Lack of items on shelves generates loss of R $ 9 bi for pharmacies

Sao Paulo-the lack of products on the shelves, in addition to delivering customer tray for competition, is responsible for an annual loss of about $ 9 billion in sales for the segment of drugstores, points of IMS Health study. The stockout call data show a chance of gain for retailers. The big question, however, is how to take advantage of it.
To the Executive Chairman of the Brazilian Association of Pharmacies and Drugstores (Abrafarma), Sérgio Mena Barreto, rupture is even more important in the drugstore sector, in comparison with other branches of retail. "In General, if a customer goes to a pharmacy and not finding a product he does is swap shop", he says.
The survey of IMS Health, released exclusively by DCI, confirms the opinion of the expert, since this is the choice of the vast majority of consumers when confronted with the absence of an item in a pharmacy (79%). "Considering that the client will not normally intended to buy only a product, this loss is even worse, since he ceases to consume the entire list", analyzes Barreto.
The Vice President of consulting for Latin America of IMS Health, Sydney Clark, agrees and adds that another aggravating factor is the loss of customer loyalty. "There are many initiatives of customer loyalty, but in one of those consumer-get and do not find the product you want, he can not come back, and all these actions lose effect," says, completing in large cities that''s even more latent, as there are a large number of pharmacies next to each other.
In addition to the loss of the client, the lack of products-consulting-calculations may result in a loss of approximately 10% of the average turnover of the companies. "Applied this percentage for the sector as a whole that would represent about $ 9 billion that are not being earnings," says Clark, completing it in more mature markets the breaking index in this segment revolves around 7%. "These 3% are a giant opportunity to gain what is missing", concludes.
Causes and solutions
To the Vice President for Latin America of the close-up International, specialized consulting in the industry, Paul Murilo de Paiva Jr., the main causes of this index (which he considers too high) are: lack of planning together with industry, of an adequate definition of the mix and of a more rigorous measurement of inventory and demand.
"Meet also the rotating speed and output of products in every store of the network," he says. "In some cases the replacement template does the individuality of each unit". In other words, what happens in some networks to do an average of correct amount of stock in all the shops of the company, and with this value the replacement is made. For P Jr. that causes the stock often stay above or below the appropriate.
Barreto, the aim that the Abrafarma main challenge is to synchronize the industry plans, called their forecast, with demand from retailers. "Brazil''s problem is that the salt [the active ingredient] is imported, because we are very poor in fine chemicals, so there is this dependency on foreign markets. If there''s a delay in imports, in the release of a product, or if the industry planning was poorly done you''ll have a lack of the medicine in question, "he explains.
In addition, the expert claims that the measurement made by the networks would have to be more systematic. "You''d have to have this analysis of how many people entered the pharmacy, seeking product and didn''t buy, and also why they bought," he says. "From the moment you have this measurement, enter the part of planning in conjunction with the industry".
As an example, the Executive cites the case of Walmart in the United States of America (USA), where, according to him, who manages the store''s inventory supplier. In this way, he has access to all the data in the store, what is missing and what has in excess. "Here in Brazil it doesn''t exist yet, but it is a good practice to be pursued, since this causes the industry to be more engaged," he says.
Management of categories
Another point of collaboration between the two agents in the chain (industry and retail) that can contribute to mitigate the stockout is the management of categories. According to executives of the two consultancies heard by the DCI that practice has recently begun to be discussed in the pharmacies.
"The management of categories at the bottom is a shared work of trying to mount a pharmacy with a mix of ideal products, i.e. to suit the consumer that pharmacy," explains Clark, of IMS Health.
The expert added that if the network has a good management of categories is that she can have levels of minor disruption, since she will be with the presentation and the quantity of products on the shelves. "That way, you''re not going to have a product that will be ten years on the shelf and nobody''s going to buy, or just have a box of an item that has a very big demand".
P. Jr., of close-up, adds that the work with category management, despite being common in other retail segments, reached not long ago in the drugstores. "It''s the first time I see, in sixteen years that I work with the pharmaceutical market, a situation where there is a design principle that", he says. Despite the difficulties observed, the Executive points out that the pharmaceutical industry has the advantage of owning a lot of information and control of the jail. "If he wants to, he can move in that direction [to reduce the break]. If you do this, will absorb those gains, but to follow as is, that is also not the end of the world. "