Query related to online b2b pharma company Portal

Query:

It  was very enlightening to have read your article. I am a founder of
an online b2b pharma company that sells medicines in terms of credits to retailers from wholesalers instead of cash. After reading from your article I guess that the money spent on marketing and sales by wholesalers can be effectively reduced by using my website. Now being from a non pharma I have a very big issue in determining the profit margins of the 5 players in distribution hierarchy.
So,
1. Can you please send the price list of all medicines currently
available and their margins to each player?
2. I find very difficult to settle on a ecommerce margin that can be
collected from wholesalers. Can you please suggest a margin?
3. Should I collect different margins for different medicines or a
uniform margin for all medicines?
4. How would I know the profit margins if I were to fix different
prices for different medicines?

Thanks in advance.

Response:

Congrats for your B2B Portal for retailer and wholesaler. Before proceeding further, please conduct complete research in pharma market, so it become easy to acquire market.

Wholesale to retail transaction is already in credit, No Pharmacy and Chemist give payment in cash to wholesaler in India. Payment term is 30 to 45 days. In many cases, it crosses 45 days mark. You need to keep in mind this aspect to associate retailers and wholesalers with you.

Second aspect, wholesaler, distributor and stockist doesn’t spend at marketing. It’s company responsibility to spend at marketing and sale.

Retailers and wholesalers are key costumer only in case of generic medicines. If you also want to sell branded and ethical medicines, Retailers and wholesalers are not key costumers to decide price and margin.

  1. Margins and prices vary according to company and its marketing type, so it’s not possible to send price list of all available medicines and their margins.
  2. A wholesale charge generally 10 percent margin. A wholesaler can give your margin from this 10 percent margin. You can decide 1%, 2% or maximum of 3% that can be afford by a wholesaler against your services.
  3. You can charge differently for different type of margins according to market demand and market competition.
  4. You margin will vary according to market demand and competition. You have to fix it accordingly.

Hope above information is helpful to you…

For any query and suggestion, mail us at pharmafranchiseehelp@gmail.com

Related: Best Ayurvedic Herbal Products Online

How to start Online Pharmacy in India?

Query:

What is the procedure to open a online pharmacy in India?

 

Response:

In India, There is no special provision or act present that can describe, regulate and specify online pharmacy. Online Pharmacies also follow drug and Cosmetic Act and Rules made there under. Along with Drug and Cosmetic Act, it should also follow the rule and regulation mentioned under Information Technology Act.

For setting-up online pharmacy, you will require to either set-up own online pharmacy website/mobile app or need to create seller account at existing online pharmacy portals.

Before setting-up own online pharmacy website/app or making seller account at existing online pharmacy portal, you need to set-up a physical pharmacy as in case of traditional pharmacy. Requirement and document will be same for online pharmacy as we have discussed in our article: How to start Pharmacy in India?

You will require a pharmacist at your online pharmacy for receiving and processing prescription uploaded by patient or his care taker. Offline Pharmacy set-up is mandatory for selling medicine online with complete documents and procedure.

Here we take a short look at documents and necessities for starting Offline Store First and then sell medicine online.

Licenses required:

  • Retail Drug License
  • GST number

Retail Drug License:

Retail drug license is issued by District Drug Control Officer who provide drug license as per guidelines issued by State Drug Control Officer. You need to visit district drug control office for applying retail drug license number. Procedure for applying retail drug license may be online or offline as per state policy, you are going to apply.

Requirement and documents for Setting UP Online Pharmacy:

  • Area required: Minimum of 100 square feet
  • Registered Pharmacist: All related documents photocopy will be attached along with Drug License application form
  • Rent agreement or ownership proof of premises
  • Blue print of premises (3 copies)
  • Address Proof of Premises
  • Refrigerator and Air conditional Purchase Bill

Goods and Service Tax Number (GST):

GST is mandatory for firm having annual turnover above 20 lac but in case of online sale GST may be compulsory for all firms/persons having any amount of annual turnover. Read complete detail about applying Goods and Service Tax Identification Number here

After taking retail drug license and GST number, you need to set-up online presence. Online presence could be set-up by either building own e-commerce pharmacy website/app or creating a seller account at already present online pharmacy websites/apps.

Completing above step, you can start selling medicines and drugs online.

What’s coming new:

Government is in process to regulate online sale of medicine by making amendment in Drug and Cosmetic Act and Rule. For knowing new regulations and amendments, we have to wait for new government policy.

Online Pharmacies could have to follow following provisions:

  • Requires a valid Prescription
  • Online Pharmacy should have Physical Address so drug authority can inspect quality and standards of online pharmacy store
  • Government is planning to launch a common portal where all online pharmacies must have registered their self.
  • Online Pharmacy License will be issued by State Drug Control Authority.
  • Presence of Pharmacist is must for collecting prescription and answering the questions of the consumers.
  • Pharmacy can’t dispense habit forming medicines and schedule X drugs.
  • Prescription Drugs (Schedule H and Schedule H1) can only be sell out against a valid doctor prescription.
  • Online Pharmacies have to comply with e-commerce standards covered under IT act, 2000.

Hope above information is helpful to you…

For any query and suggestion, mail us at pharmafranchiseehelp@gmail.com

Pharmacy, Pharmacist and Pharmacy Education. Every Thing you Need To Know?

Complete detail about Pharmacy Profession. Click at article about Pharmacy Profession and business you want to read

If your query is not present in above linked articles, then mail your query at pharmafranchiseehelp@gmail.com

Can I change my college after my 1st year in B. Pharmacy?

Query:
I was a bright very bright student from beginning. I got –% in 10th SSC and –% in 11th. But this time my luck wasn’t with me. And unfortunately i scored only –% in 12th HSC and 91 in CET. Because if this low marks I wont get admission in good collages like Mumbai university.
So for now I am taking admission in ——— pharmacy college. Sir, i wanted to ask that, can I change my college after my 1st year in pharmacy if I score 90%+ in my first year ? Or i have to continue in same college for 4 year and complete my full course in same collage ??
Thank you. Waiting for your wise advise.
P.S. I loved your blog.

Response:

You can’t change college after first year based upon your percentage marks or any other reason. In one condition, you can change college if your current college is ready to give migration certificate and joining college has vacant sheets in 2nd year. You should confirm to your college whether you can get migration after 1st year or not. Possibility is there you couldn’t get migration. But you shouldn’t care about which college you get admission. You need to concentrate at your your study and career.

Hope above information is helpful to you…

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