PharmaSimPharmaSimCONSUMER CONSUMER BEHAVIORBEHAVIOR

PharmaSimPharmaSimCONSUMER CONSUMER BEHAVIORBEHAVIOR

Advanced Marketing Advanced Marketing ManagementManagement

Marketing 6202Marketing 6202

Segments Related to Segments Related to Consumer NeedsConsumer Needs

IllnessIllness Cold, Cough, AllergyCold, Cough, Allergy

SymptomsSymptoms Aches, Nasal Congestion, Chest Aches, Nasal Congestion, Chest

Congestion, Cough, AllergyCongestion, Cough, Allergy

AgeAge Young Singles, Young Families, Mature Young Singles, Young Families, Mature

Families, Empty Nesters, RetiredFamilies, Empty Nesters, Retired

Day vs. Night / Work vs. HomeDay vs. Night / Work vs. Home

Product Factors Related to Product Factors Related to Consumer NeedsConsumer Needs

Formulation (Drives Effectiveness]Formulation (Drives Effectiveness] Analgesic, Antihistamine, Decongestant, Cough Analgesic, Antihistamine, Decongestant, Cough

. . .. . . FormForm

Capsule, Liquid, or Nasal SprayCapsule, Liquid, or Nasal Spray DurationDuration

4 or 12 hours4 or 12 hours Side EffectsSide Effects

Drowsiness, Upset StomachDrowsiness, Upset Stomach Price Price to Consumerto Consumer

MSRP, Volume Discount, Promo Discount, MSRP, Volume Discount, Promo Discount, ChannelsChannels

Marketing Efficiency IndexMarketing Efficiency Index

Net Income___________________________________

Advertising + Sales Force + Promotional Budget Cost Dollars

Consumer Purchase ProcessConsumer Purchase Process

AwarenessAwareness Evaluation of AlternativesEvaluation of Alternatives Intention to BuyIntention to Buy In-Store AttractivenessIn-Store Attractiveness PurchasePurchase Usage / SatisfactionUsage / Satisfaction RepurchaseRepurchase

AwarenessAwareness

What drives awareness?What drives awareness? Advertising!Advertising! DetailingDetailing Co-op AdvertisingCo-op Advertising Word of mouth (based on others’ Word of mouth (based on others’

satisfaction)satisfaction)

Intention to BuyIntention to Buy

What drives intention to buy?What drives intention to buy? CouponingCouponing Trial sizeTrial size AdvertisingAdvertising

How much value is the product perceived perceived to offer,

relative to competitors?

In-Store AttractivenessIn-Store Attractiveness

What affects attractiveness at point-of-What affects attractiveness at point-of-purchase?purchase? Retail PromotionRetail Promotion PricePrice Shelf Space and LocationShelf Space and Location Point-of-Purchase DisplaysPoint-of-Purchase Displays

Is your brand losing or gaining sales based on influences at point-

of-purchase?

PurchasePurchase

Intention to BuyIntention to Buy

In-Store AttractivenessIn-Store Attractiveness

++

Availability May Be a Constraint

Usage / SatisfactionUsage / Satisfaction

Realized Value:Realized Value: How well does Allround relieve symptoms? How well does Allround relieve symptoms?

Advertising ( for Credence Products)Advertising ( for Credence Products) Perceptions from usePerceptions from use

Expected ValueExpected Value Advertising / Word of MouthAdvertising / Word of Mouth Prior ExperiencesPrior Experiences

Satisfaction = Realized Value - Expected Value

RepurchaseRepurchase

IntentionIntention SatisfactionSatisfaction Co-op AdvertisingCo-op Advertising CouponingCouponing

In-Store AttractivenessIn-Store Attractiveness