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Article
Publication date: 6 November 2017

Mohsen Ali Murshid and Zurina Mohaidin

The purpose of this paper is to examine reported literature on the influence of medical representatives (MRs) and other promotional tools on drug prescribing behaviour…

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1318

Abstract

Purpose

The purpose of this paper is to examine reported literature on the influence of medical representatives (MRs) and other promotional tools on drug prescribing behaviour, and to assess whether this effect is different in developed and developing countries.

Design/methodology/approach

A survey of the literature was conducted across online databases from 2000 to 2016. Eligible studies addressed MRs and other promotion tools used to influence drug prescribing in developed and developing countries.

Findings

A total of 40 reviewed studies met the inclusion requirements. In total, 22 of the studies were conducted in developed countries and 18 in developing countries. Out of ten studies that examined the influence of MRs on drug prescribing in developed countries, eight found a positive influence, one found only moderate and one finds no influence. Analogous results were found in developing countries. Six out of ten studies on the influence of MRs conducted in developing countries found a positive effect, three found only moderate effects, while one finds no influence. The influence of promotion tools on prescribing varied in developed countries, five found positive influence, four reported a small effect and one found negative influence. In developing countries, the size of effect also varied, five studies found positive influence of promotion tools on drug prescribing behaviour, five found a negligible or small effect, and one found no association. However, marked differences were observed between two sectors. In the developed countries, MRs are valued as a source of information and can have an effect on prescribing, while it is unreliable in developing countries. Sample drugs are more generally seen as an important promotional tool for prescribing in developed countries than developing countries.

Research limitations/implications

The results derived from this review are based on studies with varying methodological consistency. The review provides the crucial information that will be valuable to researchers working on comparative analysis of marketing efforts in developing and developed countries.

Originality/value

This paper is one of the few systematic reviews on the influence of MRs and other promotional tools on prescribing. It compares the influence of MRs and promotional efforts in both developed and developing countries.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 11 no. 4
Type: Research Article
ISSN: 1750-6123

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Article
Publication date: 27 May 2014

Charles Scott Rader, Zahed Subhan, Clinton D. Lanier, Roger Brooksbank, Sandra Yankah and Kristin Spears

The purpose of this paper is to assess the state of the art in social media and pharmaceutical marketing through empirical analysis of online consumer conversations…

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3290

Abstract

Purpose

The purpose of this paper is to assess the state of the art in social media and pharmaceutical marketing through empirical analysis of online consumer conversations. Proliferation of social media has significantly changed traditional one-way, marketing-controlled communications. Balance of power has shifted to consumers, who use social networking sites, blogs and forums to obtain extensive brand and product information, often from each other. This prompts companies towards more intimate, transparent and constant two-way consumer engagement. Pharmaceutical marketing and direct to consumer advertising (DTCA) are not immune to this pervasive, disruptive cultural/technological phenomenon, which poses particular challenges given regulatory, legal and ethical constraints on their marketing.

Design/methodology/approach

This research uses “netnographic” data collection of online conversations occurring in social media and develops an explanatory framework using grounded theory analytical methods.

Findings

This research shows that significantly impactful and pervasive bonding among consumers, bloggers and unofficial “experts” about pharmaceutical offerings is widespread, and occurs regardless (and perhaps in spite of) pharmaceutical companies’ involvement.

Originality/value

Considering the structure and nature of online consumer bonding, a way forward is proposed for pharmaceutical companies to implement social media strategies as part of their pharmaceutical marketing and DTCA efforts through an intermediary and interactive online presence arising from disease and health care education.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 8 no. 2
Type: Research Article
ISSN: 1750-6123

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Article
Publication date: 29 June 2018

Chris I. Enyinda, Alphonso O. Ogbuehi and Chris H. Mbah

The purpose of this paper is to identify key social medial channels which pharmaceutical firms need to consider when desiring to understand consumer behavior, build…

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2282

Abstract

Purpose

The purpose of this paper is to identify key social medial channels which pharmaceutical firms need to consider when desiring to understand consumer behavior, build, maintain and proactively manage relationships. Also, it proposes the application of analytic hierarchy process (AHP) sensitivity analysis algorithm to test the stability or robustness of the priority ranking. Specifically, this paper leverages performance sensitivity analysis to evaluate how small changes (perturbation) in the major objectives of the pharmaceutical relationship marketing (PRM) tactics within the social media environment will influence the ranking of the alternative course of actions.

Design/methodology/approach

This paper used AHP-based questionnaire survey to evaluate the relative importance of factors accounting for PRM and the impact of social media channels. The major objectives and the alternative strategies used were from literature reviewed. Interviews with senior managers were insightful and helpful in the wording, content and format of the questionnaire.

Findings

Customer engagement is the most important PRM tactic, followed by communication and trust. The performance sensitivity analysis carried out on the PRM tactics showed that the ranking associated with social media channel options remained robust or insensitive to small perturbations.

Research limitations/implications

The data procured for this paper were based on one focal pharmaceutical firm. Convincing the same to grant an interview and late responding to the questionnaire was a great challenge.

Practical implications

Social media impact on pharmaceutical marketing relationship is important for pharmaceutical marketers. PRM bodes well with the social media environment. Pharmaceutical industry can build and maintain relationships with consumers through social media. Firms that leverage social media to enhance their PRM tactics will be viewed favorably in terms of trust, transparency, openness and honesty. The results provide pharmaceutical marketing managers with insightful and valuable information with respect to the role or social media impact on the PRM. The AHP model, objectives and their relative importance provide valuable information for managers on how to monitor the values that matters to customers the most.

Originality/value

This paper is one of the very few on the PRM and perhaps the first that examines social impact leveraging the AHP model. In addition, this paper contributes to the relationship marketing literature by leveraging a multi-criteria decision-making algorithm to prioritize the most important factors accounting for the PRM strategies.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 12 no. 2
Type: Research Article
ISSN: 1750-6123

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Article
Publication date: 1 August 2005

Peter Trim and Hao Pan

The purpose of this paper is to make explicit how marketers employed in the pharmaceutical sector can ensure that the company is positioned in the industry as a result of…

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7944

Abstract

Purpose

The purpose of this paper is to make explicit how marketers employed in the pharmaceutical sector can ensure that the company is positioned in the industry as a result of a sustainable competitive advantage being achieved. Various factors are highlighted, including high research and development costs, stringent government regulations and cultural factors such as religion.

Design/methodology/approach

The new product launch strategy model outlined in this paper was developed from both secondary and primary sources. A literature review was undertaken, a number of in‐depth personal interviews and a focus group session were conducted, which involved managers within a pharmaceutical company. The research strategy encompassed the case study method and the NPLS model was validated and can be viewed as generalisable.

Findings

It is clear from the research undertaken that some marketing models are viewed as being too complex; however, it is generally appreciated that marketing models can be used to interpret complex relationships that are evident in a marketing system.

Research limitations/implications

Two weaknesses associated with the model were identified. First, the assumption that there was a one‐way relationship between the strategic launch decisions and the tactical launch decisions and, second, a feedback mechanism was absent that would provide users of the model with a means for evaluating their decisions and identifying alternative strategies and tactics. The model was amended and a feedback mechanism was introduced.

Practical implications

The NPLS model can be used by marketing practitioners to enhance communication between corporate level staff and subsidiary level staff, and can be used to implement and/or facilitate the strategic marketing concept within a pharmaceutical company. The model can also be used to focus attention on risk reduction/elimination associated with market entry.

Originality/value

The NPLS model is an addition to marketing knowledge and can assist marketing academics and researchers to understand better how marketing models can be constructed and implemented. The model can also be used by marketing practitioners employed by pharmaceutical companies to make tactical and strategic decisions; to evaluate a new product launch strategy; and to devise international marketing entry plans and strategies.

Details

European Business Review, vol. 17 no. 4
Type: Research Article
ISSN: 0955-534X

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Article
Publication date: 29 April 2014

Anatoliy G. Goncharuk and Maryna Getman

The paper is devoted to benchmark strategic ideas, organizational culture, marketing business processes and key marketing performance measures of the pharmaceutical

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2678

Abstract

Purpose

The paper is devoted to benchmark strategic ideas, organizational culture, marketing business processes and key marketing performance measures of the pharmaceutical companies that operate on Ukrainian pharma market in order to determine the best practices and possibilities of their use for the purpose of improving performance outcomes of companies participating in the research.

Design/methodology/approach

The AllFusion Process Modeler 7 software was used for processes modeling. The Balanced Scorecard Designer software was used to create balanced scorecard. The classifier of processes at pharmaceutical companies designed by American Productivity and Quality Center (APQC) was used when determining marketing processes and building process maps. A marketing analysis (value market share, share of voice, secondary sales dynamics and companies' market share growth dynamics) was carried out in order to estimate the efficiency of marketing process.

Findings

The study showed that three pharmaceutical companies have different strategic aims, mission and vision. For the global companies, a strategic aim is “Market takeover”, while the local company tries just to retain its position on the market due to some historically prevailing conditions. The study showed that local company's management does not consider marketing as a driving force of the development and sales growth; that is why company lacks marketing culture and marketing department as such is substituted with sales and distribution department. The authors find the needs of structural changes in order to develop, yield profit and avoid acquisition by local pharmaceutical company using the better practice of the global companies.

Research limitations/implications

The research is limited by a little number of companies (three) and one country market (Ukraine).

Practical implications

The study includes practical recommendations focused on the improvement of financial indicators and profitability of the local pharmaceutical company with a use of benchmarking tools. They can be useful for the other local companies that try to compete with global pharmaceutical companies on the local markets.

Originality/value

This paper adopts the various benchmarking tools to improve a strategy and marketing processes for pharmaceutical companies.

Details

Benchmarking: An International Journal, vol. 21 no. 3
Type: Research Article
ISSN: 1463-5771

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Article
Publication date: 1 February 1996

Charles Pahud de Mortanges, Jan‐Willem Rietbroek and Cort MacLean Johns

States that although Japan's pharmaceutical industry has succeeded in steadily advancing its total sales revenues in recent years, its market share of worldwide volume has…

Abstract

States that although Japan's pharmaceutical industry has succeeded in steadily advancing its total sales revenues in recent years, its market share of worldwide volume has actually retreated slightly. Its major competitor continues to be the USA, while its three top European rivals: Germany, France and Italy ‐ in combination ‐ have consistently outperformed Japan. Significantly, Japan remains the single largest recipient of US pharmaceutical exports with a surplus over imports of more than $500 billion. Discusses various findings based on survey results within Japan's market structure. Posits that the US experience shows that successfully operating on the Japanese market requires considerable preparation, especially in the areas of distribution and promotion. Owing to the technical segmentation and endemic distribution system of the Japanese pharmaceutical industry, concludes that it is unlikely that the pharmaceutical industry in Japan will rise to dominate this industrial sector on a global basis as they have prevailed in others.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 8 no. 2
Type: Research Article
ISSN: 1355-5855

Keywords

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Article
Publication date: 11 September 2007

Christopher Browe and Cheng Lu Wang

The purpose of this paper is to explore how a web‐enabled product ID system can be applied to pharmaceutical marketing and consumer relationship management.

Downloads
799

Abstract

Purpose

The purpose of this paper is to explore how a web‐enabled product ID system can be applied to pharmaceutical marketing and consumer relationship management.

Design/methodology/approach

As a technical paper, it first introduces and describes the product ID system and then explores various marketing applications of this interactive communication tool in the pharmaceutical industry. Finally, it concludes with managerial implications and caveats.

Findings

The web‐based product ID system is able to provide a means for product validation and database marketing, facilitate interactive marketing communication and viral marketing, and collect customer information and feedback for research activities.

Research limitations/implications

The perceived lack of security of public networks and customer confidence about drug sourcing are always concerns when applied to online technology in pharmaceutical marketing. Caveats about building such a system of coded ID product are discussed.

Practical implications

The use of uniquely coded packaging would impact marketing research activities, enhance consumer promotions, allow end‐users to authenticate a drug's validity, provide a means for early reporting of unforeseen risks or benefits, and build/maintain customer relationship.

Originality/value

The proposed web‐based product ID system is an innovative concept that can have important marketing implications in the pharmaceutical industry.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 1 no. 3
Type: Research Article
ISSN: 1750-6123

Keywords

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Article
Publication date: 26 August 2014

Mary E. Schramm, Jennifer L. Herbst and Angela Mattie

The purpose of the study is to review The False Claims Act (FCA) settlements and challenges facing the industry to suggest the motivation behind firms’ alleged fraudulent…

Abstract

Purpose

The purpose of the study is to review The False Claims Act (FCA) settlements and challenges facing the industry to suggest the motivation behind firms’ alleged fraudulent activity. FCA has been applied against pharmaceutical companies by the US Government to combat marketing fraud including kickbacks, improper pricing and off-label promotion. The interests of the US Government and medical professionals are also considered. Changes to the law governing pharmaceutical marketing practices are recommended.

Design/methodology/approach

Cases settled under the FCA between 2005 and 2012 were identified by accessing the US Department of Health and Human Services (DHHS) Corporate Integrity Agreements Web site and annual reports and the quitamhelp.com Web site. Case details were collected from US Department of Justice press releases, DHHS annual reports, and case documents in the Public Access to Court Electronic Records database.

Findings

Of the settled cases in the final sample, improper pricing practices were evident in 33 per cent of the cases; off-label promotion in 52 per cent; and both in 15 per cent of the cases. Forty-eight per cent of the alleged fraudulent marketing activity occurred within the brands’ first year and 68 per cent within the first two years on the market. Reported settlements ranged from US$4 million to US$4.3 billion.

Originality/value

This research simultaneously considers business issues facing the pharmaceutical industry and alleged fraudulent marketing activity to recommend changes to the law governing drug promotion. Changes have the potential to improve the balance between the respective interests of industry, medicine and government and to improve compliance and patient care in the future.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 8 no. 3
Type: Research Article
ISSN: 1750-6123

Keywords

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Article
Publication date: 22 June 2012

Ahmed Taher, Elnora W. Stuart and Ibrahim Hegazy

Pharmaceutical companies' marketing strategies have traditionally targeted only physicians and, more recently, consumers. The purpose of this paper is to explore the role…

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1783

Abstract

Purpose

Pharmaceutical companies' marketing strategies have traditionally targeted only physicians and, more recently, consumers. The purpose of this paper is to explore the role of the pharmacist as prescriber, influencer, switcher, and dispenser of pharmaceutical drugs in one developing country, Egypt.

Design/methodology/approach

The authors surveyed pharmacists in Cairo, Egypt. The pharmacists were asked to estimate the percentages of patients who came in with a prescription, with only a box or a recommendation for a medicine and with only symptoms, and whether he/she switched the patient to another medicine. Pharmacies were classified as to the social class of the pharmacy neighborhoods. Cluster analysis was used to further classify pharmacists as “Influencers” and “Non‐influencers”.

Findings

Overall the pharmacists influence 39 percent of all purchase decisions for pharmaceuticals with higher levels of influence in lower social class neighborhoods. Approximately one out of four pharmacists was classified as an Influencer.

Practical implications

In developing countries, the pharmacist plays a key role in which medicines patients ultimately purchase. Marketing activities directed toward the pharmacist may provide an important opportunity to maximize the pharmaceutical firms' return on marketing investment.

Originality/value

Few studies have looked at the marketing of pharmaceutical drugs in developing countries. This paper is unique in that it examines the role of the pharmacist in these markets, thus providing an important addition to the understanding of the challenges to the industry in these countries and important implications for pharmaceutical marketing strategies.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 6 no. 2
Type: Research Article
ISSN: 1750-6123

Keywords

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Article
Publication date: 1 September 1997

Charles Pahud de Mortanges, Jan‐Willem Rietbroek and Cort MacLean Johns

States that although Japan’s pharmaceutical industry has succeeded in steadily advancing its total sales revenues in recent years, its market share of worldwide volume has…

Downloads
2326

Abstract

States that although Japan’s pharmaceutical industry has succeeded in steadily advancing its total sales revenues in recent years, its market share of worldwide volume has actually retreated slightly. Its major competitor continues to be the USA, while its three top European rivals: Germany, France and Italy ‐ in combination ‐ have consistently outperformed Japan. Significantly, Japan remains the single largest recipient of US pharmaceutical exports with a surplus over imports of more than $500 billion. Discusses various findings based on survey results within Japan’s market structure. Posits that the US experience shows that successfully operating on the Japanese market requires considerable preparation, especially in the areas of distribution and promotion. Owing to the technical segmentation and endemic distribution system of the Japanese pharmaceutical industry, concludes that it is unlikely that the pharmaceutical industry in Japan will rise to dominate this industrial sector on a global basis as they have prevailed in others.

Details

European Journal of Marketing, vol. 31 no. 8
Type: Research Article
ISSN: 0309-0566

Keywords

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