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Why you should take PCD Pharma Franchise

Why you should take PCD Pharma Franchise rather than going for contract manufacturing?

Distributors and local marketers are constantly looking for branded products with proven safety and efficacy to launch in the market. If a product has good market potential then you have two options, either be a franchiser or contract manufacture that product. You will have the product either way, but there are several factors associated with it that make PCD Pharma Franchise a better option than contract manufacturing

  1. Investment:

    Contract manufacturing requires the production of large quantities and high investment as it involves procurement of raw materials, packaging material, quality control of the products, storage and distribution. Contract manufacturing requires lots of skills and should be manufactured in a GMP certified facility that adds to the expense. PCD franchise, on the other hand, requires low investment, as only small quantities of products are bought from the manufacturer. Also, small warehouses will be sufficient to store these products. PCD pharma franchise is all about marketing for which marketing support will be provided.

  2. Wide range of products:

    A franchisee will have a wide range of products in the basket. A franchiser can easily select the whole range or opt for selected products that can be ordered in small amounts with full marketing and promotional support. If one is opting for contract manufacturing then you have to select only a small product range that has to be manufactured in large quantities. This adds to the cost and the risk to sell the complete lot. Manufacturing a large number of products will be tedious.

  3. Dependence:

    The products manufactured at CMO cannot be returned or refunded, the only option is to exhaust the product or wait till the expiry. If the company is opting for the PCD pharma franchise then you can order minimum quantities and the liability lies completely with the PCD Company and the franchiser will be free of liability losses.

  4. Market test:

    An already established brand will have proven safety and efficacy market reports. Positive feedback from the doctors and the customers make it marketability easy. It will be easy for the franchiser to penetrate the market with the available data but on the other hand, if a new product is introduced the healthcare professionals need time to trust the brand. It requires lots of effort to promote the product.

  5. Warehousing:

    Storage of manufactured complete MoQ requires a large space. Whether you own or have rented space for warehousing, it adds on to the cost. It requires maintenance of the stored product for long durations. If the product is not fast-moving then there are chances of expiry of the product while at storage only. It is ideal to request small lots from the manufacturer and distribute and market the same. It saves the cost and maintenance of a large warehouse.

  6. Expiry:

    The parent company manufactures one complete lot i.e. minimum order quantity considering the market requirements of the different regions of the country, the lots are then divided into several portions to meet the demands of each of its distributors. If you opt for contract manufacturing; the whole lot has to be consumed within the shelf-life of the medicines. The chances of exhausting a complete lot are tough, it is always safer to order small quantities from the PCD pharma company rather than manufacturing a complete lot.

When starting a new business it is important to strategies and looks for a profitable option. Several reasons justify why you should take PCD Pharma Franchise rather than going for contract manufacturing the major ones being investment and expiry of goods during storage.

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