YOU’RE NOT COMPETING WITH SUPERMARKETS OR ONLINE RETAILERS ON PRICE - YOU’RE COMPETING ON EXPERTISE, CARE AND TRUST
• Streamline options: If space is tight, reduce size or flavour variants to focus on faster- moving lines.
Keep It Fresh: • New launches attract attention - be the first to stock them.
• Discontinued items should be removed promptly. Replace them or reallocate space to maintain choice.
• Product changes (e.g. pack size updates) should be reflected immediately in your displays.
Numark members can access regularly updated Top 500 OTC Lines - like the August 2025 edition - to stay ahead.
Apply the 80/20 Rule Did you know that 80% of OTC sales come from just 20% of your range? This principle is key to availability and efficient stock management.
Smart Stocking: • Ensure fast-moving products have enough facings to avoid out of stocks.
• Example: Co-codamol may need multiple facings, while Ibuprofen gel might only need one.
• Use strategic space planning to maintain availability by allocating the correct space to support the product range.
• Implement a weekly gap-checking process to identify and reorder missing items.
Manual processes can be slow and error prone. Instead, automate where possible using tools like EPOS ordering or app-based solutions. Do your portal options really return value when you consider the time taken to collate and place the orders?
PhoenixSpark App: Streamline Your Ordering The PhoenixSpark App is a simple, shelf-edge ordering tool that can save your pharmacy 2–4 hours per week.
How It Works: • Scan the product barcode or shelf-edge label. • Order directly from the shelf-no need to return to the pharmacy computer.
• Improves stock availability, boosts sales and frees up staff time for other critical tasks.
This tool supports just-in-time replenishment, helping you maintain 100% availability throughout the week.
Pricing & Margin Strategy Your pricing should reflect the true cost of supply, including: • Location costs (rent, staffing) • Business overheads (utilities, insurance) • Training investments for your pharmacy team
It is essential to have a price displayed for each product. This is not only a legal requirement, but a must-have for patients and customers to purchase with confidence. No displayed price often means no sale.
Margins can be improved without compromising: • Clinical appropriateness • Patient benefit • Pharmacy profitability
Remember: pricing isn’t just about being competitive - it’s about being sustainable.
OTC MARKET SHARE BY PRODUCT GROUP
Sleep Aids 5%
Eye Care 13%
Other Product Groups 4%
Pain Relief 22%
Understand Your Competitive Advantage Independent pharmacies are often distress purchase destinations, not retail destinations. You’re not competing with supermarkets or online retailers on price - you’re competing on expertise, care and trust. Your team’s knowledge and patient relationships are your unique selling points. Leverage them.
Key Takeaways • Prioritise medication space - add Health & Beauty, Household and Toiletries only after core OTC product ranges are optimised.
Skin 11%
Digestive Health 11%
Vitamins & Supplements 15%
• Allocate space based on product category performance and product velocity.
Cough, Cold & Sore Throat 19%
• Flex your space seasonally to stay relevant. • Keep your range up to date with new and discontinued lines.
• Offer a credible Own Brand alternative to support patient choice and margin growth.
By taking a strategic approach to OTC - from space planning to stock management - you can unlock the full potential of your pharmacy and ensure you’re capturing your fair share of the £2.5 billion market.
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