PharmaSim

Member
4949273 Nuttaya Rojsanyakul
4949276 Thanapon Pridasawat
4949278 Nalinrat Pongchaiyong
4949281 Rachain Tiraratchailert
4949282 Sompol Lertmaneetaweesup
4949284 Supak Chaivanit

Objective
To be the leader in the pharmaceutical
industry with
Highest market share
Highest net income
Highest stock price

Agenda
Period Analysis
Marketing Mix in Pharmasim
Final Result
Lesson Learned

Period 0-3

Strategy
Period 0 -3
• Continuously increase price
• Continuously increase Sales Force
• Reformulating Allround
Drop alcohol in Allround

Strategy
Period 0 -3
• Continuously increase price
• Continuously increase Sales Force
• Line Filling with Allround+
Product - Allround+, 12 hrs multi capsule
Price – Lower than Allround
Place – Follow the Allround Channel
Promotion - Medium-rated ad agency
- Focus on Primary and Benefit
- Offering trial size

Period 4-6

Situation Analysis
Period 4 - 6
Industry:
• Industry growth average 9% per year Competitors
• launch product to fulfill the available segment
Customer:
• Perception of customer change (with graph)
• Criteria in choosing change, side effect become
more concern
• Recommendation on the product that use less
formular, specific

Situation Analysis
Period 4 - 6
Competitor:
• Launch new product
• Change formula to target the same segment
Action:
• Change formula to reduce side effect
• Can ad new product
• Change target from age to symptom

Situation Analysis
Period 4 - 6
Action (con’t):
• To prevent cannibalize, all 3 product will focus on
different segment: Cold, cough, Allergy
• Maintain advertising, stress reminder on Allround,
Primary on Allright
• Promotion give trial on new product, use coupon
to stimulate sales of maturity product
• Change advertising message corresponding to
target segment

Situation Analysis
Period 4 - 6

Situation Analysis
Period 4 - 6

Situation Analysis
Period 4 - 6

Period 7-8

Situation Analysis
Period 7-8
•Averaged population growth 0.7%
•Averaged inflation rate 4.35%
•Highest percentage of decision making criteria for
cold and allergy: Product effectiveness
•Highest percentage of decision making criteria for
cough: Price
•Allround still had the highest market share in cold
segment, following by Besthelp

Challenge
Period 7-8
•Curall launched Coughcure+.
•To gain Allergy market share from
Believe by Allright.
•To gain market share in Cough
segment.

Strategy
Period 7-8
Product:-
•Allround reformulation to meet the customers’
requirements, and beat with Coughcure+
•Allround also got
a good perception
from customers
according to the
survey.

Strategy
Period 7-8
Product:-
•Invest more in promotions for Allright.

Strategy
Period 7-8
Price:-
•Set price in accordance with the inflation rate
Place:-
•Grocery store and Chain drugstores

Strategy
Period 7-8
Promotion:-
•Sent messages via advertising to remind
customers of Allround brand (55%) in period 7,
and even higher focus (75%) in period 8
•Focused on
Allround+, the
product, benefits
in order to
introduce to the
market/
customers

End of Period 7-8

Period 9

Situation Analysis
Period 9
MFG Sales 1188.9
Net Income 290.3

Situation Analysis
Period 9
1
Become number one in the market

Situation Analysis
Period 9
Allround drops to cash cow & still maintain large market share
Allround+ half enters to dog
Allright is going to move to star

Strategy
Period 9
Increase more advertising budget
Add more ‘Reminder’ to advertising
message
Increase coupons promotion to gain
more repurchase customer
Continue increase in sales force

Period 10

Situation Analysis
Period 10
MFG Sales 1397.3
Net Income 360.7

Situation Analysis
Period 10
Manufacturing sales and net income are continuously increasing

Situation Analysis
Period 10
Highest Sales in market in both Retail and MFG.
Highest Stock price

Situation Analysis
Period 10
Highest Market Share in Cold and Allergy

Marketing Mix

Marketing Mix
Product
Product
• Line Filling
• Reformulation
• Cannibalization Prevention

Marketing Mix
Price
Price
• Gradually increase price every year – to
maintain a good perception of product with
good quality
• Increase amount must cover inflation

Marketing Mix
Place
Place
• Choose distribution channel according
to main customer buying behavior

Marketing Mix
Promotion
Promotion - Advertising
• Keep the same budget through out the
same period
• New Product launch – the ad will focus on
1) Primary 2) Benefit
• Through out period – the weight on
Primary decrease and increase more on
Benefit and add with Reminder

Marketing Mix
Promotion (Cont.)
Promotion –Trial Product
• Trial Product will be offered for new
Promotion – Coupon
• Coupon will be offered more after the trial
period has finished to promote consumer
to purchase the product.

Final Result

Final Result
Allround and Allround+ succeed in the Star

Mission Success !!
Highest market share
Highest net income
Highest stock price

Lesson Learned

Lesson Learned
To Balanced Promotion Expenditure
• Advertising
• Promotion
• Sales force
Price Sensitivity
• If below tradeoff, gradually raise
• If above tradeoff, gradually lower

Lesson Learned
Reformulation
• Requires scientific research and consumer
reasoning gradually
Price Vs Inflation
• The prices of product should all be
increased annually, in correlation to
inflation.
• Check all competitors if there is the same
product and analyze before setting price

Lesson Learned
Channel of sales
• One way to figure out how to disperse
direct sales force is to buy the channel of
sales report
• Divide the sales in each category by the
total sales and multiply that number by
the total number of people in the sales
force

Lesson Learned
Segmentation
• It is important to segment the market and
focus products on under-utilized market
segments.
Customer Satisfaction
• It is essential to be customer-oriented
• Use trial size for new launched product
• Use coupon to reminder brand

Thank You