Current issue #14, 2016

Pharmacy chain 36.6 completely done away with inventory shortage

The pharmacy chain resolved its out-of-stock items issue in a cardinal manner by acquiring a 100% share of pharmaceutical distributor Alliance Healthcare Russia. In exchange, the distributor’s owner Walgreens Boots Alliance will receive a 15% share of the pharmacy chain; however, there is a chance that this share will be growing. All of a sudden, this deal pleased a significant part of the professional community. Distributors do not believe that the pharmacy chain will take a strong hold in the wholesale market; therefore, they count on taking up Alliance’s share. They also hope that Walgreens Boots Alliance will significantly increase their participation in 36.6, which will facilitate further collaboration with the chain.

[PharmVestnik # 14, 19/04/2016, p. 1, cont’d p. 5]

By brand alone

Drug promotion strategies appreciably changed in crisis

When operating under the pressure of the changed economic environment, pharma companies are forced to shift the emphasis of their business strategies in order to retain their market positions. New end customer demands that change familiar trends come to the fore. Currently, strong brands are losing their advantages giving way to less costly analogs. Nonetheless, experts are sure that the segments will soon strike a balance, and washing-out of cheaper drugs will continue.

[PharmVestnik # 14, 19/04/2016, p. 2]

Type state bidding specifications to help save billions of rubles

The local pharmaceutical and medical industry was able to objectively evaluate its dependence on imports only when the ruble plummeted. Being on the investment activity peak in the pre-crisis period, manufacturers proved to be unprepared for the economic perturbations of 2014—2015 as APIs, polymers, reagents as well as virtually all process equipment had been purchased abroad. The Russian industry would have collapsed without government support at that time. Such conclusion was made by the participants of the All-Russia Congress of Pharmaceutical and Medical Industry Workers held in early April in Moscow.

[PharmVestnik # 14, 19/04/2016, p. 4]

“We’ll be able to set up bad pharmacies ourselves”

Alexander Filippov on his vision of pharma market

Pharmacy chain Rigla CEO Alexander FILIPPOV was the recent guest of the “Editorial Fireplace” rubric. He explained why one of the oldest pharmacy chains in the Russian market (Rigla is nearing its 15^th anniversary) would not develop by way ...