Chemist Warehouse has sustained double-digit comparable sales growth for three consecutive years. The retailer has won market share from other pharmacies and Coles and Woolworths. Chemist Warehouse advantages are its pricing tactics and breadth of range. While Coles and Woolworths are unlikely to fix their ranging issue, they may adjust pricing tactics. Chemist Warehouse is cheaper than the supermarkets when comparing shelf prices to Chemist Warehouse’ standard price, but much less so when comparing promotional prices. The risk to Chemist Warehouse is that Coles and Woolworths use everyday low pricing tactics to improve their relative pricing to Chemist Warehouse. They have begun lowering prices on high profile products and more will come over the next 12 months. We may see a slowdown in Chemist Warehouse sales growth towards single digits over the next year.