PROPECIA®

Submitted by:

GROUP 4 – Section CAvantika Tikmany

Darshi VasavadaGaurav Chaudhari

Mathangi VNikhil Joseph

Romil DwivediSreeram P

• Look younger• Social acceptance• Confidence Booster

Need

• Safe and effective solution• No side-effects

Want

Consumer Insights

PERCEPTUAL MAP

Oral Medication

External use

Convenience Lo

wMedium High

Rogaine

Topical solutions

Replacement surgery

Mechanical solutions

GAP

COMPANY

CUSTOMERS

COMPETITIONCONTEXT

COLLABORATORS

Situational Analysis

Merck – World’s largest pharmaceutical company with 70,000 employees

Ranked high on Fortune’s List of Most Admired Companies

Since 1995, launched 9 products, 3 particularly successful

Focused on diseases with large patient population

Emphasis on safety Previous experience of advertising DTC after

changed FDA regulation

COMPANY

“Products that are potent, well tolerated and convenient to use, with clinical outcomes”

PROPECIA 1 mg dose of Finasteride First of its kind to treat Male Pattern Hair Loss 83% of men in the age group 18-41yrs maintained hair count 66% witnessed regrowth Consuming more than 1 pill a day did not hasten the process Took 3 months to produce results On stopping consumption hair loss resumed Birth defects in pregnant women who came in contact with it Less than 2% of men experienced sexual side effects on taking the pill

COMPANY(contd..)

MPHL occurred in 30-40 million American men Potential market – half male population Tw0-thirds of men suffering from some degree of

hair loss One third considered hair loss a future problem One third resigned themselves to the problem $ 1.5 billion annual sales $ 50 out of pocket expense per month – Not

covered by health insurance

CUSTOMERS

Hair Replacement surgery Half of $ 1.5 Billion sales Cost $2000 to $10000

Mechanical solution Wigs, weaves and toupes – Cost of $500 to $3500 Additional cost $50 to $70 every six weeks

Topical Interventions Lotions and shampoos $20 to $40 a month Major one – Rogaine 400,000 users, $100 mn annual sales Cost reduced from $60 to $30 and customers increased to 2.5

mn when it became over the counter 95% brand awareness in a decade Planning to launch extra strength version

COMPETITORS

FDA regulated labeling of OTC and prescription drugs 1997, FDA allowed broadcast of ads without full

disclosure Also required to mention a national supporting print

campaign and a website for more information Could request discontinuation of ad and ask for a

corrective one in its place Before marketing, drug had to be FDA approved Had to continuously inform FDA about drug safety

and adverse effects

CONTEXT

Primary Care Physician(PCP) promotion – a major strategy Sponsored conferences and speaker programs organized Complimentary samples of product given to Physicians 1000 sales reps deployed for a product Each rep assigned a list of Physicians Most time spent in waiting for an opportune moment Less than 2 min to make an actual pitch Average number of calls before a PCP began prescribing a

drug =6 Merck identified PCPs who were big prescribers in this

category

COLLABORATORS

What type of advertising to be used?

THE LAUNCH PLAN

Product claim ads

Reminder ads

Help-seeking ads

• Reminder ads will be used to create awareness about the brand

• No negative image is created as the side effects are not highlighted

Short-term

strategy

• Product claim ads will be used to retain customers

• The immense market potential will be tapped through this campaign

Long-term

strategy

STRATEGY

“One day science will create a pill for hair loss. That day is today.” Ads with a catchy tagline Generate an excitement around the product “Pill for men” – focused on TG (hair losing men) As a preventive drug

Only marginal hair gains, no dramatic increase in hair Prevention of hair fall for 83% people Hair regrowth for 66% people Emphasize above details in Physician detailing and

advertisements

POSITIONING

Challenges: 3 new drug to be launched to follow PROPECIA in few

months’ time 10000 dermatologist- more 50 to 100 sales reps needed No prior experience of marketing of dermatology products Training new sales people Low sales realization by PCPs (26000 out of 126000) Advertising resource constraintProspects: Dermatologists are more likely to be excited about

PROPECIA More comfortable about talking hair loss with patients Their advice will carry more credibility Patients visiting Dermatologists are more likely to be

concerned about hair loss and are more likely to spend on hair loss treatment

DETAILING SUPPORT

THANK YOU!