Pricing Policy
Current price list for distributors and customers
Pricing and Distribution Strategy
Our pricing and distribution strategy is built on three fundamental pillars:
Clarity: A transparent and easy-to-understand model for all partners.
Consistency: We apply consistent rules and principles across all markets within a region (e.g., all of Europe) to ensure fairness and simplify management.
Fairness: Every partner in our chain who adheres to the rules and actively contributes to our growth is fairly compensated. Our reward system is directly linked to performance and results.
Core Pricing Structure
Our pricing model is designed to be straightforward and to provide our partners with the necessary tools and margins to successfully build the HERBADENT brand in their markets.
Recommended Retail Price (RRP)
The foundation of our model is the Recommended Retail Price (RRP).
This is the target price for the end-consumer in a given market.
It is carefully established based on market analysis, perceived customer value, and competitor pricing.
We ensure price stability across borders. The RRP in different countries is managed within a tight tolerance (typically +/- 3%) to protect all distribution partners from price conflicts and parallel import issues.
National Distributor Price (EXW)
National Distributors are our key strategic partners, responsible for import, logistics, localization, marketing, and building the B2B and D2C sales network.
Purchase Price: The distributor's purchase price is set at 36% of the target Recommended Retail Price (RRP) for that market.
Partner Margin: This structure provides our National Distributors with a 64% margin (based on RRP). This substantial margin is designed to empower distributors to effectively cover all their operational costs (logistics, warehousing, sales teams) and to actively invest in local marketing, brand building, and market education to drive growth.
Margin Structure for Sales Channels
The National Distributor uses their margin to manage and supply the local sales network. The typical margin structure for these channels is as follows:
Retail Networks (Pharmacies, Drugstores): These key channels typically receive a standard trade margin of 20-30% of the RRP. This may be supplemented by local agreements for listing fees or marketing support, which are managed by the National Distributor.
Independent Retailers (Local Pharmacies, Health Stores): These stores also typically operate with a trade margin of 20-30% of the RRP.
Online Retailers / Marketplaces: Similarly, online channels are supplied with a trade margin of 20-30% of the RRP. (Note: HERBAI actively monitors online marketplaces to protect our pricing policy and ensure a level playing field for all our partners.)
Dental Professionals (Ambassador Program): Dental professionals are our most important brand ambassadors. We have a dedicated program to reward them for their expertise and recommendations:
In-Office Sales: A 20% commission on products sold directly to patients in their clinic.
Online Referrals: A 15% commission on sales generated through their unique referral code on the national e-shop (operated by the National Distributor).
Agents: In specific, non-preferred scenarios where an agent model is used, agents are compensated with a success-based commission of 3-15% on finalized sales.
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