Factors affecting growth of PCD Pharma business

Pharmaceutical sector first feels the heat of low margin in the year of 2013 when Drug Price Control Order (DPCO) was introduced.  Before that high profit margins and MRP has attracted many other buisness professionals into pharma franchise sector. After Drug Price Control Order, PCD Pharma franchise sector started to change. At initial stage about 348 important drugs has been taken under drug price control. After that more and more drugs have been added in the price control slab. It is not single factor that makes PCD Pharma buisness less lucrative. Under drug price control good profit margin can be earned but many other factors are also affceting and making hard to start PCD Pharma business.

Indian pharma companies are exporting generic medicines in many countries and enjoying good profit margins in these countries that they can not earn in India and other developing countries. India is largest exporter of generic medicines to USA and earning high profit through USA market only but recently price control by American market put Indian companies under pressure. This pressure of price and margins may continue to other countries also. Dependent on the export of only these countries is not easy and marginable now. There are some other factors also affect growth and profit of pharma franchise business, it is given as below:

Competition: This sector is one of the most competitive sector. A single doctor is attending more than 10 medical representative on daily basis and these numbers even increase at some area and segment. They all are visiting for prescibing his company’s pharma product. Sometime pharma franchise companies make pressure to increase sales then sales person try to convince doctor with any possible way (ethical or nonethical) to complete his sales target. This high competitive environment makes harder in pharma market to start new business.

Strictness of Rules and Regulations: With the development of sector, related rules and regulations become more strict with time to help growth. Indian Pharmaceutical market is increasing rapidly and will be in top position by 2020 but it still need improvement in standards according to international market. There are many new regulations are introducing on regular basis. Recently some new regulations are announced such as new pricing authority, ethic codes for doctors, Plant specification should with WHO-GMP standards etc.

International Price Control: With the increasing compliement of price control in global market, Top Indian pharma companies also start to concentrate at domestic market. This move become beneficial for domestic pharmaceutical market but at the same time it will make situation more tougher and also increase competition at higher level

Online Pharma Portals: Currently this concept is not popular in India but slowly and steadily it is making its presence in some parts and becoming popular there. We cannot ignore power and reach of online pharmacy portals. It can affect whole distribution system in pharmaceutical sector.  Patients are accepting online pharmacies and In future it is going to become important tool for selling pharma products .

Investment: Business starting cost is increasing day by day in every sector. Profit is declining with the increment in investment. This makes every business even PCD Pharma business though to start.

People are still enjoying doing business in the pharma franchise sector and earning profit margins. For persons having experience and knowledge in pharma franchise sector, still it is lucrative and easy as it were be.

Process of starting packaging and promotional material manufacturing for PCD Pharma Companies

Pharmaceutical segment is a very wide segment. Some non-pharma businesses are also dependent on pharmaceutical companies. Suppliers of packaging material are also among them who are reliable at pharma franchise business. Many PCD pharma companies outsource their packaging material. Some packaging material manufacturers are earning more profit than pharma franchise companies because they can also work for ayurvedic, cosmetic, nutraceutical, food and herbal supplement companies along with PCD Pharma franchise .

Manufacturing of packaging material is a costly process and need machinery to start the project. We will discuss about procedure, machinery and skills required for this process. Packaging material manufacturer also deals in promotional materials like product cards, visual aids and remind cards.

Packaging material– pharma products are used to cover in materials which have the full detail of product along with attractive look like label, foil etc. This material can prevent products from damage and also gives attractive looks to product packaging.
Promotional inputs- They are used for the promotion of medicines can create brand value and generate sales for the company. Widely used promotional materials are ordered book, product card, visual aids and reminder card.
Equipment & Machines:

Offset Printing Machine
Digital Printing Machine
Printing Frame
Computer Sets with Printer
Software (Coral and Photoshop)
Binding equipment
Lamination Machine
Embossing Machine
Technical skills required for:

You need few technical skills to set up and run a printing press for pharma product packaging

Design: You need a designer with good knowledge of Coral Draw and Photoshop. He should have good innovative and creative sense of humor to make attractive designs.
Machine Operator: Different type of machines require a different type of technical skill to run that machine efficiently. You need a person who can print design as it was created.
Commonly two types of printing machines are used. Digital printing machine and Offset printing machine. For printing of promotional materials in small quantities, “digital printing machine” is mostly used and for printing of packaging material like labels, boxes and labels offset printing machine is a better option. Printing presses use offset printing for printing packaging material