The pharmacy sector in Australia is growing, and it’s opening up the door for more start-ups to take ground. Implementing best practices from the beginning of your greenfield pharmacy business is imperative to success, and accounting is the cornerstone of this.
From cloud-based accounting and bookkeeping services to payroll solutions and SME advice, the team at DBS Accountants can step you through the process of starting well, and growing from a strong foundation.
Why are pharmacies doing so well?
According to an August 11 report from Nielsen, pharmacies are benefiting from ‘channel innovation’. This is when businesses look at new ways to bring their products to the consumers. Many pharmacies are now selling makeup products as well as some vitamins and health foods.
In fact, Nielsen specifically highlights the vitamin sector as a reason for the continued growth in Australian pharmacies. IBISWorld suggests the vitamin industry in Australia is worth $1 billion, with annual growth of 6.7 per cent between 2011 and 2016.
Roy Morgan Research from September 2015 shows that more than 8 million Australians purchased vitamins over a six-month period. Nearly half (49 per cent) of Australian women bought vitamins in this same period, while only 34 per cent of men did.
This channel innovation combines with product and service innovation, as well as an increase of 258,000 households choosing to shop at pharmacies in 2015, to provide significant growth. That amounts to 10.8 per cent growth, in fact, and is only set to grow further as new innovations come to the fore.
How can pharmacies take advantage of this growth?
Innovations could make one business stand out over another.
While there are many pharmacy businesses in Australia already in operation, greenfield pharmacies can make an impact as well – particularly if the new additions bring something different to the table. In terms of customer service, innovations could make one business stand out over another. If you have something to add to the industry, it’s likely that your pharmacy will draw customers. According to Customer Satisfaction, 91 per cent of customers that are unhappy with your services will never purchase from you again.
The rise of the online world is also making pharmacies more accessible to people, innovating to save them time. From sending out reminders when repeats are due and accepting those repeats to letting a customer know when something is ready to be picked up, the internet is changing the way pharmacies operate to benefit the consumer.
Get in touch with DBS Accountants today to implement everything your greenfield pharmacy needs right from the start.