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How to Merchandise Pharmacy

  • March 2, 2021
  • RPh on the Go

Pharmacy merchandising is a critical tool to increase sales in your pharmacy, and getting your customers on board with your goals is the secret to success.

How Do I Run a Successful Pharmacy?

There is a wide range of profit margins between individual pharmacies. So, how do you run a successful pharmacy? What are some tips and tricks? According to some top performers, there are specific steps to take to boost profit and sales, including:

  • Seek professional help. Talk to advisors, mentors, and consultants. These experts have helped others just like you create a blossoming, successful pharmacy. You also want to ensure that you cover sticky issues such as insurance and legal protections before you jump in with both feet.
  • Do your research. You will need to perform significant market research to see what products are profitable, which locations do the best, and how to serve your community – as that directly impacts sales.
  • Set up your business correctly. Besides obtaining insurance, meeting legal requirements, and developing health care plan agreements, you will want to create a detailed business plan. Make sure it covers all the bases. You will also need significant capital to get your pharmacy up and running.
  • Design and layout are essential. Before your pharmacy begins operating, you should consider its format. Is your workflow smooth and safe? You also want to make the space inviting and friendly – this is likely a neighborhood pharmacy where customer service will be critical to your success.
  • Hire the right people. From the customer service representatives to the pharmacy director, you will want friendly, team-oriented, adept, and safe employees. Your team can make or break the pharmacy.
  • Marketing is crucial. Whether it is your online presence, your advertising tactics, or community engagement, your marketing can boost sales exponentially.

What is a Pharmacy Merchandiser?

Pharmacy merchandising is the sale of non-prescription products. It is a critical component in a pharmacy’s success, and can be a significant factor in how one pharmacy’s profit compares to another. Merchandising involves more than the products that you decide to sell. It also includes where to place specific items, how often they should be rotated, changing displays, and updating signage.

How Can a Retailer Increase Sales in Pharmacy?

Several factors impact pharmacy sales. Location, the amount of traffic in the neighborhood, marketing, and reputation are some of the many ways pharmacies can perform better than competitors. However, pharmacy merchandising is one of the most productive – and overlooked – ways to boost your pharmacy’s sales. Here are some strategic ways to entice patients to make non-pharmacy purchases and ultimately grow pharmacy revenue.

  • Double down on market research. Technology today can reveal vast amounts of information about consumers. Review sales records to see what has sold best. Check industry reports. You can find data that tells you exactly which over-the-counter and retail products are moving and which are not.
  • Take advantage of your store layout. Complete a thorough analysis of your space. Where is most customer attention focused? Where is foot traffic concentrated? Display merchandise near high-volume areas such as the prescription counter and near checkouts.
  • Use sales techniques wisely and aggressively. Ensure that your team upsells and cross-sells regularly. Not only is this a boost for your pharmacy, but patients often benefit, as well. They may not be aware that they need specific products to optimize their health situations. For instance, if you know they are taking a particular drug that drains the body of specific nutrients, you can suggest that they supplement them with one of the products you carry.
  • Build trust. Success in sales is customer trust. They believe in you and your products, so they buy them. Put customer service first on the list.
  • Self-audit your space. Imagine your pharmacy from the eyes of a customer. Is it inviting? Does it make you feel like you are welcome, and can you find products easily? If not, you will need to make some changes.
  • Create a family environment. Besides trust, customers like to feel welcome and recognized. Get to know customers well and greet them personally. Creating a friendly atmosphere will boost your revenue, as they won’t think you are out to trick or deceive.

What are the Merchandising Techniques?

Many techniques can increase customers’ product awareness and desire to purchase non-prescription items. Some of these include:

  • Highlight seasonal items. Rotate seasonal products that are selling the best, such as cold or allergy medicines, in high-profile locations.
  • Go big on displays. If you want a specific product to get attention, make it noticeable. Create large displays and rotate them often to keep customers engaged.
  • Repeat the big sellers. It is fine to display hot items more than once in different parts of your pharmacy. Customers may overlook it once but will notice it the second time.
  • Variety is good. Keep your store fresh. Changing displays often will keep customers on their toes and can increase interaction – and sales.
  • Pair up with others. If you sell products with their own marketing materials, use that to your advantage. They have invested money into these materials, and you can piggyback on them.
  • Know who you are selling to. Your customer is all that matters. Keep them delighted in your pharmacy and adjust your merchandising approach to meet their demands. Customer service is the key to boosting your pharmacy’s revenue.

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