Skip to main content

Steps involved in starting Pharmaceutical Marketing Company

If we talk about steps for starting pharma marketing company so,  Step 1. You need to take experience in pharmaceutical industry that how you can sell your pharmaceutical products. Step 2. You need to choose your company name. Step 3. After that select your products, choose brand names for your products  Step 4. You can also go for trademark registration if you want to.  Step 5: After finishing these works you can go for company registration if you want to.other wise you can work as a firm  Step 6. Apply for licenses - wholesale drug license,  GST number.  Step7. If you also have food products then you can take fssai registration or license.  Step 8. Next step is to find out a good manufacturer who will manufacture your products. Step 9. Next steps is to get manufactured your products from that manufacturer.  Step 10. Receiving of products. After receiving products, you can selling and marketing of your products.  So, like that you can start your pharma marketing company step by step.

Pharma Franchise Marketing Vs Pharma Marketing Company


When you want to start own business related to pharmaceutical products marketing, you always have two options to start with. One is starting own pharmaceutical marketing company and second is to start marketing by taking franchise of a pharmaceutical company.

Both have own pros and cons & are the most common way to start own pharmaceutical business. In this article, we will discuss which will be the best from these two to start with, pros and cons, and selection criteria.


First have a look at brief information about pharma franchise marketing and pharmaceutical marketing company. Pharmaceutical franchise marketing is a way to promote and distribute other company’s pharmaceutical products at monopoly basis in which you will have exclusive rights at that particular area and no other person can do distribution or marketing of that company product in your area where as pharmaceutical marketing company is a way to promote and distribute pharmaceutical products by manufacturing own brand named products at third party manufacturing or contract manufacturing basis from pharmaceutical manufacturer by setting up pharmaceutical marketing company.

Now come to discussion. As we have discussed above that both have own pros and cons and selection depend at many factors. Pharma franchise and marketing company set-up requires almost same requirements, experience, conditions, licenses and formalities.

For starting pharma franchise marketing and pharma marketing company, both requires wholesale drug license and in some required cases, GST number also. Investment required and minimum order quantity makes the difference while selecting between these two. Both require basic knowledge of pharmaceutical sales and marketing. You may require learning about some basic business administration fundamentals.

Selection Criteria:

Pharmaceutical franchise marketing requires less investment as compare to pharmaceutical marketing company set-up. In franchise, you can start with minimum investment like 5000, 10000 or any other small amount, and can start working at good range of products (generally above 60 products) included in pharma franchise company’s products list. Whereas in case of pharmaceutical marketing company, you have to order a minimum quantity for a single product like 100/200/300 boxes (for tablets and capsules) and 1000/2000/3000 pieces (for liquid/injections/eye drops etc). You will have to arrange a good amount per product that you want to launch under your own company marketed by.
If you have financial restrictions then starting with pharma franchise marketing is good way to start. But if you don’t have any financial restriction and can invest amount to launch at least 8-10 products (generally 5-10 lakhs investment or depend at product selection) & capability to sell quantity you get from manufacturer under your marketed by within 4-6 months. Then own pharmaceutical marketing company is best possible way to start with.
Four to six month time period, we quoted because if you don’t sell it in that period, you may be trapped into financial difficulties like working capital adjustment, stock maintenance, new products launching etc. Drugs and medicines have expire date and you can sell 6-8 months old manufacturing date goods to old customers but new customers always ask for fresh stocks. After one year from manufacturing date, people start to assume pharmaceutical product as near expiry and new distributors, retailers will avoid taking that stock.

Starting a business may look simple and easy but establishing it, running it and earning living hood income in starting few months is somewhat difficult task. You have to make arrangement of financial saving for your living expenses for several months after starting business either franchise marketing or own marketing company. You can start business as a part time along with job or establish a part time income and then start business so you can stand for long term in market till you start to earn good amount of income from your pharma business.

Check out our video: https://www.youtube.com/watch?v=ves9-Gl02LA to learn step wise procedure to start business from job.

How to start Franchise Marketing?
Steps:


How to start Pharma Marketing Company?
Steps:

  • Prepare a business plan
  • Choose company name
  • Choose molecules you want to work with
  • Choose brand names for selected molecules
  • Apply for company registration (voluntary)
  • Apply for wholesale drug license
  • Apply for GST number if required
  • Search for third party manufacturer or contract manufacturer
  • Place order
  • Finalize packing design
  • Wait for till manufacturing process completed
  • Receive the products and start working
  • Check out complete procedure to start pharma marketing company here 


Advantage and Disadvantage in starting with Pharma Franchise Marketing and Own Pharmaceutical Marketing Company:

In case of advantage and disadvantage, pharma franchise and marketing company are reciprocal. Ones advantages are others disadvantage. So you should carefully analyse both advantages and disadvantages, and reach at decision from which you should start with.

Pharma Franchise Marketing:

Advantage:
  • Start with low investment
  • Starting time is very less as products is in ready form
  • Get a good range of product to do work and select franchise company having desired molecule in their product list
  • Get Promotional material to work
  • Monopoly rights which prevent infiltration from other nearby distributors
Disadvantage:
  • You get monopoly rights but exclusive rights are reserved with company
  • You can’t get ownership of brand names and company name as it is property of Pharma Company.
  • Limited area: You will have to work at only area which is assigns to you. In future if you want to expand and company already have distributor there then you have to search a new company
  • You can't control MRP of products as MRP is decided by company on basis of all distributors common point.

Pharma Marketing Company:

Advantage:
  • Ownership and exclusive rights of company name and brand names
  • Unlimited Area: You can expand at per your wish as you are the owner
  • You can fix MRP as per your requirements.
Disadvantage:
  • High Investment as you have to purchase as per MOQ
  • Takes time to launch as products will take atleast 35 to 45 days time in manufacturing process
  • Have to work at limited product range. If want to launch new molecule then further requires more investment

Conclusion: With our experience and market survey, we reach at conclusion that starting with marketing company is somewhat difficult as compared to franchise marketing. You should analyse all aspect based upon your current circumstances and decide which is better for you to start with. Professionals are getting good business in both ways and establishing own business.
You can start with Franchise marketing at initial level and once you establish your franchise business, you can move for starting own pharmaceutical marketing company.

Hope above information is helpful to you...

Related:

Comments

Send Distribution/Franchise Query

Name

Email *

Message *

Register your business at

Find pharmaceutical, cosmetics, nutraceutical, ayurveda and alternative medicine's distributors, franchise, suppliers query for free.

If you want to take distribution, franchise or associates with any pharmaceutical, cosmetic or ayush company then you can find it here...

Popular posts from this blog

What are the Schedules under Drug and Cosmetic Act, 1940 & Rules 1945?

Schedules are the set of provisions for classifications of drugs, forms, fees, standards, requirements and regulations related to pharmaceutical, Ayurvedic (including siddha), unani and tibb system of medicines, homeopathy, blood and realted products etc under Drug and Cosmetic Act, 1940 and Rules, 1945. The schedule to the drugs and cosmetics act are Schedule A, B, C, D, E, F, G, H, I, J, K, L, M, N, O, P, Q, R, S, T, U, V, W, X, Y. Drug and cosmetic rules are divided into schedules alphabetically and named also alphabetically like Schedule A, Schedule B etc till Schedule Y. The schedules to the drugs and cosmetics act are important part. Every schedule contains specific information as discussed below. Schedule A:  Schedule A  describes application forms and licenses types. Download Schedule A Pdf Schedule B:  Schedule B  describes Fees for test or analysis by the Central Drugs Laboratories or State Drugs Laboratories. Download Schedule B Pdf Schedule B1: Schedule B1 describes

How to Register as a Pharmacist in India?

Who is a Pharmacist: Pharmacist is a person having educational qualification in pharmacy profession i.e. Diploma in Pharmacy or Bachelor in pharmacy or Pharma D etc. Who is a Registered Pharmacist: Registered Pharmacist is a person having educational qualification in pharmacy and his/her name is registered under state pharmacy council  of state in which person reside or want to conduct his/her profession or business . How to become a Registered Pharmacist? For becoming pharmacist in India, a person has to fulfill criteria as per Pharmacy Act. A person want to register himself/herself as a pharmacist should have at least minimum of Diploma in Pharmacy or Bachelor in Pharmacy or Pharma D. After completing above mentioned qualifications, you become eligible for registering as a pharmacist. If you have only Diploma in pharmacy, then 500 hours practical training spread over a period of not less than 3 months is also required to become eligible. download pdf After registering your name in s

Pharmacy Chain Stores

Pharmacy retail business is one of the most profitable businesses in healthcare industry . The total Indian retail pharmacy market is growing at an average of 18% per year over the last few years, and is anticipated to grow by even higher numbers in the future. What is a Pharmacy Store? A pharmacy store is retail counter which deals in dispensing and compounding of drugs and medicines.  Pharmacy business in India is regulated through Drug and Cosmetic Act & Rules and there is requirement of  retail drug license  for operating pharmacy and drug store in India. Requirement of pharmacist is necessary for taking retail drug license in India. Pharmacist is a person who is responsible for carry out or supervise all activity of pharmacy or drug store.  Check out:  How to open medical store? What is Chain Pharmacy? When a pharmacy store organization consists of four or more pharmacy stores, it is known as  Pharmacy Chain Stores. In simple word, when an organization or individual set-up/op