PHARMACEUTICAL MARKETING & ENTREP

Mrs. Thess | MIDTERMS

PHARMACEUTICAL MARKETING SYSTEM 3. Industrial clinics – PLDT, San Miguel, Meralco, PAL,
PHARMACEUTICAL MARKETING SSS, AFP
• A unique bundle of management decisions directed to 4. Medical Clinics/Dispensing Physician
satisfy, delight and surprise customers in the NON-TRADITIONAL
pharmaceutical business, their needs and wants 1. Groceries and supermarkets
through the exchange of products and value with 2. Trading stores and sari-sari stores
others, towards early realization of desired goals. 3. Non-governmental organizations (NGO) and socio-
NEEDS AND WANTS civic charitable organizations – for medical missions,
Core Marketing Concepts apostolic works
1. Human Needs 4. Online platforms
2. Human Wants – expression of needs MARKETING MANAGEMENT PROCESS IN DRUG
• The needs of an individual or group may be the same INDUSTRY
but the extent to which these are satisfied vary and are 1. Analyze market opportunities – design and install
spelled out in specific wants (desires). marketing research and marketing information system
Maslow’s Hierarchy of Needs to solidly back-up marketing decisions.
2. Selecting target markets – choose only specific
segments that can profitably be served better than
direct competitors.
a. Demand measurement and forecasting
b. Market segmentation
c. Market targeting
d. Market positioning
STEPS IN FORECASTING
1. Determine the purposes for which forecasts are to be
used – production, marketing requirements, budgeting,
etc
2. Divide company products into homogenous groups
such as OTC, ethical drugs or by product divisions
3. Determine the factors affecting the sales of each
product category like demand, competition
4. Choose the forecasting method best suited to the job
like percent to net sales
5. Gather all the marketing data such as: sales history,
market trends, consumer attitudes and awareness for
PHARMACEUTICAL MARKETING IN PHIL. SETTING
the last 3 years
• Revolves around large, medium and small drug 6. Analyze the pharmaceutical marketing data, both from
manufacturers and traders operating mostly in Metro internal and external sources
Manila and nearby Luzon areas. 7. Check and cross-check the deductions resulting from
• Sources of prescriptions: physicians and dentists the market analysis: assumptions and hypothesis.
• Authority endorsers: Pharmacists, pharmacy-aides, 8. Make assumptions regarding the effect of factors that
salesclerks, nurses cannot be measured or forecasted: government
• Pharmaceutical companies employ in their marketing restrictions, health-related issues.
concept Total Quality Management (TQM) and Total 9. Convert the deductions and assumptions into specific
Quality Leadership (TQL) product and territorial area, regional forecasts and
• Training and development in marketing and related quota: that are realistic and achievable for the period
fields are done on a continuing company-to-company 10. Apply these to the company’s sales and marketing
basis in order to deliver desired results in terms of operations by quarter or semester in measurable terms
sales, market growth, market share, profitability and 11. Review actual performance against targets and revise
leadership. forecasts periodically
PHARMACEUTICAL MARKETS TYPES OF FORECASTING OBJECTIVES
TRADITIONAL 1. short-term forecast – planning the overall current
1. Drugstores (Community Pharmacy) – wholesalers policy and assessing current developments like hiring
2. Hospitals – IPD, OPD, ER of workers or laying-off casuals.

JARB | 1
2. Budget forecast – preparing an annual budget at the POSITIONING STRATEGIES
corporate or divisional level for working capital 1. on specific product attributes
requirements, cash flow, quota and advertising budget. a. Enervon C – “Anti-stress Formula”
3. Long-term forecast – covers long period from 3 -30 b. Revicon Forte – for “Reserve energy”
years for possible expansion and diversification. 2. On the needs they fill or benefits they offer
a. Alaxan tablets – “muscle relaxant”
MARKET SEGMENTATION & POSITIONING b. Enervon HP Powder – “body resistance
MARKET SEGMENTATION builder”
• The process of classifying customers into groups with 3. According to usage
different needs, characteristics and behavior. a. Neozep tablets – can be taken at the onset of
• A market segment consists of consumers who respond colds, for stuffy nose
in a similar way to a given set of marketing stimuli. MARKETING MIX
TYPES OF MARKET SEGMENTATION 4 P’s of Marketing
• Geographic Segmentation – consists of creating • Set of controllable marketing variables that the firm
different groups of customers based on geographic blends to produce the response it wants in the target
boundaries. market.
• Demographic Segmentation – consists of dividing o Product – goods and services
the market through different variables such as age, o Price – amount of money customers have to
gender, income, etc. pay to obtain the product
• Psychographic Segmentation – consists of grouping o Promotion – activities that communicate the
the target audience based on their behavior, lifestyle, merits of the product.
attitudes and interests. o Place – company activities that make the
• Behavioral Segmentation – focuses on specific product available and visible to target
reactions and the way customers go through their consumers at the right place, right time, right
purchasing processes. quantity, right cost and right condition.
MARKET TARGETING MANAGING THE MARKET EFFORT IN HEALTHCARE
1. Drug products in several formulas BUSINESS
a. Drops (pediatric market 1-9 months old) 1. Market leader strategies – pursue expansion,
b. Liquid (pediatric market 1- 12 months old) investment, innovation, assess threats, launch new
c. Tablet or capsules (adults market 13 yrs old products.
and above) 2. Market challengers – aggressively attack competitors
2. Health products – all age groups to get market share, looks for weakness of market
3. Cosmetic products – female markets, young adults) leaders.
4. Biogesic - upper class market 3. Market followers – choose to follow than challenge
5. Medicol - C. D, E markets the market leaders for a stable market.
6. Unilab Paracetamol tablets - Generic conscious market 4. Market nicher – small firms that specializes in serving
MARKET POSITIONING niches that major competitors overlook.
• Arranging a product to occupy a clear, distinctive and
desirable place relative to competing products in the PRODUCT MIX
minds of target consumers PRODUCT
1. Mercury drug – positioned as a drug outlet that sells • Anything that can be offered to the market for attention,
fresh and lowpiced drugs and health-related products : use or consumption that might satisfy a need or want
“mura na, bago pa” of the target market.
2. Unilab generics – company that markets generic drugs PRODUCT FORMATS
3. Medicol – positioned as effective pain reliever: “safe • The dosage form of the product
even for pregnant women” o Capsules
4. Biogesic – positioned as a safe and potent pain reliever o Tablets
for paracetamol: “the world’s safest pain reliever” o Liquid
5. Neozep – “cold speacialist” o Suspension
PRODUCT’S POSITION o Vials , ampules
• A complex set of consumers’ perceptions, impressions o Powder
and feelings that they hold for the product compared o Lotion
with competing products o Spray
• These are buying-decision making; consumers BRAND OR GENERIC NAME DECISION
organize products into categories – they POSITION • Brand – a name, symbol or design or combination of
products, services and companies in their minds them intended to identify the goods or services.

2
 • Brand mark – the part of the brand that can be 3. Maturity stage – slowing down of product’s sales
recognized but is not utterable such as a symbol, volume reaching a plateau or remaining at constant
design or distinctive lettering. volumes.
• Brand name – part of the brand that can be vocalized, 4. Decline stage – continuous drops in sales of most
utterable. product formats and brands at a low level for many
• Trademark – brand or part of the brand that is given years.
legal protection.
• Copyright – the exclusive legal right to reproduce,
publish and sell the matter and form of literary, musical
or artistic work.
Blanket Family Name
• Enervon family
• Enervon C tablets
• Enervon C liquid
• Enervon drops
Brand Extension decision
• Neozep tablet
• Neozep syrup
• Neozep Otic
• Neozep Medicated Cold rub
MULTIBRANDING DECISIONS
• The seller develops 2 or more brands in the same drug
product category or same generic equivalents
• Advantages
o More shelf space at the selling area
o Loyalty to the brand of the customers
o Healthy competition within the manufacturer’s
organization
o Attracts several target market segments
PACKAGING DECISIONS
• Packaging – marketing activity of creatively designing
and producing the appropriate container or wrapper for
a drug product suitable to target market.
• Primary package – product’s immediate container
(bottle, foil pack)
• Secondary package – material that protects the
primary package and that is thrown away when the
product is to be used like card board box of the bottle
• Shipping package – used to store identify and ship
the product to target markets
• Label – consists of printed information in accordance
to FDA labelling guidelines
PRODUCT MIX
• Product assortment
• Set of all product lines and items that a particular seller
offers for sale to buyers.

PHARMACEUTICAL PRODUCT LIFECYCLE