. And we'll send them their, their treatment along with chicken soup, blankets, tissue, whatever they may need. And so, you know, all of that in some way, shape or form is now being supported by AI. And I would say we're just getting started on that journey. So more, much more to come on that. Peter.
Peter V.
Thank you, Kevin. I appreciate that response to the community that we are fostering here at the cpg. Guys, we really want to thank you for the clicks on what we post online, listening to our podcast, likes, comments, direct messages running into us at conferences, on airplanes, the streets of Tokyo, wherever it might be that we find ourselves. We are so incredibly grateful to you, you, to, to our, our sponsors, and to our guests who come on the podcast because you're helping us educate and entertain this community and make us all better at the jobs we're trying to do serving, consuming, serving consumers. So thank you, thank you, thank you. It's amazing that we're closing in on our 500th episode and we are five years into this venture that we undertook simply to kill time at the beginning of the pandemic, and who knew, five years later, here we are. But the show doesn't really exist without you, so we're really grateful to have you as our audience, as our partners on this journey of our professional careers. Kevin, thank you so much for taking time out of your day to sit down with us to tell us about the incredible work that's being done at Walmart Around Health and Wellness Pharmacy. It was a real honor to speak with you today. Thank you.
Kevin Host
Thank you so much, Peter, for having me. I really appreciate the opportunity.
Peter V.
I know Sree is killing himself for having to miss our conversation today, but he can listen to it like everyone else who follows this podcast. But it was a real honor for me to speak with you and with that, I'll say to our audience, thank you and we look forward to seeing speaking with you on the next episode of the CPG Guys Podcast. Goodbye.
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Podcast Summary: The CPG Guys – "Health and Wellness with Walmart’s Kevin Host"
Episode Details:
In this episode of The CPG Guys, hosts Peter V.S. Bond and Sri Rajagopalan welcome Kevin Host, the Senior Vice President of Walmart Health and Wellness Pharmacy. The discussion centers around Walmart's evolving role in the health and wellness sector, emphasizing omnichannel strategies, leadership principles, data utilization, and the integration of retail media within the pharmacy domain.
Kevin begins by outlining his responsibilities at Walmart, highlighting his oversight of the pharmacy operations spanning 4,600 pharmacies across super centers and neighborhood markets, five central fill pharmacies, mail order/petmed Pharmacy, and Specialty Pharmacy. Additionally, he manages approximately 3,000 vision centers.
Kevin Host [04:27]: "I oversee all of that and then also my field teams oversee the operations of our roughly 3,000 vision centers."
Kevin draws parallels between pharmacy operations and other merchandising segments, emphasizing Walmart's unified mission to provide essential products and services at affordable prices.
Kevin Host [05:36]: "We all row the same direction around here. We're people-led, tech-powered, we're an omnichannel retailer and we're dedicated to helping people save money and live better."
He underscores the importance of trust in the pharmacy sector, given the sensitive nature of healthcare and personal information.
A significant portion of the discussion revolves around Walmart's omnichannel approach, integrating prescription delivery with grocery and general merchandise shopping to enhance customer convenience.
Kevin Host [08:56]: "We allow them to link their prescription profile with their e-commerce profile and that enables them to shop all of their needs in a one-stop shop."
Key initiatives include:
Kevin delves into his leadership philosophy, firmly rooted in "servant leadership," a concept he relates to both his personal growth and Walmart’s corporate culture.
Kevin Host [13:41]: "One of the principles of leadership that I ascribe to is servant leadership... Our core values come out in terms of how we rise, respect the individual, act with integrity, serve the customer, and strive for excellence."
He highlights the importance of mentoring and fostering a supportive environment for associates, which contributes to high tenure rates among Walmart pharmacists.
As chair of the National Association of Chain Drug Stores (NACDS), Kevin discusses his efforts to advocate for pharmacy access amid rising reimbursement pressures from Pharmacy Benefit Managers (PBMs).
Kevin Host [22:15]: "Our priority was to fight together for meaningful reform to preserve pharmacy access for all communities."
He references international models, such as in Canada and the UK, where pharmacists have expanded roles in primary care, and expresses Walmart's commitment to similar advancements to bridge healthcare gaps in underserved areas.
Kevin emphasizes the strategic use of data in optimizing pharmacy operations, from determining the placement of central fill pharmacies to enhancing delivery logistics through Walmart's AI-powered platform, Spark.
Kevin Host [27:02]: "We have a predictive model that we use to help with forecasting the hours that we'll need to provide service to our customers as well as the schedules that we'll need for our associates."
This data-driven approach enables Walmart to anticipate pharmacy visit spikes, manage resources efficiently, and expand delivery services to over 12 million additional households.
Addressing retail media's role, Kevin acknowledges its nascent stage within pharmacy operations but sees significant potential in leveraging Walmart’s extensive data to enhance health-related advertising and awareness.
Kevin Host [31:38]: "We're working with manufacturers who want to bring awareness about their product and the condition that it treats... Retail media is a really key facet to our future."
Collaborations include mobile wellness centers that offer health screenings and consultations in high-need communities, aligning with Walmart's mission to increase healthcare accessibility.
Looking ahead, Kevin outlines Walmart's vision for integrating artificial intelligence (AI) to further streamline pharmacy services, enhance customer experience, and maintain competitive pricing.
Kevin Host [34:22]: "AI is seeping in... We're just getting started on that journey. So much more to come."
Examples include:
The episode concludes with gratitude expressed by the hosts towards Kevin for sharing insights into Walmart's comprehensive health and wellness pharmacy operations. Kevin reiterates Walmart's commitment to leveraging technology, fostering community trust, and expanding healthcare services to meet evolving consumer needs.
Kevin Host [38:18]: "I really appreciate the opportunity."
This episode offers a comprehensive look into how Walmart is innovating within the health and wellness pharmacy sector, emphasizing the importance of technology, leadership, and community-centric approaches in shaping the future of retail pharmacy.