The Pharma industry is growing and progressing in India tremendously. It brings several opportunities and a good time for individuals who think to become a part of this particular industry. If you want to commence the PCD pharma business, it is the right time to jump into the market and start serving potential clients.
When it comes to planning for a business, the most important factors are – cost, gross margin, and net margin. By paying attention to our PCD pharma companies price list, you can set some estimations with ease. With the help of upcoming details, you will understand how to calculate the final cost and create a complete price list of your own.
Calculation Of PCD Pharma Companies Price List
If you focus on the method of deciding prices or MRPs for drugs or any medical product, the PCD pharma companies are paying attention to their competitors first. All companies are trying to deliver pharmaceuticals at competitive prices only. It is the main reason why they do strict calculations and adjustments while calculating cost and keep the prices competitive as much as they can. Here, you will understand how to focus on proper PCD pharma companies price list calculations.
Step-By-Step Guide
- A PCD pharma company calculates their cost of raw material by using the calculation of the net rate. The price of PCD Pharma Companies deal for a franchise is completely based on net price.
- The formula that a PCD Pharma Company uses for creating a price list is:
- Total cost = Manufacturing cost + packing material cost + transportation + expenses + promotional material + taxes
- Margin Percentage = Total cost x Net rate
- You can find out the margin rate of all companies completely different. A company’s margin rate is dependent on multiple aspects, such as – administration expenses, number of employees, and some other operational & non-operational expenses.
- If you compare the prices of a generic drug firm with a PCD pharma agency, you can see a big difference in prices. The biggest factor for the difference in branding. A generic firm never spends funds on promoting its brands and drugs. On the other hand; a PCD pharma puts lots of effort into branding. They use different types of promotional items, such as – leaf behind cards, visual aids, bags, catch covers, calendars, diaries, pens, writing pads, and many other items. These efforts increase their cost and prices as well as generic drugs.
- A company always calculates and sets a price that will be charged from the customers during the course of selling. Here, things are also in the hands of franchise holders because they need to set their margin rate by focusing on overall cost and some other expenses. Transportation costs are also borne by the franchise holder.
(An example: if a franchise holder receives a product or drug at the price of 10 rs., then 10% more will be added by the receiver as their transportation cost. In the end, the cost of the product becomes 11 rs. But, the MRP of these drugs is also higher. Here, everything in the hands of franchise holders that how much margin they want to set and sell it further.)
These are some major facts regarding the calculation of the PCD pharma company’s price list.
How Is A PCD Pharma Company Beneficial?
Some people want to figure out the importance of a PCD pharma company over generic ones. A PCD pharma company will appear like a brand. It always provides a monopoly to their franchise holders on a geographical basis. Due to this particular factor, the franchise holders never face any competition in the market and keep their business flowing perfectly.
For improving the promotional and marketing practices, a PCD pharma company always provides lots of stuff without any additional charges. Along with it, the company always puts several efforts into improving branding and marketing practices in the area of franchise holders and improving their business positions. With all these things, you can find out product quality higher of a PCD pharma company.
Hower Pharma is always available with the best services and top-quality products at competitive prices. You can check out our PCD pharma companies price list here.