Started in 1998 as an MBA graduation project, with a 15,000-euro investment in the first drugstore in Timisoara, Help Net is now one of the major drugstore networks in Romania.
With plans to acquire a niche cosmetics producer to introduce its own brands in its drugstores and a 200-store target over the two or three years, Help Net is one of the fastest-growing players on the domestic market.
"At the time of the MBA graduation, I was working with Farmexim. Help Net was part of my graduation project titled 'The Vertical Integration of a Pharmaceuticals Distributor'. Now, six years on, from a project initiated on paper we have a chain of 95 drugstores," Isabelle Iacob, the general manager and one of the shareholders of Help Net Farma, told ZF in an interview.
Help Net is a part of the Farmexim group, one of the strongest pharmaceuticals distributors and retail groups in Romania. Iacob started the Help Net project with a team of 7 people working from an office within the Farmexim building. Initially tasks were not clearly defined, so as a result "everybody did something of everything". The original plan envisaged 40 drugstores, which were to be opened over a five-year period. However, the company exceeded its expectations before the period was up.
Until 2001, Help Net had not been legally split from Farmexim, but in that year a law was passed that banned distributors from engaging in production operations, or from owning a drugstore network. "I would have liked somebody else to handle this business so that I could have stayed with Farmexim. Ovidiu Buluc (the Farmexim general manager) told me that it was my responsibility and I should take care of it," recounts Isabelle Iacob.
At the time of Help Net's launch, there was little information available on the market regarding this type of business, or even on other distributors. Another reason why this company was established was precisely to find out new data.
After the launch, came a period when departments were gradually developed and Help Net's corporate coordinates were devised. The branding process took the longest period of time, over four months.
"When we began to devise Help Net's corporate coordinates, everybody told us we were crazy, that orange is not a colour for a drugstore. That cool tones like green or blue would be more appropriate. It was quite difficult for us to explain to our own people why orange was appropriate, when it is viewed as such an aggressive colour. I tried to persuade them that orange was not an aggressive colour, but a colour that made you feel good," states Iacob.
The year 2004 saw Help Net "boom", with the company doubling its number of stores to 50 and witnessing an almost 100% increase in turnover year-on-year.
At present, Help Net is considering buying a domestic cosmetics producer to manufacture niche products.
Help Net
Started as an MBA graduation project, with the opening of a drugstore in Timisoara in 1998
Is considering acquiring a niche cosmetics producer to introduce its own brands to its drugstores
Plans to reach 200 stores within the next 2-3 years
Is part of Farmexim group, one of the strongest domestic pharmaceutical distributors and retail groups
In 2006 hit a 38m-euro turnover, up 46% year-on-year and projects a 55m-euro turnover for 2007
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
