Drug Marketing & Pharmaeconomics (NP-513) Level 5

The four Ps of marketing are Product, Price, Place, and Promotion. They are essential considerations for successfully marketing a product or service.

The marketing mix refers to the controllable set of factors that a company uses to influence consumers' purchasing decisions - these factors are the 4 Ps.

The product is what you are offering your customers. It's more than just the physical item; it includes features, benefits, and how it's perceived.

Price is the amount customers are willing to pay for the product. Marketers consider factors like value, costs, competitors, and discounts.

Place refers to how the product is made available to customers - the distribution channels used. This involves where a product is sold, how it is transported, and where it is stored.

Promotion refers to how you communicate the value of your product to your target audience. This includes advertising, public relations, sales promotions, and social media.

The product life cycle describes the stages a product goes through from launch to decline. Each stage requires different marketing strategies.

The retail markup is the difference between the cost of a product and the price at which it is sold. It helps cover expenses and generate profit.

The product scope strategy considers the breadth of a company's product offerings, encompassing the number of product lines and items within each line. It guides the company's selection of products and services to be included in its product mix.

This strategy involves discontinuing or eliminating certain products from the company's portfolio. This decision is usually made when a product line is deemed unprofitable or no longer aligns with the company's goals.

This defines the company's approach to introducing new products to the market. It outlines the processes for research, development, and launch of new offerings.

This strategy involves adapting an existing product's positioning in the market. This could involve highlighting new features, targeting a different audience, or rebranding the product to appeal to a specific consumer segment.

This focuses on how a company wants its product to be perceived by consumers. It involves shaping the product's image and identity in relation to its competitors.

This involves expanding a company's product portfolio into new and unrelated markets. This is often done to reduce risk, diversify revenue streams, and tap into new growth opportunities.

The process of communicating with consumers about the benefits of a product. This involves advertising, public relations, and media strategies designed to generate awareness and demand.

This involves deciding where and how a product will be available to consumers. This includes physical stores, online platforms, and the placement of advertising messages in relevant media.

Offering a system of products instead of a single product. This can make the customer dependent on the company, creating a monopoly and blocking competitors.

A group of related items that function together. This can involve different but compatible products, creating a "world" for the customer.

The most impactful type of new product strategy. It involves developing entirely new compounds that address a specific medical issue.

A type of new product strategy that involves making changes to existing drugs, often to enhance their effectiveness. This can involve altering the chemical structure or finding ways to improve its delivery method.

This strategy involves creating new products that are similar to existing ones but with slight variations. This can be useful to address a specific need or target a new market segment.

The process of making slight adjustments to the chemical structure of a drug, but resulting in significant and positive changes to its effectiveness and safety. This is a core aspect of new product strategy in pharmaceuticals.

A substance that prevents the effects of another substance. It plays a critical role in treating overdose situations, acting to counter the detrimental effects of addictive substances.

A minor change in a compound's structure can lead to significant changes in its biological activity.

Matching a product with a specific segment of the market where it is most likely to succeed.

The positioning of a product needs to be clearly understood by consumers.

The positioning of a product must stand apart from its competitors to showcase its unique value.

The way a product is positioned should remain consistent across different marketing channels.

A product's positioning must be credible and believable to gain consumer trust.

A marketing strategy that changes how a product is perceived by consumers to increase sales or attract a new target audience.

A visual tool that compares brands based on consumer perceptions, helping companies understand their product's positioning relative to competitors.

The process of calculating the costs and potential risks associated with changing a product's market position. This can involve expenses for advertising, rebranding, and potential customer backlash.

Starbucks transitioned from selling coffee beans and equipment to operating coffeehouses, creating a 'home away from home' atmosphere for social interactions and relaxation.

Spotify repositioned itself during the pandemic by expanding beyond music streaming to include podcasts, creating new revenue streams and attracting a wider audience.

A strategy where a company removes a product from its portfolio because the product no longer aligns with the company's goals or market position

The products offered by a company create a portfolio, and each product plays a specific role in the portfolio's success.

If a product's role in the portfolio weakens or doesn't align with overall strategy, it may be considered for elimination.

A situation where a product fails to meet expected sales targets, leading to potential losses for the company. This often prompts a reevaluation of the product's viability in the market.

A company expands its operations by becoming involved in more stages of the product supply chain, from raw materials to the final consumer. They become more vertically integrated.

The joining of two or more separate companies into a single entity. This can lead to integration, but it doesn't always happen.

A business strategy where a company deliberately designs products with a limited lifespan to encourage future purchases. This can involve planned obsolescence or making products easily replaceable.

A mature or declining phase in the product life cycle where sales begin to slow down, often due to increased competition or changing consumer preferences.

A scenario where a product doesn't align well with a company's core strengths or mission. This can lead to challenges in marketing or achieving its business objectives.