What is a PCD Pharma Franchise and How Does It Work?

In India, the pharmaceutical sector is expanding at a fast rate starting one’s own pharmaceutical company is challenging. Especially because of the expenses which need to be incurred, the level of regulation in place, and the extent of knowledge of the industry that is required. This is why there is a PCD franchise as a good business opportunity. It allows individuals to engage in a business with very little capital and risk without the enjoyment of the franchise network.

In this blog, we will cover what PCD Pharma Franchise is, its working model, and how you will benefit from it.

Define PCD Pharma Franchise

It is a type of business known as Propaganda Cum Distribution Franchise, involves a formal agreement where one party gives permission either to an individual or to a company to promote, distribute, and retail its specialist products in a given territory.

The franchisee is able to benefit from the image of pharmaceutical company, product images and descriptions or marketing materials, including medicine packages. The franchisee, on the other hand, promotes the products, makes orders to the franchisor and distributes the products to the doctors, medicine stores, and hospitals within the specified region. This model is gaining ground because small scale businesses do not need a lot of capital and risks to start in the pharmaceutical business since there is already a running company that provides the backup.

How Does it Work?

1. Agreement: There is a binding legal document which is signed between the pharma company and the interested potential franchisee, indicating the responsibilities of both parties.

2. Product Selection: Franchisee chooses which Pharma Company’s products they want to sell and distribute. This choice is usually influenced by the local market and what the franchisee knows.

3. Promotion and Marketing: The franchisor supports the franchisee’s efforts by providing brochures, teaching aids and other promotional samples to ensure effective marketing of the products. Local marketing and selling are carried out by the franchisee.

4. Order placement: The franchisee places certain products of his choice on the list and orders them with the pharma company. Then the company makes and supplies those goods to the franchisee.

5. Selling: Franchisee normally sells the products to local physicians, pharmacies and hospitals all within a specified and designated territory.

6. Revenue and Sales: The franchisee has a chance to sell the products at an agreed margin price and make profits. Normally the franchisor will always come up with other payment plans, including bonuses for various sales volumes achieved.

Benefits of a PCD Pharma Franchise

1. Low Investment: There is a low funding requirement in starting this business, as compared to setting up one independent pharmaceutical.

2. Already Established Brand: Franchisees are able to leverage on the existing goodwill of the pharma company, which will add confidence to the clients, moment they enter the market.

3. Exclusive franchise Rights: The beneficial owner usually allows the franchisee certain rights covering the area for exchange of goods, which minimises the chances of having competitors.

4. Marketing Assistance: The Pharma companies have promotional materials and member support, which cuts down on advertising costs to be taken up by the franchisee.

5 Huge Product Portfolio: Many products are available to franchisees, enabling these license holders to serve various needs of the market.

6. Lower Risk: New business start-ups and the risks involved are made easier through support from a well established pharmaceutical company.

Conclusion

If you are looking for a PCD Pharma Franchise in India, Granmed Pharma has been in the pharmaceutical business for over a decade and concentrates on creating and producing high quality medicines. Our company has certification of WHO and GMP, which means producing, distributing and controlling all pharmaceutical products of international standards.

Feel free to contact us and let’s discuss where we can help you.