Moberg Pharma has entered into a services agreement with Emerson Healthcare, a division of Emerson Group, who will provide certain logistical services and all order to cash functions for retailer and wholesaler customers in the U.S. Along with the outsourcing agreement, the companies are entering into a new Sales Representation Agreement with Emerson Group. The two agreements will result in significant savings in sales and administrative costs for Moberg.
Moberg’s U.S. subsidiary has contracted with Emerson Group for its contract sales functions since 2007. Outsourcing logistical services to Emerson Healthcare will also create savings and efficiencies for Moberg’s retailer customers, by consolidating ordering, receivable, inventory and chargeback functions with the other Emerson clients. Emerson currently provides the same functions for over 200 brands with retail sales of over $1 billion. The agreements take effect on December 1, 2014.
“We are pleased to expand the successful relationship with Emerson. Outsourcing these services will provide immediate savings in freight costs, as well as reducing focus of internal resources on non-value added activities. Under this new model our U.S. team will be able to spend more time and effort on activities that directly drive sales and build brand equity,” said Peter Wolpert, CEO of Moberg Pharma AB.
“We are excited about Moberg’s model to drive growth through a unique combination of innovation and brand equity. The expanded partnership unlocks additional value and enables us to support Moberg’s growth in the U.S. in an excellent way,” said Scott Emerson, President and Founder of Emerson Group.
Source: Moberg Pharma pressrelease