Pharmacy chains activity analysis

Pharmacy chains activity analysis

Russian pharmaceuticals retail chain segment evaluation, both on the level of the state and in particular regions. Pharmacy chains development forecast

Forecasting

Product sales and separate market development forecast, based on unique mathematical models

Business and marketing plan development

Development of detailed business-plans, required to evaluate the reasonability of project start

Search of partners for contract production in Russia

Potential partners search and evaluation, based on their technical opportunities, appropriate experience, and reputation

Monitoring of import substitution

assessment of the main trends of import substitution policies and localization processes in the pharmaceutical market in Russia, the key beneficiaries and companies at risk

Rating of Russian Retail Pharmacies (Q1 2017)

Friday, May 19, 2017

On the one hand, the positive trends of 2016 are strengthening – the demand for pharmaceutical drugs is slowly recovering both as a result of the growing consumption and consumers’ desire to buy more expensive pharmaceuticals. On the other hand, the current positive dynamics are nothing more than a pleasant fact which cannot help the quantitative and qualitative development of the Russian pharmaceutical retail.

The main growth tools that helped the development of the Russian pharmaceutical retail in the recent past are now either completely ineffective, or very close to being inefficient. For example, it is almost impossible to find a place which has enough space and suitable rental conditions with sufficient traffic. For example, it is almost impossible to find a place which has enough space and suitable rental conditions with sufficient traffic. However, global investment programs, such as the Moscow renovation project, open certain opportunities, but even with all the scale of these projects, these opportunities are purely local. In certain regions, for example in St. Petersburg, once large pharmacy chains are closing, which opens similar opportunities. Opportunities for price competition are also close to exhaustion – every self-respecting pharmacy chain has discounter divisions now, and it is more expensive to push the boundaries of the price war in the current conditions.

Meanwhile, the interest to the pharmaceutical market from non-pharmaceutical retailers promises a serious increase in competition in the foreseeable future, so that in the next couple of years the pharmaceutical retail will have to actively look for new drivers for development. However, if the pharmacy projects of X5 and Magnit take a larger scale, it will hardly be possible to do without losses. For now though, the Russian pharmaceutical retail can at least try to minimize these losses.

Read more about rating of Russian retail pharmacies (2016 performance) here: http://rncph.com/news/27_02_2017

Tab 1. Top 15 pharmacies with the largest share in the retail market of pharmaceuticals in Russia (Q1 2017)

Share: