Strategy
We have formulated our strategy, to which the patient is central, against the background of our mission, core values, the trends we identify in the market and the SWOT analysis.
Our core tasks are the distribution of pharmaceuticals and medical devices, and the associated advice and services with which we deliver added value. We are increasingly aspiring to the role of orchestrator of the distribution chain: playing the central role in the chain from manufacturer to patient, while maintaining a continual focus on process and healthcare innovation.
We serve the patient via multiple distribution channels. Directly at home, with nursing support if required (Mediq Direct), via hospitals, nursing homes and other care institutions (Mediq Institutional) or via Mediq Pharmacies. To successfully realise our strategy we work together in partnership with manufacturers, prescribers and healthcare insurers.
Our strategy rests on three pillars:
• Growth of direct & institutional activities
We aim to continue to grow, organic as well as through acquisitions. This is targeted at the following market trends: an increase in the number of people with chronic conditions, the growth of care and nursing in home settings and the increased importance for patients of convenience and service. There are opportunities in various countries to further expand our services portfolio with additional product-market combinations, as well as our customer base. Optimum sharing of knowledge and experience between the various group companies allows us to profit from synergies in terms of both sales and costs. Due to price pressure, economies of scale are also important in the institutional market. International growth will make us less dependent on the Dutch market and will allow us to make optimum use of our purchasing power.
Our prime focus with a view to acquisitions is on the countries in which we already have a presence. We see the greatest opportunities in Germany, the Nordics and the USA.
• Strengthening leading pharmacy formula
Virtually all our pharmacies in the Netherlands and Poland now operate under the Mediq pharmacy formula. Sales growth is pursued with a broad and attractive range of non-prescription pharmaceuticals including skin care products, paracetamol and vitamins, partly under our private label.
We are also aiming for growth in the number of additional care services in response to the growing need for personal, informed advice on pharmaceuticals and health. This concerns personal, expert information on the operation and safety of medication, for instance in structured care programmes for chronic conditions such as diabetes. Other services include specific forms of providing healthcare, such as polypharmacy projects (assisting patients using multiple pharmaceuticals) and medication and health checks. These healthcare services are developed in close cooperation with GPs, other primary healthcare providers, manufacturers and healthcare insurers. They allow healthcare insurers to selectively position themselves in respect of patients.
Further growth in the number of Mediq pharmacies will be achieved mainly by an increase in the number of franchisees, both in the Netherlands and in Poland.
• Efficiency improvement
Our thinking on the basis of integrated logistical concepts allows us to target improvements in our logistical performance and mitigate margin erosion due to price cuts. We are reducing our cost base by centralising and standardising back-office processes. In addition we are mitigating margin pressure by group-wide purchasing and expansion of the range of private label products. Owing to its scale, Mediq’s purchasing volumes are substantial. An active purchasing policy is in place that leads to process improvement, to close cooperation with suppliers, sometimes on an exclusive basis, and subcontractors, and to cost reductions.