CVS to Expand DM Through Hill, Holliday

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Work on expanded direct and relationship marketing for drugstore chain CVS/pharmacy will begin as soon as advertising agency Hill, Holliday, Connors, Cosmopulos, Boston, settles in with its new status as lead shop on the account.


Replacing Bates USA, the agency owes its new role to an ExtraCare loyalty card program it developed in spring 2001 for CVS. Budget for direct and relationship marketing was not disclosed.


"They want to expand market share and develop relationships with key customer segments, and they want to generate appropriate margin," said Kelly Mahoney, newly named executive vice president of relationship marketing at Hill, Holliday.


The agency will offer database services in datamart creation, analytical modeling and development of proprietary marketing tools. It also will offer direct strategy and mail, store signage and collateral.


Hill, Holliday only recently named Mahoney to her post as part of its effort to expand direct marketing offerings. The agency last year reported relationship marketing revenue of nearly $30 million, up 24 percent from the previous year. The agency posted overall billings of $834 million in 2001.


Mahoney previously was senior vice president and chief marketing officer at Staples.com. She took a six-month breather and toured 30 states by road with her husband. They logged 30,000 miles in a Jeep.


"We met a lot of people along the way, which is really interesting," she said. "It's amazing how many people don't work."


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