The Pharma Career Ladder · The country manager · Step 4: Distributors and market access · Lesson 8

Hospital versus retail strategy

Two channels, two commercial models

By Ahmed El Menshawy · 20 years in pharma, from medical rep to country manager in the UAE. Founder of RepPharma. LinkedIn
Published

A country plan often has one line for the market.

Then, somewhere lower down, hospital and retail appear as two columns of the same forecast.

In my experience they are two different businesses that happen to share a product.

In a hospital, the decision sits with committees, formularies and the pharmacy director. The product is bought through tenders and contracts, on published rules. What wins is evidence, reliable supply and a clean tender file.

In retail, the doctor prescribes, the pharmacist advises and decides what to stock, and the pharmacy orders through the distributor. What wins is availability, steady coverage and the pharmacist's trust.

So the teams are different too. Hospitals need key account managers who can work with many stakeholders at once. Retail needs reps with wide coverage and good routing.

Even the numbers differ. In hospitals I watch listings kept and tenders won. In retail I watch sell-out by pharmacy, and the distributor inventory behind it.

The mistake I have made, and seen others make, is one rep with one message sent into both. It usually does neither well.

Decide the channel split first. Then build each team for its channel.

“One product, two markets. Plan them as two.”
Hospital versus retail strategy: Two channels, two commercial models

Lesson 8 of 17 in Step 4: Distributors and market access, with the full guide and a checklist for this week.

More lessons in step 4: Distributors and market access

Distributors and market access, in RepPharma

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Yearly targets are split by rep, product and month, and sales credit can be moved between reps without changing the company total.

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Distributor stock and pharmacy sell-out side by side, with short-expiry lots flagged up to 90 days ahead.

One system for the whole field force

Visits, plans, forecasts, samples, expenses, leaves and approvals, with role-based access from rep to country manager.

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