Profit margin is one of the important things to consider when we start any type of business. So, it is also essential for knowing profit margin in ayurvedic products if we are going to start ayurvedic business. Here we will discuss about how much profit you can earn in ayurvedic industry if you are going to start different types of ayurvedic business like manufacturing, marketing, distribution or retail store. First have a look at how you can start different type of ayurvedic businesses in India? How to start ayush (ayurvedic, yoga/naturopathy, unani, siddha and homoeopathy) products distribution business? How to start ayurvedic store? How to start selling herbal products online? How to start ayush manufacturing business? How to start ayush marketing business? Ayush Franchise Business Now come to the point about profit margin at different types of ayurvedic or ayush products. Profit margin is not fixed for all companies or all ayurvedic products. Profit margin varies company to c
Pharmaceutical Franchise companies need distributors and sales professionals for marketing and promoting their products. These franchise distributors could be found through many ways as discussed in our article: How to find Franchise Distributors for pharmaceutical and ayurvedic company?
Related:
Read: How to find ayurvedic distributors?
In this article, we will try to find out types of franchise distributors. Franchises distributors can also be of different types depend upon their way of marketing, distribution and work. Generally two types of distributors, we will find out in market depend at their distribution type.
They work at limited territory i.e. a district, interior or two districts etc. Their area coverage is small and having good market relationship and sales experience. Sales professionals (Medical representative, area sales manager etc), small distributors and hospitals are generally works as single party franchise distributor’s role.
Advantage:
They work at large scale and cover a large area in state, whole state or more than one state. They either have strong distribution channel or have marketing professionals across whole area where they work. These types of distributors include mainly large wholesalers, big pharma distributors, Sales Professionals (Regional Sales Manager, Zonal Sales Manager, General Sales Manager etc) carrying and forwarding agents (CnF) etc.
Advantage:
Each type of distributor has its own advantage and disadvantage. First helpful in increasing profit of margin and second one is helpful in increasing turnover. Combination of both types of distributors is foundation of any pharmaceutical franchise company and ayurvedic franchise company. In some states you can find out small franchise distributors i.e. single party distributors and few states may be covered through multiple party distributors.
Hope above information is helpful to you...
For any query and suggestion, mail us at pharmafranchiseehelp@gmail.com
In this article, we will try to find out types of franchise distributors. Franchises distributors can also be of different types depend upon their way of marketing, distribution and work. Generally two types of distributors, we will find out in market depend at their distribution type.
- Single Party Distributors
- Multiple Party Distributors
Single Party Distributors:
These are the distributors who market and promote product by own self i.e. promote product to doctor for prescription generation and distribute or directly supply to pharmacy counters for generic/OTC distribution or supply to hospitals at further net rates.They work at limited territory i.e. a district, interior or two districts etc. Their area coverage is small and having good market relationship and sales experience. Sales professionals (Medical representative, area sales manager etc), small distributors and hospitals are generally works as single party franchise distributor’s role.
Advantage:
- They purchase goods at company’s term and conditions and rates hence provide good profit of margin.
- Strict Payment terms
- Limited Sale and less chances of growth in sale even after providing new molecules
- Company have to search for district wise distributors and require more team for cover each state
Multiple Party Distributors:
These are the distributors who don’t promote and market product owns self. They further appoint distributors and supply products to them for promotion and marketing. In another sense, they work as intermediator; purchase goods from company directly at low rates and supply to their distributors after adding their profit margin.They work at large scale and cover a large area in state, whole state or more than one state. They either have strong distribution channel or have marketing professionals across whole area where they work. These types of distributors include mainly large wholesalers, big pharma distributors, Sales Professionals (Regional Sales Manager, Zonal Sales Manager, General Sales Manager etc) carrying and forwarding agents (CnF) etc.
Advantage:
- Company have to find out one distributor and can cover a large scale territory.
- Has to handle one distributor; hence less time and effort is required
- These distributors purchase volume is large, so they helpful in increasing company turnover
- Distributor’s term and conditions dominate agreement
- Rates that are quoted to these distributors are low, hence less margin
Each type of distributor has its own advantage and disadvantage. First helpful in increasing profit of margin and second one is helpful in increasing turnover. Combination of both types of distributors is foundation of any pharmaceutical franchise company and ayurvedic franchise company. In some states you can find out small franchise distributors i.e. single party distributors and few states may be covered through multiple party distributors.
Hope above information is helpful to you...
For any query and suggestion, mail us at pharmafranchiseehelp@gmail.com
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