How to reduce near-expiry loss in a retail pharmacy

Why near-expiry stock hurts pharmacies

Dead stock and write-offs quietly erase margin. Most retail pharmacies lose money not on the counter, but on shelves where short-dated packs sit too long.

Start with visibility

You cannot fix what you cannot see. Track every batch with:

• Quantity on hand
• Expiry date
• Cost and selling price
• Location (shelf / fridge / back store)

Review a near-expiry list weekly — for example items expiring in the next 30, 60, and 90 days.

Use FEFO, not only FIFO

FEFO (First Expired, First Out) should drive picking at the counter and packing from the back store. Put shorter-dated packs in front. Train every dispenser on this habit.

Act before products die

1. Flag 90-day items for priority selling at the printed price
2. Return packs when the supplier agreement still allows it
3. Move stock between your own branches only when the other branch can sell it in time
4. Write off honestly — hidden loss is worse than recorded loss

Do not sell an expired pack. Quarantine it.

Tie purchasing to sell-through

Overbuying a bonus scheme is a common cause of expiry waste. Match order quantities to recent sales, especially for slow movers and seasonal lines. A low trade price does not help if the pack expires in your store.

Key takeaways

• Weekly near-expiry review beats monthly panic
• FEFO at the shelf prevents most avoidable loss
• Purchasing discipline matters as much as counter speed