Drugstore chains in The Philippines have been experiencing rapid growth and expansion due to the country’s increasing demand for medicine and the rapid growth of the pharmaceutical field. The drugstore chains that Filipinos are most familiar with are Watsons and Mercury Drug, as both stores have a plethora of branches in numerous locations in the Philippines. It is evident that rivalry is the core of innovation, motivation, and marketing strategies in this century and this can be seen between both companies in the country. In addition to selling medication, both drug stores also sell cosmetic products from a variety of companies. While both drugstores can be found outside of Malls, branch locations of both drug stores within malls also vary, such that Watsons’ can only be found in the vicinity of SM malls while Mercury Drug’s are usually within the vicinity of Ayala Malls and Robinsons. Nonetheless, both drugstores are easily within reach in any area in Central Luzon, and all branches still comply with the needs of their customers.

A Comparison;

In terms of suppliers, it is evident that Watsons, unlike Mercury Drug, possesses the advantage of having a larger amount of suppliers from different medicinal and cosmetic companies. This is due to the fact that Watsons is the largest health care and cosmetic products chain store in Asia. This fact also gives them the advantage of having more companies as suppliers for imported products. Most Filipinos exhibit xenocentrism, in that they perceive international brands as having better quality in comparison to local brands. In contrast, Mercury Drug is a privately-owned drugstore in the Philippines, and most of their suppliers are from the local companies, therefore they do not have much variety of products compared to Watsons.

From an economical standpoint however, Mercury Drug is considered by many Filipinos to be superior. The main reason for this majority opinion is that many of the products offered by Mercury Drug are sold at prices considered more affordable by the masses. Mercury Drug also offers frequent buyer cards, great discounts and offers. In addition to this, Mercury Drug is also considered to be more convenient, as many of their stores open at an earlier and close at a later time, and some stores are even open 24 hours a day (which is especially good for those experiencing medical emergencies). In comparison to Mercury Drug, Watsons’ prices for medicines were often found to be at a much higher amount than in Mercury Drug. A majority of Watsons stores are also located inside SM Malls, which are less accessible than those of Mercury Drug’s, a majority of which are located on roadsides. Based on these comparisons, it is easy to see why Mercury Drug is considered by many to be the more economical choice over Watsons.

On the other hand, the brand recognition of both drugstores is quite different. Watsons is better known in many parts of Asia, unlike Mercury Drug, which is known more locally by Filipinos and other people residing in the Philippines. Watsons is another group of brands under A.S. Watson Group, a company that has more than 14,100 stores worldwide, including the drugstores established in the Philippines. The A.S. Watson Group has a long history as it was founded in 1828, and since their founding has expanded to Europe and other parts of Asia. In comparison to A.S. Watson Group, Mercury Drug was founded in 1945 by a Filipino, an in the 50 plus years since its founding has established around 1000 stores nationwide. Watsons as a brand is more widespread and well known in multiple countries in Europe and Asia, and therefore has better global brand recognition than Mercury Drug, which is only known in the Philippines.

In Conclusion;

Watsons and Mercury Drug have multiple differences, from their products to their company history. In terms of their products, Watsons would have an advantage over Mercury Drug as Watsons manages a larger pool of suppliers and imported products, while Mercury Drug has a smaller variety of products in comparison, and their supplies are sourced from local companies. However in both drug stores, they offer generic products in order to accommodate the local market. In terms of economic value, however, Mercury Drug is considered to be a more convenient choice over Watsons due to the pricing of their products and the accessibility of their store locations. In terms of brand recognition, there is a clear difference between both brands, as Watsons is known internationally while Mercury Drug is known locally. In conclusion, Watsons is perceived to be a more superior brand overall in comparison to Mercury Drug.