Cosmetics and Perfumery

Once almost exclusive to pharmacy but nowadays there are several areas to be aware of. They are high margin items and in theory very profitable, however:

Many agencies insist upon a minimum level of stock holding of their whole range, which may include several slow moving lines. Consequently the cost of stock holding is high and can reduce the overall margin earned.

There are many cut-price sellers of perfume and if this is the case in the locality of the pharmacy, then this will reduce your margin.

It is possible to buy a good range of perfume's on the grey market and merely stock what there is a demand for, albeit at a lower margin but without the stock holding cost. The further benefit is that the space can be used to display faster moving items.

In summary therefore, one or even two agencies are usually fine but a greater number than that may reduce the attractiveness of the pharmacy and therefore its goodwill value.