If You are not from pharmaceutical sector so it will not be difficult for you to understand pharma market terminology. Pharma market mainly has below type of marketing policies.
All types of marketing has it own advantage and Disadvantage…….
Generic marketing is low rate marketing type. In this market, business is bulk type. Bulk purchase and Bulk Sale but very low margin and rates. If you want to make big deals, you can get big orders immediately from generic distributors. Only you required to offer rates below than that are available in market. Business moves very quickly. You can get big turn over in short period. But main disadvantage of generic marketing is – if you are unavailable to give low rates or any other person provide rates below than yours then you may be in trouble. Big MNC’s have vast network and very low rates, so if you are manufacturer then only you can give rates as low as available in generic market.
Branded/Ethical Marketing is main form of pharma marketing. Doctor prescribe drugs brand name and chemist sale out to patients. Most margin marketing type. This marketing type has number of advantage like good margin, company reputation, steady growth etc. Drug prescribe at MRP. Main thing that is required in this marketing is good sales knowledge and doctors relationship. These are the key point in this marketing. Main disadvantage is Highly competitive market and cut throat competition. Big MNC’s have both Branded Marketing and Generic Marketing divisions.
PCD/Franchise Market is type of marketing in which you appoint your distributor or franchisee who does the marketing for you. You provide product at net price basis and also provide promotional inputs that are required to market your products. Most of marketing companies do this type of marketing in out side areas along with their branded sale in their area. Good margin and good growth. Main disadvantage is that you are totally dependent on others for your sale. If your distributors reduce your sale, you can’t do much. Highly emerging marketing type in Indian Pharmaceutical Market.
OTC Marketing is Over the counter drugs marketing. Most of pharma products are of prescribed type but few products sell out as OTC along with prescription. Personnel care, multivitamins/multi minerals, herbal and Ayurvedic products are few products to be market as OTC. Cosmetic products are come under OTC. OTC market has big scope and high margin but high investment is required due to costlier promotion and advertisement.
Investment is not a big issue in pharma marketing. Start with few products and increase your product range smoothly. If we look, many today’s MNCs, Once started with very little investment. In pharmaceutical market, Patience and innovation is key for success. In any type of marketing you have to keep patience and do hard work to establish your company. Market is highly competitive and highly margin able too.
For developing marketing chain, every type has different ways. For Generic you have to find generic distributors or directly market to chemists. In ethical/Branded Marketing, Doctor is main source of Business. In PCD/Franchisee marketing distributor with marketing team is your requirement.
That is your choice which form you choose. Accordingly you have to set-up your marketing chain….
Hope you will Find this article useful, If not you can mail us at pharmafranchiseehelp@gmail.com
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