PCD (which stands for Propaganda Cum Distribution) Pharma business is the business of marketing and distribution of goods produced by pharmaceutical companies which are mostly drugs and medicines. pharmaceutical company grants a PCD franchise to an individual or a group of individuals which enables them to get the drugs and medicines at very marginalized rates. After the distribution and sale of the products and the distribution of profits among the people involved in the chain like a retailer, stockist and staff members, the PCD business owner keeps the rest for himself or herself as his or her profit.
Due to the ever growing pharmaceutical industry, the scope of growth in the PCD Pharma franchise business is very high. However, where to take the franchise from remains a big question. Many of the aspiring PCD franchise owners suffer from the dilemma of choosing the best and most suitable pharmaceutical company for themselves. If you are one of those aspiring PCD franchise owners, this article will through some light on how you should go about choosing your pharma company.
Turnover
The first thing you should check about your prospective pharma company is the annual turnover of the company. This will give you an overall idea of how well the pharma company has established itself in the market.
Product Range
The next important factor is the product range of the company. You should check out the product catalogs of the prospective companies. The company should not only manufacture the products that you have decided to deal with but also other products of different genres. It will prove to be helpful in case you decide to expand your product range.
Product Quality
Do the quality of the product is one of the most important and decisive criteria, it is very difficult to judge the quality of medicine for someone who is not involved in the industry very deeply and technically. This is because generally, people do not have much knowledge regarding the raw materials being used for whether the API is from India or China. But what you can do is thorough research of the responses of the products from consumers. This research can be done online, offline, or in both mediums.
Another way that the quality check must be done is by physically examining the products. The online photos of these sample medicines are not enough. You should contact the manufacturing companies personally and ask them to send you the sample medicine. Though some Pharma companies provide the sample medicines for free you should not shy away from paying for a sample if you think it is a good company. However, you should never deal with a company that refuses to send the samples.
When the samples arrive, you should thoroughly check the quality of the medicines by examining the hardness of the tablets and the packaging of the medicines. It should also be noted that the packaging of the medicines makes the first impression on the consumers as well as the doctors. Therefore, the packaging of the products should be neat and eye-catching.
Rates
In any product or services business, the rate of the product or service plays a very important role in the marketing of goods and services. You should not fall into the trap of a higher margin and select a product with a higher MRP (Maximum Retail Price). No one likes to pay more for the same product or service. You should never select a product with an MRP higher than the top product in that category. such a product only makes it difficult to sell and it will add to your liabilities.
Marketing Aids
The pharma company should provide you the necessary marketing aid for the promotion and marketing of your products. These marketing aids include- marketing solutions, advertising solutions, physician samples, MR bags, etc. Some companies do provide some of these ads for free but if the company charges you for them, you should negotiate to arrive at a rate suitable for your margin.
Transportation
Transportation cost and medium are two things that should be considered and discussed before finalizing a pharma company for your PCD Pharma franchise. You should ensure that they deliver on time and on a regular basis.
Licenses and Approvals
The final but one of the most important things to check before selecting a pharma company for your PCD Pharma franchise is the licenses and approvals of the company. The company must have the following legal documentation and license done:
Central Sales Tax No.
CIN No.
Drug Controller General of India (DCGI) approvals
Drug License No. (D.L.) Number and Tax Identification Number (TIN)
Food Safety and Standard Authority of India (FSSAI) authorization.
Good Manufacturing Products (GMP) confirmation for the manufacturing units and plants.
GST No.
ISO 9001:2008
Legal Status of Firm
Packaging/Payment and Shipment Details
Pan No.
Registration Authority & Registration No.
Value Added Tax Registration No.
World Health Organization (WHO) etc.