Do not be Shy! No Personal Questions! BUT…..you know…… y
•Pfizer launched Viagra 1998 •Treatment of erectile dysfunction (ED)(Male impotence) (ED)(Male impotence) •30 million US, 150 million men wo rldwide suffer(50% of all between age 40 and 70) •Immediate success – 600000 pres criptions filled in first month criptions filled in first month •Viagra set back – death reported •Viagra regained confidence •1.5 billion sales (2001)
Pioneer vs New comer
Strength S h Weakness W k •Long onset time (30‐60mins) Long onset time (30 60mins) •Short duration (4hrs) •Side effect with high fat meal •Bad history of causing death y g •Hard to shift technology or customer needs •Depressing and ugly color •Buyer switching cost •Side effect with nitrite
•Pioneer in market Pioneer in market •Proven effectiveness •Mature market channel •Preemption of brand p awareness
•Shorter onset (30mins) •Longer duration (36) •No side effect with high fat No side effect with high fat meals or alcohol •New, fresh, easy image build up
Value is the key
Market Segment Target market Product positioning Product Place Promotion
Customer acquisition C t i iti Customer Retention
As a New Comer
Segmenting the market g g Positioning the product Communicating the product value g p Pricing the product Market response p
Segmenting the market S ti th k t
Age Current Viagra users Viagra dropouts Have never used Viagra
Average ED patient is in his 50s with over 80% having a sexual partner. Less than half of those who perceived th ey had ED consulted a doctor.
Young people: Believe it is temporary Old people: Believe it is natural aging process The rest: Feels embarrassed and believe it is temporary
Segmentation: Current Viagra Users
Willing to try new medicines Care about the duration Small segment S ll t willing to continue ED treatment willing to continue ED treatment
Segmentation: Viagra Dropouts
Care more about onset, this may Care more about onset this may coursed by the side‐effect of Viagra. Duration could be the factor but may not be the critical. Small segment
Segmentation: Have never used Viagra
Large segment Duration not important, but safety b f Need further motivation and enco Need further motivation and enco uragement to try.
Positioning & Pricing
36 is much better than 4? Your value may not value your customers l l Any other factors? Sexual preference .etc Pay more for better performance?
Positioning – research & analysis
Sexual Desire in 24 hrs
Positioning – research & analysis (cont)
1% 9% 14% 52% 24% Sofa Bathroom Kitchen others Bedroom
Recommendation R d ti
Segmentation Product Positioning Communicating Product value Pricing Implementation
Segmentation - Recommendation
Initial Launch focus US market Men between 45‐ 74 with sexual partner (average US ED p atient is 58 yrs old) & spouses/ sexual partner B2B strategy to free PCPs from awkwardness of addres sing and prescribing ED medication g p g • Pro – allows approaching US segment of almost 10Mn men (estimation abo ut potential customers considering current Viagra users/ Viagra dropouts and o t t ti l t id i t Vi / Vi d t d verall ED patients),
•Con ‐ potential threats of going into direct competition to Viagra
Positioning - Recommendation
Focus on product attributes that make Cialis unique:
longer duration, shorter onset(as fast as 30min + up to 36hrs). The flexibility th at brings to couples. at brings to couples
Psychological implication ‐ Cialis as the pill for couples who helps regain a norm al and healthy sex life (no pressure to perform for both patient + partner).
Fit for different Sexual preference and desire remind and encourage p Fit for different Sexual preference and desire remind and encourage p...
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