Increasing Physician Perceived Clinical Value:Therapeutic Franchise or Range Brand Strategy

Selling a Product or Promoting an Experience?

Buying a motorcycle

or…

Buying youthful rebellionBuying the outlaw culture

Selling a Product or Promoting an Experience?

Buying insurance

or…

Piece of Mind

Selling a Product or Promoting an Experience?

Selling a Pill

or…

Successful Treatment Outcome

Let’s Discuss Branding & Pharma Branding

What is a Brand?

• Name, sign, symbol, intended to identify goods & services of one seller from another

• Branding is decommodification of product

Brand Elements

Graphic Representation is the Last Step

• Intangible Attributes

• Product Quality

• Emotional Benefits

• Values

• Culture

• Image

Pharma definition of BRANDING is flawed:

“The words, pictures and symbols that resonate most deeply with the target, and imprint the positioning in their minds.

Building a Brand

• Distinguishing brand from others – value proposition

• Brand promise (brand identity) must match brand delivery (brand Image)

Branding Options (Pharma Relevant)

Brand Function:Indicator of Origin

Brand Function:Product Differentiation

Endorsing Brand

Range Brand

Line Brand

Product Brand100% Pharma Focus

Branding Options - Examples

Endorsing Brand

Range Brand

Line Brand

Product Brand 1 product

• Assigns a particular name to one, and only one, product as well as one exclusive positioning.

• The result of this strategy is that each new product receives its own exclusive brand name

Procter & Gamble- soap market by Camay, Zest etc.

Product Brand

Product Brand – Pharma Disadvantages

• CPG model - Focus on selling pills

• Not effective for late-entry products• Clinically insignificant features/benefits & no advantages

• Lifecycle defined by patent

• Negative financial impact:• Transferring brand equity rare• Re-build customer base with each launch• Brand recognition is low (<7%)• Agency Focus on Awards…

The cover of this sales aid for Latuda uses the image of a man that's been torn to pieces and reassembled to illustrate how schizophrenia can tear patients apart.

Inside, the image is still fragmented but the cracks are less prominent, showing symptom improvement. Study data is reviewed in clean, open spreads.

“Great visuals with clear logical progression,” said one judge. “Relevant, clear presentation of data.”

The agency reported Latuda “is on track to succeed” in its very competitive category.

Product Brand – Pharma Disadvantages

Product Brand – Pharma Disadvantages

• ~3-5% market share

• 3 promoted products

• Category treatment failure rate - >50%

$364 million sales forecast $12.6 billion category

or

Product Brand – Pharma Disadvantages

Brand Recognition?

Brand Name Chemical Name

Product Brand – Pharma Disadvantages

Transfer Brand Equity

Success rate / Cost of transfer

Branding Options - Examples

Endorsing Brand

Range Brand

Line Brand 22 products

Product Brand 1 product

Line Brand

• This strategy involves the exploitation of successful concept by extending it but by staying very close to the product

• For example, L’Oreal hair line products

• The goal is to cross-sell consumers to other products within the brand

Line Brand

mometasone

Line Brand – Pharma Application

Branding Options - Examples

Endorsing Brand

Range Brand S,E,C, and A Class

Line Brand 22 products

Product Brand 1 product

• A single brand name promoted through a single promise a range of products belonging to the same area of competence

• Customer seen as assets to be managed

• Provide customers with multiple ways to engage with the brand

Range Brand

Range Brand Model

Brand Promise

The Brand

Products: A B C D …N

Range Brand Model

Range Brand – Pharma Application

• Shifts the focus from selling pills to selling successful treatment outcomes

• Recognizes that the pill is the cornerstone of the treatment outcome, but adds clinically significant value to enhance treatment success.

Range Brand – Pharma Application

Potential Therapeutic Franchises

Branding Options - Examples

Endorsing Brand Individual Products

Range Brand S,E,C, and A Class

Line Brand 22 products

Product Brand 1 product

Endorsing Brand

• Gives approval to a wide range of product, line and range brands

• Endorsing brand acts a guarantor of the brand promise

• Individual product brands - have distinctive personalities, positions, promises, and packaging.

• Endorsement drive sales

Endorsing Brand

The “Merck Effect”1980’s

Endorsing Brand: Pharma Example

“We prescribe anything Merck brings out”Physician quote, 1988

Let’s Discuss Branding & Clinical Value

• Products• Programs• People

Range Brand and Clinical Value

• Recognizes that the pill is the cornerstone of the treatment regimen, but adds clinically significant value to enhance treatment success.

Physician Perceived Clinical Value Is Critical

Value and Revenue Are Linked• Physicians prescribe, or support a company, for the same reason consumers buy: VALUE

• They perceive the value of their choice to be superior to the value delivered by other choices.

Physician Perceived Clinical Value Is Critical

Product Value

Company Value

Attribute 1Attribute 2Attribute 3Attribute 4

Attribute 1Attribute 2Attribute 3Attribute 4

Attribute 1Attribute 2Attribute 3Attribute 4

Attribute 1Attribute 2Attribute 3Attribute 4

Efficacy/Benefit

Price/Risk

People

Programs

Clinical Value

Brand A

Brand B

Brand C

Brand D

Brand E

Brand F

Brand B

Clinical Value Criteria

Hope You Found This Interesting