MedNet.com Confronts

“Click-Through” Competition

Harvard Business

School Case

What is MedNet?

The award winning organization which is considered the

best health website for trusted, evidence based, consumer

health information.

It is an organization which provides scientifically based

medical information to a non-professional consumer

audience.

They provide this information for free.

They generate profits from advertising sales.

Who are the key

players?

Heather Yates

vice president for business development at Mednet

Mahria Baker Windham Pharmaceuticals CMO

Bill Bishop MedNet’s vice president of consumer marketing

Situation Analysis What is the current situation?

Windham Pharmaceuticals are

considering shifting its

MedNet ad dollars to Marvel,

a competing website with

which Windham already did

some business.

Windham Pharmaceuticals Advertising

Campaign Results

SWOT analysis of MedNet

The Problem

Statement

Heather Yates needs to convince Mahria Baker, CMO

of Windham Pharmaceuticals, to continue advertising

on MedNet.com

Strategic Alternatives

1. MedNet can offer unproven therapies

and alternative medicines.

But that won’t be helpful to its current consumers (neither visitor demographic, nor advertisers as it

would attract an audience unlikely to trust corporate

pharmaceutical only).

2. It can change its advertising structure

from cost-per-impression from cost-per-

click.

But this isn’t solving the main problem. It needs to attract more visitors and generate more returning

traffic to its site.

3. Develop and manage employer’s website.

But it can create social issues and new marketing

costs. And the Board also will not agree with it.

What can be the new

strategy of MedNet to keep

Windham with them?

MedNet Visitor Survey Results

MedNet Visitor Survey Results(cont..)

3 Important steps

MedNet can take to

prevent loosing

Windham

MedNet need to provide its site visitors with

new ways to explore its content, share, and

engage.

1.

To do this, MedNet need to focus on channeling

traditional, print advertisements through doctors’ offices, health insurance providers, and retail

pharmacies.

MedNet should also spend a portion of its advertising

budget on ads in telephone directions, print

newspapers and print magazines.

These ads could either invite customers to visit

MedNet.com or a simple information collaboration

between MedNet and its offerings such as Windham’s prescriptions medications.

MedNet needs to add additional focus to social

media tools such as Facebook, Twitter, Wikis, and

discussion boards/forums.

2.

Not only does this allow users to interact, it allows

users to interact on a 24/7 basis and shine new

light on MedNet as a partner in health and wellness.

This will attract those segments of visitors who fits

into the group PRIZM(2003) F1: Accumulated Wealth

life stage group(people from age group 25-54).

According to the Forrester report by Golvin and Schadler

(2008)

38% of 23.6 million Baby Boomers(29-42)

visit health sites

48% of Older Boomers(51-61) are likely

perform health research online in order to

confirm what their doctors tell them during

their checkups.

It should target producers medication for high blood

pressure, high cholesterol, allergies and

depression/anxiety as its providers of advertising

content.

3.

According to the Forrester report

Over 20% of US adults have diabetes (40% of

them research the condition online)

15-20% of US adults have high cholesterol (41% research the condition online)

10-15% of US adults have allergies (55% of

which research allergies online)

Positioning Map of MedNet with other

competitors

Huge gap between MedNet

and Cholesterol.com

These slides were created by Ankit

Kumar (IITD), as part of an internship

done under the guidance of Prof.

Sameer Mathur

(www.IIMInternship.com)"

THANK YOU!