Botox is marketed by a pharmaceutical firm named Allergan. It is founded in 1950, Allergan, Inc. in Irvine, California. Allergan is a multi-specialty health care company that discovers, develops and commercializes medical products. Botox is protein derived from botulism toxin that is injected underneath skin in order to minimize or smooth outlines and wrinkles on the face. Allergan was just a small firm until the firm started selling Botox, which was a revolution for the company. Botox has gained in popularity over the years for several reasons. Botox is much cheaper and quicker than a face lift. It is very easy, affordable and less time consuming. Botox not only eliminates ocular problems and erase frown lines but also effectively treats migraine headaches, chronic neck and back pain. Botox became blockbuster drug for all those target markets.
Analyze Internal Situation:
Allergens current strategy for Botox is selling their products to doctors and hospitals. Allergen is producing their products as much as they can in order to make their moves to achieve their goals. The company is also closing plants and slashing jobs to reduce cost. Discover, develop and commercialize innovative pharmaceuticals, biological and medical devices is Allergens current motto. Market strategy:
* Price: Even though Botox treatment is cheaper than face life but the product itself is very expensive. * Products: Botox is the only product of its kind in term of medical and cosmetic value. * Promotion: Allergan spends millions of dollars to reach their market. They promote TV entertainments, 24 different types of magazines such as People, The New Yorker, Vogue, and InStyle. They promote by stars and celebrates and through website. Beside consumer campaign, they also do outreach campaign directed at doctors and pharmacists. * Places: Advertises in different places, hospitals and special places. They started to promote beginning with the company website www.allergan.com. Mission Statement:
“We are focused on corporate citizenship, leveraging our science and innovation to make a positive impact on people’s lives.” The company’s mission is to have a positive impact on people through innovation and research of the product. We think it needs to be revised focusing on cosmetic value. The mission also need to state for availability to all people by lowering cost. Financial Statement:
The growth of Allergan’s is much of sales of Botox. Margins on Botox are about 60 percent. Sales have grown to billions and have solid ground. The company’s NYSE symbol is AGN and the stock is growing. Products and services:
The company is offering several products and services in different areas. * Medical care such as eye care and urologic
* Neuroscience and Facial Aesthetics
* Cosmetic care such as dermatology, Botox
* LAP Band system, NATRELLE Collection, Tissue Expanders
* Services to medical clinics and doctors and patients.
The current customers and target markets for Botox cosmetics literally go from movie stars & housewives to lawyers & businessmen. The common age is from 30 to 54 and one single treatment can cost from 975-1900$, sold mostly to people with an income around 95,000$. You can get these injections from doctors, nurses and even pharmacists. Mostly women get Botox but an increasing 13.8% of men do as well. People on the news, in movies, or in the music field might want to improve their appearance or businessmen might be looking to get a softer look. They are also the target market for Botox.
The production capacity for the company is very good and well maintained. Increasing R&D expenditures and employing more people helped the company to increase the production. If the company wants to expand in terms of increasing production, it has to make some changes. New location and employee...