Nettle’s Business Breakfast
On October 4th, at the Sheraton Hotel in Warsaw, we organized a business breakfast in which approx. 50 guests participated. The theme of breakfast was “Improving distribution efficiency – alternative solutions”.
The meeting began with an IQVIA expert speech on trends in the direct distribution in Europe, and then a representative of the law company Baker McKenzie discussed the legal aspects of this distribution model.
The last part of the breakfast was a discussion panel, which was attended by representatives of the groups present in the room: producers, pharmacies and the office. During the discussion, attention was drawn to the fact that manufacturers are increasingly choosing the direct supply model for pharmacies, as the traditional wholesale model is under great pressure due to rising costs, the development of own brands and pharmacy chains. The model of direct distribution to hospitals is almost 50% of the market, and direct supplies to pharmacies by manufacturers is 10%. The percentage share of direct distribution to pharmacies in Europe depends on the maturity of the market and the local regulator and already reaches almost 20% in some European countries. Manufacturers choose DTP and DTH models mainly for economic reasons, controlling goods in the supply chain, ensuring availability and maximizing compliance with Pharmaceutical Law.
In the future, according to the will of the participants of our breakfast, we plan to organize a meeting of representatives of producers, pharmacists and lawyers in a similar formula.