Marketing Pharmaceutical Care Dr. Muslim Suardi, MSi., Apt. Faculty of Pharmacy University of Andalas 2010

Pharmaceutical Care “ The responsible provision of drug therapy for the purpose of achieving definite outcomes that improve a patient’s quality of life”

Marketing Mix Is a process Is a process Marketing efforts need to be ongoing and marketing strategies should be monitored & modified as needed. Marketing efforts need to be ongoing and marketing strategies should be monitored & modified as needed.

Marketing mix Consists of: Product Product Price Price Promotion Promotion Place Place

Marketing mix Additional elements: Process management Process management Positioning Positioning Because they are important considerations in successful marketing effort.

Product Item is being marketed Item is being marketed In Pharmaceutical Care, the product is actually a service. In Pharmaceutical Care, the product is actually a service.

Differ from goods Intangible Intangible Inconsistent Inconsistent Inseparable Inseparable Non-inventoried Non-inventoried

Intangible Services cannot be physically seen or touched by patients. Services cannot be physically seen or touched by patients. To derive benefit from the service and appreciate its value, patient have to experience it. To derive benefit from the service and appreciate its value, patient have to experience it. The quality of the interaction with the pharmacist that determine patient satisfaction with pharmaceutical care services. The quality of the interaction with the pharmacist that determine patient satisfaction with pharmaceutical care services.

Inconsistent Since individual pharmacist are performing the services, they may not be delivered consistently each time. Increasing service consistency: The use of drug therapy protocols The use of drug therapy protocols Written policies & procedures Written policies & procedures Printed educational materials Printed educational materials

Inseparable Patients cannot separate the service from the provider of that service Patients cannot separate the service from the provider of that service The competencies & abilities of individual pharmacist will determine the patients perceptions of quality & value The competencies & abilities of individual pharmacist will determine the patients perceptions of quality & value

Patient’s perception of quality Clinical competencies Clinical competencies Knowledge base Knowledge base Communication skills Communication skills Personality of the pharmacists Personality of the pharmacists

Non-inventoried Services, unlike goods, cannot be inventoried Services, unlike goods, cannot be inventoried A pharmacist must be present to deliver pharmaceutical care services when they are delivered to a patient A pharmacist must be present to deliver pharmaceutical care services when they are delivered to a patient

Price Setting an appropriate price, the second element of the marketing mix, is important to the successful marketing of any new service Setting an appropriate price, the second element of the marketing mix, is important to the successful marketing of any new service Important considerations: the estimated cost of providing the service (salary, & benefits, materials, overhead, reasonable profit Important considerations: the estimated cost of providing the service (salary, & benefits, materials, overhead, reasonable profit

Promotion Encompasses much more than advertising Also includes: Publicity Publicity Public relations activities Public relations activities Sales promotion Sales promotion Personal selling of the pharmaceutical care service Personal selling of the pharmaceutical care service

Place Place refers to where & how a service will be delivered Place refers to where & how a service will be delivered The service must be made available in the right place at the right time The service must be made available in the right place at the right time A place & at a time that are convenient & acceptable to patients. A place & at a time that are convenient & acceptable to patients. Creating a professional & private setting to provide the service helps to enhance patient’s perception of value Creating a professional & private setting to provide the service helps to enhance patient’s perception of value

The Marketing Circle 1. Analyzing the market 2. Developing the market plan 3. Selecting & developing promotional materials 4. Testing & refining marketing materials 5. Implementing the marketing plan 6. Evaluating plan effectiveness 7. Applying findings of the evaluation to help guide future marketing efforts

Analyzing the Market Identifies opportunities for a pharmacy to develop & implement services. Identifies opportunities for a pharmacy to develop & implement services. SWOT Analysis SWOT Analysis Strength & weakness of the internal environment Strength & weakness of the internal environment Opportunities & threats presenting by the external environment Opportunities & threats presenting by the external environment

Analyzing the Market External O & T will be most accurate when it is based on some initial market research. External O & T will be most accurate when it is based on some initial market research. Techniques: consumer questionnaires, telp surveys, & patient focus group. Techniques: consumer questionnaires, telp surveys, & patient focus group. Additional sources: casual conversations with consumers, observation of consumer behavior, & published market data. Additional sources: casual conversations with consumers, observation of consumer behavior, & published market data.

Developing the Market Plan Marketing goals & objectives Marketing goals & objectives Identify target market Identify target market Determine how each element of the marketing mix will be addressed Determine how each element of the marketing mix will be addressed Lay the round-work for plan implementation Lay the round-work for plan implementation

Developing the Market Plan Goals: general statement that outline what a MP intends to accomplish Goals: general statement that outline what a MP intends to accomplish Objectives: the measurable steps needed to meet the goals. Objectives: the measurable steps needed to meet the goals. Clearly stated, realistic & quantifiable Clearly stated, realistic & quantifiable If the objectives are ambiguous/difficult to measure, it will be difficult to evaluate If the objectives are ambiguous/difficult to measure, it will be difficult to evaluate

Developing Promotional Materials Developing Promotional Materials Advertising Advertising Direct mail: review of products features & benefits Direct mail: review of products features & benefits Publicity Publicity Sales Aid Sales Aid

Advertising “Efforts for which pharmacists pay to have messages to delivered to target audiences” For advertising to be successful it needs to: Be consistent Be consistent Have a single, clear message Have a single, clear message Inform, educate, attract, & move the target market into action Inform, educate, attract, & move the target market into action Be able to break through the clutter of messages bombarding consumers daily. Be able to break through the clutter of messages bombarding consumers daily.

Advertising Which media? Depends on: Message that the pharmacist wants to promote Message that the pharmacist wants to promote Service being promoted Service being promoted Target audience Target audience Budget Budget

Advertising Electronics: TV, radio, e-marketing Electronics: TV, radio, e-marketing Printed, news paper, magazine Printed, news paper, magazine Out door: Banner, bill board Out door: Banner, bill board

Advertising Radio: can allow the pharmacist to communicate with a selected target market. Radio: can allow the pharmacist to communicate with a selected target market. Bill boards: hits a broad target on a regular, consistent basis Bill boards: hits a broad target on a regular, consistent basis TV: reaches a comprehensive population base TV: reaches a comprehensive population base News paper: attract a large general readership News paper: attract a large general readership

Direct Mail Review of products features & benefits Review of products features & benefits First: develop a target market mailing list & tailor the message in the mailing to fit the target market First: develop a target market mailing list & tailor the message in the mailing to fit the target market Patient’s data base Patient’s data base Mailing list of community members with specific interest (diabetes or asthma) Mailing list of community members with specific interest (diabetes or asthma)

Publicity Is a promotional technique that encompasses a number of strategies to target special groups, including making presentations & holding special events. Is a promotional technique that encompasses a number of strategies to target special groups, including making presentations & holding special events.

Testing & Refining Marketing Materials No guarantee that marketing strategies & promotional materials will lead to the anticipated result No guarantee that marketing strategies & promotional materials will lead to the anticipated result It is beneficial to allow adequate time for “field testing” of new materials in the marketplace. It is beneficial to allow adequate time for “field testing” of new materials in the marketplace.

Possible Outcomes Outcome measure: Number of programs sold (out come measure) Number of programs sold (out come measure) Increase in pharmacy service revenue Increase in pharmacy service revenue Increase in referrals Increase in referrals Number of contracts with employer Number of contracts with employer Improved patient satisfaction surveys Improved patient satisfaction surveys Number of third party payers who reimburse for service Number of third party payers who reimburse for service

Possible Outcomes Process Measure: Increased awareness of the service (finding out where the customer heard about the service). Increased awareness of the service (finding out where the customer heard about the service). Patients able to identify the features & benefits of the service. Patients able to identify the features & benefits of the service. Number of times the patient recommended the service to others. Number of times the patient recommended the service to others.

Implementing the Marketing Plan The marketing plan should be implemented in a timely manner, following the task time line created during the planning process. The marketing plan should be implemented in a timely manner, following the task time line created during the planning process. A monthly planner or calendar can help to track everyone’s progress. A monthly planner or calendar can help to track everyone’s progress. All staff members remain committed to the marketing plan All staff members remain committed to the marketing plan

Evaluating Plan Effectiveness Once again: Marketing is an ongoing process. Once again: Marketing is an ongoing process. Comparing the outcomes of the marketing strategies with the establish objectives on a regular basis will help guide future marketing effort. Comparing the outcomes of the marketing strategies with the establish objectives on a regular basis will help guide future marketing effort.

Applying findings of the evaluation to help guide future marketing efforts As the findings are collected, an updated market analysis, marketing plan, & budget can be adjusted to respond to new opportunities & eliminate promotional strategies that do not yield the desired results.