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PMM Note

The document outlines pharmaceutical marketing management, focusing on advertising strategies, online promotional techniques for OTC products, and the pharmaceutical marketing channel. It details various advertising techniques, the importance of digital marketing, and the roles of different distribution channels. Additionally, it discusses the role of pharmaceutical sales representatives, their skills, training, and career progression.

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0% found this document useful (0 votes)
63 views7 pages

PMM Note

The document outlines pharmaceutical marketing management, focusing on advertising strategies, online promotional techniques for OTC products, and the pharmaceutical marketing channel. It details various advertising techniques, the importance of digital marketing, and the roles of different distribution channels. Additionally, it discusses the role of pharmaceutical sales representatives, their skills, training, and career progression.

Uploaded by

A yan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

PHARMACEUTICAL MARKETING MANAGEMENT

I. ADVERTISING:
Paid, non-personal communication through media to promote products, services, or ideas by
an identified sponsor.
Purpose of Advertising: brand awareness & loyalty, market reach
Key Advertising Decisions
1. Goals: Inform, persuade, remind
2. Budget: Based on cost, sales, or targets
3. Message: Clear, focused
4. Media: Reach, cost, audience
5. Evaluate: Measure impact
Importance of Advertising / Advantage
Disadvantages
1. Informs Consumers: Educates, enables comparison
2. Mass Reach: Cost-effective, large-scale 1. Costly
3. Supports Expression: free speech 2. Can mislead
4. Boosts Economy: Fuels demand, jobs, and sales 3. Often ignored
5. Enhances Productivity: Fuels innovation 4. Creates clutter
5. Short impact
Advertising Techniques in Pharma Marketing
Strategies used by pharma companies to promote products to healthcare professionals (HCPs)
and the public, tailored by audience, product type (Rx or OTC), and regulations.
Pharma Advertising Techniques
1) Print Media
a) Journals, brochures, leaflets
b) Targets HCPs with clinical data
2) Electronic Media
a) TV, radio for OTC products
b) Strong visual/audio recall
3) Digital Marketing
a) Social media, emails, SEM
b) Targeted and trackable
4) Direct-to-Consumer (DTCA)
a) Prescription drug ads for public (USA, NZ)
b) Promotes doctor consultations
5) Detailing
a) MRs meet doctors/pharmacists
b) Uses samples, visuals, literature
6) POS Advertising (Point of Sales)
a) In-pharmacy displays: posters, screens
b) Influences purchase decisions
7) Sponsorship & CME (Continuing Medical Education)
a) Funds medical events
b) Subtle brand promotion
8) Reminder Ads
a) Brand/logo only (e.g., journals)
b) Reinforces product recall
9) Institutional Ads
a) Promotes company image
b) Builds trust & reputation
Types of Media in Advertising
Type Examples
Print Newspapers, magazines, catalogues
Electronic TV, radio, cinema
Outdoor Hoardings, billboards, balloons
Digital Social media, emails, voice mails
Transport & Others Ads on buses, folders, displays

II. ONLINE PROMOTIONAL TECHNIQUES FOR OTC PRODUCTS


An OTC product is a medication or health item available without a prescription. OTC
products are widely sold in stores and online.
Examples:
 Pain relievers (e.g., ibuprofen)
 Cold medications
 Antacids
 Cough syrups
 Skin creams
E-commerce has transformed OTC marketing, allowing brands to engage consumers directly.
Online Promotion Benefits
 Higher online engagement than TV
 Ads enhance visibility
 E-commerce improves convenience
Key Online Techniques
1. Company Websites:
Product info and buying options.
Example: Himalaya Wellness
2. Social Media Ads:
Targeted ads on Instagram/Facebook.
Example: Dabur’s seasonal promotions Chyawanprash in winter.
3. Email Marketing:
Personalized offers and updates.
Example: HealthKart sends personalized vitamin offers.
4. SEO & PPC: (Search Engine Optimization & Pay-Per-Click)
Improve visibility through organic and paid search.
5. Influencer/Affiliate Marketing:
Trusted figures promote products.
Example: Fitness influencers endorsing Revital
6. Online Sampling:
Free trials to build trust.
Example: HealthifyMe offers free trials of their fitness app with dietary
supplements
7. Banner Ads & Pop-Ups:
Attract attention and drive traffic.
Example: Zandu uses pop-up ads on health websites for pain relief products.
Strategic Elements (4Ps)
 Product: Quality, branding
Example: GSK promotes its trusted brands like Sensodyne
 Price: Discounts, cashback, flexible payment options
Example: TATA 1mg offers discounts for first-time buyers.
 Place: Online and offline distribution
Example: Flipkart provides both delivery and in-store pickup for OTC products
 Promotion: Digital campaigns + skilled reps
Impact- 24/7 access, stronger engagement, and better ROI

III. WHAT IS A PHARMACEUTICAL MARKETING CHANNEL?


A pharma marketing channel is the interconnected network of distributors, wholesalers,
stockists, retailers, hospitals and e-pharmacies that delivers medicines from manufacturer to
patient or provider, ensuring swift access, optimal availability and competitive advantage.
Core Functions
 Bridge: Link manufacturers to end users
 Logistics: Handle warehousing, cold-chain, inventory
 Promotion: Boost awareness via reps, digital, education
Channel Types
 Communication: Journals, digital ads, medical reps
 Distribution: Warehouses, transporters, stockists, pharmacies
 Sales: Field reps, hospital/retail pharmacies, online portal
Key Channel of Distribution
 Manufacturer → Wholesaler → Retail Pharmacy eg: Amoxicillin 250 mg
Pro: Broad reach
Con: Slow restocking, low end-user visibility
 Manufacturer → Direct-to-Pharmacy (DTP) eg: Metformin 500mg
Pro: Fast resupply, better margins
Con: Needs high volume, own logistics
 Manufacturer → Institutional Distributor → Hospital Pharmacy eg: COVID-19
Vaccine
Pro: Protocol compliance, cold-chain
Con: Heavy documentation, lower throughput
 Manufacturer → Specialty Distributor → Clinics/Patients eg: Insulin
Pro: Temp control, patient support
Con: High cost, niche market
 Manufacturer → E-Pharmacy/Online Platform → Patient eg: Vitamin D3
Pro: Convenience, adherence data
Con: Regulatory hurdles, delivery risk
Selecting the Right Channel of distribution of drugs
1. Product Profile
o Handling Needs: Cold-chain, temperature sensitivity.
o Volume & Value: High-cost biologic vs. mass-market generic.
2. End-User & Geography
o Customer: Hospital inpatient, retail consumer, home care.
o Region: Metro vs. tier-2/3 towns; urban vs. rural reach.
3. Regulatory & Compliance
o Controlled-substance licenses, serialization, cold-chain mandates.
4. Partner Capabilities
o Coverage, delivery speed, credit terms, temperature control.
5. Cost–Benefit Analysis
o Margins vs. logistics costs; inventory investment vs. on-demand.
6. Control & Brand Experience
o Degree of oversight, patient-support programs, data insights.

IV. VARIOUS PHARMACEUTICAL MARKETING CHANNELS


1) Communication:
a) Med reps, journals & conferences
b) Digital (websites, email, social media)
c) Webinars & virtual events
2) Distribution:
a) Wholesalers & stockists
b) Direct-to-Pharmacy (DTP) & specialty (cold-chain)
c) E-pharmacies & mail-order
3) Selling:
a) Retail & hospital pharmacies
b) Online portals, apps & subscription services
Channel Design
Routes through which drugs and related services move from the manufacturer to the end user,
typically involving intermediaries like wholesalers, distributors, and retailers.
Goal: Ensure the right product reaches the right user, on time, cost-efficiently.
7 Steps:
8. Identify need
9. Set objectives
10. Define tasks
11. Draft structures
12. Evaluate factors
13. Select optimal structure
14. Choose partners
Channel Members
1) Manufacturers (Upstream) – Product creators & channel captains
2) Intermediaries (Middle)–
a) Wholesalers: Bulk supply
b) Agents/Brokers: Deal-makers
c) Retailers: Point-of-sale
3) End-Users (Downstream) – Patients/providers: consume, store, feedback
Typical Flow: Manufacturer → Wholesaler → Agent/Broker → Retailer → Patient/Provider
Channel Conflict
Channel conflict occurs when one member's actions oppose the goals or interests of another,
leading to friction between upstream (e.g., manufacturers) and downstream (e.g., retailers)
partners.
Types:
 Latent: Hidden goal clashes
 Perceived: Recognized but unemotional
 Felt: Emotional friction
Forms:
 Vertical: Different levels (e.g., manufacturer vs. retailer)
 Horizontal: Same level (e.g., competing franchisees)
 Multichannel: Overlap in channels to same market
Sources:
 Goal mismatch
 role ambiguity
 territory overlap
 perception gaps
 dependency imbalance
Resolution (4-Step): Communicate → Collaborate → Negotiate → Mediate

V. PHARMACEUTICAL SALES REPRESENTATIVE (PSR)


A Pharmaceutical Sales Representative is responsible for promoting and selling medical and
pharmaceutical products. The role centres around three stages of selling:
 Pre-Call: Product & medical prep
 Call: Open, probe, present, close
 Post-Call: Review, refine, plan follow-up
Core Skills: Sales aptitude, customer focus, clear communication, resilience
Duties:
 Understand doctor/patient needs
 Recommend and promote suitable products
 Share info, give samples, attend trainings
 Support marketing and brand efforts
 Build trust with doctors
 Track market and competitors
 Maintain records, stay updated
 Follow ethics, show professionalism
Selection & Training
A skilled and well-trained Medical Representative (MR) is essential for successful
pharmaceutical detailing.
Selection :
Ideal Profile: Sales experience, strong interpersonal skills, basic pharmacology, degree in
Pharma/Life Sciences/Business

Tools: Structured applications, biodata, CV checks, psychometric tests


Training Stages:
1. Product Training – deep knowledge of drug Benefits, usage, side effects.
2. Sales Training – Communication, objection handling, closing.
3. Compliance – Ethics, legal norms, HCP interaction limits. 10
4. Ongoing Training – New drug, market trend updates, regulations.
Compensation & Future Prospects
1) Base + Commission:
 Fixed salary + performance-linked commission.
 Freshers earn ₹2.5–4 LPA
 Top PSRs can earn ₹6–8 LPA+ with incentives.
2) Benefits: Bonuses, trips, health insurance, PF, travel allowance
Growth:
 1–2 yrs → PSR
 3–5 yrs → Area Sales Manager
 5–7 yrs → Regional Sales Manager
 8+ yrs → Zonal/Marketing Manager
Edge: CRM customer relationship management proficiency, data analytics, therapy-area
specialization
Bottom Line: PSR is a performance-driven, well-rewarded role with clear progression and
opportunities to specialize.

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