Our readers ask us about number of questions related to pharmaceutical market. To provide answer of all questions independently is not possible for us. So, we are including few question in single article.
What is Drug License?
Answer: A Drug License is a certificate/license/authorization issued by Drug Control Authority for conducting a particular task e.g. sale, purchase, stock, exhibit, test, manufacture, distribute, import, export or any other covered under Drug and Cosmetic Act & Rules, 1945.
What is Drug License Number?
Answer: Every Drug License has a number which is used as to maintain all record related to applicant and his firm. This number is known as Drug License Number.
What is required for Starting Pharma Wholesale Distribution?
Answer: For Starting Wholesale Business in pharmaceutical sector, we need wholesale drug license. One of the most important thing to consider while starting wholesale distribution, we should have good network channel for distributing our products. read in detail about wholesale license here
What is required for Starting Pharma retail Pharmacy?
Answer: For Starting Pharma Retail Business in pharmaceutical sector, we need Retail drug license. Location is prime factor in retail pharmacy and chemist shop. Registered Pharmacist is must for starting retail pharmacy. read in detail about pharma retail shop license by clicking here
Licenses Required to Start Pharmaceutical Marketing Company?
Answer: There is requirement of following licenses to start pharmaceutical marketing company:
Drug License Number
Goods & Service Tax Identification Number(GSTIN)
Company Registration (Optional)
Trademark registration (Optional)
FSSAI Registration (If dealing in food supplements)
Licenses Required to Start Pharmaceutical Manufacturing Company.
Answer: There is requirement of following licenses to start pharmaceutical manufacturing company:
Drug Manufacturing License Number
Wholesale Drug License Number
Goods & Service Tax Identification Number(GSTIN)
Company Registration
Trademark registration
How to register brand in pharma?
Answer: Pharmaceutical sector also has to follow procedure to register its brand name like other sectors. Go to the ipindia.nic.in site. Click at trade mark and you will be redirected to http://ipindia.nic.in/tmr_new/default.htm. Then click at public search. In new tab http://ipindiaonline.gov.in/tmrpublicsearch/frmmain.aspx will be opened. Change search type to phonetic. Enter your brand name or company name and class. For pharmaceutical product’s brand name and pharma manufacturing units you have to enter class ‘5’ and for trading and marketing companies enter class ’35’. Here you can search for existing brand names and company name. click here for more
What is Pharmaceutical Trading?
Answer: Sale and purchase of pharmaceutical products and services e.g. medicines, hormones, vaccines etc are known as pharmaceutical trading. For pharmaceutical trading, you should have licenses and documentations as per government and drug department record. Doing this without any formalities is a punishable crime. Pharmaceutical traders includes chemist, distributors, c&f, marketing companies, raw material supplier etc. Must have documentation includes drug license number and GST for doing pharmaceutical trading.
What is Pharma Purchase and Pharma Sale?
Answer: Purchasing of pharmaceutical products or services from authorized pharmaceutical trader or manufacturer is known as pharma purchase and selling of pharmaceutical products or services to authorized pharma trader or manufacturer is known as Pharmaceutical sale.
What does Franchise mean in Pharma or what is Pharmaceutical Franchise?
Answer: Franchise means liberty and in pharma it also justify its meaning. Franchise in pharma is used for companies and distributors/pharma professions those work at franchise basis. Franchise in pharma means authorization by pharmaceutical company to distributor or person or group of distributors or persons to access or use its company name, brand name, products, services etc. Company also authorized to perform commercial activities like marketing, sale, purchase, authorization of agent(distributor, stockist, c&f etc), promotion etc on behalf of company. Click to read more about pharma franchise
How to calculate MRP, PTS and PTR?
Answer: In Pharma marketing, we have to calculate number of things to provide rates and margin to retailer, stockist, c&f, and your margin etc. Calculation is not as complicated as it feels. We will have manufacturing cost or get products at net rate basis or offer basis in Pharma marketing, then we have to find price to retailer/price to stockist, your margin, expenses etc. Simple formula used in calculations is MRP or Rate *100/(100+percentage). Click here to read in detail About calculating MRP, PTS and PTR
How much profit margins in Pharma?
Answer: Pharmaceutical market is not exception when it comes to margin of retailer and stockist. Retailer margin is generally 20% or some time with scheme. Stockist margin is 10% or some time with scheme. C&f margin is 6-8% or sometimes with scheme. Companies reserve their rights while calculating their margins but in most of cases it is nearly 20-25%. Above margins may vary company to company, products to products or area to area etc.
What are the Different aspects or types of marketing?
Answer: Four types of marketing aspects is used in pharmaceutical marketing.
- Branded/Ethical Marketing
- Generic marketing
- PCD/Franchise Marketing
- Over the Counter Products
- Third Party/Contract Manufacturing
Read in detail about pharmaceutical marketing here
What are the Distribution and Trading Pharma Companies?
Answer: Distribution and Trading Pharmaceutical companies are the companies those don’t have own pharmaceutical manufacturing facilities and get manufactured products at their own brand name through outsourcing at third party or loan license or contract manufacturing basis. In India, large number of pharmaceutical distribution/trading companies are present.
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