The Chapter is based on the practices and the several sections assembled in the Pharmaceutical Market As per PCI Syllabus

1. Pharmaceutical Marketing
PROF. NIKHIL S. LOHE
ASST. PROF
DEPARTMENT OF
PHARMACEUTICS

2. Introduction
▪ The term ‘market’ may be defined in terms of gaps that
separate parties to an exchange.
▪ These gaps can be described in terms of different
dimensions: spatial , time , perception , ownership ,
value , quality etc.
▪ Marketing is perhaps the most important aspect of
modern business management.
▪ A market analysis and research are vital for modern
business.
▪ Pharmaceutical marketing do not differ from general
marketing and both are based on the same principle.
▪ However , in case of pharmaceutical products consumer is
left with little or no choice of his own in the selection of
any drug product.
▪ The decision is made by physician.

3. Introduction
▪ Pharmaceutical marketing is final stage of pharmaceutical
companies after research concepts, clinic studies and
product launch. Pharmaceutical marketing is very powerful
tool to get your brand, build awareness of company
presence and influence potential customer to choose your
product over other competing companies products.
Pharmaceutical marketing transfer the information to
Physicians about products, safety, efficacy, hazards and
techniques of using medicines.

4. Stage Of Pharmaceutical Product
Development

5. Qualitative And
Quantitative Aspects
Of Analysis

7. Market Overview
▪ World’s largest
pharmaceutical
generic
market
represents 45% of global share.
▪ Highly saturated – highest
levels of generic penetration
▪ Predominantly unbranded
generics (INN prescribing)
▪Characterized by high levels of
generic prescribing, strong IP
legislations, retailers purchasing
on price
▪ Blockbuster drugs worth over
$67 billion to lose patent
protection
▪ More than 500 industry
participants – top five
companies constitute 50% sales
▪ Most attractive hub for low-
cost destinations like India,
China – increased pricing
pressure
▪Aggressive patent challenges
and Paragraph IV filings
▪Mergers and acquisitions -
most sought-after trend in the
U.S.
Market Overview

8. Regulatory Impact Analysis - India
On Price On Margine
Pharmaceutical Policy
Drug Policy 1996
Pharmaceutical Policy 2002
National Pharmaceuticas Policy 2006
Quality Control
Price Control IPR Protection
Bulk Drugs Formulations
Essential Commodities Act 1955
Drug (Price Control) Order 1995
GMP/cGMP Amended Patents
Patents Amendment Act 2005
Drug and Cosmetic Act 1940
Schedule M
Schedule Y
Source: Frost and Sullivan analysis

9. Regulatory Impact Analysis – India
Quality Control
Regulatory Environment in the Indian Generic Pharmaceutical Market
Patent Protection/ IP Rights
Pricing & Reimbursement
• The revised policy of the
National Pharmaceutical
Policy Authority, has
capped margins on generic
drugs at 15% for
and 35% for
wholesalers
retailers
• Price controlled drugs
Category I: Essential drugs
Category II: All drugs not in
Category I
• Drugs exempted from price
control required to meet
specific criteria
• Patents Amendment Act
2005 (TRIPS Agreement)
strictly prohibited reverse
engineering of drugs
• Covers two types of
generic drugs – off patent
generics and generics of
drugs patented before
1995
• Introduced compulsory
licensing for exports
• Mainly encourages foreign
companies to trade in
India
• The Drug and Cosmetics Act
(D&C) 1940
import,
regulates
manufacture,
distribution and sales
• Schedule M – requirements
for factory premises, plant,
materials, plant and
equipment
– legislative
for clinical
• Schedule Y
requirements
trials
• Increasing regulatory
compliance in India boosts
confidence of MNCs
Source: Frost and Sullivan analysis

10. Future Trends and Directions – Vision 2025
Key Trends
Balance in terms of healthcare expenditure and sales revenue is likely to shift from developed
markets to emerging markets.
Consolidation is expected to remain the key factor for growth and sustenance of generic
companies.
Large generic companies are likely to increase their investments in R&D activities
Increasing focus on higher value biological therapies, biosimilars, controlled
release products, sterile formulations and niche therapeutic segments.
Generic consumption is likely to be favoured in a big way by the government, payers,
policy-makers and physicians.

11. Strategic Recommendations for Success
Differentiated Approach Explore New Avenues Instill Competitive Capabilities Plan Ahead for the Future
▪ Research customer
needs,preferences,
expectations.
▪ Monitor new
technological
developments to face
the change.
▪ Target therapeutic
areas with high levels
of unmet clinical
needs.
Big multinational generic
firms require to focus on
▪ Products with
technologically
challenging formulations.
▪ Products which require
significant regulatory
support.
▪ Products with limited
availability of APIs.
Medium-sized genericfirms
require to focus on
▪ Products with relatively
higher profit margins.
▪ Appropriate time of entry
into the right market.
▪ Analyze prospects for
market globalization
- Strategic alliances
between multinational
generic firms and
domestic participants with
locally restricted
operations.
▪ Strengthen distribution.
▪ Invest in R&D.
▪ Improve product line.
▪ Defend company’s
position in the market.
▪ Strike a balance
between supply and
demand side.
▪ Pioneer new and better
technologies.
Strategy is a style of thinking, a conscious and deliberate process, an intensive implementation system, the science
of insuring future success – Pete Johnson

12. Related Market Research Reports
➢ Global Pharmaceutical Contract Manufacturing Market
➢ Global Next Generation Biosimilars Market
➢ Global Contract Research Outsourcing Market

13. MARKET SIZE
 From a market size of US$ 12.6 billion in 2009, the Indian pharmaceutical
market will grow to US$ 55 billion by 2020, with the potential to reach
US$ 70 billion in an aggressive growth scenario. In a pessimistic scenario
characterized by regulatory controls and economic slowdown, the market
will be depressed but is still expected to reach US$ 35 billion.
 India currently exports drug intermediates, Active Pharmaceutical Ingredients (APIs),
Finished Dosage Formulations (FDFs), Bio-Pharmaceuticals, and Clinical Services
across the globe.
 As per 'Pharma Vision 2020', the Government of India aims to make India a global
leader in end-to-end drug manufacturing.
 Manufacturing costs in India are approximately 35-40 per cent of those in the US due
to low installation and manufacturing costs.
 Indian vaccines are exported to 150 countries.
 The projected human resource requirement in the Indian pharma sector is estimated to
be about 21 ,50,000 by 2020

14. Current Status
 Indian pharmaceutical sector is expected to grow to US$ 100 billion, while
medical device market is expected to grow US$ 25 billion by 2025.
Pharmaceuticals export from India stood at US$ 16.3 billion in FY20.
Pharmaceutical export includes bulk drugs, intermediates, drug formulations,
biologicals, Ayush and herbal products and surgical. As of November 2020,
India exported pharmaceuticals worth US$ 15.86 billion in FY21.
Pharmaceutical exports from India stood at US$ 16.28 billion in FY20 and
US$ 2.07 billion in October 2020.
 India's biotechnology industry comprising biopharmaceuticals, bio-services,
bio-agriculture, bio-industry, and bioinformatics. The Indian biotechnology
industry was valued at US$ 64 billion in 2019 and is expected to reach US$
150 billion by 2025.
 India’s domestic pharmaceutical market turnover reached Rs 1.4 lakh crore
(US$ 20.03 billion) in 2019, up 9.8% y-o-y from Rs 129,015 crore (US$
18.12 billion) in 2018.

15. Investments and Recent Developments
 The Union Cabinet has given its nod for the amendment of existing Foreign Direct
Investment (FDI) policy in the pharmaceutical sector in order to allow FDI up to
100% under the automatic route for manufacturing of medical devices subject to
certain conditions.
 The drugs and pharmaceuticals sector attracted cumulative FDI inflow worth US$
16.86 billion between April 2000 and September 2020 according to the data
released by Department for Promotion of Industry and Internal Trade (DPIIT).

16. Investments and Recent Developments
Some of the recent developments/investments in the Indian pharmaceutical sector are as follows:
 In December 2020, Piramal Pharma Solutions announced plans to invest Rs. 235 crore (US$ 32 million) to expand its facility in Michigan, US, with additional
capacity and new capabilities for development and manufacturing of active pharmaceutical ingredients (APIs).
 In November 2020, Indian Immunologicals (IIL) commenced work on Rs. 75 crore (US$ 10.17 million) viral antigen manufacturing facility in Genome Valley,
Telangana, that will enhance its vaccine production capacity by 35% by October 2021.
 In November 2020, the Indian Institute of Technology (IIT) Bombay has stepped up research and development (R&D) amid COVID-19 and researchers are
developing products such as a portable sterilisation device and germicidal cabinet; wheeled sterilisation unit, especially for hospitals; portable and rechargeable
car sanitiser; eco-friendly sprays, and alcohol-free and bleach-free sanitisers.
 In October 2020, six generic drug makers--Dr. Reddy’s Laboratories, Zydus Cadila, Glenmark Pharmaceuticals, Torrent Pharmaceuticals, Hetero Drugs and
Ackerman Pharma signed a deal with Hidalgo ,a state in Mexico, to establish a large pharmaceutical cluster for production and logistics in Mexico.
 In October 2020, Aurobindo Pharma acquired MViyeS Pharma Ventures for Rs. 274.22 crore (US$ 37.30 million).
 In May 2020, Jubilant Generics Ltd entered into a non-exclusive licencing agreement with US-based Gilead Sciences Inc to manufacture and sell the potential
COVID-19 drug Remdesivir in 127 countries, including India.
 Affordable medicines under Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) achieved record sales turnover of Rs 52 crore (US$ 7.38 million) in the
month of April 2020.

17. Government Initiatives
Some of the initiatives taken by the Government to promote the pharmaceutical sector in India are as follows:
 In November 2020, Prime Minister, Mr. Narendra Modi dedicated two future-ready national premier Ayurveda
institutions to the country to mark celebrations of the ‘5th Ayurveda Day’. Also, World Health Organisation
(WHO) announced the setting up of the Global Centre of Traditional Medicine in India.
 On October 15, 2020, India and the Netherlands unveiled plans to collaborate with an aim to provide digital
health facilities and security to all citizens. Part of India's National Digital Health Mission (NDHM), through this
cooperative initiative, the two countries will work closely to create capacities and put in place the requisite
technology to enable this initiative.
 From April 2020 to September 2020, health insurance became the most valuable segment for non-life insurers in
terms of premiums collected, leapfrogging in motor insurance.
 In September 2020, the government announced production linked incentive (PLI) scheme for the pharmaceutical
industry worth Rs. 15,000 crore (US$ 2.04 billion).
 India plans to set up a nearly Rs. 1 lakh crore (US$ 1.3 billion) fund to provide boost to companies to
manufacture pharmaceutical ingredients domestically by 2023.
 In November 2019, the Cabinet approved extension/renewal of extant Pharmaceuticals Purchase Policy (PPP)
with the same terms and conditions while adding one additional product namely, Alcoholic Hand Disinfectant
(AHD) to the existing list of 103 medicines till the final closure/strategic disinvestment of Pharma CPSUs.

18. Government Initiatives
Some of the initiatives taken by the Government to promote the pharmaceutical sector in India are as follows:
 Under Budget 2020-21, Rs. 65,012 crore (US$ 9.30 billion) has been allocated to the Ministry of Health and
Family Welfare is. The Government has allocated Rs. 34,115 crore (US$ 4.88 billion) towards the National
Health Mission under which rural and urban people will get benefited.
 Rs. 6,400 crore (US$ 915.72 million) has been allocated to health insurance scheme Ayushman Bharat - Pradhan
Mantri Jan Arogya Yojana (AB-PMJAY).
 As per Economic Survey 2019-20, Government expenditure (as a percentage of GDP) increased to 1.6% in FY20
from 1.2% in FY15 on health.
 The National Health Protection Scheme is the largest Government funded healthcare programme in the world,
which is expected to benefit 100 million poor families in the country by providing a cover of up to Rs. 5 lakh
(US$ 7,723.2) per family per year for secondary and tertiary care hospitalisation. The programme was announced
in Union Budget 2018-19.
 The Government of India is planning to set up an electronic platform to regulate online pharmacies under a new
policy to stop any misuse due to easy availability.
 Government of India unveiled 'Pharma Vision 2020' to make India a global leader in end-to-end drug
manufacture. Approval time for new facilities has been reduced to boost investment.
 Government of India has offered Rs. 6,940 crore (US$ 942.8 million) production linked incentives between 5-
20% for incremental sales and plans to set up three mega drug parks to drive sustainable cost competitiveness.

19. GOVERNMENT SUPPORT
 The Government of India plans to set up a US$ 640 million venture capital fund to
boost drug discovery and strengthen pharma infrastructure. Government
expenditure on health has increased from US$ 14 billion in 2008 to US$ 23
billion in 2011 .
 FDI in India allowed upto 100% on pharma industry.
 Allocation of INR 5000 Million to set up four more institutions of the stature of
AIIMS in Andhra Pradesh, West Bengal, Maharashtra and U.P.
 Full exemption from excise duty is being provided for HIV/AIDS drugs and
diagnostic kits.

20. Road Ahead
 Medicine spending in India is projected to grow 9 12% over the next five years, leading India to
become one of the top 10 countries in terms of medicine spending.
 Going forward, better growth in domestic sales would also depend on the ability of companies
to align their product portfolio towards chronic therapies for diseases such as such as
cardiovascular, anti-diabetes, anti-depressants and anti-cancers, which are on the rise.
 The Indian Government has taken many steps to reduce costs and bring down healthcare
expenses. Speedy introduction of generic drugs into the market has remained in focus and is
expected to benefit the Indian pharmaceutical companies. In addition, the thrust on rural health
programmes, lifesaving drugs and preventive vaccines also augurs well for the pharmaceutical
companies.

21. OPPORTUNITY FOR FUTURE
 Sites that allow online ordering and delivery of prescriptions.
 Manufacturer sponsored sites to access reliable health care information.
 Apps that remind patients to take medicine, schedule follow up doctors
visits.
 Apps for patients to use as tools to monitor their health.
 Customized interactive platforms with a focus on doctor
engagement for sales reps to utilize during office visits

22. Emerging trends and technologies
 The DIGITAL REVOLUTION and the availability of newer and
improved BIOTECHNOLOGICAL TECHNOLOGIES is going to change profoundly the way
medicine is practiced. IQVIA experts have identified TEN EMERGING SECTORS to be
monitored in the next five years, as they might provide a great amount of innovation.
 Nine NEXT GENERATION BIOTHERAPEUTICS (NGB) have been launched already. Induced
pluripotent stem cells (iPSC), CRISPR/Cas9 and other cells or gene-modifying techniques might be
used to treat selected patient cohorts. The modalities to determine costs and accessibility for these
treatments still need to be fine-tuned to allow for their broader sustainability. Bioethics
considerations are also needed to better determine the allowed use of technologies such as
CRISPR/Cas9. On the other hand, competition in the field is limited by the complexity of the
manufacturing and distribution process.
 ARTIFICIAL INTELLIGENCE, machine and deep learning will continue to be major areas of
interest for investments, as they may support the identification and development of NEW
BREAKTHROUGH TREATMENTS, particularly in the areas of pre-clinical validation, target
identification and efficiency of clinical development.

23. Emerging trends and technologies
 PRESCRIPTION DIGITAL THERAPEUTICS (DTX) might represent a completely new way to think
about a pharmaceutical product. They are devices claimed to provide new treatment modalities and
carrying indications and disease-specific treatment effectiveness claims in their prescribing labels. The
number of mobile apps of this category submitted to the FDA for clearance or approval (under the De
Novo pathway) is increasing. Areas of intervention include cognitive pathways and behavioural drivers
of health, attention deficit hyperactivity disorder (ADHD), major depressive disorder and schizophrenia.
Developers of these IT solutions often collaborate with PHARMACEUTICAL COMPANIES TO
COMPLEMENT THEIR RESPECTIVE EXPERTISE towards the development of innovative
approaches to cure.
 The area of NEGLECTED TROPICAL DISEASES has been traditionally covered by the activities of
many philanthropic organisations, those research programmes are in many cases close to reach regulatory
approval. Five to ten products are expected by IQVIA experts to be launched in the next ten years.
Priorities in funding of this type of research should be based on WHO’S ASSESSMENT, and it might be
shifted to non-drug approaches or root causes identification.
 REAL WORLD EVIDENCE will be increasingly used to generate additional information to support the
approval of NEW INDICATIONS for already marketed medicinal products. Apps for remote monitoring
and new study designs for SITE-LESS CLINICAL TRIALS are prerequisites to achieve this objective.

24. Emerging trends and technologies
1. Artificial Intelligence. The use of artificial intelligence (AI) and machine learning is accelerating the drug discovery and
development processes. ...
2. Big Data & Analytics. ...
3. Flexible Production. ...
4. Precision Medicine. ...
5. Additive Manufacturing. ...
6. Blockchain. ...
7. Extended Reality (XR) ...
8. Real-World Data.
9. Digital Therapeutics
10. Curative Therapies

25. Demographic Segmentation
 In , market is divided into small segments based on demographic variables like:
1. Age
2. Gender
3. Income
4. Occupation
5. Education
6. Family size
7. Family life cycle
8. Religion
 Demographic factors are most important factors for segmenting the customers groups. Consumer
needs, wants, usage rate these all depend upon demographic variables. So, considering
demographic factors, while defining marketing strategy, is crucial.

26. Consumer Behavior
 Consumer Behavior is the study of when, why, how and where people
do or do not buy a product. It basically depends on the psychology of
the consumer. It attempts to understand the buyer decision making
process both individually & in groups. It studies the individual
consumers such as demographics & behavioural aspects to understand
the people’s wants.
 In the study of Consumer Behaviour main focus is the customer
satisfaction because customer is the only person with whose presence
businesses actually exists

27. Consumer Behavior
 Consumer: According to International Dictionary of Management “Consumer is a
purchaser of goods and services for immediate use or consumption”.
 Buyer: He is the person who purchase goods either for resale or for use in
production or for use of somebody else.
 Customer: He is the one who purchases goods for his own use or for the use of
others or else he is regular customer of a particular product and he is a regular
customer of particular shop.
 Institutional buyer: These are either govt. institutions or private organizations.
Types of consumer

28. Consumer Behavior
Types of consumer
Ultimate
Consumer
Institutional
Buyer
Customer
Consumer
Buyer

29. Characteristics Of Consumer Behaviour
 It is a process where consumer decide what to buy, when to buy, how
to buy, where to buy & how much to buy.
 It comprises of both mental and physical activities of consumer.
 Consumer behaviour is very complex and dynamic which keeps on
changing constantly.
 Individual buying behaviour is affected by various internal factors
like his needs, wants, attitudes & motives and also by external factors
like social groups, culture , status, environmental factors etc.
 Consumer behaviour starts before buying and even after buying.

30. Importance / Need Of Study Of Consumer
Behavior
 To make better strategies for increasing profits.
 To take into consideration customer’s health, hygiene & fitness.
 To know the buying decisions and how consumer make
consumption.
 Consistent change in Consumer’s tastes or preferences.
 Consumer behavior study is necessary to make pricing policies.
 To avoid future market failures.

31. Complex
Dissonance
Reducing
Variety seeking
Habitual
Types of Consumer Behavior

32. Buying Motives
According to D.J.Ducan,
“Buying Motives are those influences or considerations which provide
the impulse to buy, induce action or determine choice in the
purchase of goods and services”.

33. Types of Buying Motives
A. Product & Patronage Motives
Product & Patronage Motives
Product Motives
Primary Secondary
Patronage Motives
Price Qualit Location Services Variety
Personality
of the owner

34. Types of Buying Motives
B. Emotional & Rational Motives
Emotional & Rational
Motives
Emotional Motives
Love of others
Social
acceptance
motive
Vanity Motive
Recreational
motive
Emulate
motive
Comfort &
convenience
motive
Rational Motives
Monetary gain
Efficiency in
operation
Dependability

35. Types of Buying Motives
C. Inherent & Learned motives
 Inherent motives are those which come from physiological & basic
needs such as hunger, thirst, sleep etc. If these motives are not
satisfied then consumer feels dissatisfied and feels mental tension.
 Learned motives are those which are learned or acquired by a person
from environment and education like social status, acceptance, fear,
security etc.

36. Types of Buying Motives
D. Physiological & Social buying Motives
 Physiological motives are those which are driven by learning,
perception or attitude.
 Social buying motives are those which are influenced by the society
in which the consumers live.

37. CONSUMER DECISIONS:
Theory and Reality in Consumer Buying
IDENTIFICATION OF
ALTERNATIVE/
INFORMATION
SEARCH
PURCHASE
PROBLEM
RECOGNITION/
Recognition of
unsatisfied need
EVALUATION OF
ALTERNATIVES
POSTPURCHASE
EVALUATION/
BEHAVIORS

38. Factors Influencing Consumer
Behavior
Psychological
factors
• Consumer
needs &
motivation
(Maslow’s
need
hierarchy
theory
• Perception
• Learning
• Beliefs &
attitudes
Cultural
factors
• Culture
• Sub culture
• Social class
Social Factors
• Reference
group
• Role and
status
• Family
Personal
factors
• Age
• Stages in life
cycle
• Occupation in
economic
status
• Life style
• Personality
Economic
factors
• Personal
income
• Family
income
• Income
expectations
• Savings
• Liquidity
position
• Consumer
credit
Environmental
Factors
• Political
situation
• Legal forces
• Technological
advancement
• Ethical
considerations

39. Market Segmentation
 Segmentation is essentially an identification of the subsets of buyers
within a market that share a similar needs and demonstrates similar
buyer behaviour. The world is made up of billion buyers with there
own set of needs and behaviour. Segmentation made to match
different group of buyers with different set of needs & buyer
behaviour. Such a group is known as “segment.”
 A customer is allocated to one market segment by the customer's
individual characteristics

40. Market Segmentation
Examples of characteristics used for segmentation:
1. Gender
2. Price
3. Interests
4. Location
5. Religion
6. Income
7. Size of Household

41. Objectives of Market Segmentation
 To understand the needs, wants, desires and buying habits of
customers.
 To formulate marketing programs for each consumer groups
according to their nature.
 To develop new products according to consumer’s changing needs.
 To expand market & market share.
 To provide satisfaction to consumers.
 To make the marketing strategies and policies consumer oriented.

42. Process of Market Segmentation
• The org must clearly state its segmentation strategy in
consistent to its mission n objectives as well as its current
situation- its strengths , weaknesses, opportunities n threats
1. Establish overall
strategy
• Any marketer should do segmentation on basis of differs
factors may be demographic or psychographic, he shoul have
the idea of market characteristics of consumer and buying
behaviour
2. Decide the basis
For
segmentation
• After selecting bases of segmentation, segmentation Variables
like in demographic, age, income, occupation etc should
taken into consideration.
3. Select
segmentation
variables

43. Process of Market Segmentation
• After segmenting the market, marketers has to analyze his customers in those
segments, like what type of customers are there in that market.
4. Profile the
segments
• Evaluation is done on the basis of estimating the profit contribution by each
sector. most importantly he’ll see the demand potential of customers from each
segment, and the revenue earned out of each segment & expenditure incurred.
Other criteria like measurability, accessibility, Responsiveness, risk etc.
5. Evaluate segment
attractiveness
• Every marketer can consider only one segment at a time even if the other
segments are profitable. ultimately he will select the most profitable segment,
this is called target marketing.
6. Select segment

44. Product Differentiation
 It is the process of distinguishing a product or offering from others, to
make it more attractive to a particular target market.
 This involves differentiating it from competitors' products as well as a
firm's own product offerings.

45. Difference between market segmentation &
product differentiation
Market Segmentation Product differentiation
• Consumer oriented •Production oriented
• Focuses on group of customers • Focuses on product differences
• Attempt to match the supply • Attempt to match demand with supply
• With demand. • Aims at facing intense comp
• Aims at increasing sales • Concentrate on large mkt.
• Concentrates on a limited mkt • It helps to win the competition.

46. Criteria For Successful Segmentation
Substantiality Segment must be large enough to warrant a special
marketing mix.
Identifiability Measurability Segments must be identifiable and their size measurable.
Accessibility Members of targeted segments must be reachable with
marketing mix
Responsiveness Unless segment responds to a marketing mix differently,
no separate treatment is needed.
Homogeneity Customers in one particular Segment should be similar in
terms of their responses
Profitability There should be sufficient demand for goods in the
segment selected

47. Advantages of Market Segmentation
A. Advantages to firms
 Increase in sales volume.
 Helps to prepare effective marketing plans.
 Enables to take decisions
 Helps to understands needs of consumers.
 Helps to win competition.
 Makes best use of resources.
 Achieve marketing goals
 Specialized marketing
 Creates innovations
 Higher market share.

48. Advantages of Market Segmentation
B. Advantages to Consumers
 Customer oriented
 Quality products at reasonable prices
 Other benefits (discounts, buy 1 get 1 free offer, customers become
the winner)

49. Reasons for development of market
segmentation
1. Rapid change in technology
2. Adoption of cost reducing techniques.
3. Implementation of marketing programs &
marketing mix.
4. Introduction of new products.
5. Cut- throat competition in the market.

50. LEVELS OF MARKET
SEGMENTATION

51. LEVELS OF MARKET
SEGMENTATION
1. Segment Marketing: Consists of group of customers who share similar set of
needs and wants. can offer better price, design and can fine tune the marketing
activities. For eg: Air Deccan.
2. Niche marketing: more narrowly defined customer group seeking a distinctive
mix of benefits. For eg: some companies make clothes for oversized customers
3. Local marketing: Tailored to the needs & wants of local consumers in trading
areas, neighborhoods and even individual stores. For eg: matrimonial websites
like Bharat matrimony who are further offering other websites for each n every
community say Punjabi, Bengali, Muslim, Sikh etc.
4. Individual marketing: Designing the product & service offerings of individual
choices. For eg Asian paints, in which you can mix desired colour n quantities
of their own choice as per the requirement.

52. Analyzing the Market
SWOT analysis of Indian Pharmaceutical Industry

53. Analyzing the Market
Market Size
• Government
data
• Trade
association
data
• Financial data
• Customer
Survey
Market Trends
• Competitors
Analysis
• Risk Analysis
• Product
Research
• Advertising
the research
and product
Market
Opportunity
• Public
• Social
• Trending
Innovations
Market
Profitability
• Buyers
power
• Suppliers
power
• Barrier to
entry

54. Marketing Research
Marketing Research
What should we do?
Recommendation or Options on courses the action
What does it Mean?
Inferences on an interpretation of data
What can we find out?
Systemic data collection Objective data collection

55. Stages of Marketing Research
Defining the
Problem
Statement of
Research
Objective
Planning a
Research
Design
Planning A
Sample
Collection of data
Analyzing data
Formulating
conclusion
Report Presentation

56. Thank You !!!