The world of advertising has changed radically in the past decade. Up until the turn of the century, most doctor’s advertising consisted of yellow and white ad placement and maybe an occasional local radio or newspaper ad.
"Also, the influence of sales representatives has shrunk, as many physicians no longer have the time to take the calls and some doctors refuse to see pharmaceutical representatives out of concern about improper promotions. Growing numbers of doctors prefer digital marketing. Lilly's U.S. sales force "will move to a smaller structure that is more directly aligned with our business realities—along with the realities our customers face, and the way they want to interact with us," a spokesman said."
Last week I sent out some eMails to some thought leaders within our industry to ask them about the breakout and decline of DTC marketing dollars as reported by Nielsen and Cegedim. I received some... [[ This is a content summary only.
The percentage of physicians who believe that e-promotion -- video details, online events, and virtual details -- is inferior to face-to-face promotion increased from 33% in 2011 to 38% in 2012, according to Encuity’s 2012 eAnswers Annual Study...
In January 2013, PatientView published ‘The Corporate Reputation of Pharma—the Patient Perspective', based on the opinions of 600 patient groups worldwide. PatientView is now releasing four reports on the performance of major pharma companies in Germany, Italy, UK and USA.
Surprisingly, the corporate reputation of pharma, and the rankings of each of the pharma companies, varies significantly between the four countries.
In 2012, 40% of 600 respondent patient groups believed that the corporate reputation of pharma had declined worldwide. However, patient groups' attitude to pharma varies significantly across the four countries analysed.
Pharma in the USA stands out as worst among the four countries:
63% of respondent US patient groups believe that the corporate reputation of the pharma industry declined in 201240% of respondent UK patient groups believe that the corporate reputation of the pharma industry declined in 201237% of respondent Italian patient groups believe that the corporate reputation of the pharma industry declined in 201233% of respondent German patient groups believe that the corporate reputation of the pharma industry declined in 2012
Top pharma performers for 2012
Companies ranking top for corporate reputation in the different countries: Germany: JanssenItaly: PfizerUK: PfizerUSA: Bayer
Medical product companies that figure out how to embrace and most effectively apply emerging analytic and digital health technologies, and think creatively about new risk-sharing business models, will be best positioned to deliver.
Pharma’s Underlying Challenge
The fundamental problem the industry is wrestling with is this: car companies know how to make a car, soft drink companies know how to make soda, yet drug companies really have no reliable way of knowing where their next products are going to come from, and in a sense, have to start from scratch each time – at least if they want to make radically new, “first-in-class” products that offer unprecedented, dramatically better benefits to patients.
The problem is, these products are incredibly difficult to come by. Disease remains very complicated, and it’s exceptionally hard to devise a new molecule that durably interferes with a pathological process yet leaves the rest of the body alone; the technical risk, as it’s called, is ridiculously high.
Not surprisingly, strategies that involve tweaking existing products, or reformulating them in a new way (e.g. liquid Ritalin, as Bruce Booth has discussed), remain popular because they at least reduce the technical risk, and may offer an incrementally – and often meaningfully — better option for patients (see here). However, an increasingly difficult payor environment is likely to make this approach ever more challenging, materially elevating the commercial risk. Proving an incrementally better product enhances value can be expensive (because it takes many patients to demonstrate a small difference in an active comparator trial), and of course, risky as well.
The more I dig into FDA regulation of mobile health/medical apps, the more I worry that many pharma health apps aimed at consumers may be in FDA's crosshairs.
At first, I thought that PhRMA and other industry spokespeople were engaging in a bit of fear mongering when they suggested that the FDA "will soon require apps such as medication prescription renewal reminders and blood glucose....
Thus the e-detailing marketing strategy is beneficial for both the doctors and for enhancing the sales growth of the pharmaceutical companies.E-detailing or electronic detailing is a marketing concept that is used by pharmaceutical companies in...
It seems that the sharks are in the water as Accenture reports that most pharma companies are planning to invest more time and money in digital marketing to lower costs and improve marketing... [[ This is a content summary only.
Maybe the gap between consumer packaged good marketers and pharma marketers is finally closing. According to a new Accenture Report ”the sales and marketing models of today need to be reshaped in order to be successful in today’s “new normal. Reducing costs, mastering multichannel marketing and improving digital effectiveness are the top strategic priorities for pharmaceutical sales and marketing executives.”
Accenture says, There is a customer engagement revolution in motion in the Life Sciences industry as it faces life in the “new normal” after the peak of the patent cliff1. The industry is in an era where targeting specific populations and improving patient outcomes is critical for specialty products and where reaching more customers in rapidly developing markets is paramount for growth. This revolution is requiring companies to rethink how they can reach patients, payers, providers and governments in both mature and emerging markets—at speed, at the right price and with the right information for each target audience. This is a significant change from the “feet on the street,” single message selling model that worked well for blockbuster drugs in mature healthcare markets.
And I think I finally found out why agency people are reporting that pharma is spending more in digital marketing. According to the report
The use of third-party service providers is a relatively common practice in the industry that will continue to increase.
The real challenge is can third parties really provide the best analytics and digital marketing strategy as someone who actually works within the brand team/company? It has been my experience that too many pharma companies treat third parties as vendors and don’t always share every bit of important information. Even more important outside agencies need to understand the dynamics, including the corporate politics, within the organization. Employees who don’t understand digital marketing and want to hold onto more “glamorous” channels like TV may fight the shift in dollars to analytics and digital marketing. Still this is great news for pharma which has a reputation of coming late to the party.
Marketing executives for pharmaceutical companies are stepping up their use of digital technologies and analytics to save money and fine-tune their targeting efforts. That includes hyper-personalization through retargeting ...