Leveraging Peer-to-Peer Networks in Pharmaceutical Marketing

Abstract

This chapter focuses on the identification of opinion leaders in physician networks as a substantial opportunity for pharmaceutical firms rethinking their business model, and looking for improving resource allocation in order to increase their return on investment. It points out the various challenges and the advantages of identifying regional opinion leaders, especially when it comes to sustained use of branded drugs marketed by pharmaceutical firms. It includes a basic overview of network structure and the formation of physician social networks. This is a growing area of importance for various disciplines such as epidemiology, sociology, economics, and marketing. In this chapter, the reader will get introduced to several models of physician social networks which help isolate and measure the effect of opinion leaders, both self-stated and those identified by patient referral data. The author points out the managerial implications of this stream of research and promising areas of opportunity for deeper analysis for this promising nascent research stream.