A ‘franchisee’ in the pharma industry is an individual or entity that sells pharmaceutical products on behalf of a franchise company. This means that successful Pharma PCD Companies like Vivaceutical partly depend on the franchisees to make profits.
However, these PCD Pharma franchise companies do not choose any pharmacy or dispensary to be their franchisee considering the benefits that come with the agreement.
These include monopoly rights and business aid. Monopoly rights give the franchisee an advantage over other competing entities by being the only one selling products for its franchise in that particular area. And, business aid comes in the form of business advice and materials that may help the pharmacy or dispensary to grow. So prior to this reason, there are certain characteristics that a Pharma franchise company may consider when looking for a franchisee. Let’s delve deeper into some of them.
One of the main characteristics of a good franchisee is an excellent location. A franchisee is like a representative of a larger franchise company therefore being the only representative in an area means being the only source of income in that area. So, a franchisee that is located at an easily accessible place for customers, has a greater chance of generating more profit.
No customer wants to spend a lot of their money, energy and time looking for a product that is hard to reach when they can easily find a substitute closer by. So, it is very strategic to get a franchisee that is located where anyone from any side of the city or town can reach without facing problems.
The Pharma franchise industry is growing day by day in India. This being a fact means the industry is becoming competitive and without proper representation, profit making can become hard. Therefore, it is important to look for a very competitive franchise in the business. Picking one of the best may increase your chances of making more profits and reinforce your brand.
Clean Legal History
Looking at the legal history of a franchisee before entering an agreement is very important. No customer wants to buy their drugs from a pharmacy or dispensary with a record of criminal conduct therefore no Pharma franchise company would like to get involved with such a company as well. Such companies may draw unnecessary attention from the state council, police and auditors. And you never know what the franchisee will do with your products, so, it is advisable to deal with a franchisee with a clean legal history.
Even if you are looking for a third party manufacturing company, understanding the background and legal history of the company is essential.
Excellent Track Record
No franchise company wants to deal with an entity that has a poor tracking history. A company that faces more losses than profits, has many debts and may just go bankrupt anytime. One has to plant their seeds where adequate water can reach them, meaning excellent franchisees should have a consistent profit making record and a very good sales history.
Potential is a very important aspect in the franchise business. A Pharma franchise company should have a nose for potential franchisees. Entities that show the potential to grow and to bring more profits into the business. It is a very big advantage to partner with a growing franchisee because as they grow they grow with your brand.
The franchisee also has to consider the characteristics to look for in a parent Pharma company. It is very advisable for a pharmacy or dispensary to consider a reputable Pharma PCD Company. It is also important to have adequate knowledge on who you partner with in the Pharma industry.