CVS, the big drugstore chain has recently invested in Curbside, a startup based in Silicon Valley. With this partnership, customers of CVS will be able to order drugs and other products online and then pick up their orders from a local drug store without leaving their car.
The deal has been in the making since last year when the two companies unveiled a pilot test in three cities. There are now 350 outlets included in this setup. However, the terms of the investment were not given.
This deal represents the latest example where a conventional brick-and-mortar retail chain has bridged the gap between physical sales to digital sales through in-store pickup options or by actual delivery.
Currently, CVS has very small online sales but the company believes that digital sales will be boosted by the additional option of free Curbside pickup for customers.
The company calls its new service CVS Express. It was built on a mobile platform in collaboration with Curbside which is founded by those who developed Find Your iPhone app of Apple Inc.
This service which is integrated into the company's main smartphone app is available without any price markups. The drug store chain also promises that orders of customers will be delivered in "about an hour."
This new offering from CVS was induced by the fight for customers who are getting used to a get-in-now attitude in tandem with the rise of same-day delivery service. In reality, it is the response of brick-and-mortar retail stores to the challenge of online giant marketer Amazon.com which has extended its reach to classic products such as cosmetics, baby products and groceries.
"Curbside pickup is great for the mom that doesn't want to take the kid out of the car, great for the mobility challenged, and for busy professionals," said Brian Tilzer, chief digital officer of CVS in an interview.
