Branding significance for Pharmaceuticals Rajesh Kumar Yadav
Background• Earlier the land and manufacturing plants were providing the main value to the pharmaceutical business• Today the brand equities are adding value• Doctors acts as Brand Ambassadors• Companies not only rely on strong R&D, aggressive defense of patents and use of powerful sales force
Branding• Important way to create awareness about potential benefits of drugs and medicines• Differentiates products from competitors with both tangible and intangible benefits.• Brands help businesses stand out from the crowd• Also an emotional connect with the target audience• Brands need to be protected and live longer in the market in the best interests of company
Current scenario• Competitive environment has become more intense• Need to differentiate a product from competition and establish a positive image of the drug and the company in the eyes of the customer• Branding can be a new competitive advantage• Companies are spending more money and effort on brand building• Corex and other brands from Pfizer make Pfizer valuable
Disprin (Aspirin) and Disprin (Paracetamol)• Shows the way forward for pharma companies in brand management• Brands evolve with times, ensuring relevance to the target audience• Brands should extend to various types of dosage formulations to ensure the brand is still exciting and relevant.
Brand acquisitions• Reveals importance of branding in the pharma industry• Piramal Healthcare Ltd acquired ‘i-pill’ brand of Cipla Ltd for an aggregate sum of Rs 950 million.
For non prescription products• Brand names plays a significant role• Direct to consumer advertisement is essential• Consumer health/OTC market is the third most lucrative healthcare sector after pharma and medical devices/diagnostics.
Branded Generics• Companies working aggressively around patents to launch branded generics• Giving option between premium branded and generic drugs• Older brands have created a strong equity ( eg. Corex, Voveran, Augmentin, Revital ,etc.• Aspirin 100 years old still enjoying sales
Conclusion• Brand building of an new medicine during patent period helps to prolongs its commercial life• A strong brand will benefit from higher consumer loyalty• Increase OTC market, Branded generics and intense competition provide new dimension to Pharma branding• Positioning is the first step to good branding• Corporate branding is often more effective than product branding (The Himalaya Drug company)