AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
Price medicines from replacement cost, with a different mark-up for each category: lower on essential and chronic-care medicines that patients buy every month, higher on cosmetics, supplements and convenience lines. Offer generic options where appropriate, show prices clearly, and charge exactly the displayed price, as the FCCPA requires.
The pharmacy pricing problem
A pharmacy has to make a margin to survive, pay a pharmacist and keep the cold chain running. But customers are often unwell, worried and short of money, and they compare prices closely on common medicines. Price too high and they buy elsewhere, or buy half a course. Price too low and the business cannot cover expiry losses, power and staff. The answer is not one mark-up for everything.
Mark-up by category
| Category | Examples | Pricing approach |
|---|---|---|
| Chronic-care medicines | Blood pressure, diabetes, asthma medicines | Keep mark-up modest; these build monthly regulars |
| Common acute medicines | Pain relief, antimalarials, cough and cold | Close to local rates; customers compare |
| Prescription-only specialist | Less common branded medicines | Mark-up covers slower turnover and expiry risk |
| Supplements and vitamins | Multivitamins, minerals | Higher margin; less price-sensitive |
| Personal care and cosmetics | Skin care, toiletries | Retail margins; compare with supermarkets |
| Medical devices | Thermometers, BP monitors, test strips | Moderate; add value with advice |
Write your target mark-up for each category on one page. That stops staff pricing by guesswork and makes reviews quicker.
Mark-up versus margin
A 25% mark-up on cost is a 20% margin on the selling price. If you need a 20% margin to cover your overheads, check that your price list is giving you margin, not mark-up.
Price from replacement cost
Supplier prices for medicines can change, particularly for imported products when exchange rates move. When a distributor raises a price, the stock on your shelf will have to be replaced at the new cost. Most pharmacies reprice once the new supplier price is confirmed, rather than when old stock runs out, so the money collected can buy the next delivery.
Worked example
Example only. A pack of a common antimalarial cost ₦3,200 and sold at ₦4,000 (a 20% margin). The distributor's new price is ₦3,600. At ₦4,000 the margin falls to 10%. To restore 20%, the price would be ₦3,600 ÷ 0.8 = ₦4,500. Because antimalarials are a compared line, the pharmacy sets ₦4,300 (a margin of about 16%) and keeps a lower-cost generic alternative at its usual price for customers who need it.
Generics and choice
Offering a generic alongside a branded product lets customers choose what they can afford without leaving. The pharmacist should explain the difference in plain language. Under the FCCPA, consumers are entitled to information in plain, understandable language (section 114) and to choose between similar products (section 119), so a clear explanation of the options is both good service and good practice.
The rules on displaying prices
- Displayed prices must equal the price at the point of payment (FCCPA section 115). The FCCPC has sealed a store over shelf prices that were lower than checkout prices.
- Marketing must be accurate (section 123): a "discount" must be a real reduction.
- Customers can ask for a written, itemised record of their purchase (section 118).
Use price labels or a clear price list at the counter, and update labels and the till together whenever you reprice.
Handling price questions at the counter
Customers often ask why a medicine costs more than last month or more than another shop. Prepare staff to answer calmly and factually:
- Confirm the price on the label and the till match before discussing anything else.
- Explain if the supplier's price has changed, without blaming the customer for asking.
- Offer a lower-cost alternative where the pharmacist agrees it is suitable.
- Offer a smaller pack size if that helps the customer complete the course now.
- Never sell part of a course without the pharmacist's advice on what that means for treatment.
A customer who feels treated fairly on price, even when it has gone up, is far more likely to return than one who feels brushed off.
Pricing services
If you offer services such as blood pressure checks or medicine reviews, decide whether to charge and show the price in advance. Many pharmacies offer basic checks free to regulars, because the trust they build drives medicine sales. See winning regular customers and refill services.
Review regularly
Review prices on your top 50 lines every month, and immediately when a distributor notifies a change. Look for lines where sales dropped after a price change and decide whether the price, the brand or the pack size needs to change.
Where Pryme fits
Pharmacies are a supported sector in Spaces, Pryme's merchant network. Customers holding Loans on Spaces, lent by Solid Allianze Microfinance Bank, can spend that credit only with Spaces merchants. That means a patient who needs a full course of medicine before payday can buy it from a pharmacy in the network, rather than buying half or going without. They accept their agreement before anything is drawn. Join by opening a Pryme Business Account, and ask Pryme about merchant fees and settlement. See also pay-later for pharmacies.
Questions people ask
What mark-up should a pharmacy add to drugs in Nigeria?
Use different mark-ups by category: modest on chronic-care and commonly compared medicines, higher on supplements, cosmetics and slow-moving specialist lines.
Should I raise prices on medicines already on my shelf?
Many pharmacies reprice once a new supplier price is confirmed, because sales of current stock pay for the replacement. Update labels and till prices together.
Do pharmacies have to display drug prices?
The FCCPA requires material facts, including price, to be disclosed, and displayed prices must equal the price charged at payment.
Can I offer cheaper generic drugs to customers?
Yes, where clinically appropriate. Have the pharmacist explain the options in plain language so the customer can choose.
Sources
- FCCPC: Consumer rights and responsibilities · accessed Oct 2026
- FCCPC acts on deceptive pricing at fast-moving consumer goods store · accessed Oct 2026
- PCN: Guidelines for registration of pharmacists and premises · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.