2. Flow of presentation
⢠What is OTC drug
⢠Overview of OTC drug market
⢠Indian OTC market
⢠History of aspirin
⢠Introduction of disprin
⢠Revital- Rx to OTC
⢠Crocin
⢠Conclusion
3. OTC drugs
⢠Over-the-counter (OTC) drugs are
medicines that may be sold without a
prescription, in contrast to
prescription drugs
⢠In 2005 the Indian OTC segment was
Rs 4500 crore
⢠It could be considered as Rest 17000
crores if cosmeceuticals &
nutraceuticals are also included
5. Demand for OTC drugs
⢠Change in consumer's attitude,
increase in awareness levels, and
easy accessibility of medicines
⢠Revital from Ranbaxy
⢠Sensodyne from GlaxoSmithKline
⢠Both of above turns from prescription
drugs to OTC products.
6. Global scenario of OTC
⢠In 2009, the global OTC
pharmaceutical market generated
revenues of more than USD 60 bn
⢠Total OTC revenues will exceed USD
70 bn by 2015
⢠The OTC pharmaceutical market is
growing significantly from 2010
onwards
7. Indian scenario
⢠Currently India ranks 11th in the
global OTC market size
⢠It is expected that it will reach 9th
position within five years
⢠Currently the Indian OTC market (i.e.
advertised non-prescription
medicines)is estimated to represent
approximately USD 1793 million with
annual growth rate of 23%
8.
9. Cont...
⢠Indiaâs OTC drug sale has grown
around 10%in the last two year,
leaving the U.S. and China much
behind, where OTC drug sale is
estimated at 4% to 5% respectively
⢠The share of sales of OTC traditional
drugs in India has gone up to 30%
⢠The maximum number of OTC drugs
sold are from the branded companies
⢠The shares of branded companies
are estimated to 8%
10. Cont...
⢠The OTC market is growing
significantly from 2010 onwards
⢠There is growing demand for OTC
products in homeopathy
⢠The homeopathy drugs market in
India was put at Rs 5 bn in 2010 & is
expected to grow to Rs 8 bn by 2012
⢠The total OTC revenues will exceed
USD 70 bn by 2015
11.
12. Major players
⢠GlaxoSmithKline
⢠Novartis AG
⢠Johnson &Johnson
⢠Sun Pharma
⢠Cipla
⢠Dabur
⢠Dr. Reddy Laboratories
13. Top 10 global OTC brands
Sl. No Leading brands(Sales 2008 2009 Growth
$Million )Global 90965. 95193.2 2009/08
1 4.6
1 Tylenol 1449.9 1452.5 0.2
2 Vicks 871.5 880.9 1.1
3 Halls 792.3 830.6 4.8
4 Lipovitan 854.5 812.9 -4.9
5 Aspirin 796.1 798.5 0.3
6 Advil 716.3 722.1 0.8
7 Centrum 695.2 693 -0.3
8 Nature Made 577 639.1 10.8
9 Nicorette 525.8 525 -0.2
10 Claritin 514 488.1 -5
Source: Nicholas Hallâs DB6 2010
15. Growth Rates of OTC markets
COUNTRIES 2009 2010
USA 2.60% 3.20%
China 9.70% 10.00%
Japan -0.60% 0.10%
Germany -0.30% 0.10%
France 2.70% 1.00%
Brazil 11.30% 10.00%
Italy 2.8% 1.70%
Russia 23.50% 15.00%
UK 2.20% 1.00%
Canada 5.80% 4.00%
SOURCE :Nicholas Hallâs DB6 2010
16. Growth rates of different OTC categories
Sales in US$ mn 2009 09/08/ CAGR Yr CAGR Yr
10 14/09 19/14
Major categories- India 1813.4 10.7 10.2 10.8
Vitamins, minerals & 634.5 8.8 9 10.2
supplements
Gastrointestinals 332.6 10.4 10.3 10.7
Cough, Cold & Allergy 318.1 7.8 9.7 9.9
Analgesics 258.7 15.8 10.3 10.6
Dermatologicals 236.5 11.3 11.9 12.7
Lifestyle OTCs 33.2 38.9 20.8 13.6
Source: Nicholas Hallâs DB6 2010
17. History of Aspirin
⢠Introduced in 1899 in market by BAYER
⢠As pain-killing, fever-reducing, anti-
inflammatory drug
⢠Aspirin rapidly became the world best
biggest selling brand
⢠As such it was virtually unchallenged for
almost a half century until after the
second world war
18. Introduction of Disprin
⢠Ordinary solid aspirin causes stomach
irritation in some people
⢠In early 1940s,reckitt & Colman began
developing a soluble aspirin product for
relief of pain, fever and inflammation,
which caused much less irritation than
traditional one
⢠But becomes delayed due to second
world war
19. ContâŚ
⢠Disprin was successfully launched in
1948
⢠The brand name Dispirin was
chosen to link the active
ingredient âaspirinâ with
its dissolving nature
⢠And quickly become popular
with medical profession
20. ContâŚ
⢠Early advertising slogan was: âTake
an aspirin -- I mean a Dispirinâ
⢠It became international brand in the
1950s across globe including
S. Africa, Australia and New Zealand
⢠It is now available in over 70
countries and has been synonyms
with analgesia for over half a century
21. Recent development
⢠Initially it has aspirin only as an active
ingredient
⢠But now, it contains other active
ingredients such as paracetamol and
ibuprofen
⢠In some countries, dispirin is already
used for treating symptoms of cold
and swine flu
⢠The recent launch of dispirin cold +
flu in some countries for cold n flu
22. Packaging evolution
⢠First packaged in distinctive glass
with cotton wool inserted in the top
Dispirin 1948 Dispirin 2002
23. Cont..
⢠Reckitt & colman soon developed the
first aluminium foil packaging
⢠And it established its identity in these
âmodernâ foil strips which were more
convenient portable and safer than
glass bottle
⢠The fresh, modern design in bright
cobalt blue confirms that Dispirinâs
reliable formula is still relevant for
today's hecticâs lifestyle
24. ContâŚ
⢠Its long history of fast and effective
pain relief should ensure its
continued success into the future
⢠And something havenât changed over
the year
⢠The first label was round blue and
carried the Dispirin name and sword
symbol, just as it does today
25. Uses of Dispirin
⢠Pain killing
⢠anti-inflammatory
⢠Fever-reducing
⢠Cold n flu
26. Revital
⢠Revital a well known drug from
Ranbaxy laboratories
⢠It contains vitamins and minerals
⢠Initially it was prescription drug
⢠Later it changed to OTC drug i.e.,
switched to OTC drug
27. How it switchedâŚ.
â Ranbaxy used a well through out
television creative to target the
consumer directly through advertising
â Revital was positioned to fit into the
users hectic lifestyle empowering
them with energy strength and
mental sharpness, enabling them to
enjoy life the fullest hence making
them live the brand punch line of
âJiyo Ji Bhar Keâ
28. Advertising strategies
⢠Pre use scenario and
1. post use benefit
⢠Make most of his life
2.
⢠Testimonial of regular
3. users
29.
30. Increase in sales of Revital after
switching to OTC channels
CAGR
90 20%
80
70
60
50
40
30
20
10
0
2002 2007
31. Crocin
⢠Indian analgesic and anti-pyretic market
is a huge one, growing at 9.50%
⢠This market actually harbours 62
nationally distributed analgesics and
over 100 local brands
⢠Crocin has a market share of 18% in
systemic analgesic categories
⢠It is also marketed as PANADOL in
more than 80 countriesâis leading
paracetamol in India
32. Product line
⢠Crocin pain relief was launched in
2003
⢠It contains 650mg paracetamol +50
mg of caffeine
⢠In 2007,it entered into cold categories
and launched Crocin cold nâ flu
⢠It contains paracetamol +caffeine
+phenylephrine
⢠Used for nasal
congestion, headache, body
ache, sore throat pain and chills
33. ContâŚ
⢠Crocin cold nâ
flu currently
has a market
share of
4.20% and is
the fastest
growing brand
within the
crocin basket
34. ContâŚ..
⢠The brand also came out with
variants like Crocin Quik that boasted
of faster relief
⢠Crocin also came out with Crocin
1000 aiming at patients having
arthritis.
35. History
⢠In India, more than 40 year
back, crocin was introduced in the
market by Duphar Interfran limited
now DIL Limited)
⢠Initially it was prescription drug and
was sold through ethical route only
⢠In 1996,duphar sold the brand to
Smithkline Beechline
⢠Soon, the govt. removed many drugs
from ethical list including Crocin
36. ContâŚ
⢠And Crocin become an
OTC drug
⢠Smithkline extended its
presence to the
analgesic segment
⢠Kapil dev was made as
Brand ambassador for
Crocin Pain Relief and
this resulted in
registering the brand in
the minds of consumers
37. Product
⢠It contains paracetamol i.e.; it
delivers both- an analgesics and
antipyretics
⢠Crocin is also delivered in oral liquid
dosage form for pediatric use
⢠The pediatric formulation is available
in the form of peppermint flavoured
drops for infants mixed fruit flavoured
suspension for children between age
of one to twelve
38. Recent development
⢠GSK was leaping up the sales chart
⢠GSK planned several brand
extension
⢠The rapid mutation of viruses and
cross border travel, the viruses now
had the opportunity of infecting more
people
⢠Mild forms of flu and cold were
becoming more frequent with more
people
39. ContâŚ
⢠This led GSK to launch Crocin Cold nâ
flu
⢠The new drug offered relief from
multiple symptoms of cold such as
blocked nose, headache, body
ache, and mild fever
⢠The major differentiator was that unlike
most other medicines in this space
Crocin Cold nâ flu did not cause
drowsiness and this variant is already
contributing significantly to Crocinâs net
sales
40. Promotion
⢠OTC drugs are aggressively
advertised with each brand seeking
to gain market share
⢠After the acquisition of crocin, GSK
developed a new communication
strategy
⢠In those days, they compare the side
effect of aspirin based analgesics
with the crocin(recommended dose)
⢠i.e.; crocin was safer at
recommended dose
41. ContâŚ.
⢠GSK used this as a
promotional strategy by
positioning Crocin on the
safety and easy on the
stomach
⢠By the end of 1999, many
new formulation came to
market
⢠This had the expected
result of further
fragmenting the market
and took away the share
of Crocin
42. ContâŚ
⢠The new drugs were perceived to be very
effective and offered consumers a kind of
safe remedy since they all came with the
recommendation of doctors
⢠Crocin was therefore, up against a mind
set that there was no tangible reason to
go back to it
⢠Then, crocin decided to return to the
formula that had been tried and
successfully tested in international
markets for its best selling drug, Panadol
43. ContâŚ
⢠GSK developed âslice of lifeâ
advertising showing real people in
real situation for real reasons
reaching out for a Crocin
⢠The result was spectacular
⢠Crocin won back its pre-eminent
position in the market and registered
a stunning 21% growth in sales
44. Brand values
⢠Crocin is a heritage brand, steeped in
pharmacological history
⢠Over the decades, it has brought
relief and gentle touched of caring to
perhaps hundred of millions of people
â quickly and safely
⢠For entire generation, Crocin is more
than a pain and fever reliever, it is a
time tasted friend that has always
helped bring comfort and soothe lifeâs
little aches
45. ContiâŚâŚ.
⢠It has also been motherâs first line of
defence
⢠As infants, the single drop of syrup
gives quick relief to children
⢠And for adults it is the magic white pill
⢠At every stages of life there was a
Crocin to fall back upon
46. Conclusion
⢠It is a very fast growing segment
⢠Due to awareness of people, OTC
market is growing continuously
⢠Pharmaceutical company should
move their products from
prescription to OTC
⢠It increases the market share of the
existing company
⢠Easy to access the medicines