Pharmacists are the health professionals most accessible to the public and therefore play a vital role in the nation’s healthcare sector. Thulasi Pharmacies, led by founder and CEO M. Ramakrishnan started operations in Coimbatore in 2001. Their USP is to offer affordable medication along with counselling services to educate customers about the safe use of medications. Having weathered the challenge posed by the old order threatened by their dynamic model for pricing, they are looking to expand the portfolio of products they manufacture as part of their growth strategy. Thulasi Pharmacies started with two outlets in Coimbatore and they now have 58 branches in Tamil Nadu and Bengaluru with a turnover of INR 164 crore in the last financial year.They were awarded the Economic Times Retail Award for Operational Efficiency in 2014 which was a proud moment of recognition for the company. Towards 2020, they have a vision to have 100 branches and introduce a 100 products of their own.

In conversation with GlobalLinker(GL), M. Ramakrishnan (MR) shares the story of his company.

GL: Tell us about your business

MR: Thulasi Pharmacies was founded by two leading pharmaceuticals distributors with the objective of providing world-class medical products and services at economical prices. Thulasi was incorporated in November 2001 and started its operations with two outlets in Coimbatore. We now have 58 branches in Tamil Nadu and Bengaluru.

For the financial year 2017-18 our turnover was INR 164 crore with more than 6 lakh customers over the course of the year.

The mission of Thulasi is to provide quality medicines at affordable prices; prevent abuse of medicines; educate patients on safe use of medicines; and ensure availability of medicines to those who need it, when they need it.

GL: What are some of the innovative things you are doing at your stores?

MR: Thulasi has many firsts to its credit. Thulasi introduced the concept of counselling in pharmacies. Counselling is a patient-oriented service whereby our counsellors (pharmacists) explain details about the drugs, they prescribe do’s and don’ts while taking a drug, its action, its likely side effects, what are the precautions etc. Our counsellors also do basic health checkups like blood glucose monitoring and blood pressure monitoring.

We won the Economic Times Retail Award for Operational Efficiency in 2014 which was a proud moment for us.

GL: What are the challenges you have faced in establishing your business?

MR: Thulasi was the first to introduce discounts in pharmacy retailing. The All India Organisation of Chemists and Druggists (AIOCD), a very powerful trade association, choked the supplies to our pharmacy, stating that our discounts hit the interests of its members. Our pharmacy distribution business was also disturbed. However we took various steps to overcome the hurdles posed by this association by taking recourse to MRTP (Monopoly and Restrictive Trade Practice) commission and various courts.

Attrition was another challenge. We reduced attrition levels with a proper induction programme and continuous training.

Now the biggest problem in our industry is the deep discounting which has emerged in recent times. We have introduced more than 40 products of our own in the segment for chronic disease medications to overcome this problem.

GL: What is your big business dream?

MR: Our dream is to become a nationwide pharmacy retail chain and to provide the best pharmacy services by training our pharmacists and employees. Our goals towards 2020 is to have a 100 retail stores and to have 100 products of our own.

GL: What is your message to aspiring entrepreneurs?

MR: Business is not a 100 metre dash, it is a marathon race. Only endurance and strategy can win.

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