One of the most important decisions while starting a Pharma PCD business is the choice of your company. If you go wrong while choosing you Pharma PCD Company then there is a risk that your business will not do well even though there has been no lack of efforts from your side.
Most PCD pharma companies are operating on P2P license basis and they get their products manufactured from different manufacturers. This can pose a huge problem, such as:
Availability issues: The biggest suicide in propaganda cum distribution type of marketing or any type of marketing is lack of stock. Since the company does not have its own manufacturing, then it is not in control of planning the factories batches. This may result in a product going out of stock for a long time. A product can go out of stock for as long as 4 months which results in a huge loss of business. Doctors switch the brand due to high competition and do not switch back due to trust lost in the brand. This is extremely common with companies reliant on other manufacturers to produce their stock.
Due to this issue, doctors which were writing other brands may also stop writing other brands and might even stop supporting the company completely. This is the bigger loss as the distributor will not only lose the immediate business, but will not be able to enter into that doctor’s cabin again. The doctor whom the distributor had earned in years of doing a job is now not going to write his products due to the fault of the company chosen by the distributor.
Quality Issues: If a PCD company is manufacturing its products from various different manufacturers, then quite often there are quality issues faced by that company. Since every company will have its own quality standards, all products will have different quality standards. Even though 95% of the company’s products have good quality, even one or two brands if they have poor quality can result in the loss of trust for that company by the doctor and the entire marketing can collapse.
Doctors Trust: Doctors have started losing trust in companies who have a different address for marketing and different for Manufacturing. They feel more secure and comfortable if the pharma PCD company has its own manufacturing. Thus entry into a doctor’s cabin becomes a lot easier and gaining trust becomes easier if the company has its own manufacturing.
Solution: It is always better to choose a company which has its own manufacturing facility or has their chemist managing their products in companies from where they are out sourcing their products. This will ensure quality, availability, trust and of course long term profit.