1. By:
Sheraz Pervaiz
B.Sc, MBA (Mkt), CPM (Asia)
Pharmaceutical Marketing
Management

2. ANALYSIS OF PAKISTAN PHARMA MARKET

3. 1. Total Pakistan Pharma Market is US$ 2.177 Bn and the total World Market is
estimated to be around US$ 900 Bn.
2. CAGR of total Market (13 Vs 09) in Pak Rupee is 16.00% and in US $ is
10.22%
3. Total Pakistan Pharmaceutical Market reached Rs. 215 Bn in
4. Top 11 Corporates have reached the Rs.5 Bn mark and contributed 49.22%
market share
5. Top 50 Corporates market share is 86% and top 100 Corporates share is
95.95%.
6. New Products launched in last 12 months are 398 ( MNC 20 & NAT 378)

4. Total 118,855 135,022 161,325 184,906 215,198 16.00
NATIONAL 64,618 73,513 90,347 104,797 124,483 17.81
MULTI-
NATIONAL
54,237 61,509 70,977 80,109 90,716 13.72
Rs. Mn.

5. Q2-11 Q3-11 Q4-11 Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13
SALES 153,650, 161,324, 167,505, 172,699, 180,051, 184,906, 192,898, 200,254, 206,629, 215,198,
VALUE GROWTH 16.50 19.48 19.46 17.72 17.18 14.62 15.16 15.96 14.76 16.38
UNIT GROWTH 8.53 10.65 11.26 9.31 8.96 5.95 5.49 6.22 4.80 7.80
153.65
161.32
167.51
172.70
180.05 184.91
192.90
200.25
206.63
215.20
16.50
19.48 19.46
17.72 17.18
14.62 15.16
15.96
14.76
16.38
8.53
10.65 11.26
9.31 8.96
5.95 5.49 6.22
4.80
7.80
Growth
+/- %
Value
(Rs. Bn)

6. 2009
2010
2011
2012
2013
56.68
56.87
57.30
57.62
57.85
43.32
43.13
42.70
42.38
42.15
NATIONAL MULTI-NATIONAL
 NATIONALs GRADUALLY SNATCHING THE VALUE SHARE FROM MNCs

7. 0 40 80 120 160
65
70
73
74
90
110
136
136
192
196
THERAGRAN ULTRA GSK AMCLAV GTZ OEM IND
QUFEN HQI FIXVAL GSK ONE-3 HQI
PRIORIX-TETRA GSK INOSITA PLUS PV- FREEHALE HQI
2SUM SAM
Value
Rs. Mn
Within the Top 10 New products (3 products of MNCs and 7 from Nationals),
1 product belong to Specialized class/ High price product
AMCLAV (AMOXICILLIN + CLAVULANIC ACID) NOV 2011
OEM (CITRIC ACID +GLUCOSE+POTASSIUM) OCT 2011
THERAGRAN ULTRA (FOLIC ACID+ASCORBIC ACID+BIOTIN) JUN 2012
QUFEN (DICLOFENAC) MAY 2012
PRIORIX-TETRA (VACCINE, MMR) NOV 2011
ONE-3 (ARTEMETHER+ LUMEFANTRINE) JAN 2012
FIXVAL (CEFIXIME) NOV 2011
INOSITA PLUS (SITAGLIPTIN+ METFORMIN) 102011
FREEHALE (MONTELUKAST) 22012
2SUM (CEFOPERAZONE+SULBACTAM) 42012

8. Pharmaceutical Industry

9. Pharmaceutical Industry Characteristics
 Highly Competitive but Fragmented industry.
 Complicated business model with numerous
stakeholders .
 Very Technical/Scientific products.
 Major R&D expenditures and High Risk product
development environment .
 Long Product-Development Timelines.

10. Pharmaceutical Industry Characteristics
 Long Marketing-Planning horizons
 Highly regulated industry and highly regulated
marketing communications by FDA
 Primary targets: Healthcare Professionals and
Consumers
 Numerous “customers” with variety of information
needs requires multiple approaches to creating
marketing campaigns and communications
 Evolving selling environment.
 Use of e-channel still in its infancy in our industry

11. Role of Marketing
• Recommend
development
• Define product
profile needs
• Define
competitors
• Develop market
• Develop strategy
• Input on
product
labeling
• Recommend
filing strategy
• Define
launch plan
• Develop
positioning
and branding
• Finalize
strategy
• Finalize pricing
• Finalize
promotion
and branding
• Implement
launch
campaign
• Finalize field
sales plans
• Monitor
performance
• Adjust strategy
and tactics
• Sequence
promotion
• Manage
product
life cycle
• Provide
background
on market
and product
potential
STAGES OF PRODUCT DEVELOPMENT
Post launch
Marketing
Product
Launch
Regulatory
Approval
Clinical
Studies
Basic
Research

12. Corporate
Info
Customer
Focus
Fully
Integrated
Information
& Services
Corporate,
Product Focus
Discrete
Sets of
Information
Where industry is moving in the future?
Towards more integrated offerings
Product
Info
Limited
Interactivity
Customization
Personalization High Trust
High Value
Relationship
Brochure ware
Enriched Product
and Medical
Education sites
PULLPUSH

13. Branding in the Pharmaceutical
Industry

14. Market
Research
Marketing
Communications
Customer
Marketing
Pricing
Analysis
Business
Development
Professional
Sales
Brand Management is the HUB of
Pharmaceutical marketing
Brand
Management
Medical
Services

15. Pharmaceutical Branding

16. Branding in Pharmaceutical industry:
 Pharmaceutical industry takes long-term brand
building very seriously.
 This is because of the characteristic of the industry.
 Prescription only medicine sector is contributing
around 90% of global pharmaceutical revenue.

17. History of Branding in
Pharmaceuticals

18. History:
 Over 100 years ago, Thomas Beecham recognized
the importance of Branding his safe and effective
laxatives “Beecham pills”
 This started a new trend in the marketing of
medicine attaching a personal guarantee of the
product’s effectiveness.
 As knowledge grew and medicine began to
become effective for a whole range of previously
untreatable symptoms and conditions.
 So the Pharma Industry prospered.

19. Marketing and Sales Roles
in the Pharmaceutical Industry ?

20. The “Marketing Concept” in Pharmaceuticals
Key Principles
 All the resources of the firm are organized into a
total system aimed at meeting the needs of the
consumer
 The role of marketing is to influence or direct
activities from the manufacturer to the patient:
 The right products
 In the right quantity
 At the right place
 For the right price
 At the right time

21. Unique Aspects of Pharmaceutical
Marketing and Sales
 Influence of non-purchasers on the purchasing habits of the
consumer
 Veto/authorization power of physicians – consumers need an
authorized document to purchase a prescription drug
 Importance of the disease to identifying and classifying
markets
 Professional licensing required to stock and sell
pharmaceutical products
 Records of every transaction are kept that are specific to:
 Patient
 Physician
 Product

22. Market Research
 Environmental scanning:
 Physicians
 Pharmacists
 Pharmacies
 Hospitals
 Data gathering and analysis
 Influence of unique aspects of the pharmaceutical market
on market research:
 Known list of entities
 Knowledge-based decisions
 Similarities in education and thinking (professionalization)
 Availability of records for transactional activity

23. Types of Market Research
Periodic
Surveys
Retail Pharmacy
Purchases
Hospital
Purchases
Warehouse
Withdrawals
Journals
Physician
Panels
Retail Pharmacy
Prescriptions
Retail Pharmacy
Sales

24. ROLE OF SALES TEAM

25. Sales Roles
Detailing
 Face-to-face visits to physicians or purchasing
managers (e.g., hospitals, HMOs) to present new
prescription drugs
 Influence prescribing habit
 Increase current prescription usage
 Deliver samples
 Build relationships with doctors
 Get drug into a formulary; “pull through”
Sample Management
 Track delivery of prescription drug samples to
physicians or other purchasers

26. Effective Detailing
Influences on Physician Prescribing Habits
Source: IBM Analysis
Side Effects
Drug delivery
method
Cost of drug
Efficacy
Potential drug-
drug
interactions
Dosage
Pay or
formulary
status
Brand
Personal
preference
Patient request

27. Today’s Breakfast ???

28. Detailing Challenges - Physician Concerns
20%
Not enough samples
28%
Not enough medical expertise
40%
Take too much time
44%
Too many from the same company
Inconvenient timing
Biased information
“What are your top complaints about detailers?
Source: The Forrester Report: “Pharma’s Detailing Overhaul”, February 2001 (IMS Health, Scott-Levin, Forrester Research, Inc); (Ziment/WebSurveyMD.com); IBM Analysis
• “I view them as the liaison but I
don’t take them at their word all
the time”
• “I hate negative marketing. The
lack of objectivity is a big turnoff
for me”
• “If they keep coming back with the
same information, it’s a waste of
both parties’ time”
• “I appreciate the information, but
the reps can be pushy”
• “The thing I dislike the most is
when the rep doesn’t appreciate
that I am busy and still tries to
pitch the drug to me”
• “I don’t believe that someone with
a bachelor’s degree knows more
about how a drug works than I do”
Physician Comments
78%
47%

29. OTHER MARKETING
& SALES TECHNIQUES

30. Key Opinion Leader Management
 Expert physicians -- often called "opinion leaders" or
"thought leaders" -- play critical roles in driving
pharmaceutical sales
 Participate in ongoing R&D
 Have privileged access to R&D information
 Company-sponsored featured speaking engagements at
prestigious conferences
 Exchange ideas with other physicians regarding new
products or indications or adverse events
 Helps convince other doctors to prescribe new products
and can make the difference between a successful
product launch and a major disappointment

31. Other Tools:
 Medical Group Meetings (MGM’s)
 Round Table Discussions (RTD’s)
 Local Speaker Programs (LSP’s)
 Foreign Speaker Programs (FSP’s)
 Ward Presentations (WRP’s)
 Chamber Presentations (CMP’s)

32. Thank You