Johnson & Johnson-Gouthami

8/13/2019 Johnson & Johnson-Gouthami

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SWOT Analysis Johnson & Johnson

StrengthsA Substantial Marketing Arsenal

Johnson & Johnson can call upon a network of subsidiaries armed with significant sales and

marketing prowess, as well as expertise in a number of therapy areas. The company possesses

a global sales force which serves to attract joint venture possibilities.

Strategic Acquisitions

Johnson & Johnson has maintained a stable financial position by utilizing cash reserves to

finance timely corporate acuisitions. !ts" Triple #$ %redit ating represents a company able

to take advantage of opportunities that arise without being limited by burdensome levels of

debt.

Product Diversification

The Johnson & Johnson pharmaceutical portfolio, and ts large 'edical (evices &

(iagnostics )',( &(* and %onsumer +ealth division"s serves to reduce dependence upon

any one area. The company plans to continue this broadening through --/01. This

diversification allows a wider range of choice when pursuing opportunities with the greatest

growth prospects.


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Positive evenue !ro"th Pro#ections

The potential of an impressive number of new product launches and the promise of achieving

forecast sales is said to bode well for Johnson & Johnson, helping it weather the recent

decline in prescription pharmaceuticals and projecting a turn/around through -0-. $n

increase at 0.2 %$3 across --#01 is believed to be achievable.

Weaknesses

De$endence on the Success of %aunch Products

'any new launch products are vulnerable to the uncertainty of regulatory review and

ultimate market benefits may vary substantially from forecast, therefore, a reliance upon

launch products potentially represents a threat to Johnson & Johnson"s outlook.

eliance on Sall Molecule Drugs

%ompared to biologics, small molecules are notably more impacted by generic competition.

$s such, although the Johnson & Johnson is engaged in producing new small molecule

products, when coming off/patent, declines are still forecast. This is particularly the case in

the 45, where generic erosion rates are most aggressive. Johnson & Johnson"s small

molecule drug sales declined in -- and are forecast to fall further into -0. Teses issues

reflect concerns expressed across the pharmaceutical industry6the necessity of finding

replacements for billion dollar products as they mature represents an daunting task.

O$$ortunities

Wide ange of Potential 'ross(selling O$$ortunities

Johnson & Johnson is in a position to strategically develop a myriad of cross selling

opportunities. 4sing the disease life cycle as a base the company could exploit its product

line in %7, oncology, diabetes and !&! therapy to formulate linkages between patents and

care/giving resulting in greater efficiency. 'aximizing its balance between 8harmaceuticals,

(iagnostics, and 'edical (evices could result in increased revenues.

Potential to )*$loit +iologics Market

The addition of further biologics to its portfolio can serve as a buffer as mall molecule patents

expiries. J&J is experienced in the development and commercialization of biologics6

including the therapeutic proteins 8rocrit and 9atrecor, and monoclonal antibodies emicade,

eo8ro, 5imponi and 5telara. This represents an opportunity to gain key !8, product rights or


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strengthen discovery capabilities. !n July of --: Johnson & Johnson was selected by ;lan to

form a joint venture for the development and commercialization of these products. !n

addition, J&J acuired an 0.12 euity stake in the company.

ThreatsDe$endence on the Success of %aunch Products

'any new launch products are vulnerable to the uncertainty of regulatory review and

ultimate market benefits may vary substantially from forecast, therefore, a reliance upon

launch products potentially represents a threat to Johnson & Johnson"s outlook.

,egative -$act of ecent Product ecalls

Johnson and Johnson has the misfortune of having to recall of more than 1- medicinesrecently. black or

dark specks> in Tylenol and other products. The company stands to take a hit to its sterling

reputation as congressional lawmakers are blasting the company=s competence and integrity.

%aring for the world, one person at a time... inspires and unites the people of Johnson &

Johnson. ?e embrace research and science / bringing innovative ideas, products and services

to advance the health and well/being of people. ;mployees of the Johnson & Johnson


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Johnson and Johnson Marketing Mi*

The roots for the Johnson & Johnson %ompany run deep. The company began in0@. !t

incorporated one year later. Ay 0:@ it had released its first major product of note # a

sterilizing techniue for catgut sutures.

The firm branched out in 0:0:, with the establishment of an affiliate in %anada, and in

Aritain in 0:1. 9ext came a public launch and a listing on the 9ew Bork 5tock ;xchange in

0:11. ?ould you like to take a lesson on the marketing mixC

Dver the years Johnson & Johnson has grown substantially in part due to strategic

acuisitions ranging from large ones such as 9eutrogena in 0::1 and (e8uy in 0::, to

many smaller ones.


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The following are examples of Johnson and Johnson consumer product pricesH

Aengay 8ain elief F0.::, )at $mazon*, isterine Dral %are FG.1: )9ext Tag*, 5plenda

5weetener FG )(russtore.com*.Tylenol apid elease F0.:E )$llegro 'edical.com*.

Place

These are some companies that sell Johnson and Johnson products wholesaleH Dver

the %ounter ?holesale.com, ?4L 3roup, 5hopat+ome.com

Johnson and Johnson products can be found at the following retail outletsH Target,

?algreens, ?al'art, 7ons and ;versave, to name but a few.

Prootion

Johnson and Johnson offers special discount coupons on products such as baby care,

and contact lens.

Johnson and Johnson has run a MAeauty for $ll $gesN rebate promotion on

%oupons.com and some of the campaign products are available at ?algreens and may also

include buy one get one half off discount as well.

Johnson & Johnson is involved with many causes and advertising campaigns that

encourage healthy lifestyles. Iey initiatives includeH The %ampaign for 9ursing=s


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'edical (evices and (iagnostics business segments. ;ach subsidiary within the business

segments is, with some exceptions, managed by citizens of the country where it is located.

Physical )vidence The Johnson & Johnson +eaduarters is located at Dne Johnson & Johnson 8laza,

9ew Arunswick, 9ew Jersey.

The Johnson& Johnson %onsumer (ivision is located at 0:: 3randview oad,

5killman 9ew Jersey.

The Drtho/Aiotech (ivision is located at G-- oute - aritan, 9ew Jersey.

The ifescan (ivision is located at 0--- 3ibralta (rive, 'ilpitas, %alifornia.

The 7istaIon (ivision is located at GE-- %enturion 8kwy, Jacksonville,


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The company has ranked high ?orking 'other 'agazines" Top Dne +undred

%ompanies for ?orking 'others or 1 years.

Johnson & Johnson was founded more than 0- years ago on a revolutionary ideaH (octors

and nurses should use sterile sutures, dressings and bandages to treat peoples" wounds. 5ince

then, we"ve brought the world new ideas and products that have transformed human health

and well/being. ;very invention, every product, every breakthrough has been powered by

generations of employees who are inspired to make a difference.


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Johnson and Johnson . +rand e$ositioning

iuid petroleum is low/value, mass/produced and has a wide variety of usesR there is huge

potential for mass marketing. 5o why, one must ask, was and how a niche found # then the

strategy revisedC

The market name for this substance has been long known as 'ineral Dil, used primarily for

health and medical uses. Aut 45 pharmaceutical and fast/moving/consumer/goods

manufacturer Johnson and Johnson bridged the gap between the initial &( and the market/

ready innovation by defining a baby/care nicheH Johnson"s Aaby Dil was born. This extended

their Sbaby" product range, which later also included S9o more tears shampoo". These

products demonstrate the benefits and drawbacks of a S


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# the supermarkets # who are also trying to sell their own/brand alternatives. +ence, branding

to create a niche is a competition/driven objective.

/o"ever0 "hile it "as a co$etitive strategy0 no"(a(days the $roducts are arketed to

a "ider0 ass arket . the 1baby2 niche0 "hich liited sales0 has been ditched to

$ursue a ne" sales gro"th ai3 This is essentially re$ositioning a brand3 The baby

oil and sha$oo0 it is argued0 if soft and gentle enough even for babies0 then surely

ne" consuers can be attracted to use the $roduct0 "hich irrors a for of arket

develo$ent3 Predictably0 ore custoers equates to ore sales and therefore

greater revenue4 also0 by increasing deand Johnson and Johnson can benefit fro

internal econoies of scale to reduce average unit costs0 "hich boosts $rofit

argins3 +ut this is easier said than done5 very good arketing "as needed to

successful re$osition their $roducts3 The critical decision0 - believe0 "as in retaining

the core values of their $roduct by aintaining the association "ith babies . des$ite

no longer being their target consuer . to use their re$utation to transfer trust to

ne" custoers3 /ence0 overcoing any custoer inertia3 -ronically0 therefore0 the

secret behind successful brand re$ositioning is not to change the branding to atch

the ne" consuer0 but change the consuer2s $erceived 1needs2 to atch the brand3


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+randed 'ontent Marketing6Johnson & Johnson Style

What is +randed 'ontent7

Branded content is content sponsored and/or produced by one entity or brand, as opposed to

generic content riddled with a plethora of sponsors and advertisers. $ sponsor collaborate

with content producers to bring forth a creative idea and MsellN it to the consumers in a form

that they want it. !n the early 0:--s, radio programs were sponsored by soap companies to

connect with their audience )hence Msoap operasN*. This was their way of reaching out to theirconsumers.

?ith branded content, what J&J )and companies like them* achieved was to create a website

with uality content which are relevant to their target audience. The upside is that it"s

relevant to their products too. !t has been proven that when a piece of content is well/written,

educates, entertains and informs, visitors will keep on coming back for more. The sponsoring

company does not need to buy mediaR instead, they create it themselves.

What is the +randed 'ontent2s A$$roach7

A successful branded content interconnects people stories to product stories in a very

organic way.

Traditional marketing is always based on features, benefits and uniue selling proposition.

Bou find the distinct parts of your product and connect that to the consumers. Aranded

content marketing is doing the reverse of traditional marketing. Bou first identify the passion

point of your target market and connect to their stories first. The integration of currently
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existing content format and new content creation format are prioritized in the eyes of your

target audience. The reason is thatH

Traditional advertising is all about product stories while content is all about people

stories

There are many known companies that practice content marketing. +ere are some of themH

0. Johnson and Johnson

Aaby%enter.com

Aaby.com

8regnancy.com

. Aerican )*$ress

Dpen


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What did Johnson & Johnson do that other retailers can learn fro7

;3 They targeted a "ide range of audience "ho can ensure loyalty3

Aranded content aims for impressions. etailers like Johnson & Johnson can educate their

target audience by giving answers to their uestions and providing solutions to their

problems.


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>3 Cou "ill have an easier tie in distributing your articles3

Arand advocates love their products, and when that happens you"ll find that your content will

be easily shared in social media. Bour content will have a higher. Bou don"t even have to

nudge themR they"ll do the work for you. They become your advocates because you"ve

connected their stories to your products or services through your content.

?3 +rand loyalty and custoer retention is increased3

?hen you are in the process of attracting possible brand advocates, you want your audience

to stay. 5ince they know that you"re not only after their pockets but you continuously engage

with them and connect with them using all the digital media available, they stay with your

brand. They would even defend your brand.

@3 Search visibility is increased and aintained3

?ith the advent of search spam pursuit, search engine giants like 3oogle is on your side.

They want uality and engaging content to provide the searchers. !f yours connects to your

audience"s stories, you will be rewarded with more audience who needs your content by

search engines.

3 'ross(edia o$$ortunities ay arise3

9ot only will you get visibility through your website"s blog but other platform opportunities

will arise. Bou may want to take advantage of videos, podcasts, mobile, book, magazine, or

video games to increase your brand visibility.

uick Action !uide Eor +randed 'ontent Marketing

%reating branded content strategy is not static. !t is very dynamic that every aspect is movingH

from brainstorming, editorial calendar creation, targeting your desired audience, content

creation, content governance, content distribution and sharing encouragement and measuring

results. $ clear plan must be laid in the table for effectiveness in your launching, analytics,
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and monetizing your branded content marketing program. This will help you engage your

customers to become evangelists and repeat customers.

;3 Who are your target audience7

?hat group people are most likely to relate your content as well as your productC (efining

your audiencecan help you align your content strategy on what to write. Bou may also check

how your competitors are doing. Bou may listen to the latest news in your industry, social

media trends and what people are writing about in the blogosphere in your niche.

(on"t forget to define the substance of your content. ?hat kind of content you need and why

you want to write them. (etermining the messaging of your content is also very important.

?hat is the key message of your contentC ?hat do you want your audience to remember at

the end of the dayC $lways invest for uality content.


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Documents

Johnson & Johnson-Gouthami