Pharmaceuticals retailing, which has remained largely unorganised in Calcutta despite an exponential growth in business, is in for a shake-up, with organised players joining the fray.
“Organised pharma retail is set to double its market share of 20-25 per cent in the next five years, as the urban consumer becomes wary of fake medicines,” says Senthil Kumar, the eastern region head of the Apollo Pharmacy chain of drug stores.
Apollo Pharmacy, part of the Apollo Hospitals Group, is betting big on Calcutta. The chain, which has 32 outlets in the city, is opening 15 new stops this year, five in January itself.
Public awareness on counterfeit drugs could drive organised pharma retail in the city, says Anupam Shukla, the managing director of new entrant Medica Pharmacy, which is planning to open 17 stores in Bengal this month.
“Almost 40 per cent of the medicines sold over the counter by the standalone chemists are fake, and only organised players can eliminate this massive threat,” claims Shukla.
Participants at a recent Ficci conclave also spoke about the “absence of end-to-end integrated systems and lack of technology for smooth flow of supplies”. There is a need to improve the supply chain and introduce barcode, Sunil Menon of Fortis Health World, told the conference.
In Calcutta, where there is a chemist for every 20 families, against the national average of one for 25, the organised players are flagging off value-added services like home delivery, prescription records and reminder services, to win over the para patient.
“We are also introducing the Medica Health Shoppe format, which offers consultancy for lifestyle diseases in a warm, feel-good ambience,” adds Shukla.
Frank Ross, the oldest organised retailer in the pharma business in town — which completed 100 years of existence in 2007 — also has an aggressive rollout roadmap, preparing to ramp up presence from 20 to 70 outlets in Calcutta in the next two years.
“We have introduced personal care products and toiletries in all our stores,” says Aditya Agarwal, a director in the Emami Group, which owns the Frank Ross chain.