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Beauty is “plugging in,” a trend that is set to drive innovation in the year ahead, according to recent research by Mintel Beauty and Personal Care.


“We’re seeing this trend manifest itself in several ways,” stated Nica Lewis, global skin care analyst at Mintel. “From the next generation of at-home beauty devices that harness energy and light to new ingredients that boost cellular energy, beauty brands are giving consumers more power and vitality for better results.”


WHAT IT MEANS AND WHY IT'S IMPORTANT — A miniature version of the spike in stock market activity that followed speculation about the prospects of a Walgreens-Rite Aid merger happened on Drug Store News' website as a quick writeup about the potential deal became the most-read story on the site.

(THE NEWS: Reports: WAG-RAD merger speculation drives RAD stock to four-year high. For the full story, click here)

NEW YORK — Shares of Rite Aid crossed the $2 mark Wednesday afternoon following analyst speculation about the prospects of a takeover by Walgreens, according to published reports.

CHICAGO — Driving innovation in the year ahead is beauty that’s “plugged in” and encompasses electricity and energy, according to Mintel Beauty and Personal Care, which also predicted that packaging will reflect the increase in interactivity between virtual and real worlds, making greater use of sound, video and QR codes. Enter Kinetique.

Sales of hot and cold breakfast cereals have been flat. “Consumers are faced with many breakfast options each day,” said David Browne, senior analyst at Mintel International Group. “While most do eat breakfast, it may mean a cereal/snack bar, yogurt, eggs, toast/bagels, baked goods or fast food restaurant options.” The popularity of egg-based breakfast sandwiches, particularly those available at fast food outlets, has surged. Consumers increasingly are buying breakfast outside the home.

Experts said that despite competition from electronic cards and rising postal fees, there still is a future for the paper greeting card category. Sean O’Malley, an analyst for Wedge Capital, estimated the industry saw 1% unit volume growth last year. He estimated 2011 greeting card sales were $2.5 billion to $3 billion. Nearly 80% of category sales are driven by women ages 30 to 50 years whose “habits die hard,” according to O’Malley. Premium cards and value cards are performing best.

WHAT IT MEANS AND WHY IT'S IMPORTANT — The regulatory review of the Express Scripts-Medco merger now is in its final stages, and with the clock ticking down to that 30-day deadline, you can expect a full court-press from retail pharmacy interests looking to block the deal. The time for the three-point finesse shots from the corners of the court has passed, it's now time to charge the net and jam the message home; an Express Scripts-Medco merger is bad both for the retail pharmacy business and for consumers. However, it just might be good for CVS Caremark.

BURLINGTON, Mass. — Endocrinologists would prescribe a newly approved weekly treatment for Type 2 diabetes to one-fifth of their patients, a new survey showed.

DEERFIELD, Ill. — Walgreens on Thursday reported an approximate 150 basis-point negative impact on prescriptions filled based on prescription transfers, and other trend analysis of prescriptions managed by Express Scripts, as the chain posted its first monthly earnings statement following the discontinuation of Walgreens' relationship with Express Scripts. That represents an increase from a 110 basis-point impact in November, but falls short of the 200 basis-point impact projected by Credit Suisse research analyst Ed Kelly earlier this week.

NEW YORK — Retailers will report weak December front-end sales growth across the drug channel as continued inflation likely was offset by the slow start to the flu season and disappointing overall traffic and volume growth, Credit Suisse research analyst Ed Kelly suggested in a note published Tuesday.

"While drug stores have been fairly successful passing through product cost inflation at the shelf, our Nielsen Trend Tracker shows that volumes have decelerated in recent months given the weak consumer and normal price elasticity," he wrote.

NEW YORK — At its annual Analyst Day in New York on Tuesday, CVS Caremark executives outlined strong growth for 2012 and unveiled several new offerings and initiatives that are expected to help drive profitable long-term growth as it works to reinvent pharmacy and focus on its “integration sweet spots.”

Alkaline batteries are showing tepid growth, and experts expect sales to plunge as much as 3% as fierce competition among manufacturers continues to pressure pricing. More devices are using built-in rechargeable battery systems — another trend hurting primary battery sales.