The pharma market has been growing significantly. India has become the world’s pharmacy and is a major market for generic medicines and their manufacturing. According to Pharmatech (a market research firm), the Indian Pharmaceutical Market (IPM) grew by 9.5% in March 2024. Sheetal Sapale, VP at Pharmarack, stated, “Almost all therapies have shown positive value growth, except for respiratory, which recorded negative value growth. The price growth percentage has continued to be positive, whereas the volume growth percentage is negligible for March 2024.”
In 2023, eight drugs were launched in the US, and four out of the eight received approval from the FDA. A few years ago, it used to take 20 years for drugs to enter the market; now it takes only a decade. The pharma industry is emerging and rapidly changing.
Pharma Marketing
As the world changes, so does the pharma market. It is growing rapidly and has become a big business. Pharma marketing involves the marketing and commercialization of drugs and medical devices. The pharma market not only addresses demand but also focuses on new drug launches combined with the current market status. Due to increasing awareness of diseases and disorders, the international pharma market is valued at $900 billion and is expected to grow by 5%.
Businesses that consider consumer needs are likely to succeed. Keeping customers in consideration is a broad term, classified into demand, approach, and budget, which revolves around changing strategies as per market needs. Primarily, the cost goes into the sector of R&D. As the pharmaceutical market is emerging, many factors need to be understood to serve consumers effectively.
Marketing drugs is crucial because it involves matters of life and death. There are many limitations to marketing drugs, as they cannot be marketed like other commercial products. To avoid adverse outcomes, the marketing of pharmaceuticals is regulated by various regulatory agencies. Traditionally, pharma marketing involves fieldwork and contacting doctors or medical practitioners through medical representatives. However, the methods of pharma marketing have been evolving over time.
In the pharma market, it is often observed that free gifts influence physicians’ prescribing behavior. Free gifts can increase the chances of a medicine being prescribed. However, this practice is ethically questionable if the free gift is a factor in prescribing medicine. To counter this argument, it can be said that free samples provided by medical representatives are used by doctors.
For a pharma company, there are two direct or indirect marketing targets: healthcare providers and patients. Patients trust and rely on doctors for the brand of “safe” medication they are using. Doctors are key to pharma marketing as they help cater to a mass audience. Even though patients are the primary consumers of pharmaceutical products, catering to doctors involves more than just giving free gifts.
Content Marketing
Content marketing is one way to market to doctors. Providing detailed information and specifications about pharmaceutical products helps maintain the quality and efficacy of the product. Proper market research is crucial, but understanding the market’s needs and wants is even more important.
Conferences are held to introduce new or existing products. With the increased use of digital media, digital marketing has also become more prevalent. Creativity is important in marketing any product, but it has been observed that creativity is often underutilized.
Medical Representatives:
The medical representative can be understood as a medical sales representative. It is a professional who helps to develop business by promoting and selling medical products. The medical product is an umbrella term for prescription medicines and drugs.
Medical representatives are a bridge between pharmaceutical companies and healthcare providers. The medical sales rep is developing relations with healthcare providers and representing pharmaceutical companies.
Medical representative has diverse knowledge about medical products such as medical devices and drugs.
PhRM code:
The PhRM Code governs the relationship between healthcare professionals and physicians.
It has shed light on ethics that should be followed during interaction with Healthcare professionals.
Things are prohibited according to PhRM code:
- Pharmaceutical companies should not provide any entertainment items to HCP, for the intention of getting drugs prescribed. Entertainment items such as Tickets to any games, cinema, or play. It could be a vacation trip too.
- Unless it isn’t offered in the appropriate venue and circumstances, occasional meals are permitted.
- Materials used while presenting, should not be misleading.
- Interaction should only be focused on medical information.
- Presentation must give educational value only.
- Financial support should not offered or given to the sponsor.
- Prohibition of gifting alcohol.
- Recreation of educational information is prohibited.
While providing presentation about pharmaceutical product, only educational information should be shared. It is prohibited to give any advance of entertainment and any free gifts which are not related to your business. Sponsored trip to anywhere for health care providers are strictly prohobited. It can be conclude as manipulating individual to increase business.
Committee members:
Health care providers are answerable to provide any explanation regarding the relation.It is regulated to keep balance in the pharma market.
Trends in the US Pharma Market Until 2023
1. Among drug sales, 51% are specialty drugs.
2. There has been growth in unbranded generic drugs in terms of prescriptions, but they still provide lower margins.
3. The demand for pharmacists has increased, but the supply of staff has decreased due to the closing of pharmacy stores.
4. In 2023, eight drugs were launched, with 38% of them being oncology drugs.
conclusion
In conclusion, the Pharma market is abundant having many targets to focus on. Evolving with the needs of the market is one of the most important factors for successful business in the pharma market. Being innovative also counts, not only that but adhering to regulations and keeping well-being and transparency between customers is also important
Reference:
https://phrma.org/-/media/Project/PhRMA/PhRMA-Org/PhRMA-Org/PDF/P-R/PhRMA-Code—F
Indian pharma market posts robust 9.5% growth in March – The Economic Times (indiatimes.com)
