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DHC/Google 2013 Executive Landscape Study

Presented by: Ryan Olohan (National Industry Director, Healthcare – Google)

Digital Health Coalition 2013 Executive Landscape Study The Voice of the DHC Membership

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q  Feedback gathered in September/October 2013

q  Online survey sent to invited members/organizations

q  Responses from a total of 60 members/organizations

q  Survey topics included digital, online video, mobile, and change management/innovation

Digital Health Coalition 2013 Executive Landscape Study Invitations Went to Members at the Following Organizations

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q  WebMD q  JUICE Pharma q  Google q  Chandler Chicco q  Physicians Interactive q  Greater Than One q  Klick q  Digital Insights Group q  CMPI q  Arnold Friede & Associates q  MDM q  PPC q  CHC q  SPM q  pathForward q  Roche q  Lilly q  Sanofi q  AZ q  GSK q  Roche Diagnostics q  JNJ q  Galderma q  GE q  Inventiv q  Velocidi

q  Doximity q  E-Healthcare q  M3 q  Twitter q  Manhattan Research q  Roska q  CMI Media q  QualityHealth q  Havas q  Digitas q  InTouch q  Siren q  Digitas q  GA Communications q  Heartbeat q  QuantiaMD q  HealthDay q  MePlusYou q  comScore q  SAS q  ListenLogic q  The Futures Company q  Palio q  Semantelli q  IO Media q  Pfizer q  PAAB

q  Lundbeck q  Novo q  Novartis q  Daichi-Sankyo q  Takeda (Millenium) q  Hologic q  Boston Scientific q  Abbott q  Genentech q  Gilead q  Shire q  Biogen q  Eisai q  Bayer q  Amgen q  CSL Behring q  BI q  Optimer q  Astellas q  MedImmune q  Siemens q  UCB q  SocialQI q  Evolution Road q  Virsci q  WEGO q  Hale Advisors

Digital Health Coalition 2013 Executive Landscape Study

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43%

8% 15%

20%

8% 5% Type of Company

Pharmaceutical Device Agency Consulting/Advisory Technology Other

Average of 5.9 years in current position …average of 3.4 years in current position (pharma/device)

51% “Industry”

Among “Industry” respondents… 31% working on several brands 56% working in central digital group 13% in regulatory/legal 81% Primary Focus is US 19% Global 36% work in “top 10” pharma

Respondent Profile

Discussion Roadmap

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ü Marketing Budget Allocation Plans ü ROI Key Drivers

ü Opportunities for Improvement

ü Video

Physician Budget Allocation Plans Next 12 Months

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0% 50% 100%

Mobile Content for Tablets

Mobile Content for Smartphones

Mobile Apps for Health Profesisonals

Search Optimization for Professional Content

Paid Search for Health Professionals

Professional Video for Education and Outreach

Social Media for Health Professionals

Professional Video for Branded Products

Email Marketing for Health Professionals

Mobile Display for Health Professionals

Online Video Advertising for Health Professionals

Mobile Video Advertising for Health Professionals

Display Advertising for Health Professionals

Product Sites (Brand.com) for Health Professionals Decrease

Stay the Same

Increase

Don't Know

Consumer Budget Allocation Plans Next 12 Months

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0% 50% 100%

Mobile Content for Smartphones

Consumer Video for Education and Outreach

Social Media for Consumers

Search Optimization for Consumers

Paid Search for Consumers

Consumer Video for Branded Products

Online Video Advertising for Consumers

Mobile Content for Tablets

Online Communities for Consumers with Conditions

Mobile Apps for Consumers

Mobile Display for Consumers

Disease or Unbranded Sites for Consumers

Emailing Marketing for Consumers

Display Advertising for Consumers

Mobile Video Advertising for Consumers

Product Sites (Brand.com) for Consumers Decrease

Stay the Same

Increase

Don't Know

22%

12% 12% 11% 10%

8% 8% 8%

3%

0%

5%

10%

15%

20%

25%

2013 % of Total US Digital Ad Spending Share by Industry

Source: eMarketer: The US Healthcare & Pharmaceutical Industry 2013 (October 2013) Note: Numbers may not add up to 100% due to rounding 8

ROI Key Drivers

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Consumers: Paid Search Search Optimization Mobile Content for Smartphones

Physicians: Paid Search Search Optimization Mobile Content for Tablets

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Expected ROI by Activity for Physicians

Social Media for Health Professionals

Mobile Video Advertising for Professionals

Online Video Advertising for Professionals

Mobile Display for Professionals

Display Advertising for Professionals

Mobile Apps for Professionals

Product Sites (Brand.com) for Professionals

Professional Video for Education and Outreach

Professional Video for Branded Products

Mobile Content for Smartphones for Professionals

Email Marketing for Professionals

Mobile Content for Tablets for Professionals

Search Optimization for Professional Content

Paid Search for Professionals Highest

Lowest

Expected ROI by Activity for Consumers

Mobile Video Advertising for Consumers

Mobile Display Advertising for Consumers

Online Video Advertising for Consumers

Mobile Apps for Consumers

Consumer Video for Branded Products

Display Advertising for Consumers

Social Media for Consumers

Online Communities for Consumers with Conditions

Email Marketing for Consumers

Consumer Video for Education and Outreach

Mobile Content for Tablets for Consumers

Disease or Unbranded Sites for Consumers

Product Sites (Brand.com) for Consumers

Mobile Content for Smartphones

Search Optimization for Consumers

Paid Search for Consumers

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Highest

Lowest

Room for Improvement

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70% digital overall 93% social media 82% mobile media 57% online video

Respondents believe the industry

is behind in:

Digital Overall

24%

46%

24%

7%

0% 0% 5%

10% 15% 20% 25% 30% 35% 40% 45% 50%

We Are Very Far Behind

We Are Slightly Behind

We Are "Just Average"

We Are Slightly Ahead

We Are Very Far Ahead

Survey Question: With respect to the use of digital overall, how would you describe the pharmaceutical and device industry compared with other industries…

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Social Media

64%

29%

6% 2% 0%

0%

10%

20%

30%

40%

50%

60%

70%

We Are Very Far Behind

We Are Slightly Behind

We Are "Just Average"

We Are Slightly Ahead

We Are Very Far Ahead

Survey Question: With respect to the use of social media, how would you describe the pharmaceutical and device industry compared with other industries…

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Mobile Media

36%

46%

15%

4% 0%

0% 5%

10% 15% 20% 25% 30% 35% 40% 45% 50%

We Are Very Far Behind

We Are Slightly Behind

We Are "Just Average"

We Are Slightly Ahead

We Are Very Far Ahead

Survey Question: With respect to the use of mobile media, how would you describe the pharmaceutical and device industry compared with other industries…

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Online Video

26%

31% 35%

7%

2% 0%

5%

10%

15%

20%

25%

30%

35%

40%

We Are Very Far Behind

We Are Slightly Behind

We Are "Just Average"

We Are Slightly Ahead

We Are Very Far Ahead

Survey Question: With respect to the use of online video, how would you describe the pharmaceutical and device industry compared with other industries…

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Online Video

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Online Video Insights

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71% online video is important to advertising

and marketing goals

84% online video provides better targeting compared to TV 58% online video is more effective compared to TV

Online Video is Important for Marketing Strategy

0%

8% 5%

13%

3%

15%

33%

18%

5% 3%

0%

5%

10%

15%

20%

25%

30%

35%

Not at all Important

2 3 4 5 6 7 8 9 Very Important

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71% Say Important

Online Video Provides Better Targeting Compared to TV

0% 3%

0%

5%

0%

13%

8%

23%

10%

30%

10%

0%

5%

10%

15%

20%

25%

30%

35%

Strongly Disagree

2 3 4 5 6 7 8 9 Strongly Agree

Don't Know

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84% Agree

Online Video is More Effective Compared to TV

0%

21% 21%

49%

9%

0%

10%

20%

30%

40%

50%

60%

Much Less Effective Somewhat Less Effective

As Effective Somewhat More Effective

Much More Effective

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58% Say More Effective

Utilization by Video Platform

22

0% 20% 40% 60% 80% 100%

YouTube

WebMD

EverydayHealth

Vimeo

Medscape

Hulu

Sermo

QuantiaMD Use for HCP

Use for Consumers

Use for Both

Do Not Use

How Are You Using WebMD?

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How Are You Using YouTube?

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Growth Predicted for Online Video

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From 7% of Digital in 2013

To 9% of Digital in 2014

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Hurdles to Increased Use of Online Video Adoption

31%

34%

37%

43%

49%

51%

51%

54%

60%

0% 20% 40% 60% 80%

Lack of strategy specific to online video

The need to educate staff about the effective use of online video

Lack of budget earmarked for online video

Legal concerns

Integrating the data/analytics from online video into existing decision support and ROI platforms

Creating compelling content that resonates with key audiences

Dealing with ISI in online videos and online video advertising

Measuring the effectiveness and ROI of online video

Regulatory concerns

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Metrics to Judge Success of Online Video Strategies

29%

34%

46%

54%

63%

66%

71%

71%

0% 20% 40% 60% 80%

Mouse over rate

Brand awareness or recall

Social engagement (sharing/likes)

Ability to reach target audience

Video completion rate

Click through rate

Visits to the brand site

Time spent watching video

Thank You!

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For more information please visit the DHC online at…

www.digitalhealthcoalition.org