Numbers looking good for Pharmacy 777

AMID the growing number of discount pharmacies in Western Australia, local business Pharmacy 777 is hitting back with a number of initiatives, including being one of only two 24-hour pharmacies in the state.

In the group’s latest move, its Whitfords City store began trading 24 hours a day last month. The store can also be accessed online for prescriptions and home delivery.

Pharmacy 777 managing director Kim Brotherson, one of the group’s four directors, said the initiative would ensure the group remained relevant in an increasingly competitive industry.

Mr Brotherson, a WA Business News 40under40 Award winner, said heavily discounted warehouse-style pharmacies had changed the face of the industry, with Chemist Warehouse’s eight WA metropolitan stores at the forefront.

“There’s been a rapid uptake of pharmacies choosing remote locations where there’s low rent and then discounting the products to get people to go there,” he said.

“That has separated the industry into two markets; certainly it’s a choice for the public to make.”

The Pharmacy 777 business originated in Applecross in the early 1960s and has since grown to encompass 28 stores in the Perth metropolitan and regional areas.

The group’s regional stores are in Karratha, Bridgetown, Margaret River and the Peel Hospital in Mandurah, with another recently opened in Busselton.

“We’re really WA focused at this stage and it’s our plan to push further into the state. WA is big enough at the moment; we want to do what we do here really well and be relevant,” Mr Brotherson said.

When Mr Brotherson won the 40under40 Award in 2006, the group’s turnover was about $59 million mark and is now tracking at $82 million for this financial year. He attributes the growth to service-based initiatives, including an iPhone application for ordering scripts and professional support for diabetes and sleep apnoea patients.

“Rather than trying to do catalogues to get people to come into our stores to buy products that are cheaper than the supermarkets, we try to invest more into things that we thought would be relevant for the customer,” Mr Brotherson said.

“So we bought the courier cars and every day between one and 5pm we deliver; people don’t plan to be sick, so it’s handy if you can get down to the store, we can deliver it to your home or office.”

Mr Brotherson has overseen a major rebranding during the past 12 months, and just last month the group launched television commercials to promote its initiatives. He is also going to introduce a new service to the Whitfords City store – an after-hours nurse practitioner.

“I’m not aware of any other stores that are going to be offering that kind of service until midnight every night, particularly as most of them aren’t even open that long,” he said.

Mr Brotherson said pharmacies were a common starting point for people to come to for medical advice, as it is difficult to see a doctor after hours and “because we don’t charge for advice and if we can’t fix it, we tend to be a good referral point”.

Speaking about the 40under40 Award, Mr Brotherson said it was a “nice recognition” from his fellow directors and the wider business community. His wife, Anastasia, a former pharmacist, also won in the same year for Aura Woman, a fashion boutique she co-founded in 2004.

“I felt good about winning, I’m a slightly competitive person and I’m all for my wife’s success as well, I think she’s outstanding,” he said.

“And certainly being around high achievers, you learn a lot from hearing about what the other winners are doing. It’s quite inspiring.”

Mr Brotherson said Pharmacy 777 was well on track to meet its $100 million annual turnover target set a few years ago by the company’s directors.

“We’ll continue to take on existing stores as well as creating new stores; the whole idea is ensuring we have a pharmacy within seven kilometres of everyone in the area, because it makes the brand more relevant.”