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Pharma's Direct-to-Consumer Marketing Continues Shift to Physician Offices, Online Programs
BEDMINSTER, N.J. --(Business Wire)-- As budgets for Direct-to-Consumer (DTC) marketing continue to shrink, the U.S. pharmaceutical industry must become more strategic and targeted when reaching out to consumers, according to Cegedim Dendrite's latest DTC Check-Up Survey.
"Mass media advertising, primarily TV, was once the standard for DTC marketing, but that's no longer the case," says Lynn Day, Director of Relationship Marketing and Analytics, Cegedim Dendrite, which provides products and services to the pharmaceutical industry.
According to the survey, nearly two-thirds of marketers want to see more spending on emerging and targeted approaches, such as e-mail, websites, and programs in physician offices and pharmacies, but so far, the transition has been slow.
"Brand managers are learning how to align consumers' unmet needs with their brand's benefits, which allows them to communicate with consumers in a more meaningful way," Day says. "This includes both offline and online initiatives that are more targeted and highly measurable."
While DTC budgets are stagnating, the survey shows that other challenges to DTC marketing are abating. For instance, marketers report lower levels of interference due to government regulations (54 percent compared to 61 percent in 2007) and Medicare Part D issues (3 percent vs. 14 percent). Part D subsidizes the costs of prescription drugs for Medicare beneficiaries in the U.S.
Results from this year's survey include:
-- Fewer industry professionals anticipate increases in spending with nearly 30 percent reporting their budgets will decrease from last year (compared to only 16 percent in 2007), including 12 percent saying their budget will decrease by more than 10 percent.
-- Respondents were split over the effectiveness of DTC marketing, with 31 percent saying it has become less effective and the same percentage saying it has become more effective.
-- While there have been no dramatic shifts in tactics since 2006, with DTC marketers clearly still concentrating on patient education and assistance in their marketing plans, they do expect to see increased usage of patient education events, rebates/coupons and product placement efforts in 2008.
-- Health Care Provider (HCP) programs continue to be a popular method to supplement DTC marketing, with the vast majority of respondents (83 percent) saying they have some sort of HCP adjunct associated with their DTC programs.
The sixth annual DTC Check-Up Survey, which included responses from a cross-section of U.S. manufacturers, agencies and vendors, is published by Cegedim Dendrite's Marketing Solutions. This business division provides pharmaceutical companies with leading-edge targeting, measurement, and behavior changing products that boost brand growth through increased dialogue between the sales representatives, prescribers, patients and pharmacy.
The complete DTC Check-Up Survey is available at www.dendrite.com.
About Cegedim Dendrite
Cegedim Dendrite provides the pharmaceutical companies around the world with vital support for successful Customer Relationship Management (CRM) activities. With nearly 200,000 sales representatives using its products worldwide, Cegedim Dendrite is the world's leading CRM provider for the life sciences industry. This business unit, created in May 2007 when the France-based CEGEDIM S.A. Group acquired Dendrite International, also provides sales, marketing and regulatory compliance solutions in more than 80 countries. To learn more, please see our website: www.cegedimdendrite.com.
About CEGEDIM
Founded in 1969, CEGEDIM supplies services, technological tools, databases and data flow management services. CEGEDIM's expertise falls into two divisions. The "Healthcare and strategic data" division comprises services specifically designed for pharmaceutical companies, healthcare professionals and health insurance providers. The "Technologies and services" division covers a variety of sectors.
Established as the world leader in Pharmaceutical CRM, its historic core business, CEGEDIM employs nearly 8,000 people in 80 countries. CEGEDIM generated turnover of EUR 756 million in 2007. To learn more, please see our website: www.cegedim.com.
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