PTR in the pharmaceutical industry stands for Price to Retailer. It represents the price at which a retail pharmacy purchases medications and other pharmaceutical products directly from pharmaceutical stockists or distributors. This is a crucial pricing point in the pharmaceutical supply chain.
In simpler terms, it's the cost the pharmacy incurs to stock its shelves with medications ready for sale to consumers. Understanding PTR is essential for pharmacies to manage their profitability and for manufacturers to ensure their products are accessible to patients.
Here's a breakdown:
- Who pays the PTR? Retail pharmacies.
- Who receives the PTR payment? Pharmaceutical stockists or distributors.
- What does it represent? The cost of goods for the retailer.
Understanding the PTR in conjunction with other pricing terms like MRP (Maximum Retail Price) and PTS (Price to Stockist) helps to understand the profit margins at each stage of the supply chain.
