What is the difference between branded ( so called ethical medicines) and PCD franchise medicines?
This is very fequently asked question when we go to attend seminars and meet someone who dont have regular intraction with PCD marketing and medicines. Purpose of writing this article to provide information and difference between these three.
Medicine is a substance that is used to diagnosis, treatment and prevention of diseases. This definition is same in case of Generic medicine, Branded medicine and Pcd medicine. Then how will we differentiate all medicines type.
If you search through internet or study the definition of generic medicines then you will find ” Generic medicines are the drugs/medicines which are comparable in all aspects i.e. strength, dosage form, efficacy, potency, results, use etc to its brand or reference listed drug products. Means its same medicine as compare to branded medicine. But its more cheap in price as compare to its branded version. Same in case of pcd franchise medicine, same medicine is used as in case of generic and branded medicine. Only difference is its distribution channel. You can’t say which medicine is better. Medicine is same, manufacturing process is same, raw material origin is same.
Not a single process is different. Difference comes after come out from factory. Difference is created by marketing team. This is just like purchasing wheat from farmer in loose (we can’t sell loose in pharma, just for example) and from super market in packing with a brand name of big company. Manufacturing cost is same, process of generation is same, all qualities are same. but difference in pricing.
Same batch with different brand names could be sell out in all marketing types. Suppose We take batch of five lakh cefixime 200 tablets and pack it in three different brand names.
- Brand A: M. Cost-3.5/- MRP: 12.50/-
- Brand B: M. Cost-3.5/- MRP: 12.50/-
- Brand C: M. Cost-3.5/- MRP: 12.50/-
Brand A, We sell as Branded Medicine and convince doctors to prescribe it to patients. We bill it to stockist at price to stockist i.e. 8.75/- after included marketing expenses etc. Company do direct marketing by appointing its marketing and sales team.
Brand B, We sell as Generic Medicine and sell directly to c&f or distributors after fixing 20% margin. We bill it at 4.2/-. Stockist and retailer sell it to customer after fixing its margin. No marketing cost involved.
Brand C, We sell it as pcd medicine. We bill it to our franchise at net rate basis. Franchisee further promote it and convince doctors to prescribe it. Company don’t involve in marketing and sale but its franchisee/distributors do direct marketing and sale of its products.
Hope above information was useful to you…
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