Business is a complex world. You should stay innovative as well as competitive, in order to sustain and win the markets. Winning customers is the next big challenge. And before all, you need to add up a sufficient amount of capital, to kickstart your venture.
However, things have all changed with the idea of a pharma franchise. You just have to pay a certain amount as a royalty fee to the franchisor. The rest will be taken care of by the latter. Moreover, compared to an actual business enterprise, your idea of franchising has probably a low risk or failure rate.
From being your own boss to stressing less effort on the part of branding, turning yourself into a franchisee is a big advantage in today’s era. That too specifically establishing one of the medicine franchise companies is much more beneficial and let’s analyse the numerous reasons why the pharma and medical industries are the real entities to start your franchising journey in India.
- Demand is High:
Is there any particular region in India where there is a genuine low demand for medicines? Well, the supply might get disrupted due to various external factors; yet, the demand stays the same. Because, medicines are equally important as your food and water, and to ensure that you are fit and healthy, clinical consumption is a prerequisite irrespective of age.
And the notable thing is that your brand, as a pharma franchise company, maintains a good rapport, both with the manufacturing company as well as the distributing company.
- Experience is Non-Mandatory:
If you take a retrospective look at the owners of some top PCD pharma companies in India, you will find that nearly the majority of the founders did not start with sufficient work experience and this is your catch. Because the ‘pharma’ sector is one of the few Indian domains, that does not require you, that is the franchisee, to have on-field experience or medical knowledge about the pathways and mechanisms of all the drugs.
However, keep in mind that some level of expertise or training in marketing, branding, new product launch and promotion, market, industry & competitive analysis, etc. will be helpful in the long run of your franchise.
- Investment is Low:
Being in the healthcare industry, though you have guaranteed returns, in the beginning, you are required to spend some cash over the expenses that your business should officially (or legally) incur. They include these, but are not limited to:
- Drug license
- FSSAI registration
- TIN
- GST number
- Medical licensing costs
However, when you consider a franchise, you would require somewhere within 2 lakhs totally to start off the venture. Low investment/capital is also a reason why many of the successful PCD pharma distributors of this gen work for multiple companies.
- Low Administrative Efforts:
Just by recruiting 1 or 2 sales and marketing professionals, your pharma franchise company is all set to enter the markets. Since administration pressures, sales targets, recruitment errors, boss stresses, hiring hurdles, and more such concerns, are automatically resolved with the aid of a franchise. So, you will only require a few staff members for your team to handle the work (s) much efficiently.
- Enjoy Business Monopoly:
Only a pharma franchise can give you that monopoly and chance to pick any desired location of your choice, for the drug distribution. You can be your own planner and executor for the business without any middle management pressures.
Pharma industry indeed is an Oligopoly in India, but in the case of a franchise, the case is different. Besides the stated, you will have the opportunity to select the stock (s) whichever have a good quartile of demand in the respective target location.
- Public Health Stats are Better:
The supply chain, logistics, and distribution patterns for pharma and/or medicine franchise companies are great in India. Specifically, the regions such as:
- Surat
- Nellore
- Kolkata
- Thrissur
- Coimbatore
- Delhi
- Mumbai
Have a bright future owing to the Indian medical domains. With over INR 8.6 trillion (i.e. US$ 132.84 billion) before FY22 from Rs. 4 trillion (US$ 61.79 billion) in FY17 at a CAGR of 16–17%, these numbers prove that having a pharma franchise company in the healthcare industry in India, will be a profitable idea. So, if you invest here, then it is likely that you may get fine returns as the years pass by.
What You Can Do With Your Franchise
Now, that you may be convinced with the fact that a pharma and medical oriented business will be a success, here are a few more things that you should focus on as a budding enterprise in India;
- Provide a few attractive promotional and marketing inputs/kits such as bags, pens, diaries, coupons, visiting cards, etc. for all vendors, suppliers, & customers as well.
- Always update and report all the medical and healthcare based news and notifications promptly in your respective online and/or offline portals.
- It is advisable to provide gifts and occasional presents to physicians and doctors at least in your target locality.
- Know that specific drugs and medications are banned or restricted in Indian borders. So, ensure that you don’t market the “wrong” type of products.
- Though you have plans to start a franchise, still you must undertake proper competitive analysis, in order to not plagiarise what your rivals are doing already.
Key Takeaways
Medical and pharma industries have the best scope when it comes to franchising in India. Considering the perspectives such as low investment or capital, higher returns, great demand and supply, customer attraction, no pressures, monopoly market, and low administration, these benefits can make your pharma franchise a big hit in the industry.
Wanted to associate and work closely with experienced and legally certified PCD pharma distributors in India? Then, you should ring the experts at Albia Biocare right away. With just a call, you can turn your business idea into a successful brand and make yourself the most profitable entrepreneur among many other companies in the country!
