Retailers as Primary Care Physicians:
Assessment of Walgreens and VillageMD Collaboration
Retail health clinics are a growing element of the healthcare industry. This alternative
treatment location allows patients to obtain care from qualified doctors in settings outside of the
typical hospital or emergency unit. A retail health clinic is a walk-in clinic established inside a
pharmacy, supermarket, or retail store. Walgreens, Target, and CVS usually house these types
of clinics. They aim to offer patients critical care services at a lower cost, removing the need to
visit the standard hospital for primary care.
Walgreens saw a decline in their profits this year, and revamping themselves as
healthcare providers could elevate them. They are pairing with VillageMD, a leading provider in
value-based primary care, to open 500 to 700 clinics at Walgreens locations across the country
over the next five years. Walgreens had been working with VillageMD since 2019 at the time
when they opened five joint VillageMD spots in Houston. They noticed patients adhered to their
medication, and this brought up the decision to expand the model. This union signifies a vast
investment in the healthcare delivery avenue for VillageMD. Walgreens will invest $1 billion in
