This archive report was first published on 28 November 2019.
Kenya's community pharmacies have long struggled with stockouts and unstable supply chains. However, a new solution has emerged in the form of Shelf Life, a global pharmaceutical inventory management service that has been licensed in Kenya by the Pharmacy and Poisons Board.
Launched in July 2017 by Field Intelligence, Shelf Life provides a pay-as-you-sell subscription service to over 500 life-saving medicines and essential products. This innovative approach has already seen significant adoption, with 50 retail locations in Kenya now using the service.
According to Shelf Life's research, 60% of community pharmacies frequently stock out of essential medicines, while 55% lack access to stable supply and finance. In contrast, pharmacies on the Shelf Life platform achieve an average 96% availability on essential products from over 45 therapeutic areas.
Pharmacies on Shelf Life sell their products on consignment, paying only for what they sell. This protects them from inventory and expiry risk, enabling them to expand their range of medicines and other essential items. Kenyan pharmacies on the platform are adding an average of 34 new product subscriptions to their Shelf Life account each month.
By offloading inventory management, logistics, and retail analytics to Shelf Life, pharmacies are freeing up an average of KES 100,000 in working capital per month. They also receive monthly business intelligence insights, which cover inventory performance and pricing.
Mr. Omar of Princess Pharmacy in South C, Nairobi, praises the service, saying, “For a long time we have wanted to expand the treatments we offer our customers. But nowadays it is tough for a small business to raise the finance to do this. By subscribing to Shelf Life, we have been able to reduce the risk of stocking more products and we’ve been able to free up cash to hire more staff.”
Ajiffa Labor, Head Pharmacist, Shelf Life Kenya, notes, “We have had great support from the Kenya Pharmacy and Poisons Board, Pharmaceutical Society of Kenya, and the Kenya Pharmaceutical Association. They recognise that we can bring discipline and scale to retail pharmacy management.”
Michael Moreland, CEO and Co-Founder, Field, adds, “With approaching 200 community pharmacies on the Shelf Life platform across Africa, we are building the largest technology-enabled pharmacy supply chain network on the continent.”
