Generalizations on the effectiveness of pharmaceutical promotional expenditures

Kremer, S.; Bijmolt, Tammo H. A.; Leeflang, Peter S. H.; Wieringa, Jaap E.

doi:10.1016/j.ijresmar.2008.08.001

Cited by 97 publications

(133 citation statements)

References 78 publications

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“…However, the effects sizes are modest and occur infrequently. This corresponds with the meta-analytic findings of Kremer et al (2008).…”

Section: Empirical Applicationsupporting

confidence: 89%

“…Our findings that result from estimating better alternative models show that marketing effects are insignificant for the majority of the brands in our sample and that their sizes are modest. Our findings further suggest that it is useful for pharmaceutical researchers and practitioners to accommodate differences in promotional instruments (cf., Kremer et al 2008). This may have important managerial implications, as it may help marketing managers to improve the allocation of their marketing budgets over the different instruments, thereby reducing the waste in marketing investments.…”

Section: Discussionmentioning

confidence: 99%

“…Manchanda et al (2005) and Kremer et al (2008) provide brief surveys; Stremersch (2008) positions the somewhat broader field of health and marketing. In this section, we discuss a well-known model developed by Rizzo (1999) and slightly modified by Windmeijer et al (2005).…”

Section: The Rizzo Modelmentioning

confidence: 99%

“…The meta-analysis by Kremer et al (2008) demonstrates that the effect of different marketing efforts (journal advertising, detailing efforts, etc.) are substantially different from each other.…”

Section: The Rizzo Modelmentioning

confidence: 99%

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Modeling the effects of pharmaceutical marketing

Leeflang

Wieringa

2009

Mark Lett

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Successful innovation of prescription drugs requires a substantial amount of marketing support. There is, however, much concern about the effects of marketing expenditures on the demand of pharmaceutical products (Manchanda et al., Market Lett 16(3/4):293-308, 2005). For example, excessive marketing could stimulate demand for products in the absence of a fundamental need. It also has been suggested that increased marketing expenditures may reduce the price elasticity of demand and allow firms to charge higher prices (Windmeijer et al., Health Econ 15(1):5-18, 2005). In this paper, we present the outcomes of an empirical study in which we determine the effects of pharmaceutical marketing expenditures using a number of frequently used "standardized" models. We determine which models perform best in terms of predictive validity and adequate descriptions of reality. We demonstrate, among others, that the effects of promotional efforts are brand specific and that most standardized models do not provide adequate descriptions of reality. We find that marketing expenditures have no or moderate effects on demand for pharmaceutical products in The Netherlands.

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“…However, the effects sizes are modest and occur infrequently. This corresponds with the meta-analytic findings of Kremer et al (2008).…”

Section: Empirical Applicationsupporting

confidence: 89%

Section: Discussionmentioning

confidence: 99%

Section: The Rizzo Modelmentioning

confidence: 99%

Section: The Rizzo Modelmentioning

confidence: 99%

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Modeling the effects of pharmaceutical marketing

Leeflang

Wieringa

2009

Mark Lett

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“…Este é um mercado em que o consumidor do produto nem sempre o escolhe, pois na maioria das vezes quem define o produto a ser usado pelo paciente, é o médico, que prescreve o medicamento que ele avalia ser o mais adequado. Kremer et al, (2008) defendem que os recursos direcionados ao marketing farmacêutico se justificam por possibilitarem aos fabricantes farmacêuticos mais inovadores, a oportunidade para recuperar seus altos investimentos com Pesquisa e Desenvolvimento (P & D), servindo inclusive como um canal de comunicação para educar os médicos e expor aos consumidores as informações que podem melhorar os resultados de saúde, e para isso realizam ações promocionais e comerciais juntos aos médicos que são os prescritores dos medicamentos e junto aos canais de distribuição competentes (farmácias, distribuidores) buscando alcançar os objetivos planejados.…”

Section: Introductionunclassified

A Indústria Farmacêutica E a Importância Estratégica Dos Propagandistas De Medicamentos: Estudo Com Colaboradores Em Natal/Rn

Hékis

Sousa

Furukava³

et al. 2014

HOLOS

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A indústria Farmacêutica é um mercado competitivo, complexo e de investimentos vultosos em pesquisa, desenvolvimento e produção de produtos farmacêuticos. Uma das principais estratégias da Indústria farmacêutica é a promoção de seus produtos junto à classe médica, através dos propagandistas de medicamentos, profissionais essenciais ao sucesso desta estratégia. O estudo objetivou comprovar a importância estratégica dos propagandistas de medicamentos e as competências necessárias para o bom desempenho desta profissão, de forma a garantir maior vantagem competitiva, e o sucesso destas organizações. Foram realizadas entrevistas individuais e semi-estruturadas e uma reunião de brainstorming, resultando na identificação de 46 competências, entre conhecimentos, habilidades e atitudes, que os propagandistas atribuíram maior importância, sendo assim consideradas mais relevantes e essenciais para o desempenho das atividades dos propagandistas farmacêuticos sob suas perspectivas. PALAVRAS-CHAVE: Indústria farmacêutica, Marketing farmacêutico, Propagandistas Vendedores deMedicamentos. THE PHARMACEUTICAL INDUSTRY AND THE STRATEGIC IMPORTANCE OF THE PROPAGANDISTS OF DRUGS: STUDY WITH EMPLOYEES IN NATAL/RN ABSTRACTThe Pharmaceutical industry is a competitive, complex and major investment in research, development and production of pharmaceutical products. One of the main strategies of the pharmaceutical industry is the promotion of their products to the medical profession, through propagandists medicines, essential to the success of this strategy professionals. The study aimed to demonstrate the strategic importance of the propagandists of medicines and necessary for the proper performance of this profession skills, to ensure competitive advantage, and the success of these organizations. Semi-structured individual interviews, and a brainstorming meeting were held, resulting in the identification of 46 competencies, including knowledge, skills and attitudes which the propagandists attributed greater importance and therefore were deemed most relevant and essential to the performance of activities of pharmaceutical propagandists under its prospects.

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Effects of Physician-directed Pharmaceutical Promotion on Prescription Behaviors: Longitudinal Evidence

Datta

Dave

2016

Health Econ.

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Spending on prescription drugs (Rx) represents one of the fastest growing components of U.S. healthcare spending, and has coincided with an expansion of pharmaceutical promotional spending. Most (83%) of Rx promotion is directed at physicians in the form of visits by pharmaceutical representatives (known as detailing) and drug samples provided to physicians' offices. Such promotion has come under increased public scrutiny, with critics contending that physician-directed promotion may play a role in raising healthcare costs and may unduly affect physicians' prescribing habits towards more expensive, and possibly less cost-effective, drugs. In this study, we bring longitudinal evidence to bear upon the question of how detailing impacts physicians' prescribing behaviors. Specifically, we examine prescriptions and promotion for a particular drug class based on a nationally-representative sample of 150,000 physicians spanning 24 months. The use of longitudinal physician-level data allows us to tackle some of the empirical concerns in the extant literature, virtually all of which has relied on aggregate national data. We estimate fixed-effects specifications that bypass stable unobserved physician-specific heterogeneity and address potential targeting bias. In addition, we also assess differential effects at both the extensive and intensive margins of prescribing behaviors, and differential effects across physician-and market-level characteristics, questions which have not been explored in prior work. The estimates suggest that detailing has a significant and positive effect on the number of new scripts written for the detailed drug, with an elasticity magnitude of 0.06. This effect is substantially smaller than those in the literature based on aggregate information, suggesting that most of the observed relationship between physician-directed promotion and drug sales is driven by selection bias. Qualitatively consistent with the literature, we find that detailing impacts selective brand-specific demand but does not have any substantial effects on class-level demand. Results also indicate that most of the detailing response may operate at the extensive margin; detailing affects the probability of prescribing the drug more than it affects the number of prescriptions conditional on any prescribing. We draw some implications from these estimates with respect to effects on healthcare costs and public health.

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Generalizations on the effectiveness of pharmaceutical promotional expenditures

Cited by 97 publications

References 78 publications

Modeling the effects of pharmaceutical marketing

Modeling the effects of pharmaceutical marketing

A Indústria Farmacêutica E a Importância Estratégica Dos Propagandistas De Medicamentos: Estudo Com Colaboradores Em Natal/Rn

Effects of Physician-directed Pharmaceutical Promotion on Prescription Behaviors: Longitudinal Evidence

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