Two franchise partners can work with the same company, in towns of similar size, and get completely different results. More often than not the difference comes down to which products each of them picked.
Product selection is not about choosing what looks good on a list. It is about matching what you sell to what doctors in your area actually prescribe and what chemists can actually move. Here are the factors we encourage partners to think through.
1. What doctors in your area prescribe
Start with the doctors you can realistically reach. A general physician writes a very different set of prescriptions from a gynaecologist or a paediatrician. List the doctors you visit or plan to visit, group them by speciality, and choose products for those specialities first.
Chemists can help here. Ask a few of them which compositions they reorder most often. Their answers are usually more useful than any market report.
2. Composition, not just brand name
Doctors think in terms of compositions and combinations. A product with a well-accepted composition is far easier to introduce than an unusual combination that needs a lot of explaining. When you look at a company’s list, check the composition and strength of each product, not only the name.
3. Competition in your market
Some compositions are crowded. Dozens of brands chase the same prescription. That doesn’t rule them out, because high demand can still mean good volume, but you will need a sharper reason for a doctor to switch. Others are less crowded and easier to establish. A sensible mix includes both.
4. Pricing and MRP
Check how each product’s MRP compares with similar brands that chemists already stock. A product priced far above the local norm is hard to place, however good your margin looks on paper.
Also keep in mind that some formulations fall under government price control through the Drug Price Control Order (DPCO), with ceiling prices notified by the NPPA. For these, prices are regulated, so margin structures can be tighter. Know which of your products fall in this category.
5. Shelf life and expiry
Expiry is a real cost in this business. Products with a shorter shelf life need faster rotation. Before you order, check the remaining shelf life at dispatch and be realistic about how quickly you will sell through the quantity. Ask the company about its policy on near-expiry and expired stock as well.
6. Storage requirements
Some products need cool or refrigerated storage. If you plan to sell them, make sure your premises, your stockists and the chemists you supply can store them correctly. Otherwise you risk both product quality and complaints.
7. Seasonal demand
Demand for many categories rises and falls with the seasons. Cough, cold and anti-allergy products pick up in winter and during the monsoon. Rehydration salts and some anti-infectives move more in summer. Plan your stock a few weeks ahead of each season instead of reacting once it has arrived.
8. Packaging and presentation
Good packaging builds trust with doctors, chemists and patients alike. Look at actual samples. Check that the printing is clear, the label details are complete and the pack size makes sense for how the product is prescribed. A seven-day course packed as ten tablets, for example, leaves chemists with loose strips to deal with.
9. Supply consistency
A product is only useful if you can reorder it reliably. Ask the company how consistently each product is available and how quickly it is dispatched. Building a doctor’s prescription habit and then running out of stock is one of the fastest ways to lose that doctor.
10. How the products work together
Finally, look at your selection as a set. Products that a single doctor might prescribe together, such as an antibiotic, an antacid and a multivitamin, make every visit more productive. We cover this in more detail in our article on why product portfolio matters in a pharma franchise.
Start small, then refine
No one picks a perfect list on day one. Begin with a focused set based on these factors, watch what actually sells over three to six months, and adjust. Healthkey Life Sciences can help you shortlist products from our range for your area. Just tell us which specialities you plan to work with.