The document summarizes a presentation about relaunching the Oxistat pharmaceutical brand. It discusses how initial brand positioning was incorrect, leading to missed forecasts. A new partner helped develop a distance learning training program to realign the sales force with the revised positioning focusing on Oxistat as a once-daily treatment, rather than efficacy claims. Post-training results showed a 25% increase in knowledge and the low-potency segment grew 3% during the period, indicating the relaunch was successful.

1. Center for Business Intelligence Pharmaceutical Relaunch Product Conference May 23, 2006 Chauncey Smith

2. CBI Pharmaceutical Product Relaunch Conference • Introductions and acknowledgements • 2003 Relaunch Situation Analysis • Evolution of market and brand positioning • Program and training results • Summary • Question & Answer

3. Introductions and Acknowledgements • Presenter: Chauncey Smith, currently area vice president for Medsn and former Senior Medical Brand Manger with Glaxo SmithKline Consumer Healthcare (GSKCH) • proud to provide this case study experience as a peer to peer exchange with the permission of GSKCH professional sales\marketing leadership and CBI. • product portfolio discussed in this discussion was sold by GSKCH to Altana\Pharma Derm in late 2005 • Acknowledgements for indirect and indirect contributions: Alan Schaefer, Doug Kaufman, Jean Pachuta, Cameron Poluszek, Kent Roman, Science Media and the Medical Marketing Association

4. Situation analysis • In late 2003 GSK Consumer Healthcare repatriated a dermatology portfolio that was out-licensed 2-3 years prior • Initial sales force training was quickly assembled and focused largely on the topical steroid products because of the size and strategic importance (1-2 OTC switch candidates) • The very short lead-time preparing for the sales force launch (6-8 total weeks) required the marketing team to rely on trusting an unvalidated communication and brand positioning to be correct… it wasn’t

5. Situation analysis • By 2Q 2004, Oxistat was missing its monthly forecasts and quickly became a concern for the business unit team • The debate between sales and marketing about the necessity to re-train the sales team after only 6 months became intense. The decision was made. • The team immediately set out to re-establish the brand positioning as part of its annual planning process • After some initial debate with the sales team, it was agreed that Oxistat would be relaunched with the new positioning and a training curriculum in the 4 th Quarter

6. If your business plan is tied to sales force productivity, you need to make sure “the engine is hitting on all cylinders” Source - ROI Analysis of Pharmaceutical Promotion Study – Association of Medical Publications - 2002 + $0.52 $0.25 $0.19 DTC N\A N\A $3.56 Medical Ed + $0.88 $2.22 $5.00 Journal Ad + $0.19 $1.45 $1.72 Detailing Margin of error 95% confidence 1997 – 1999 launches (Brand sales of $25-50MM) ROI per Dollar spent (1991 – 99 launches with Brand sales of $25-200MM)

7. Limited physician access has meant fewer opportunities for representative led product differentiation… for years Source: Access to high prescribers: The World of Doorknob details, 1999; Scott-Levin; associate ride-alongs and interviews; financial press articles; MD interviews Only 12 out of 300 (4%) possible details are recalled by physicians 87% of calls last less than 2 minutes Drop samples off at receptionist’s desk Leave before receptionist’s desk (i.e., other waiting reps, restricted access signs) No physician recall Drop samples off at sample closet 85 reps 100 reps (300 details) 57 reps 20 reps = 20 calls 8 calls ? 12 recalled details** 15 28 37 12

8. Traditional selling model Evolution of the selling model New promotional model Shout your way to the top! “ Share of Voice” Reigns King Biggest sales force reaches most doc, wins “top of mind” Maximize message frequency through mirrored sales forces “ Managed care” impact is felt Explore technology driven communication channels New product launch is anchor to promotional spending plans “ Transition & Transformation” Offices saturated by sales reps, look for alternate sources for info\service Develop more functional 1:1 communication capabilities, e.g.CRM Sales forces still dominate “SOV” Product reimbursement is the great equalizer Technology driven models begin to support meaningful HCP interaction “ Interactive and Remote Professional Promotion” All HCP information is easily accessible (eg PI, Instructions For Use) Micro-segmentation, tailored messages and benefits Modular solution across networks of physicians and patients Maybe there is more than one way to communicate Give them what they want… when they want it! This evolution of the traditional Pharma Selling Model has been going on since the late 90’s Strategic marketers have evolved with the market to address the new model’s realities

9. Consider: building an eLearning based training platform to support your product launch because… Reusable Digital Training Objects* Could comprise 80% of content and cost for these activities Promotional Physician Education Internet Marketing Convention & Symposia eDetail test* MiniCD announcement for website* Mode of action animation* It enables costs effective promotion through other channels

10. Repurposing reusable objects into web enabled promotion can help communicate effectively with a diverse target audience 2004 Self-Service and self-selected for lower tier ($) Personal Selling Integrated Marketing (1:1) Optimal experiences with heavy recruiting for top prescribers ($$$) Mass-Customized approach with moderate recruiting for mid-tier prescribers ($$) “ Model allows you to spend effectively in proportion to HCP value, consistently and in alignment with individual preferences” Decile 8-10 Specialists Decile 4 -7 Specialists Decile 7-10 PCP NP/PAs in Specialty Decile 1-3 Specialists Decile 1-6 PCP NP/PAs Pharmacists $$$ $$$ $$$ $$ $

11. And has utility throughout the Product Life Cycle Launch / Growth Mature Decline / Harvest Accelerate awareness, advocacy and adoption * Add frequency & choice to Relaunch info \ resources Complementary resource for Rep interaction with HCPs Customize offering through sharper segmentation of customer base…defend market share Efficient vehicle for reach Alternative for high value, no-see physicians Cushion Erosion Marginal cost to maintain interaction with prescribing loyalists

12. Oxistat Relaunch: Getting started – looking for the right strategy! • The starting point for our effort began with analysis of syndicated and primary market research • Quickly confirmed that our customers were looking for very different benefits than we were providing in our promotion • There was no new clinical data to support the revised positioning, so the team built supportable claims as closely aligned with the desired position as possible • At this time, we started thinking about the need for an experienced partner to help develop a distance based training program.

13. Selecting a training partner was helped by developing a clear project brief • There was no in house experience creating a distance based learning program, networking proved to be key • We required content and technical expertise our in house staff did not have (R&D, training, medical writers were generalists, allocated across large portfolios) • We also had an intense sense of urgency and needed someone to help us quickly deliver a big change in strategy • Needed to demonstrate ability to work through our approval timelines and participants

14. We chose ScienceMedia as our training partner • Collaborated to produce a 6 unit (approx. 3 hours) learning module that encompassed revised brand positions, competitive set descriptions and assessments. • Demonstrated an understanding of what would be required to get project completed during selection process • Focused content development throughout the process, led by Julie Gegner, PhD • Previewed at National Meeting in November 2004 and launched in February 2005

15. After all of the analysis and research a winning strategy emerges for Oxistat • Being unfamiliar with the topical anti-fungal category initially, we falsely believed the physicians were “sold” on competitive claims concerning efficacy • Competitive “fungicidal” modes of action being superior to “fungistatic” • To our surprise, prescribers were most interested in a once daily formulation their patients could deal with; MOA was irrelevant

16. Result: investment in “training” drove TRx growth inside and outside sales force alignment by forcing us to sharpen our message Data on file

17. Another example of how this concept was utilized for relaunch is what we did for the steroid products Reusable Digital Training Objects* Could comprise 80% of content and cost for these activities Promotional Physician Education Internet Marketing Convention & Symposia eDetail test* MiniCD announcement of website* Mode of action animation*

18. eDetail test and website resource Reusable Asset - Extensions 1 & 2 • Program Overview • A 1-wave; 7-minute interactive multi-media program • Includes comprehension and profile questions to keep participants engaged in (and to measure) the program • No honoraria in a channel where pharma companies are offering up to $25 worth of medically relevant gifts • Launched August 26, 2004 • GSK owned all assets which have been redeployed on www.dermprofessional.com

19. The Number of eDetail Pilot Program Participants Met our Expectations • Cumulative results through March 9 th , 2005 Average time spent in iDetail: 7 minutes Total Time spent in iDetail: 31,620 minutes Data on file

20. Participants by Specialty Met our Criteria Breakdown of Participants by Specialty Data on file

21. Satisfactory Distribution of Participants by Segment Breakdown of participants by Decile* *Data on file - As of 9 March, Does not include Physicians for which Decile information was not provided

22. Post test analysis shows an increase of +25% in the test cell, while the total low potency segment was +3% for the same period Pre Post Pre Post Data on file

23. Oxistat Relaunch Case Study Conclusions for Pharmaceutical Marketers • Take the time to do the right blend of research to help you define the need and re-establish brand based on fact • Trust in your training company’s ability to manage timeline and deliverables once the plan is established • Think of the consumption volume beyond your sales force’s reach, consider alternative channel communication • Technology should be utilized to help enable as much access as possible or reasonable; plan accordingly • Test emerging techniques, if it fits your demographic and may help to solve your re-launch challenge… try it!

24. Thank you Center for Business Intelligence Pharmaceutical Product Relaunch Conference