The verdict in three sentences
A generics manufacturer based in Dubai that wants to sell directly to 900 pharmacies across the UAE needs a B2B ordering portal restricted to licensed pharmacies, with wholesale price lists, volume discounts and 30 day credit managed per account. Payment should combine bank transfer for larger pharmacies and card or instant payment links for independents, which often pay at order. Batch traceability (batch number, expiry date, recall) is not optional: it is what makes a direct channel defensible with distributors and regulators.
The context: why a direct channel to pharmacies
In the UAE, most medicines reach pharmacies through licensed distributors and local agents, who deliver once or twice a day. A local generics manufacturer holding the right licences with the federal and Dubai health authorities can build a direct channel for part of its 180 products: fast movers, monthly replenishment, promotional campaigns. The portal does not replace distributors, it gives the manufacturer a direct relationship, sales data per pharmacy and tighter margin control. Before any project, have the distribution model validated by your regulatory affairs team and responsible pharmacist.
| Item | Through a distributor | Direct manufacturer portal |
|---|---|---|
| Margin left to the intermediary | 10 to 18% of wholesale price (order of magnitude 2026) | 0%, internal logistics cost instead |
| Delivery frequency | 1 to 2 times a day | 1 to 3 times a week by emirate |
| Sales data per pharmacy | Limited or paid | Complete, real time |
| Targeted volume discounts | Hard to steer | Configurable by pharmacy or chain |
| Supplier credit | Managed by the distributor | Managed by the manufacturer, risk to control |
| Batch traceability to the pharmacy | Partial | Complete, recall within minutes |
Must have portal features
The portal opens only to verified pharmacies: health authority licence number, pharmacist in charge, trade licence, TRN for VAT, address. Each account gets a price tier (base wholesale price, discount by monthly volume) and a credit limit.
| Feature | Detail | Priority |
|---|---|---|
| Verified pharmacy accounts | Manual approval, 1 to 3 users per pharmacy | Launch |
| Price lists and volume discounts | Example: 3% above 5,000 USD, 6% above 15,000 USD per month | Launch |
| 30 day credit per account | Limit, open balance, automatic hold when exceeded | Launch |
| Card and instant payment links | Pay at order or settle invoices, fees around 2 to 2.9% for cards | Launch |
| Bank transfer with reference | For high volume pharmacies and chains | Launch |
| Batch traceability | Batch and expiry on every delivery note, history per pharmacy | Launch |
| Batch recall | SMS and email alert to affected pharmacies within an hour | Launch |
| Quick order and replenishment | Usual list, suggested quantities | Phase 2 |
| Arabic and English interface | Languages are set in the quote | Phase 2 |
Traceability relies on batch managed stock, usually FEFO (first expired, first out). The portal reads available batches from the ERP or warehouse system, reserves quantities at order and prints the batch on the delivery note. In a recall, the query "which pharmacies received batch X" takes seconds instead of days.
The budget depends mainly on integration with stock management and the credit module. A Kolonell custom application of this kind usually falls in the medium band, 4,000,000 to 7,000,000 FCFA (6,100 to 10,670 EUR), or complex, 7,000,000 to 15,000,000+ FCFA (10,670 to 22,870+ EUR), once you add an ERP connector, a delivery app and delegated dashboards. Monthly maintenance is chosen among 35,000, 75,000 or 120,000 FCFA. Specific connectors and hosting are priced in the quote.
Mini case study
Omar, sales director of a generics manufacturer in Dubai, targets 300 active pharmacies on the portal in year one, with an average direct order of 4,500 USD a month. Direct revenue reaches 300 × 4,500 × 12 = 16,200,000 USD a year.
On that volume, the margin previously left to distributors, estimated at 14%, represents 2,268,000 USD. In exchange the manufacturer carries internal logistics (vans, drivers, picking), estimated at 5% of direct revenue, or 810,000 USD, and a credit risk provision of 1.5%, or 243,000 USD. Net gain before portal cost comes to about 1,215,000 USD a year. Even a project in the complex band pays back within months, provided adoption follows.
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FAQ
Can a manufacturer sell directly to pharmacies in the UAE?
It depends on the licences held and the distribution model approved by the health authorities, and on any exclusive agency agreements. The portal is designed after this validation, with the responsible pharmacist.
How do you handle small pharmacies without credit?
They pay at order by card or instant payment link, with card fees of roughly 2 to 2.9% for the merchant. After 3 to 6 months of clean history, a 30 day credit limit can be opened.
How do you avoid bad debt on 30 day credit?
The portal automatically holds any order when the balance exceeds the limit or an invoice is more than 7 days overdue. SMS reminders at D-3 and D+3 noticeably reduce late payments.
Is batch traceability hard to set up?
It is simple if stock is already batch managed in the ERP. If not, batch management must first be structured in the warehouse, which takes 4 to 8 weeks.
How long until the portal is live?
Plan 10 to 16 weeks for a launch with accounts, pricing, credit, payments and traceability, then a pilot on 50 pharmacies before wide rollout.
Let's scope your project. Pharmacy accounts, pricing and discounts, credit, card and bank payments, batch traceability: we scope your portal and its launch schedule. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
