By Dr. S.R.Lahoti Professor Dr. Rafiq Zakaria Campus Y.B.Chavan College of Pharmacy, Aurangabad.

1. PHARMACEUTICAL MARKETING : AN OVERVIEW ByDr. S.R.Lahoti ProfessorDr. Rafiq Zakaria CampusY.B.Chavan College of Pharmacy,Aurangabad.

2. Marketing an overview • Difference between sales and marketing ? • Evolution of Marketing Concept. Product oriented view/ Customer oriented view Production concept Product concept Selling Concept Marketing Concept Types of Pharmaceutical products Sales: • Trade Sales • Institutional Sales

3. Pharmaceutical Marketing Different from consumer marketing? • Customers and consumers are different/ Indirect Marketing. • Customer is very well qualified and intelligent • Consumers have no choice. • Scientific Marketing /Technical marketing • Governed by laws and Government regulations • For purchase of product needs prescription Types of Pharmaceutical Products Dosage forms/ formulations -------1) OTC 2) Prescription based Bulk drugs and surgical appliances Four P of Marketing (Marketing Mix) : Product, Price, Place and Promotion.

4. Product life Cycle Journey of product from the development up to removal from the market. Phases in product life cycle: 1) Gestation phase/ Developmental phase 2) Introductory Phase 3) Growth phase 4) Maturity Phase-------a) Growth b) Stable c) Decline 5) Decline Phase

5. Product life Cycle Factors governing the length of the phase: • Complexity • Price • Need of market • Competition---1) Innovative 2) Imitative The Changes in marketing mix at various stages of products life cycle: • Price • Place • Product • Promotion Uses: • Development of marketing strategies • Modifications in product to extend the Cycle • Launching of new product • Re-entry of product

6. Product Acceptance Process (Customer Behavior) Types of doctors: • Brand loyalist • Portfolio Man • Impulse Prescriber • Value Seeker Rational decision maker/ Emotional decision maker Types of customers as per Product acceptance Process: • Innovators (2-3%) • Early adaptors (10%) • Early majority (35%) • Late Majority (45%) • Lizards (8%)

7. New Product Development New Product: New to company, New to market Innovative, Imitative or Replacement (SR or CR) Steps in development: • Exploration (Idea Generation) • Screening • Specifications • Development • Testing / test marketing • Commercialization • Feedback

8. New Product Development Reasons for Failure : • Inadequate market research • Higher production cost • Poor timing • Competition • Insufficient marketing efforts • Inadequate sales force • Weakness in distribution • Wrong target customer

9. Sales Promotion It is marketing communication that attempts to inform and remind individuals and make them to accept, recommend, resell or use a product or service. Buying process: Unawareness Awareness Interest Evaluation Trial Usage Repeat use Part of promotion Mix: • Personal Selling • Advertisement • Sales promotion Schemes • Publicity

10. Personal Selling • Direct contact with customer. • Sales by convincing the customer • Very old, reliable and result oriented method • Control over inventories • Effect can be evaluated directly • Competitors activity can be known directly • Flexible presentation • Can not be used for consumers products (High No. of customers) • Costly method • Limited coverage • Very successful in pharmaceutical marketing • Suitable for technical, costly and industrial products

11. Personal Selling Steps in personal selling : • Prospecting : Identifying and qualifying (SVL) • Preparation : Pre-approach and call planning • Presentation: Approach and demonstration • Objection Handling • Closing the sale • Follow up Ideal Characters of a sales representative: • Physical dimensions: personality, appearance etc • Mental dimensions: Knowledge of product, market, customer • Emotional dimensions : Attitudes, dependability, initiativeness etc.

12. Advertisement • Non personal and paid form presentation of idea, massage or theme • Economic due to vast coverage • No guarantee of sales • Non flexible communication • For pharmaceutical governed by law: D&C act, objectionable advt. act and schedule J. Steps in development of advertisement: • Legal aspect of advt. • Selection of Product • Advt. Budget • Selection of media, duration and frequency. • Massage framing • Major effect of Advt.

13. Sales Promotion Schemes • Temporary activity to increase the sales on immediate basis • To liquidate the inventories, short dated or slow moving products • To introduce new product • To boast the normal sale • To increase sales in decline phase • To motivate and attract new customers • To overcome competition Methods: • Quantity /discounts rebate scheme • Incentives to MR • Display at retailer point • Container premium • Product premium (Slow moving product) • Gift to doctors/ chemists

14. Price • Role Of DPCO and NPPA • Pricing Strategies: • High Skimming • Low Skimming • Penetration • Customary • Ongoing price • Psychological • Marginal Price • As Per Government Rules.

15. Various Avenues in Pharmaceutical Marketing • Sales Team • Product Management Team • Training Team • Scientific Support Team • Brand Management Team • Market Research Team • Export Team • International Marketing Team