10-step marketing plan ritemed metformin hcl tanjm
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10-Step Marketing Plan RiteMed Metformin by Jose Mariano TanASMPH Class 2012 Marketing under Professor BarrenecheaTRANSCRIPT
JOSE MARIANO TAN 29 NOVEMBER 2010
10-STEP MARKETING PLAN FOR
Metformin HCl ®
FIVE STEPS FOR PART 1
1. Target Market: Diabetes Type 2 Patients" 2. NWE: Optimal Glycemic Control 3. Choice:
Branded and/or Generic Medications
4. Gap: Branded Generics Strategy 5. Market Size:
PhP2.3 Billion (Total) PhP1.2 Billion Niche
FIVE STEPS FOR PART 2
1. Product: Metformin HCl from RiteMed" 2. Price: 20-80% less of Branded Price 3. Promotion:
Broadcast Trimedia (Unilab Guarantee) Sales Representative
4. Place: Unilab Network, Nationwide 5. Strategy: Straddling
(Low Cost & High Quality)
Positioning to the Primary Target Market
Part 1: Step 1 of 5
Primary Target Market
Demographics: > 40 years old M > F*
Social Class C to E Overweight*
Lifestyle: Minimal Physical Exercise High Consumption of Processed Foods and High Sugar Diet
Primary Target Market
Consumption Behavior: 500 mg Tablet 2x/day Regular Hospital Monitoring Multiple Medications Lifestyle Changes
Needs Wants and Expectations of Target Market
Part 1: Step 2 of 5
Needs, Wants and Expectations
Maslow’s Hierarchy of Needs
Good Health
Realization of Goals
Needs, Wants and Expectations
Developmental Stages of Erik Erikson
Needs, Wants and Expectations
Developmental Stages of Erik Erikson Middle Adulthood (35 to 55) Generativity (Fear of inactivity and
meaninglessness) Triggered by Disease States
Needs, Wants and Expectations
Maslow’s Hierarchy of Needs
Good Health
Realization of Goals Generativity!
Needs, Wants and Expectations
Wants: Quality Assurance Efficacy Low-Cost Limited Side Effects
Needs, Wants and Expectations
Expectations: Decrease Blood Sugar Level Good Glycemic Control Controlled Side Effects No Disease Progression Generics Price Range
Direct and Indirect Competitors
Part 1: Step 3 of 5
Competitors
Boie Britton Health Saver Littman Metro Drug Metrolink Pharm Natrapharm
NextChem Pharma Nutria Sanofi-Aventis Unilab Winthrop Zuellig
Direct Competitors (Branded):
Competitors
The Generics Pharmacy Generika
Direct Competitors (Generic):
Competitors
Indirect Competitors: Exercise Diet Insulin Insulin Secretagogues
Thiazolidinediones Alpha-glucosidase Inhibitors Incretin-based Treatments Amylin Analog
Competitors
Variables: Efficacy:
Glycemic Reduction Glycemic Control Reduction of DM Sequelae
Safety: Minimal Side Effects
Competitors
Variables: Price Ease of Treatment Brand Perception Name Recall Physician Prescription Practice Accessibility Availability
Competitive Position Map: Price-Brand Recall for Quality Matrix
Low Medium High
> P8.51
P7.25-P8.50
P5.76-P7.00
P4.51-P5.75
P3.25-P4.50
< P3.25 Unilab
+ RiteMed
Zuellig
Brand Recall: Quality
Boie Metro Drug NextChem Pharma Nutria
Winthrop Britton
Pric
e pe
r U
nit
Natrapharm Littman
Generika The
Generics Pharmacy
Competitive Position Map: Price-Brand Recall for Quality Matrix
Low Medium High
> P8.51
P7.25-P8.50
P5.76-P7.00
P4.51-P5.75
P3.25-P4.50
< P3.25 Unilab
+ RiteMed
Zuellig
Brand Recall: Quality
Boie Metro Drug NextChem Pharma Nutria
Winthrop Britton
Pric
e pe
r U
nit
Natrapharm Littman
Generika The
Generics Pharmacy
Niche as Quality Low-Cost Drug!
Customer-Competition Gap Demand-Supply Gap
Part 1: Step 4 of 5
Demand-Supply Gap:
RiteMed Metformin is the only product that: Assures Quality of Branded Products
Rite Medicine Rite Formulation
At Price of Generic Drugs Rite Price
Other drugs assure quality at a price of high cost or provide low cost with questionable quality.
Market Size Part 1: Step 5 of 5
Market Size (DOH Data & Journals)
3.4 Million Filipinos with Diabetes 94% Class C-E
Oral Anti-Diabetic Consumption 2007
Market Size (DOH Data & Journals)
3.4 Million Filipinos with Diabetes 94% Class C-E 31% Prescribed Metformin
Generic Drug Use (2010)
Social Weather Stations (SWS) survey showed the percentage of Filipinos using generic drugs increased to 55 percent in 2008.
Market Size (DOH Data & Journals)
3.4 Million Filipinos with Diabetes 94% Class C-E 31% Prescribed Metformin 55% Use Generic Drugs PhP 3.15 Retail Cost of 1 Metformin HCl Tab Consumption: 2x/Day
Market Size: PhP 1.2 Billion
Market Size (Business Monitor International Data)
Market Size (Business Monitor International Data)
Philippine Pharmaceutical Industry PhP116 Trillion
Share of Oral Anti-Diabetics 3% or PhP3.5 Billion
Share of Metformin 31% or PhP1.08 Billion
Market Size: PhP1.08 Billion
Market Size
Local Data: PhP1.2 Billion International Data: PhP1.08 Billion Market Size: PhP1-1.2 Billion
Marketing Mix Strategy Part 2: Steps 6 to 10
Product Part 2: Steps 6 of 10
Metformin HCl Tablet Leaders
Product
Contents: Metformin HCl Indications: Type 2 diabetes
inadequately controlled by diet and exercise alone.
Dosage: Initially 500 mg every 12 hr, dose may be gradualy increased to a max of 2250 mg daily.
Administration: Taken with food
Product
Contraindications: Renal impairment, CHF requiring pharmacologic treatment, acute or chronic metabolic acidosis
Special Precautions: Elderly, hepatic and renal impairment
Adverse Drug Reactions: Anorexia, nausea, vomiting, diarrhea, lactic acidosis, decreased vit B12 absorption
Preparation: In 500 mg and 850 mg tablets
Price Part 2: Steps 7 of 10
Price
500 mg Tablet: PhP3.15 Cheapest Drug in the Market 43.7% Cheaper than Industry Average!
Promotion Part 2: Steps 8 of 10
Promotion (Present Strategies)
Advertising: Television and Radio Public Relations: Corporate Social
Responsibility Direct Marketing: Sales Representatives
Promotion (Present Strategies)
RiteMed manufactures and markets off-patent pharmaceuticals priced 20 to 80 percent lower
than equivalent branded drugs.
Promotion (Present Strategies)
Promotion (Present Strategies)
http://www.youtube.com/watch?v=n1LHtncXXPA&feature=related
Promotion (Present Strategies)
http://www.youtube.com/watch?v=NtVAuZSUjmY&feature=related
Promotion (Present Strategies)
Promotion (Present Strategies)
Sales Representatives
Promotion (Proposal)
+
Promotion (Proposal)
Source of Idea
Promotion (Proposal)
Unilab Yan! Unilab Guarantee Seal
Promotion (Proposal)
Phenomenon of Branded Generics
“Company-branded generics can charge more for the promise of quality.”
“Patients prefer brands, as long as they are the main payers, they will continue to use branded generics.”
Competitor Promotions
Leading Pharmaceuticals with NO Metformin Products: Pfizer Inc Wyeth Philippines AstraZeneca Bristol-Myers Squib Novartis Abott Lab Roche Philippines
Competitors
Boie Britton Health Saver Littman Metro Drug Metrolink Pharm Natrapharm
NextChem Pharma Nutria Sanofi-Aventis Unilab Winthrop Zuellig
Direct Competitors (Branded):
Competitors
No Broadcast Media
Advertisement Reliance on:
Sales Representatives Product Samples Product Peripherals Sponsorship Programs
Events Purchases
Direct Competitors (Branded):
Competitors
The Generics Pharmacy
Generika
Direct Competitors (Generic):
http://www.youtube.com/watch?v=OGufEVhhf3Y&feature=related
http://www.youtube.com/watch?v=Z2ocsYU2i-s&feature=player_embedded
Place Part 2: Steps 9 of 10
Place
RiteMed is available in all Major Pharmacies Nationwide: Using logistical leverage of Unilab!
Generic Winning Strategy Part 2: Steps 10 of 10
Generic Winning Strategy
Branded-Generics Strategy! RiteMed’s Generic Strategy is to Dominate
Low-Cost Generics Market by Providing High Quality Assurance of its Parent Brand, Unilab.
It benefits from the distribution and market leverage of Unilab.
Summary
FIVE STEPS FOR PART 1
1. Target Market: Diabetes Type 2 Patients" 2. NWE: Optimal Glycemic Control 3. Choice:
Branded and/or Generic Medications
4. Gap: Branded Generics Strategy 5. Market Size:
PhP2.3 Billion (Total) PhP1.2 Billion Niche
FIVE STEPS FOR PART 2
1. Product: Metformin HCl from RiteMed" 2. Price: 20-80% less of Branded Price 3. Promotion:
Broadcast Trimedia (Unilab Guarantee) Sales Representative
4. Place: Unilab Network, Nationwide 5. Strategy: Straddling
(Low Cost & High Quality)