JacobFleming Pharma Marketing Excellence Conference - De Large Pharma Web 2.0

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Presentation I gave in Barcelona, Spain in 2008 about Web 2.0 oppertunities and risks for Pharma industry. Related video can be seen here: http://www.youtube.com/watch?v=0itY8oIIqsc. Enjoy!

Technology Business

Web 2.0: Opportunities & Risks

4th Annual Achieving Pharma Marketing
Excellence
January 15th – 16th, 2008
Barcelona, Spain

January 16th, 2008 © 2008, Craig A. DeLarge 1

What is Web 2.0
• a perceived 2nd generation of web-based
communities and hosted services, such as
social-networking sites & wikis which facilitate
collaboration and sharing between users.

• Rather than an update to technology, Web2.0
more precisely refers to a change in the way
the internet is used.

January 16th, 2008 © 2008, Craig A. DeLarge 2

The Simple World of Yesterday

HCPs

Payors Pharma

Patient Advocates Caregivers

Patients

January 16th, 2008 © 2008, Craig A. DeLarge 3

The New World of Web2.0
may marginalize Pharma if we are not careful

HCPs

Payors Pharma

Patient Advocates Caregivers

Patients

January 16th, 2008 © 2008, Craig A. DeLarge 4

Web 2.0 is characterized by …
• Breakdown of traditional communications
hierarchies

• Open, honest & transparent communication
(with decreased control)

• Community and content trumps commerce

• Information & support (service) are key
currency (versus product)

• UGC competes with Pharma-generated Content
January 16th, 2008 © 2008, Craig A. DeLarge 5

The ground shifting under our feet is that of …

• trust: from bureaucracies to community

• trust basis: from official info. to recommendations

• content production: from organizational to peers

• internet’s value: from destinations to distribution

• marketing’s value: from selling to service

• customer’s desire: from command & control to engage
& enhance

January 16th, 2008 © 2008, Craig A. DeLarge 6

Web 2.0 Role in the Promotional Mix
Relevant Ubiquity is the Major Opportunity

There is innovative opportunity in every space above, especially from a non-branded
perspective. It is for us to fill in the blanks.

January 16th, 2008 © 2008, Craig A. DeLarge 7

Getting Started with Web 2.0
• Regulatory/Legal Risk Assessment

• Clarification of Objectives Desired

• Strategic & Functional Alignment

• Experimental Mindset where Learning is initial ROI

• Non-commercial, Relational, Collaborative Intention

• An Unofficial, Transparent Voice

January 16th, 2008 © 2008, Craig A. DeLarge 8

4 Rule I Think Will Work with Web 2.0

1. Share control of the communication

2. Earn your community credibility

3. Plan for conversations versus communications

4. Seek relationship & sales will follow

January 16th, 2008 © 2008, Craig A. DeLarge 9

Web 2.0’s Strategic Benefits
• Rich In-depth Insighful Research

• Goodwill & Reputation with Customers &
Stakeholders

• Authentic, Transparent Branding

• Shaping and balancing of comm. environment

January 16th, 2008 © 2008, Craig A. DeLarge 10

Web 2.0’s Risks
• Primary
– Off label communications
– Adverse Event Reporting
– Fair Balance Violations

• Secondary
– Community Alienation & Pharma Marginalization
– Lost opportunity to shape & balance information &
support environment

January 16th, 2008 © 2008, Craig A. DeLarge 11

Source: White Paper, “Connecting with Patients, Overcoming Uncertainty” , September 2007,
Envision Solutions, Cymfony, Seyfarth & Shaw

January 16th, 2008 © 2008, Craig A. DeLarge 12

Suggested Next Steps
• Collaborate with internal stakeholders to evaluate
prudent strategic Web 2.0 experiments

• Find relevant Web2.0 KOLs

• Plan integration with present marketing mix

• Join communities to observe & learn

• Plan to engage or to be marginalized

• Educate to balance environment

January 16th, 2008 © 2008, Craig A. DeLarge 19

Further Reading
• Wikinomics, Tapscott & Williams

• Chloe Stromberg at Forester Research

• Wisdom of Crowds, Surowiecki

• Web2.0 Risks & Opps, DeLarge, January 2008
issue of www.PharmaVoice.com

January 16th, 2008 © 2008, Craig A. DeLarge 20

Q&A (today & after)

Craig A. DeLarge
cadelarge@yahoo.com
cdrg@novonordisk.com

January 16th, 2008 © 2008, Craig A. DeLarge 21

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JacobFleming Pharma Marketing Excellence Conference - De Large Pharma Web 2.0

2. What is Web 2.0 • a perceived 2nd generation of web-based communities and hosted services, such as social-networking sites & wikis which facilitate collaboration and sharing between users. • Rather than an update to technology, Web2.0 more precisely refers to a change in the way the internet is used. January 16th, 2008 © 2008, Craig A. DeLarge 2

5. Web 2.0 is characterized by … • Breakdown of traditional communications hierarchies • Open, honest & transparent communication (with decreased control) • Community and content trumps commerce • Information & support (service) are key currency (versus product) • UGC competes with Pharma-generated Content January 16th, 2008 © 2008, Craig A. DeLarge 5

6. The ground shifting under our feet is that of … • trust: from bureaucracies to community • trust basis: from official info. to recommendations • content production: from organizational to peers • internet’s value: from destinations to distribution • marketing’s value: from selling to service • customer’s desire: from command & control to engage & enhance January 16th, 2008 © 2008, Craig A. DeLarge 6

7. Web 2.0 Role in the Promotional Mix Relevant Ubiquity is the Major Opportunity There is innovative opportunity in every space above, especially from a non-branded perspective. It is for us to fill in the blanks. January 16th, 2008 © 2008, Craig A. DeLarge 7

8. Getting Started with Web 2.0 • Regulatory/Legal Risk Assessment • Clarification of Objectives Desired • Strategic & Functional Alignment • Experimental Mindset where Learning is initial ROI • Non-commercial, Relational, Collaborative Intention • An Unofficial, Transparent Voice January 16th, 2008 © 2008, Craig A. DeLarge 8

9. 4 Rule I Think Will Work with Web 2.0 1. Share control of the communication 2. Earn your community credibility 3. Plan for conversations versus communications 4. Seek relationship & sales will follow January 16th, 2008 © 2008, Craig A. DeLarge 9

10. Web 2.0’s Strategic Benefits • Rich In-depth Insighful Research • Goodwill & Reputation with Customers & Stakeholders • Authentic, Transparent Branding • Shaping and balancing of comm. environment January 16th, 2008 © 2008, Craig A. DeLarge 10

11. Web 2.0’s Risks • Primary – Off label communications – Adverse Event Reporting – Fair Balance Violations • Secondary – Community Alienation & Pharma Marginalization – Lost opportunity to shape & balance information & support environment January 16th, 2008 © 2008, Craig A. DeLarge 11

15. Suggested Next Steps • Collaborate with internal stakeholders to evaluate prudent strategic Web 2.0 experiments • Find relevant Web2.0 KOLs • Plan integration with present marketing mix • Join communities to observe & learn • Plan to engage or to be marginalized • Educate to balance environment January 16th, 2008 © 2008, Craig A. DeLarge 19

16. Further Reading • Wikinomics, Tapscott & Williams • Chloe Stromberg at Forester Research • Wisdom of Crowds, Surowiecki • Web2.0 Risks & Opps, DeLarge, January 2008 issue of www.PharmaVoice.com January 16th, 2008 © 2008, Craig A. DeLarge 20

JacobFleming Pharma Marketing Excellence Conference - De Large Pharma Web 2.0

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