Expiries negatively impact pharmacies. The pharmacy may experience lost sales when unable to fulfill an order when the products expire. Expiries mean lost cash since such inventory equates to lost money. Cash flow can be a struggle for chemists with many expiring products. The loss multiplies in terms of money from the lost sale plus cash lying as an expired product. You are also losing out to your competitors. Your pharmacy brand may experience negativity within the marketplace when potential clients associate your chemist with low stock levels. Over time, they may lose trust in your pharmacy’s ability to meet their needs.

Expiries can negatively impact the financial health of your pharmacy. Your pharmacy’s balance sheet will record expiries as a loss to your chemist. The larger the equivalent cost of the expired goods, the more likely the overall balance sheet will record a loss. Practically, your pharmacy may experience cash flow challenges. Your pharmacy may face lower sales in the future when the market no longer trusts your ability to service its needs. Regulatory requirements for disposing of expired products may have financial implications, which would mean additional costs, further hitting your pharmacy’s bottom line. Expired items also take up storage space, which is a cost element.

Expired products can negatively impact the environment. Pharmacies that manage inventory to reduce or eradicate expiries contribute to sustainable business systems. You can work with organizations that redistribute slow-moving and short-expiry items like Renew Rx to contribute positively to the environment and colleagues within the pharmacy profession. You can use such decisions to prop up your brand from the competition. Community (retail) pharmacy is highly fragmented. Clients who care about environmental sustainability can choose to purchase from you when they perceive that your pharmacy brand cares about more than profit. The decision to help redistribute short-expiry and slow-moving products can uplift your pharmacy brand in the eyes of the community.

Remember, depending on how long a product has before expiry, you may be unable to sell the product. Let’s say you have an item that takes sixty days to consume. You must liquidate the product at least sixty days before selling the item. Expiry dates can, therefore, have a long-term impact timewise. Consider delivery timelines when handling such products. Some clients may correlate further expiry timelines to better pharmaceutical quality. Expiring products may indicate a change in market trends. Use the grading system to let go of slow-moving products at your pharmacy.