“ US pharmaceutical companies have for decades relied on the “pinball wizard” sales model: sales representatives bounce from one doctors office to another in hopes of catching a few moments with physicians and influencing which drugs they prescribe.”
“ In recent years, the changing dynamics of the business have prompted a massive expansion of sales forces. The resulting system is costly, inefficient, and rife with dissatisfaction.” - MCKINSEY “ Industry average for field force budgets is nearly $875 million with top spending organizations committing more than $1billion” – Cutting Edge
Physicians spending less time with sales representatives – about 38% of physicians have consciously decided to make less time for pharmaceutical representatives than they did in 2001.
Research conducted in 2001 indicates physicians were allocating 10% of their day to seeing pharmaceutical representatives assuming they saw them at all.
Because of increasing complexity of marketplace dynamics, sales representatives are unable to effectively adjust their sales activities, and are increasingly experiencing poorer sales results.
Despite these claims, pharmaceutical companies continue to use outdated reach and frequency models based on sales call goals from the mid 1990’s to influence their sizing models.
The pharmaceutical industry continues to march toward the patent cliff in 2010-2012, when a record amount of drug sales will lose patent protection in the U.S. This means some of the best-selling drugs, including Pfizer 's ( PFE ) Lipitor, Bristol-Myers Squibb's ( BMY ) Plavix and Avapro, Eli Lilly 's ( LLY ) Zyprexa, Wyeth's ( WYE ) Effexor, and Merck 's ( MRK ) Cozaar/Hyzaar and Singulair will be exposed to generic competition. Our selection criteria for the top 10 prospects is pretty straightforward—promising late-stage drugs due out over the next two years…………………….. JAKARTA. Meski tetap bergairah, pertumbuhan pasar farmasi di 2010 tak akan terlalu tinggi. Gabungan Pengusaha Farmasi Indonesia (GP Farmasi) memperkirakan nilai pasar bisnis farmasi di Indonesia hanya tumbuh 10%, atau naik sekitar Rp 3 triliun dari realisasi 2009 sebesar Rp 30 triliun. Pertumbuhan pasar farmasi ini lebih rendah dibandingkan negara tetangga seperti Thailand dan Malaysia. "Pertumbuhannya nggak akan lebih dari 10%," tegas Ketua Umum GP Farmasi Anthony Ch Sunarjo, Selasa (24/11). Belum optimalnya pasar farmasi di Indonesia antara lain terhambat beberapa aturan yang mempersempit ruang gerak pelaku bisnis farmasi. Semisal, Peraturan Menteri Keuangan Nomor 104 Tahun 2009 yang membatasi biaya promosi produk obat-obatan menjadi 2% dari setoran pajak penghasilan (Pph) atau sebanyak-banyaknya Rp 25 miliar. Padahal, potensi pasar farmasi di dalam negeri seharusnya lebih besar mengingat jumlah penduduk Indonesia mencapai 230 juta orang. Hingga kini, konsumsi obat-obatan per kapita di Indonesia hanya US$ 6-US$ 7 per tahun. Berbeda dengan Filipina (US$ 14), Malaysia (US$ 20), dan Singapura (US$ 27).
Sales Management Trends From To Transactions Relationships Local Global Management Leadership Individuals Teams Sales Volume Sales Productivity
Sales Teamwork Approaches Relatively permanent, customer-focused group Relatively temporary, transaction-focused group Membership determined by job assignment to a specific buying organization Membership determined by involvement in sales transaction One team per buying unit One selling center per sales opportunity Core Selling Team Selling Center
Sales Teamwork Approaches Core Selling Team Selling Center Membership relatively stable Membership very fluid Characteristics of team depend on characteristics of buying organization Characteristics of team depend on characteristics of sales opportunity Mission is strategic with respect to the buying organization Mission is tactical with respect to the sales opportunity
Marketing Sales Force Goals Strategy Increase share of customer business Marketing Strategy-Sales Force Goals, Strategy and Tactics share 10% Goals Increase share of customer business Strategy Build long-term customer relations Tactics Develop sales teams Provide bonuses for greater customer share Increase market
Map the Sales Process Suspect Prospect Qualified Scored ABC’s 7 Steps, the Baseline Selling Steps and the Criteria for Reaching Them. 1. Target an Account 2. Meet with Decision Maker 7. Convert Account 6. Closing 5. Successful Evaluation 4. Evaluate Products 3. Qualify Account They Need It Differentiated ABC’s Quantified Problem Compelling Reasons to Buy They’ll Spend More Have Timeline for Decision Know Process for Decision Needs and Cost Appropriate Presentation