When beauty-conscious women started demanding Retin-A from their dermatologists in droves in the early '90s to remove their wrinkles, healthcare marketers realized they had stumbled upon a gold mine -- direct-to-consumer (DTC) promotions.
Today, DTC promotions are becoming a mainstay for many healthcare organizations, as marketers realize that listening to the consumer and responding to their needs eventually reaps benefits.
A recent survey by Scott-Levin Associates, a pharmaceutical market research and consulting firm in Newtown, Pa., found that DTC ads are yielding the impact sponsors hoped for. "Patients are asking doctors about advertised drugs more often, and they are more likely to get the product they ask for," said Jay Scott, founder of Scott-Levin Associates.
In Scott-Levin's survey, at least 10 percent of 3,000 consumers recognized 13 of the 17 drugs most heavily advertised to consumers. Similarly, consumer awareness of specific DTC campaigns has increased significantly, with 75 percent considering these campaigns to be beneficial.
Today, studies such as Scott-Levin's show consumers are becoming more active as participants in their healthcare decisions, making them eager to learn more about a drug's side effects and interactions, disease signs and symptoms, proper use of products, and new drug research.
One of the reasons consumers like DTC advertising is because they believe that it allows them to intelligently discuss treatment options with their doctor.
In the old marketing model, pharmaceutical companies create patient demand by influencing doctors to write prescriptions. In DTC promotion, companies listen to the patient, respond to their needs, and hope to increase sales by driving consumers to a doctor's office and requesting their product, said Julie Wang, CEO of Wang Associates, a New York healthcare PR firm. Some examples of recent DTC promotions include:
Marrion Marrell Dow, which sends a free newsletter to its patients who take its cardiovascular drug Cardizem. The content is based on patient surveys and suggestions.
Merck, which distributes consumer magazines -- such as Time -- in doctors offices. The magazines have superimposed plastic covers promoting Merck drugs.
Berlex Laboratories, which has had more than 10,000 people email its Web site about their multiple-sclerosis products.
However, marketers must tread carefully -- the Food and Drug Administration has strict rules and guidelines for consumer advertising of prescription drugs. Yet many agencies are skirting the rules with patient education and disease awareness campaigns.
The numbers are representative of the trend. As the consumer end of the seesaw goes up, the physician end is going down; advertising in medical/surgical journals has declined steadily since 1992 and in 1995 actually fell below 1991 levels. The dollar amount for advertising in medical/surgical journals was $323 million in 1995, about $100 million more than spent on DTC ads.
Most pharmaceutical companies now promote to the consumer. Major long-term players active in DTC advertising include Pfizer, Marion Merrell Dow, Upjohn, Merck, Ciba, and Glaxo-Welcome. Newcomers are Schering, Abbott, and Miles. Absentees so far include Roche, Lilly, Boehringer-Ingelheim, Zeneca, and Amgen.
Answering Public Demand For More Information
Upjohn took Rogaine advertising to a new level in June of last year when they rolled out the first program-length commercial, or infomercial, approved by the FDA for a prescription product. "For Women Only: What To Do When Hair Gets Thinner" ran nationally on seven cable television outlets and on local TV stations in Los Angeles, Detroit, Cleveland, and Rochester, N.Y.
The infomercial also promotes an 800 number, so that callers can receive more information, and a list of local physicians experienced in diagnosing and treating hair loss.
"The response we've gotten so far has been very positive. We're very pleased with this form of communication and encouraged," said Steve Bradford, marketing manager for Rogaine. "In the areas of the country where we ran the infomercial, doctors told us that this format was a good way to get factual information out to the female hair loss patient and that it answered a lot of their questions before they came in for their appointment."
Objectives Of DTC promotions: |
Upjohn broke new ground with this infomercial, but it took time to happen.
"Initially, the FDA was a little discouraging," explained Bradford. "They were concerned about disclosure, what we'd have to say, and the tone of the infomercial. We worked with the FDA for about a year-and-a-half to address their concerns. When a promotion is the first one of its type, it is always the hardest, but I'm pleased with the final product and I think the FDA is, too."
The Next Step
As the U.S. population becomes more diverse, consumer campaigns may also have to become more diverse. For example, Scott-Levin found that better-educated consumers and consumers older than 55 tend to have more negative feelings towards DTC advertising.
Media preferences also vary. In general, consumers prefer to get their medical information through reading material, but less-educated consumers prefer television. "Better educated consumers don't like the level of the material given to them in ads," said New York-based healthcare consultant Arthur McKee. "And the older consumer isn't comfortable with the idea of DTC advertising; it is new to them."
For these reasons, marketers should gear their advertising campaign towards a number of audiences, he advised. You have to look at educational levels, age and other demographic variables that will affect the consumers response towards your campaign.
There shouldn't be a blanket campaign, which of course is difficult if you're dealing with broadcast media. However, print campaigns can be geared towards different audience groups, then placed in magazines they read.
Incidentally, although consumers favor the convenience of newspapers and magazines, they are more motivated to read brochures left in the doctor's office and find them more credible than material encountered outside the office. (Scott-Levin, 215/860-0440; Wang Associates, 212/686-1938; UpJohn, 914/769-5400; Scott Bradford, 800-253-8600)
When To (And When Not To) Use DTC Promotions
Not every healthcare product can or should use DTC advertising or promotion, said Julie Wang, CEO of Wang Associates, a healthcare PR firm in New York City. Here is a guideline to help you choose which ones should or should not.
Unlikely products:
-- Acute episode drugs -length of time on product does not justify cost to establish brand with patient.
-- "Sensitive" drugs -products for serious conditions in which MDs feel their right to prescribe should not be compromised by advertising to patients.
-- Drugs with abuse potential.
Likely Products:
-- Chronic therapy drugs -long-term use justifies cost.
-- Widely used drug -breadth of patient population makes mass media appropriate.
-- Uncomplicated therapy -easily understood by consumers.
-- "Politically correct" drugs -anti-smoking, AIDS, immunization, women's health lower cost drug.
-- Phsycian indifferent drug, one that has many generic competitors.
(Source: Julie Wang)