PHARMACEUTICAL MARKETING
Product
Lecturer: Ms. Enas Abu-Qudais
Product
◦ Anything that is made to satisfy customer need.
◦ It could be tangible or intangible.
Products of the pharmaceutical Industry
◦ The Primary product is the medication.
◦ Prescription only medicines (POM)
◦ Over the counter medicines (OTC)
Prescription Medicine OTC Medicine
A doctor’s prescription is required Does NOT require a prescription to purchase
Can only be dispensed from a pharmacy by
a licensed pharmacist
Available for purchase on store shelves in a pharmacy and in stores such as
supermarkets or small convenience stores
Prescribed for and intended for use by one
person only
OTC medicines can be used by more than one person; however, because of the risk of
contamination, some OTC medicines are NOT recommended for sharing (e.g., eye drops, ointments)
Requires a medical diagnosis and decision
by a licensed healthcare professional as to which medicine is used
Relies on self-diagnosis; product is chosen based on self-care decision
Usually more powerful than OTC medications OTC medicines have a wider margin of safety than prescription medicines
Can be used to treat both minor ailments
and more serious diseases and illness Used to treat minor ailments
Can be harmful if misused Also can be harmful if misused
Branding ◦ The process by which companies distinguish their products from
the competitors by developing distinctive names, packaging and
design to create a brand.
◦ It allows customers to develop association with the product and
ease of the purchase decision.
Importance of branding
◦ Company value
◦ Consumer perceptions and references
◦ Barrier to competition
◦ High profits
◦ Base for brand extension (ex. Panadol extra, Panadol night, Panadol joints)
◦ Trust
Brand awareness
◦ Brand awareness is the likelihood that consumers recognize the
existence and availability of a company's product or service
◦ It’s a pre-condition before evaluating the brand by the customer.
◦ Leads to higher sales and profits.
It Influences the purchasing by:-
-Entering the customer’s evoked set.
-In cases of low involvement.
Brand image
◦ The general impression of the brand.
◦ It is created through the use of the elements of the marketing mix.
◦ Positive image
Generated by strong, favorable and
unique association to the brand in the
memory.
◦ Negative image
Low association with the brand and bad
reputation or bad experience
Drug nomenclature
◦ The systematic naming of drugs.
◦ Three types :-
◦ Chemical names (IUPAC system): the scientific names, based on
the molecular structure of the drug.
◦ Generic non-proprietary name: The common name of the drug.
◦ Brand name (proprietary name) : created and owned by the firm
that markets a specific product.
Systematic IUPAC :
N-(4-hydroxyphenyl)acetamide
Generic : Paracetamol
Brand: Panadol
Example:-
How drugs get their names
◦ In the US a group called the United States Adopted Name (USAN) initiates generic/Chemical name for the new drug and there can only be one name used around the globe for the generic or active ingredient.
◦ They consider three primary issues in the naming process (generics):-
- If it reflects the medication mechanism
- The name’s ability to be translated to other languages
- General ease of pronunciation.
◦ To create a brand name, the pharmaceutical company
conducts and extensive research to identify the most beneficial
name.
◦ The marketing department tests a dozen of names for consumer
response.
◦ The First Letter of the brand name is
always capital.
◦ Generics may have more than one
brand name.
◦ The name is often chosen to be memorable for advertising, or to
be easier to say or spell than the generic name.
◦ Example:
-Ambien (A sedative drug for insomnia)
Am : From morning
Bien: good (in French)
Ambien: to have a good morning after a good night’s sleep.
Product Positioning
◦ Positioning: Placing a brand in that part of the market where it will
have a favorable acceptance compared to competing
products.
◦ The objective is to create
and maintain a distinctive
place in the market.
Key tasks in positioning is the choice of the following :-
-Market segmentation: Who we want to target
-Target market : where we want to compete
-Differential advantage: how we want to compete
Keys for successful positioning
The message must
be clear in terms of
target market and
differential
advantage
It must offer a
value to the
customer over
competition
It must be truthful
and trustworthy
It must be simple
and doesn’t
change regularly
Positioning Example (Gaviscon)