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MARKET INTRODUCTION
USA-STRATEGY PHASE 1
©Distributormax • Tom Ka
March 2011
1. Our Targets – Successful Solutions …………………………………………………………………….. 5
2. Direct Distribution ……………………………………………………………………………………………….. 6
3. Employee Portals …………………………………………………………………………………………………. 7
4. Related Products ………………………………………………………………………………………………….. 8
5. Cosmedceuticals – Success Factors Of Proactive Solution® ……………………………….... 9
6. Proactive Solution® Infomercial ………………………………………………………………………….. 10
7. Three Distribution Models ………………………………………………………………………………….. 11 – 12
8. Prescription Drug Channels …………………………………………………………………………………. 13
9. Healthcare Financing ………………………………………………………………………………………..... 14
10. The Buyers: Pharmaceutical Wholesalers …………………………………………………………… 15
11. The Buyers: Retail Pharmacies ……………………………………………………………………………. 16
12. The Buyers: Hospitals …………………………………………………………………………………………. 17
13. The Buyers: Group Purchasing Organisations …………………………………………………….. 18
14. The Buyers: HMO´s ……………………………………………………………………………………………… 19
15. The Buyers: Patients …………………………………………………………………………………............ 20
16. The Buyers: Physicians ………………………………………………………………………………………… 21
17. Direct Distribution: The Role Of GX´s Data Pool ………………………………………………….. 22
18. Network Process Communication - Rollstream® …………………………………………………. 23
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18. Direct-To-Consumer- & Market Leader Web Design ………………………………………….. 24
19. Aveeno® Sun Blockers & Sampling ……………………………………………………………………. 25 – 28
20. Couponing Valassis Com. Inc. & News America Corp. ……………………………………..... 29 – 30
21. Direct-To-Consumer – Using The Web ………………………………………………………………. 31 – 32
22. Direct-To-Consumer – Expenditures …………………………………………………………………. 33
23. Strategies To Get To Know People With Whom You Might Do a Deal ………………. 34 – 35
24. Marketing Plan Strategy ………………………………………………………………………………....... 36 – 37
25. Identifying Potential Partners – People You Already Know ………………………………. 38
26. People You Know That Can Open Doors …………………………………………………………… 39
27. Marketing Plan Strategy …………………………………………………………………………………... 40
28. Publications As Marketing Strategies ………………………………………………………………… 41 – 42
29. Knowledge- & Opinion Buildup ………………………………………………………………………… 43 – 44
30. Marketing Plan Strategy …………………………………………………………………………………… 45
31. The Role Of The Scientist In Finding Leads ………………………………………………………... 46
32. Marketing Plan Strategy …………………………………………………………………………………… 47 – 48
33. Know Your Space ……………………………………………………………………………………………… 49
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35. Know Your Product Space …………………………………………………………………………………. 50 – 52
36. Marketing Plan Strategy ……………………………………………………………………………………. 53
37. Marketing Plan Is A Living Document ………………………………………………………………… 54
38. Pro´s & Con´s Of Own Distributorship ……………………………………………………………….. 55
39. Reasons For A Cooperation – The Way To The US Market …………………………………… 56
40. Associations & Foundations ………………………………………………………………………………. 57
41. Re-Design As The Step To Success ………………………………………………………………………. 58
42. Olay Total Effects® - The Way To Product Design ……………………………………………….. 59 - 60
43. Pharmaceutical Media ………………………………………………………………………………………. 61 – 64
44. …and the WINNER is - SPIRIG® Product Distribution Bench Marketing ………………… 65
45. Texas – Frisco & DFW-Area …………………………………………………………………………………. 66
46. Olay Professional Pro-X ® – The Alliance of Experts ……………………………………………. 67
47. Olay Professional Pro-X ® – The Science of Pro-X® ………………………………………………. 68
48. Principle ……………………………………………………………………………………………………………… 69
49. Rules ………………………………………………………………………………………………………………….. 70
50. The Solution ………………………………………………………………………………………………………. 71
51. And The Key Is The Target ……………………………………………………………………………........ 72
52. … To Success ……………………………………………………………………………………………………… 73 - 77
OUR TARGETS – SUCCESSFUL SOLUTIONS
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High credibility
Guaranteed success
Excellent reputation
Strongest network
Fast market penetration
Multi-ethnic acceptance
Professional appearance
Hi-quality packaging
USP: branding & naming
All-channel referencing
High annual turnover
Efficient ROI
Fast growth
Conclusive concepts
Out-of-the-box-tech
100% authenticity Eagerness to win Multi-channelled
DISTRIBUTORS
MEDLINE: www.medline.com
H.D. SMITH: www.hdsmith.com
AHP GROUP: www.ahpgroup.com
CARDINAL HEALTH: www.cardinal.com
OWENS & MINOR: www.owensminor.com
HENRY SCHEIN: www.henryschein.com
HOSPICE PROVIDER GROUP:
www.hospiceprovider.com
AMERISOURCE BERGEN:
www.amerisourcebergen.com
MC KESSON:
www.mckesson.com/en_us/McKesson.cm
DERMATOLOGICAL HOSPITALS
www.acnetreatmentjournal.com/Dermatology-Clinic-
Directory/index.htm
ASSOCIATIONS
CANADIAN DERMATOLOGY
ASSOCIATIONS (CDA•ACD)
SKIN CANCER FOUNDATION
www.AAD.org (AMERICAN ACADEMY OF
DERMATOLOGISTS•+16.000 members)
www.apma.org (AMERICAN PODIATRIC
MEDICAL ASSOCIATION)
Colleagues
Journal Articles
Private & Public
Insurers
Direct to Consumers
Advertising
(DTCA)
MEDIA
Live Video Detailing
Online events
Electronic Sampling
Physician Customer Service Portal
www.physiciansinteractive.com
www.mdlinx.com & www.sciencedaily.com
www.pharmpro.com
KOL-KEY OPINION LEADERS for
SOCIAL NETWORKS
SPIRIG USA – PHASE 1 DIRECT DISTRIBUTION
DATABASES of
PHYSICIAN´s & DERMATOLOGISTS:
www.omnimedicalsearch.com/databases.html
www.superpages.com
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Independent Sales- & Dist. Rep´s segmented in:
NE, NW, SMID, SE & SW.
Acquisition with www.careerbuilder.com
www.rxinsider.com
www.pharmrep.findpharma.com
www.careersinpharmaceutical.com
www.medzilla.com
www.pharmaceuticaljobs-usa.com
www.pharmaopportunities.com
www.careers.findpharma.com
www.cafepharma.com
www.jobsaledirectory.com
www.mypharmaceuticaljob.com
www.theladders.com
www.pharmrep.com
www.monster.com
www.hotjobs.com
www.webmd.com
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EMPLOYEES PORTALS
RELATED PRODUCTS
www.amerigel.com www.mustelusa.com www.healthenterprises.com
www.cutivatelotion.com www.magnilife.com
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COSMEDCEUTICALS – SUCCESS FACTORS OF PROACTIVE SOLUTION®
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PROACTIVE SOLUTION® INFOMERCIAL
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THREE DISTRIBUTION MODELS
• 1. Wholesaler Model: This cost-effective distribution
alternative for the majority of pharmaceutical products allows
wholesalers to provide logistical efficiencies across
manufacturers and focus on demand fulfillment and provide a
high level of service to end customers.
• 2. Limited Distribution Model: By limiting wholesaler
relationships, manufacturers hope to improve inventory
management, reduce costs, and mitigate concerns about
product and supply chain integrity.
• 3. Direct Distribution Model: Direct distribution by
manufacturers has emerged as a viable distribution model,
particularly for high-priced biologics with a limited provider
base and direct-bulk shipments to customers with their own
central distribution warehouse.
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ASSESS
CURRENT STATE
A
C
T
I
V
I
T
I
E
S
D
E
L
I
V
E
R
A
B
L
E
S
IDENTIFY
CHANNEL VALUE
IMPROVE EXISTING
AGREEMENTS
• Identify current state
• Evaluate existing
agreements
• Develop wholesale
profiles
• Current state channel
partner analysis
• Economic analysis of
existing agreements
• Detailed wholesaler
profiles
• Define scenarios for future
wholesaler business needs
• Develop model to quantify
value exchange with whole-
saler today and in the future
• Create forward-looking whole-
saler strategy, deployment
plan
• Create reusable tools/frame-
works to revise strategy over
time
• Exchange of Value Model
• Scenario planning session
structure and output
• Strategic framework proces-
ses and tools
• Roadmap for deployment of
long-term strategy
• Execution Capability Analysis
• Develop a contract strategy for whole-
salers
• Consider a “limited distribution network”
• Understand how current contracts align
with ultimate customer needs
• Explore potential contracting options to
determine how to achieve a win-win rela-
tionship with wholesalers
• Consider alternatives to existing channel
relationships
• “Limited distribution” network assess-
ment
• FFS contracting recommendations
• Negotiation strategy
• “Next best alternative” analysis
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PRESCRIPTION DRUG CHANNELS
“Brand” Manufacturers “Generic” Manufacturers
Repackagers/Marketers
Wholesalers Chain Warehouses
Group Purchase
Depots
Hospitals
Independent
Pharmacies
Chain
Drug Stores
Mail Order
Pharmacy
Services
HMOs
Dispensing
Physicians
Nursing
Homes
Government
Patient3/28/2011 13
HEALTHCARE FINANCING
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Medical Centers (private profit & public non-profit)*
• John Hopkins Hospital www.hopkinsmedicine.org
• Mayo Clinic www.mayoclinic.com
• Massachusetts General Hospital
www.mgh.harvard.edu
• Texas Medical Center
www.universitygeneralhospital.com
• Cleveland Clinic
http://my.clevelandclinic.org/default.aspx
• New York Presbyterian Hospital http://nyp.org
• University of Pennsylvenia Health System
www.pennmedicine.org
• University of California - San Francisco Medical Center
www.ucsfhealth.org
• University of California – Ronald Reagan Medical
Center
www.uclahealth.org/body_med.cfm?id=346
*See also: http://health.usnews.com/health-news/best-
hospitals/articles/2010/07/14/best-hospitals-2010-11-
the-honor-roll.html
THE BUYERS: PHARMACEUTICAL WHOLESALERS
• The most important class of buyers based on % of total sales
– 80% of total drug sales in 2008
– CAGR of almost 15% projected through 2009 (IFPW Focus, 1/24/09)
• 90% of the total $103 billion pharmaceutical distribution market in U.S.
dominated by 3 major players:
– Amerisource Bergen
– Cardinal
– McKesson
• Key Challenges:
– Increasing complexity of pharmaceutical supply chain
– Increasing collaboration between wholesalers and large chains regarding inventory
management
– Increasingly powerful retailers and institutions (e.g., Wal-Mart)
– Increasing regulatory pressures
– Shrinking margins (4% of sales in 2009)
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THE BUYERS: RETAIL PHARMACIES
• More than 50,000 drug stores in the U.S.
– Independents (40% of market and sliding)
– Large chains (e.g., Walgreen’s, Rite-Aid, CVS)
• Key Trends:
– Continued growth of large chains at the expense of independents
– Growing power of large chains due to use of IT:
• Item data capture (more information about the direct consumer than the
manufacturers)
• Direct Profitability Analysis (DFP) – influences shelf-space allocation
• Forward investment buying - JIT delivery of drugs; buying on deal rather than
on demand
• Key Challenges:
– Growth of the discount “mega-markets” such as Wal-Mart, Costco
– Slowdown in new drug introductions
– Changing consumer preferences for places to buy drugs
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THE BUYERS: HOSPITALS
• Largest dispensers of drugs (Differentiated by number of beds)
– Teaching hospitals average > 300 beds; so marketing emphasis is directed
towards them mostly by
• Key Trends:
– Size of the market in $ is growing substantially
– Selection of drugs moving away from physician to others (e.g., hospital
pharmacists) – “hospital formulary”
– Growth in power of Pharmacy & Therapeutics (P&T) committees in
teaching hospitals
• Key Challenges:
– Availability of physicians to marketing & sales staff is limited
– “Free market” forces don’t completely apply in hospital settings
– Focus on cost containment as cost of drugs skyrockets
– Complex purchasing systems; emergence of group purchasing
organizations
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THE BUYERS: GROUP PURCHASING ORGANIZATIONS (GPO´s)
www.premierinc.com
www.novationco.com
www.amerinet-gpo.com
www.vha.com
www.uhc.edu www.provistaco.com
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THE BUYERS: HMO´s (i.e. Health Maintenance Organization)
• Cost-containment mechanisms for health care
• Drug utilization within HMOs focus on:
– Symptomatic control of chronic illness
– Curing acute distressing (painful) or infectious disease
• Attempts to control prescribing practices and dispensing costs (“Drug
Utilization Evaluation”) especially for high-priced drugs or those with adverse
events
• Growing role in legislative lobbying:
– Generic drugs
– Patent limitation
• Key Trends:
– Consolidation
– Rising costs to members (employers)
– Challenges to manufacturers on efficacy of new drugs vs. old formulations
– Limitations on prescription formularies
• Key Challenges:
– Legislative curbs on practices
– Rising consumer anger
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THE BUYERS: PATIENTS
• Baby boomers (b. 1947 – 1964) are positioned to transform
healthcare:
– Spend a greater percentage of their own income on health services and
products
– Invest in treatments to prevent future illnesses and enhance their well-
being:
• Alternative medicine is becoming mainstream as the demand keeps
growing
– Redefine health to encompass quality of life as they try to stay young
– Care for elderly parents and are fighting to improve quality of care
– Question physicians, push back against institutions of organized care and
demand better health benefits
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THE BUYERS - PHYSICIANS
• The doctor-patient relationship is changing:
– Patients want to see the full range of options with all the relevant evidence so they
can participate in decisions regarding treatment
– Patients are seeking supplemental sources of information in addition to their
doctors
– Patients are using the Internet to gather information about their disease conditions
and the efficacy and side effects of drugs
– More and more patients want to use doctor-provided web sites or to e-mail their
doctors
• But….
– The physician is still seen as the primary marketing target for new drugs, with over
90% of the spending on sales and marketing directed to physicians
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DIRECT DISTRIBUTION – THE ROLE OF GXS´DATA POOL
certified by GS1's Global Data Synchronization Network
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NETWORK PROCESS COMMUNICATION – ROLLSTREAM®
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DIRECT-TO-CONSUMER- & MARKET LEADER WEB DESIGN
www.nexium.net www.olay.com/skin-care-products/total-effects?TID=7b5c6d91-da4b-416c-b9fd-054fd7ef5395
www.aveeno.com www.aveeno.com
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AVEENO® SUN BLOCKERS
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AVEENO® SAMPLING
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AVEENO® SAMPLING #2
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AVEENO® SAMPLING #3
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COUPONING-VALASSIS COMM. INC. (www.redplum.com)
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COUPONING-NEWS AMERICA CORP. (www.smartsource.com)
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DIRECT-TO-CONSUMER-USING THE WEB
• Pharmaceutical executives expect that DTC spending will not slow down, but
shift from “promotion” to “drug adherence” over the next 12-18 months
• Keeping people on drugs to treat chronic conditions (e.g., hyperlipidemia) will
be the new focus of DTC advertising
• The Web and other related technologies are being explored to improve drug
adherence
• Nearly one-third of those who contacted their doctors after seeing a DTC ad first
went to the web to find out more
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• Issues:
– Regulatory:
• FDA Center for Drug Evaluation & Research (CDER) – OTC and ethical drug
approval
• FDA Division of Drug Marketing, Advertising and Communications (DMAC) –
approves labeling, advertising and marketing materials
• Little formal guidance for online marketing or advertising
– Coordination:
• Offline and online campaigns rarely coordinated
– Metrics for evaluating the effectiveness of online campaigns not well
understood
– Consumers:
• Mistrust of online health websites
• Concerns about misuse of personal data
• Reluctance to enroll in wellness programs or disease management programs
• But…they want a doctor-approved resource for information and..
• Better access to their own doctors!
DIRECT-TO-CONSUMER-USING THE WEB
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Vytorin (Merck/SP)
$155 Million (2005)
Nexium
(AstraZeneca)
$224 Million (2005)
Source: Donohue JM. NEJM. 2007;357:673-81; *WSJ Oct 7, 2005;
**WSJ Apr 16, 2004
Lunesta (Sepracor)
$214 Million (2005)
Coke Classic
$146 Million
(2004)* Bud Light
$136 Million
(2003)**
DIRECT-TO-CONSUMER-EXPENDITURES
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• BDMs (Business Development Managers)need to
– Network within their industry
– Attend conferences, exhibitions, functions
• Inadequate to do it once
• Needs to be a constant never ending networking strategy:
– to go to events,
– to see, and to be seen,
– to get to know the people in the industry
• The longer that strategy is implemented, the more successful it will be
• The success of the strategy is limited only by
– Financial resources to travel
– The degree of intimacy established in networking
STRATEGIES TO GET TO KNOW PEOPLE WITH
WHOM YOU MIGHT DO A DEAL
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• Scientists also play a critical role in this networking
– Scientists should regularly go to the conferences in their field
– Conferences are attended by business development staff of biotech and
pharmaceutical companies
• Staff of biotech and pharmaceutical companies attend conferences to see
what new science is emerging
– Opportunities for scientists to establish rapport and relationships with
business development staff from staff of pharmaceutical companies
• Again, must be constant strategy, inadequate to do it once
STRATEGIES TO GET TO KNOW PEOPLE WITH
WHOM YOU MIGHT DO A DEAL
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• This strategy is not devious, nor need it be selfishly pursued
• If its totally selfishly motivated, with a “hard sell” networking is unlikely to work,
• excellent friendships and personal relationships
• BDMs
– actively attend conferences and exhibitions,
– those that are identified as providing opportunities to build networks that are
identified as potentially valuable
– Do not expect overnight results
– Results may take a few years to pay off
• Scientists
– Actively attend those conferences where relationships can be nurtured and
rapport built
MARKETING PLAN STRATEGY
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• Make this a strategy in a marketing plan
• Do not make it something that is casually applied, with unpredictable hit or
miss results
• Systematic:
– Identify conferences and exhibitions
– Identify who should go to obtain maximum advantage
– Consistency go each year to renew, and reinforce relationships
– Ensure adequate financial resources to implement this expensive
commitment
MARKETING PLAN STRATEGY
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• When something is ready for a deal, ask “Who do we know that may be
interested in this”
• More likely to do a deal with someone that you already know, rather than
someone that you don’t know yet
• What existing relationships might suggest that someone you already know
may be interested
– What companies have existing deals been with ?
– What people met at conferences and exhibitions may be interested
– Former PhD students in industry
– Former colleagues in industry
– Who in your network that you already know may be interested
IDENTIFYING POTENTIAL
PARTNERS – PEOPLE YOU
ALREADY KNOW
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• Asks these questions in a wider framework
• Not just who do you know that may be interested in a deal
• More important:
– Who do you know that can open the door and introduce you to someone
that may be interested in doing a deal
– That represents an even wider network of potential parties with whom
the opportunity for a deal may arise
• Even more important
– Ask the person you know if they know someone else who can open the
door for you
– That represents an even wider network
PEOPLE YOU KNOW THAT CAN OPEN DOORS
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• When a commercialization candidate is identified:
• Systematically
– Identify everyone concerned with the technology (scientists and BDMs)
– Enquire whether anyone knows someone
– Who may be interested in the technology themselves
– Who may know someone who may be interested in the technology and
may be able to open door
– Who may know another person who can open doors
• Again,
– Systematic
– Not casual
MARKETING PLAN STRATEGY
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• Publications and commercialization sometimes perceived as being on a collision
course
– Publication means disseminating, and disseminating adversely affects novelty
– Commercialisation perceived as needing secrecy, and that is not consistent with
the publication objective.
• But that is too simple a view
• Scientists and BDMs are now much more sophisticated
• BDMs know that publications and peer recognition are an important driver for
innovation and inventiveness, and personal satisfaction of scientists
• Scientists know that publication can potentially destroy the transformation of the
outcomes of their research into useful and beneficial products for the community
PUBLICATIONS AS A MARKETING STRATEGY
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• Both scientists and BMS therefore know that they each have to help the other achieve
the objectives of both
• That is
– Both publish and commercialize
• Publication
– part of a broader commercialization strategy
– Publication at the right time, in the right forum, creates deal opportunities
– As a marketing tool marketing opportunity
• Conference presentations identify emerging products of interest to potential partners
• Many deals are done because of deal opportunities presented by opportune
publications
PUBLICATIONS AS MARKETING STRATEGIES
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KNOWLEDGE- & OPINION BUILDUP
http://factsandcomparisons.com www.pdrbookstore.com/Default.asp?mlc=G3008PH01
http://corporate.everydayhealth.com/index.aspx http://pdrhealth.com/home/home.aspx
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www.webmd.com www.phrma.org/about_phrma
www.mdlinx.com www.sciencedaily.com
• Specialists newsletters published regularly on industry news informing the industry
about new science, new deals, etc.
KNOWLEDGE- & OPINION BUILDUP #2
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• Give consideration to the optimal
– Manner of publication
– Place of publication
• What is the best audience for the publication
– Is one publication option better than another
• Marketing Plan might consider systematic
– Identification of publications
– Identification of optimal means of dissemination
– Processes to accelerate or delay publication for maximum advantage
– Achieving publications as a marketing tool and opportunity
MARKETING PLAN STRATEGY
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• Why do scientists produce the greatest number of leads ?
– They have good industry contacts and large personal networks
– Long history of association with industry
– Sponsored research relationships with industry
– Consulting engagements by industry
– Networks amongst their former students
– Companies want to deal with scientists that are leaders in their field,
particularly scientists where that leadership is demonstrated through
publications
• Need to engage scientists not just once, but continually
– When Developer Disclosure Form signed
– When product search is done
– When product application is filed
THE ROLE OF THE SCIENTIST IN FINDING LEADS
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• Encourage scientists:
– to form, expand and maintain their networks and contacts
– to maintain a high profile
– to undertaking private consulting
– to attend conferences
– to publish
– to get the business cards of people that they meet
• Enquire of scientists systematically about potential licensees that they can
identify
– Not just once
– Repeatedly
MARKETING PLAN STRATEGY
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• Seek out relationships with industry that can sponsor applied research
– Identify who they are
– Identify their needs
– Implement the strategy by forging networks and relationships with them
• Not likely to be an overnight response
– Expertise, capability, resources, and willingness to undertake applied
research takes time to filter out to potential partners
• Perseverance pays off
MARKETING PLAN STRATEGY
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• Product Watch
• Patent Watch
• Literature Watch
• Newsletter Watch
• Press Release Watch
• All of these are means by which you can keep up with what is happening
relevant to your science
– Knowing what is going on in your product space will help identify
– Potential licensees who may be interested in your products
– Potential strategic alliance partners
– Potential infringers
KNOW YOUR SPACE
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• Newsletter Watch and Press Release Watch
• News services
– Daily email with links to press releases issued in last 24 hours containing
your key words Google words)
• All are means to keeping informed about what is going on
• Identify
– Potential licensees
– Potential strategic alliance partners
– Potential infringers
KNOW YOUR PRODUCT SPACE
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www.thelancet.com www.eblue.org
http://wokinfo.com/media/pdf/09jcrnewtitles.pdf www.wiley.com
KNOW YOUR PRODUCT SPACE #2
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• Industry Watch
• Be aware of new products and inventions that enter the market place in your
space
• Identify
– Potential licensees
– Potential research collaborators
– Potential strategic alliance partners
– Potential infringers
KNOW YOUR PRODUCT SPACE #3
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• Marketing plan should:
– Identify what to watch
• Industry watch
• Patent Watch
• Literature Watch
• Press Release Watch
• Newsletter Watch
– Who will have responsibility for watching
– Process of assessment and review of intelligence gathered
– Process of planning to maximise taking advantage of intelligence learned
MARKETING PLAN STRATEGY
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• Marketing Plan is not a static document
• It needs to be a living document
• This means that it must be continually reviewed, assessed, updated
• Strategies that are not working need to be put in the back seat (for possible
later use)
• Strategies that are working need to be focused on
• New networks and relationships are formed all the time
• New marketing opportunities arise from those new networks and
opportunities
• Marketing Plans
– Must not remain idle
– They must be implemented
MARKETING PLAN IS A LIVING DOCUMENT
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PRO´s & CON´s OF "OWN DISTRIBUTORSHIP"
+ Control over all processes
+ Higher concentration on the "core focus points"
+ Less loss with a "vendor´s tray impression"
+ Faster progress & market penetration. Sales doubling two times faster than
usually
+ Higher credibility
+ Competence buildup in all channels
+ Easier progress with trained staff who understands the brands, products and
how to handle them
- Instant progress not directly visible
- Market penetration processes can take up to two years
- Higher investments necessary because they can not be shared with other
suppliers
- "Risk sharing" during market introduction not possible (staff)
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REASONS FOR COOPERATION - THE WAY TO THE US MARKET
 Over 13 years of international distribution- and fair experience in the range of
cosmeceutical and personal care products in higher price segments.
 Coordinated marketing for commercial products worldwide including Asia, USA,
South America, Australia and Far East.
 Development, negotiation and purchase with international contacts for market
penetration.
 Specialized in naming, branding and packaging for high-end consumer products.
 Cultivated partnerships with industry vendors to increase sales and perform
synergetic cooperations.
 Far more than 5,000 customer data of chains, drugstores and pharmacies
that are possible active buyers from SPIRIG AG.
ASSOCIATIONS & FOUNDATIONS
www.apma.org
American Podiatric Medical Association
www.aad.org
American Academy of Dermatology
www.dermatology.ca
Canadian Dermatology Association
www.skincancer.org
Skin Cancer Foundation3/28/2011 Copyright Distributormax - Tom Ka 57
RE-DESIGN AS THE STEP TO SUCCESS
Changes from left to right
Old Improved
Static Dynamic
Common declaration
USP
Increased value
Visually increased value
Negative DOWNflow
Positive UPflow
Negative claim
Core visualisation:
Scientific appeal
Positive claim
Visually boosted functionality
3/28/2011 Copyright Distributormax - Tom Ka 58
OLAY TOTAL EFFECTS® - THE WAY TO PRODUCT DESIGN
Presence during application
Total smooth- & calmness
(tranquility & balance)
100% Happiness
3/28/2011 Copyright Distributormax - Tom Ka 59
OLAY TOTAL EFFECTS® - THE WAY TO PRODUCT DESIGN
Benefits
Organic shapeHi-Glam
special foil
USP
Visualization
centered
USP
USP
Higher appeal by
structurized bottle
surface
3/28/2011
Copyright Distributormax - Tom Ka
60
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 61
PHARMACEUTICAL PRINT MEDIA #1
www.positivehealth.com www.pharmacytimes.com
www.uspharmacist.com www.drugtopics.com
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 62
PHARMACEUTICAL PRINT MEDIA #2
www.pharmacytoday.org www.findpharma.com www.retailclinician.com
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 63
PHARMACEUTICAL PRINT MEDIA #3
www.pharmamanufacturing.com www.pharmaceuticalcommerce.com
www.pharmacyweek.com www.ascp.com
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 64
PHARMACEUTICAL MEDIA #4
www.eyeforpharma.com www.drugstorenews.com
www.thepinksheet.com www.chaindrugreview.com
…and the WINNER is…
SPIRIG® Product Distribution Bench Marketing
• Centrally located in Frisco/TX.
• NO state taxes
• No turbulent & extreme weather & damage risks
• Highest police presence & supervision
• Cheap labor
• Only few working unions
• Close to Mexico
• Fast harbor connection
• Close to DFW Int. Airport – Centrally located
• Excellent infrastructure
• Very high public security
• Lowest crime rates
• 76% White inhabitants (11% Hispanic & 4% Black,
7% other)
• Fastest growing city 2000-2009 in USA
• One of the highest nationwide per capita incomes
• Nationwide most HQ´s in DFW-area
• Lowest unemployment rate in the USA
• Unique nationwide position
• Friendliest people in the nation
• Highest infrastructure
• Ideally linked to international networks
• All time zones covered by one office: Only 1hour -
EST & 2hrs. + PST
• Rated together with McKinney as the #1 USA city
with best living conditions (TIME MAGAZINE 2010)
• Many newly built industrial buildings to choose for
storage & warehousing
• More than 13 years of personal international
marketing experience
• We do business not for profit only
• Maximum 4 hrs. flight time within USA
• Already existing infrastructure
• Prestigeous address
• NO suite/PO box numbers
• Complete professionalism
• German & English native speaking
• 24/7 reachability and service
• Huge amount of human highly skilled employees
• 5 interstates connected in Dallas
• Rail- & harbor hubs
• DFW #1 in FORTUNE® Top-500 & Top-1000
companies
• Environmental & professional stewardship of
branding, naming, distribution & fulfillment
3/28/2011
© • Distributormax • Tom Ka • February 2011
65
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 66
…and the WINNER is…
SPIRIG® Product Distribution Bench Marketing
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 67
TEXAS: FRISCO & DFW-AREA
www.dallascounty.org/department/plandev/zoning.html
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 68
OLAY PROFESSIONAL PRO-X® - ALLIANCE OF EXPERTS
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 69
OLAY PROFESSIONAL PRO-X® - SCIENCE OF PRO-X®
PRINCIPLE
3/28/2011 Copyright Distributormax - Tom Ka • February 2011 70
What we think, we become.
- Buddha
RULES
3/28/2011
Copyright Distributormax - Tom Ka January
2011
71
SPIRIG PHARMA AG
TOMORROW
Unauthorized start
without highly professional
partner & concept will lead
to direct disqualification &
eternal market loss!
THE SOLUTION
3/28/2011
Copyright Distributormax - Tom Ka January
2011
72
… is the way.
…AND THE KEY IS THE TARGET!
3/28/2011
Copyright Distributormax - Tom Ka January
2011
73
… TO SUCCESS!
3/28/2011
Copyright Distributormax - Tom Ka January
2011
74
PLEASE TURN THE KEY!
3/28/2011
Copyright Distributormax - Tom Ka January
2011
75
IN 2011
3/28/2011
Copyright Distributormax - Tom Ka January
2011
76
…TO HEALTH!
3/28/2011
Copyright Distributormax - Tom Ka January
2011
77
www.istockphoto.com/stock-video-7459537-
composite-opening-health.php
www.istockphoto.com/stock-video-13236978-
unlocking-truth-hd-video.php
u.s.a.

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SPIRIG MARKET INTRODUCTION STRATEGY PHASE 1-FINAL VERSION

  • 1. MARKET INTRODUCTION USA-STRATEGY PHASE 1 ©Distributormax • Tom Ka March 2011
  • 2. 1. Our Targets – Successful Solutions …………………………………………………………………….. 5 2. Direct Distribution ……………………………………………………………………………………………….. 6 3. Employee Portals …………………………………………………………………………………………………. 7 4. Related Products ………………………………………………………………………………………………….. 8 5. Cosmedceuticals – Success Factors Of Proactive Solution® ……………………………….... 9 6. Proactive Solution® Infomercial ………………………………………………………………………….. 10 7. Three Distribution Models ………………………………………………………………………………….. 11 – 12 8. Prescription Drug Channels …………………………………………………………………………………. 13 9. Healthcare Financing ………………………………………………………………………………………..... 14 10. The Buyers: Pharmaceutical Wholesalers …………………………………………………………… 15 11. The Buyers: Retail Pharmacies ……………………………………………………………………………. 16 12. The Buyers: Hospitals …………………………………………………………………………………………. 17 13. The Buyers: Group Purchasing Organisations …………………………………………………….. 18 14. The Buyers: HMO´s ……………………………………………………………………………………………… 19 15. The Buyers: Patients …………………………………………………………………………………............ 20 16. The Buyers: Physicians ………………………………………………………………………………………… 21 17. Direct Distribution: The Role Of GX´s Data Pool ………………………………………………….. 22 18. Network Process Communication - Rollstream® …………………………………………………. 23 3/28/2011 Copyright Distributormax • Tom Ka 2
  • 3. 3/28/2011 Copyright Distributormax - Tom Ka 3 18. Direct-To-Consumer- & Market Leader Web Design ………………………………………….. 24 19. Aveeno® Sun Blockers & Sampling ……………………………………………………………………. 25 – 28 20. Couponing Valassis Com. Inc. & News America Corp. ……………………………………..... 29 – 30 21. Direct-To-Consumer – Using The Web ………………………………………………………………. 31 – 32 22. Direct-To-Consumer – Expenditures …………………………………………………………………. 33 23. Strategies To Get To Know People With Whom You Might Do a Deal ………………. 34 – 35 24. Marketing Plan Strategy ………………………………………………………………………………....... 36 – 37 25. Identifying Potential Partners – People You Already Know ………………………………. 38 26. People You Know That Can Open Doors …………………………………………………………… 39 27. Marketing Plan Strategy …………………………………………………………………………………... 40 28. Publications As Marketing Strategies ………………………………………………………………… 41 – 42 29. Knowledge- & Opinion Buildup ………………………………………………………………………… 43 – 44 30. Marketing Plan Strategy …………………………………………………………………………………… 45 31. The Role Of The Scientist In Finding Leads ………………………………………………………... 46 32. Marketing Plan Strategy …………………………………………………………………………………… 47 – 48 33. Know Your Space ……………………………………………………………………………………………… 49
  • 4. 3/28/2011 Copyright Distributormax - Tom Ka 4 35. Know Your Product Space …………………………………………………………………………………. 50 – 52 36. Marketing Plan Strategy ……………………………………………………………………………………. 53 37. Marketing Plan Is A Living Document ………………………………………………………………… 54 38. Pro´s & Con´s Of Own Distributorship ……………………………………………………………….. 55 39. Reasons For A Cooperation – The Way To The US Market …………………………………… 56 40. Associations & Foundations ………………………………………………………………………………. 57 41. Re-Design As The Step To Success ………………………………………………………………………. 58 42. Olay Total Effects® - The Way To Product Design ……………………………………………….. 59 - 60 43. Pharmaceutical Media ………………………………………………………………………………………. 61 – 64 44. …and the WINNER is - SPIRIG® Product Distribution Bench Marketing ………………… 65 45. Texas – Frisco & DFW-Area …………………………………………………………………………………. 66 46. Olay Professional Pro-X ® – The Alliance of Experts ……………………………………………. 67 47. Olay Professional Pro-X ® – The Science of Pro-X® ………………………………………………. 68 48. Principle ……………………………………………………………………………………………………………… 69 49. Rules ………………………………………………………………………………………………………………….. 70 50. The Solution ………………………………………………………………………………………………………. 71 51. And The Key Is The Target ……………………………………………………………………………........ 72 52. … To Success ……………………………………………………………………………………………………… 73 - 77
  • 5. OUR TARGETS – SUCCESSFUL SOLUTIONS 3/28/2011 Copyright Distributormax - Tom Ka February 2011 5 High credibility Guaranteed success Excellent reputation Strongest network Fast market penetration Multi-ethnic acceptance Professional appearance Hi-quality packaging USP: branding & naming All-channel referencing High annual turnover Efficient ROI Fast growth Conclusive concepts Out-of-the-box-tech 100% authenticity Eagerness to win Multi-channelled
  • 6. DISTRIBUTORS MEDLINE: www.medline.com H.D. SMITH: www.hdsmith.com AHP GROUP: www.ahpgroup.com CARDINAL HEALTH: www.cardinal.com OWENS & MINOR: www.owensminor.com HENRY SCHEIN: www.henryschein.com HOSPICE PROVIDER GROUP: www.hospiceprovider.com AMERISOURCE BERGEN: www.amerisourcebergen.com MC KESSON: www.mckesson.com/en_us/McKesson.cm DERMATOLOGICAL HOSPITALS www.acnetreatmentjournal.com/Dermatology-Clinic- Directory/index.htm ASSOCIATIONS CANADIAN DERMATOLOGY ASSOCIATIONS (CDA•ACD) SKIN CANCER FOUNDATION www.AAD.org (AMERICAN ACADEMY OF DERMATOLOGISTS•+16.000 members) www.apma.org (AMERICAN PODIATRIC MEDICAL ASSOCIATION) Colleagues Journal Articles Private & Public Insurers Direct to Consumers Advertising (DTCA) MEDIA Live Video Detailing Online events Electronic Sampling Physician Customer Service Portal www.physiciansinteractive.com www.mdlinx.com & www.sciencedaily.com www.pharmpro.com KOL-KEY OPINION LEADERS for SOCIAL NETWORKS SPIRIG USA – PHASE 1 DIRECT DISTRIBUTION DATABASES of PHYSICIAN´s & DERMATOLOGISTS: www.omnimedicalsearch.com/databases.html www.superpages.com 3/28/2011 Copyright Distributormax - Tom Ka 6
  • 7. Independent Sales- & Dist. Rep´s segmented in: NE, NW, SMID, SE & SW. Acquisition with www.careerbuilder.com www.rxinsider.com www.pharmrep.findpharma.com www.careersinpharmaceutical.com www.medzilla.com www.pharmaceuticaljobs-usa.com www.pharmaopportunities.com www.careers.findpharma.com www.cafepharma.com www.jobsaledirectory.com www.mypharmaceuticaljob.com www.theladders.com www.pharmrep.com www.monster.com www.hotjobs.com www.webmd.com 3/28/2011 Copyright Distributormax - Tom Ka 7 EMPLOYEES PORTALS
  • 8. RELATED PRODUCTS www.amerigel.com www.mustelusa.com www.healthenterprises.com www.cutivatelotion.com www.magnilife.com 3/28/2011 Copyright Distributormax - Tom Ka 8
  • 9. COSMEDCEUTICALS – SUCCESS FACTORS OF PROACTIVE SOLUTION® 3/28/2011 Copyright Distributormax - Tom Ka 9
  • 10. PROACTIVE SOLUTION® INFOMERCIAL 3/28/2011 Copyright Distributormax - Tom Ka 10
  • 11. THREE DISTRIBUTION MODELS • 1. Wholesaler Model: This cost-effective distribution alternative for the majority of pharmaceutical products allows wholesalers to provide logistical efficiencies across manufacturers and focus on demand fulfillment and provide a high level of service to end customers. • 2. Limited Distribution Model: By limiting wholesaler relationships, manufacturers hope to improve inventory management, reduce costs, and mitigate concerns about product and supply chain integrity. • 3. Direct Distribution Model: Direct distribution by manufacturers has emerged as a viable distribution model, particularly for high-priced biologics with a limited provider base and direct-bulk shipments to customers with their own central distribution warehouse. 3/28/2011 Copyright Distributormax - Tom Ka 11
  • 12. ASSESS CURRENT STATE A C T I V I T I E S D E L I V E R A B L E S IDENTIFY CHANNEL VALUE IMPROVE EXISTING AGREEMENTS • Identify current state • Evaluate existing agreements • Develop wholesale profiles • Current state channel partner analysis • Economic analysis of existing agreements • Detailed wholesaler profiles • Define scenarios for future wholesaler business needs • Develop model to quantify value exchange with whole- saler today and in the future • Create forward-looking whole- saler strategy, deployment plan • Create reusable tools/frame- works to revise strategy over time • Exchange of Value Model • Scenario planning session structure and output • Strategic framework proces- ses and tools • Roadmap for deployment of long-term strategy • Execution Capability Analysis • Develop a contract strategy for whole- salers • Consider a “limited distribution network” • Understand how current contracts align with ultimate customer needs • Explore potential contracting options to determine how to achieve a win-win rela- tionship with wholesalers • Consider alternatives to existing channel relationships • “Limited distribution” network assess- ment • FFS contracting recommendations • Negotiation strategy • “Next best alternative” analysis 3/28/2011 12
  • 13. PRESCRIPTION DRUG CHANNELS “Brand” Manufacturers “Generic” Manufacturers Repackagers/Marketers Wholesalers Chain Warehouses Group Purchase Depots Hospitals Independent Pharmacies Chain Drug Stores Mail Order Pharmacy Services HMOs Dispensing Physicians Nursing Homes Government Patient3/28/2011 13
  • 14. HEALTHCARE FINANCING 3/28/2011 Copyright Distributormax - Tom Ka 14 Medical Centers (private profit & public non-profit)* • John Hopkins Hospital www.hopkinsmedicine.org • Mayo Clinic www.mayoclinic.com • Massachusetts General Hospital www.mgh.harvard.edu • Texas Medical Center www.universitygeneralhospital.com • Cleveland Clinic http://my.clevelandclinic.org/default.aspx • New York Presbyterian Hospital http://nyp.org • University of Pennsylvenia Health System www.pennmedicine.org • University of California - San Francisco Medical Center www.ucsfhealth.org • University of California – Ronald Reagan Medical Center www.uclahealth.org/body_med.cfm?id=346 *See also: http://health.usnews.com/health-news/best- hospitals/articles/2010/07/14/best-hospitals-2010-11- the-honor-roll.html
  • 15. THE BUYERS: PHARMACEUTICAL WHOLESALERS • The most important class of buyers based on % of total sales – 80% of total drug sales in 2008 – CAGR of almost 15% projected through 2009 (IFPW Focus, 1/24/09) • 90% of the total $103 billion pharmaceutical distribution market in U.S. dominated by 3 major players: – Amerisource Bergen – Cardinal – McKesson • Key Challenges: – Increasing complexity of pharmaceutical supply chain – Increasing collaboration between wholesalers and large chains regarding inventory management – Increasingly powerful retailers and institutions (e.g., Wal-Mart) – Increasing regulatory pressures – Shrinking margins (4% of sales in 2009) 3/28/2011 Copyright Distributormax - Tom Ka 15
  • 16. THE BUYERS: RETAIL PHARMACIES • More than 50,000 drug stores in the U.S. – Independents (40% of market and sliding) – Large chains (e.g., Walgreen’s, Rite-Aid, CVS) • Key Trends: – Continued growth of large chains at the expense of independents – Growing power of large chains due to use of IT: • Item data capture (more information about the direct consumer than the manufacturers) • Direct Profitability Analysis (DFP) – influences shelf-space allocation • Forward investment buying - JIT delivery of drugs; buying on deal rather than on demand • Key Challenges: – Growth of the discount “mega-markets” such as Wal-Mart, Costco – Slowdown in new drug introductions – Changing consumer preferences for places to buy drugs 3/28/2011 Copyright Distributormax - Tom Ka 16
  • 17. THE BUYERS: HOSPITALS • Largest dispensers of drugs (Differentiated by number of beds) – Teaching hospitals average > 300 beds; so marketing emphasis is directed towards them mostly by • Key Trends: – Size of the market in $ is growing substantially – Selection of drugs moving away from physician to others (e.g., hospital pharmacists) – “hospital formulary” – Growth in power of Pharmacy & Therapeutics (P&T) committees in teaching hospitals • Key Challenges: – Availability of physicians to marketing & sales staff is limited – “Free market” forces don’t completely apply in hospital settings – Focus on cost containment as cost of drugs skyrockets – Complex purchasing systems; emergence of group purchasing organizations 3/28/2011 Copyright Distributormax - Tom Ka 17
  • 18. THE BUYERS: GROUP PURCHASING ORGANIZATIONS (GPO´s) www.premierinc.com www.novationco.com www.amerinet-gpo.com www.vha.com www.uhc.edu www.provistaco.com 3/28/2011 Copyright Distributormax - Tom Ka 18
  • 19. THE BUYERS: HMO´s (i.e. Health Maintenance Organization) • Cost-containment mechanisms for health care • Drug utilization within HMOs focus on: – Symptomatic control of chronic illness – Curing acute distressing (painful) or infectious disease • Attempts to control prescribing practices and dispensing costs (“Drug Utilization Evaluation”) especially for high-priced drugs or those with adverse events • Growing role in legislative lobbying: – Generic drugs – Patent limitation • Key Trends: – Consolidation – Rising costs to members (employers) – Challenges to manufacturers on efficacy of new drugs vs. old formulations – Limitations on prescription formularies • Key Challenges: – Legislative curbs on practices – Rising consumer anger 3/28/2011 Copyright Distributormax - Tom Ka 19
  • 20. THE BUYERS: PATIENTS • Baby boomers (b. 1947 – 1964) are positioned to transform healthcare: – Spend a greater percentage of their own income on health services and products – Invest in treatments to prevent future illnesses and enhance their well- being: • Alternative medicine is becoming mainstream as the demand keeps growing – Redefine health to encompass quality of life as they try to stay young – Care for elderly parents and are fighting to improve quality of care – Question physicians, push back against institutions of organized care and demand better health benefits 3/28/2011 Copyright Distributormax - Tom Ka 20
  • 21. THE BUYERS - PHYSICIANS • The doctor-patient relationship is changing: – Patients want to see the full range of options with all the relevant evidence so they can participate in decisions regarding treatment – Patients are seeking supplemental sources of information in addition to their doctors – Patients are using the Internet to gather information about their disease conditions and the efficacy and side effects of drugs – More and more patients want to use doctor-provided web sites or to e-mail their doctors • But…. – The physician is still seen as the primary marketing target for new drugs, with over 90% of the spending on sales and marketing directed to physicians 3/28/2011 Copyright Distributormax - Tom Ka 21
  • 22. DIRECT DISTRIBUTION – THE ROLE OF GXS´DATA POOL certified by GS1's Global Data Synchronization Network 3/28/2011 22
  • 23. NETWORK PROCESS COMMUNICATION – ROLLSTREAM® 3/28/2011 23
  • 24. DIRECT-TO-CONSUMER- & MARKET LEADER WEB DESIGN www.nexium.net www.olay.com/skin-care-products/total-effects?TID=7b5c6d91-da4b-416c-b9fd-054fd7ef5395 www.aveeno.com www.aveeno.com 3/28/2011 Copyright Distributormax - Tom Ka 24
  • 25. AVEENO® SUN BLOCKERS 3/28/2011 Copyright Distributormax - Tom Ka 25
  • 26. AVEENO® SAMPLING 3/28/2011 Copyright Distributormax - Tom Ka 26
  • 27. AVEENO® SAMPLING #2 3/28/2011 Copyright Distributormax - Tom Ka 27
  • 28. AVEENO® SAMPLING #3 3/28/2011 Copyright Distributormax - Tom Ka 28
  • 29. COUPONING-VALASSIS COMM. INC. (www.redplum.com) 3/28/2011 Copyright Distributormax - Tom Ka 29
  • 30. COUPONING-NEWS AMERICA CORP. (www.smartsource.com) 3/28/2011 Copyright Distributormax - Tom Ka 30
  • 31. DIRECT-TO-CONSUMER-USING THE WEB • Pharmaceutical executives expect that DTC spending will not slow down, but shift from “promotion” to “drug adherence” over the next 12-18 months • Keeping people on drugs to treat chronic conditions (e.g., hyperlipidemia) will be the new focus of DTC advertising • The Web and other related technologies are being explored to improve drug adherence • Nearly one-third of those who contacted their doctors after seeing a DTC ad first went to the web to find out more 3/28/2011 Copyright Distributormax - Tom Ka 31
  • 32. • Issues: – Regulatory: • FDA Center for Drug Evaluation & Research (CDER) – OTC and ethical drug approval • FDA Division of Drug Marketing, Advertising and Communications (DMAC) – approves labeling, advertising and marketing materials • Little formal guidance for online marketing or advertising – Coordination: • Offline and online campaigns rarely coordinated – Metrics for evaluating the effectiveness of online campaigns not well understood – Consumers: • Mistrust of online health websites • Concerns about misuse of personal data • Reluctance to enroll in wellness programs or disease management programs • But…they want a doctor-approved resource for information and.. • Better access to their own doctors! DIRECT-TO-CONSUMER-USING THE WEB 3/28/2011 Copyright Distributormax - Tom Ka 32
  • 33. Vytorin (Merck/SP) $155 Million (2005) Nexium (AstraZeneca) $224 Million (2005) Source: Donohue JM. NEJM. 2007;357:673-81; *WSJ Oct 7, 2005; **WSJ Apr 16, 2004 Lunesta (Sepracor) $214 Million (2005) Coke Classic $146 Million (2004)* Bud Light $136 Million (2003)** DIRECT-TO-CONSUMER-EXPENDITURES 3/28/2011 33
  • 34. • BDMs (Business Development Managers)need to – Network within their industry – Attend conferences, exhibitions, functions • Inadequate to do it once • Needs to be a constant never ending networking strategy: – to go to events, – to see, and to be seen, – to get to know the people in the industry • The longer that strategy is implemented, the more successful it will be • The success of the strategy is limited only by – Financial resources to travel – The degree of intimacy established in networking STRATEGIES TO GET TO KNOW PEOPLE WITH WHOM YOU MIGHT DO A DEAL 3/28/2011 Copyright Distributormax - Tom Ka 34
  • 35. • Scientists also play a critical role in this networking – Scientists should regularly go to the conferences in their field – Conferences are attended by business development staff of biotech and pharmaceutical companies • Staff of biotech and pharmaceutical companies attend conferences to see what new science is emerging – Opportunities for scientists to establish rapport and relationships with business development staff from staff of pharmaceutical companies • Again, must be constant strategy, inadequate to do it once STRATEGIES TO GET TO KNOW PEOPLE WITH WHOM YOU MIGHT DO A DEAL 3/28/2011 Copyright Distributormax - Tom Ka 35
  • 36. • This strategy is not devious, nor need it be selfishly pursued • If its totally selfishly motivated, with a “hard sell” networking is unlikely to work, • excellent friendships and personal relationships • BDMs – actively attend conferences and exhibitions, – those that are identified as providing opportunities to build networks that are identified as potentially valuable – Do not expect overnight results – Results may take a few years to pay off • Scientists – Actively attend those conferences where relationships can be nurtured and rapport built MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 36
  • 37. • Make this a strategy in a marketing plan • Do not make it something that is casually applied, with unpredictable hit or miss results • Systematic: – Identify conferences and exhibitions – Identify who should go to obtain maximum advantage – Consistency go each year to renew, and reinforce relationships – Ensure adequate financial resources to implement this expensive commitment MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 37
  • 38. • When something is ready for a deal, ask “Who do we know that may be interested in this” • More likely to do a deal with someone that you already know, rather than someone that you don’t know yet • What existing relationships might suggest that someone you already know may be interested – What companies have existing deals been with ? – What people met at conferences and exhibitions may be interested – Former PhD students in industry – Former colleagues in industry – Who in your network that you already know may be interested IDENTIFYING POTENTIAL PARTNERS – PEOPLE YOU ALREADY KNOW 3/28/2011 Copyright Distributormax - Tom Ka 38
  • 39. • Asks these questions in a wider framework • Not just who do you know that may be interested in a deal • More important: – Who do you know that can open the door and introduce you to someone that may be interested in doing a deal – That represents an even wider network of potential parties with whom the opportunity for a deal may arise • Even more important – Ask the person you know if they know someone else who can open the door for you – That represents an even wider network PEOPLE YOU KNOW THAT CAN OPEN DOORS 3/28/2011 Copyright Distributormax - Tom Ka 39
  • 40. • When a commercialization candidate is identified: • Systematically – Identify everyone concerned with the technology (scientists and BDMs) – Enquire whether anyone knows someone – Who may be interested in the technology themselves – Who may know someone who may be interested in the technology and may be able to open door – Who may know another person who can open doors • Again, – Systematic – Not casual MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 40
  • 41. • Publications and commercialization sometimes perceived as being on a collision course – Publication means disseminating, and disseminating adversely affects novelty – Commercialisation perceived as needing secrecy, and that is not consistent with the publication objective. • But that is too simple a view • Scientists and BDMs are now much more sophisticated • BDMs know that publications and peer recognition are an important driver for innovation and inventiveness, and personal satisfaction of scientists • Scientists know that publication can potentially destroy the transformation of the outcomes of their research into useful and beneficial products for the community PUBLICATIONS AS A MARKETING STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 41
  • 42. • Both scientists and BMS therefore know that they each have to help the other achieve the objectives of both • That is – Both publish and commercialize • Publication – part of a broader commercialization strategy – Publication at the right time, in the right forum, creates deal opportunities – As a marketing tool marketing opportunity • Conference presentations identify emerging products of interest to potential partners • Many deals are done because of deal opportunities presented by opportune publications PUBLICATIONS AS MARKETING STRATEGIES 3/28/2011 Copyright Distributormax - Tom Ka 42
  • 43. KNOWLEDGE- & OPINION BUILDUP http://factsandcomparisons.com www.pdrbookstore.com/Default.asp?mlc=G3008PH01 http://corporate.everydayhealth.com/index.aspx http://pdrhealth.com/home/home.aspx 3/28/2011 Copyright Distributormax - Tom Ka 43
  • 44. www.webmd.com www.phrma.org/about_phrma www.mdlinx.com www.sciencedaily.com • Specialists newsletters published regularly on industry news informing the industry about new science, new deals, etc. KNOWLEDGE- & OPINION BUILDUP #2 3/28/2011 Copyright Distributormax - Tom Ka 44
  • 45. • Give consideration to the optimal – Manner of publication – Place of publication • What is the best audience for the publication – Is one publication option better than another • Marketing Plan might consider systematic – Identification of publications – Identification of optimal means of dissemination – Processes to accelerate or delay publication for maximum advantage – Achieving publications as a marketing tool and opportunity MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 45
  • 46. • Why do scientists produce the greatest number of leads ? – They have good industry contacts and large personal networks – Long history of association with industry – Sponsored research relationships with industry – Consulting engagements by industry – Networks amongst their former students – Companies want to deal with scientists that are leaders in their field, particularly scientists where that leadership is demonstrated through publications • Need to engage scientists not just once, but continually – When Developer Disclosure Form signed – When product search is done – When product application is filed THE ROLE OF THE SCIENTIST IN FINDING LEADS 3/28/2011 Copyright Distributormax - Tom Ka 46
  • 47. • Encourage scientists: – to form, expand and maintain their networks and contacts – to maintain a high profile – to undertaking private consulting – to attend conferences – to publish – to get the business cards of people that they meet • Enquire of scientists systematically about potential licensees that they can identify – Not just once – Repeatedly MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 47
  • 48. • Seek out relationships with industry that can sponsor applied research – Identify who they are – Identify their needs – Implement the strategy by forging networks and relationships with them • Not likely to be an overnight response – Expertise, capability, resources, and willingness to undertake applied research takes time to filter out to potential partners • Perseverance pays off MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 48
  • 49. • Product Watch • Patent Watch • Literature Watch • Newsletter Watch • Press Release Watch • All of these are means by which you can keep up with what is happening relevant to your science – Knowing what is going on in your product space will help identify – Potential licensees who may be interested in your products – Potential strategic alliance partners – Potential infringers KNOW YOUR SPACE 3/28/2011 Copyright Distributormax - Tom Ka 49
  • 50. • Newsletter Watch and Press Release Watch • News services – Daily email with links to press releases issued in last 24 hours containing your key words Google words) • All are means to keeping informed about what is going on • Identify – Potential licensees – Potential strategic alliance partners – Potential infringers KNOW YOUR PRODUCT SPACE 3/28/2011 Copyright Distributormax - Tom Ka 50
  • 51. www.thelancet.com www.eblue.org http://wokinfo.com/media/pdf/09jcrnewtitles.pdf www.wiley.com KNOW YOUR PRODUCT SPACE #2 3/28/2011 Copyright Distributormax - Tom Ka 51
  • 52. • Industry Watch • Be aware of new products and inventions that enter the market place in your space • Identify – Potential licensees – Potential research collaborators – Potential strategic alliance partners – Potential infringers KNOW YOUR PRODUCT SPACE #3 3/28/2011 Copyright Distributormax - Tom Ka 52
  • 53. • Marketing plan should: – Identify what to watch • Industry watch • Patent Watch • Literature Watch • Press Release Watch • Newsletter Watch – Who will have responsibility for watching – Process of assessment and review of intelligence gathered – Process of planning to maximise taking advantage of intelligence learned MARKETING PLAN STRATEGY 3/28/2011 Copyright Distributormax - Tom Ka 53
  • 54. • Marketing Plan is not a static document • It needs to be a living document • This means that it must be continually reviewed, assessed, updated • Strategies that are not working need to be put in the back seat (for possible later use) • Strategies that are working need to be focused on • New networks and relationships are formed all the time • New marketing opportunities arise from those new networks and opportunities • Marketing Plans – Must not remain idle – They must be implemented MARKETING PLAN IS A LIVING DOCUMENT 3/28/2011 Copyright Distributormax - Tom Ka 54
  • 55. PRO´s & CON´s OF "OWN DISTRIBUTORSHIP" + Control over all processes + Higher concentration on the "core focus points" + Less loss with a "vendor´s tray impression" + Faster progress & market penetration. Sales doubling two times faster than usually + Higher credibility + Competence buildup in all channels + Easier progress with trained staff who understands the brands, products and how to handle them - Instant progress not directly visible - Market penetration processes can take up to two years - Higher investments necessary because they can not be shared with other suppliers - "Risk sharing" during market introduction not possible (staff) 3/28/2011 Copyright Distributormax - Tom Ka 55
  • 56. 3/28/2011 Copyright Distributormax - Tom Ka 56 REASONS FOR COOPERATION - THE WAY TO THE US MARKET  Over 13 years of international distribution- and fair experience in the range of cosmeceutical and personal care products in higher price segments.  Coordinated marketing for commercial products worldwide including Asia, USA, South America, Australia and Far East.  Development, negotiation and purchase with international contacts for market penetration.  Specialized in naming, branding and packaging for high-end consumer products.  Cultivated partnerships with industry vendors to increase sales and perform synergetic cooperations.  Far more than 5,000 customer data of chains, drugstores and pharmacies that are possible active buyers from SPIRIG AG.
  • 57. ASSOCIATIONS & FOUNDATIONS www.apma.org American Podiatric Medical Association www.aad.org American Academy of Dermatology www.dermatology.ca Canadian Dermatology Association www.skincancer.org Skin Cancer Foundation3/28/2011 Copyright Distributormax - Tom Ka 57
  • 58. RE-DESIGN AS THE STEP TO SUCCESS Changes from left to right Old Improved Static Dynamic Common declaration USP Increased value Visually increased value Negative DOWNflow Positive UPflow Negative claim Core visualisation: Scientific appeal Positive claim Visually boosted functionality 3/28/2011 Copyright Distributormax - Tom Ka 58
  • 59. OLAY TOTAL EFFECTS® - THE WAY TO PRODUCT DESIGN Presence during application Total smooth- & calmness (tranquility & balance) 100% Happiness 3/28/2011 Copyright Distributormax - Tom Ka 59
  • 60. OLAY TOTAL EFFECTS® - THE WAY TO PRODUCT DESIGN Benefits Organic shapeHi-Glam special foil USP Visualization centered USP USP Higher appeal by structurized bottle surface 3/28/2011 Copyright Distributormax - Tom Ka 60
  • 61. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 61 PHARMACEUTICAL PRINT MEDIA #1 www.positivehealth.com www.pharmacytimes.com www.uspharmacist.com www.drugtopics.com
  • 62. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 62 PHARMACEUTICAL PRINT MEDIA #2 www.pharmacytoday.org www.findpharma.com www.retailclinician.com
  • 63. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 63 PHARMACEUTICAL PRINT MEDIA #3 www.pharmamanufacturing.com www.pharmaceuticalcommerce.com www.pharmacyweek.com www.ascp.com
  • 64. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 64 PHARMACEUTICAL MEDIA #4 www.eyeforpharma.com www.drugstorenews.com www.thepinksheet.com www.chaindrugreview.com
  • 65. …and the WINNER is… SPIRIG® Product Distribution Bench Marketing • Centrally located in Frisco/TX. • NO state taxes • No turbulent & extreme weather & damage risks • Highest police presence & supervision • Cheap labor • Only few working unions • Close to Mexico • Fast harbor connection • Close to DFW Int. Airport – Centrally located • Excellent infrastructure • Very high public security • Lowest crime rates • 76% White inhabitants (11% Hispanic & 4% Black, 7% other) • Fastest growing city 2000-2009 in USA • One of the highest nationwide per capita incomes • Nationwide most HQ´s in DFW-area • Lowest unemployment rate in the USA • Unique nationwide position • Friendliest people in the nation • Highest infrastructure • Ideally linked to international networks • All time zones covered by one office: Only 1hour - EST & 2hrs. + PST • Rated together with McKinney as the #1 USA city with best living conditions (TIME MAGAZINE 2010) • Many newly built industrial buildings to choose for storage & warehousing • More than 13 years of personal international marketing experience • We do business not for profit only • Maximum 4 hrs. flight time within USA • Already existing infrastructure • Prestigeous address • NO suite/PO box numbers • Complete professionalism • German & English native speaking • 24/7 reachability and service • Huge amount of human highly skilled employees • 5 interstates connected in Dallas • Rail- & harbor hubs • DFW #1 in FORTUNE® Top-500 & Top-1000 companies • Environmental & professional stewardship of branding, naming, distribution & fulfillment 3/28/2011 © • Distributormax • Tom Ka • February 2011 65
  • 66. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 66 …and the WINNER is… SPIRIG® Product Distribution Bench Marketing
  • 67. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 67 TEXAS: FRISCO & DFW-AREA www.dallascounty.org/department/plandev/zoning.html
  • 68. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 68 OLAY PROFESSIONAL PRO-X® - ALLIANCE OF EXPERTS
  • 69. 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 69 OLAY PROFESSIONAL PRO-X® - SCIENCE OF PRO-X®
  • 70. PRINCIPLE 3/28/2011 Copyright Distributormax - Tom Ka • February 2011 70 What we think, we become. - Buddha
  • 71. RULES 3/28/2011 Copyright Distributormax - Tom Ka January 2011 71 SPIRIG PHARMA AG TOMORROW Unauthorized start without highly professional partner & concept will lead to direct disqualification & eternal market loss!
  • 72. THE SOLUTION 3/28/2011 Copyright Distributormax - Tom Ka January 2011 72 … is the way.
  • 73. …AND THE KEY IS THE TARGET! 3/28/2011 Copyright Distributormax - Tom Ka January 2011 73
  • 74. … TO SUCCESS! 3/28/2011 Copyright Distributormax - Tom Ka January 2011 74
  • 75. PLEASE TURN THE KEY! 3/28/2011 Copyright Distributormax - Tom Ka January 2011 75
  • 76. IN 2011 3/28/2011 Copyright Distributormax - Tom Ka January 2011 76
  • 77. …TO HEALTH! 3/28/2011 Copyright Distributormax - Tom Ka January 2011 77 www.istockphoto.com/stock-video-7459537- composite-opening-health.php www.istockphoto.com/stock-video-13236978- unlocking-truth-hd-video.php u.s.a.