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Cialis Case Study

1109 words - 5 pages

VIAGRA
* Viagra was an established leader with high brand recognition in treatment of male impotence. brand name immediately became the common noun for the symptom it said it would treat—erectile dysfunction
* Viagra is a prescription medication
* It has a 30-minute to one-hour onset time
* Viagra’s half-life was three to five hours
* Viagra is not safe to take with nitrates used to treat certain heart conditions and has a list of common side effects.
* Viagra costs around $10 per pill at retail
* Pfizer then rolled out a $53 million advertising blitz, and its sales force made close to 700,000 doctor visits to push the medication throughout 1999. The aggressive ...view middle of the document...

a “beat” strategy and try to come up with a differentiated positioning that would allow it to pursue a broad market

* First, it was important to agree on the patient target market.
* Given that by the end of 2001 there were an estimated 6 million to 7 million Viagra dropouts in the U.S., this seemed fertile ground.
* Furthermore, it was important to understand which product benefits to emphasize and how. Would the longer duration of Cialis be equally valued by all ED patients? Was the lack of interaction with high-fat meals important? Should the answer to these questions differ for Europe vs. the U.S.?
* Limited budget
* Cialis was considered a “quality-of-life” drug. Should they target physicians/patients/partners
* PCPs considered a reasonable solution for ED, so convincing them to to switch will be hard: What should it be priced at: whether Cialis should be priced higher than Viagra’s $10 per pill to reflect its longer duration, or lower, due to the fact that for the vast majority of ED patients the drug would not be fully covered by their health insurance plan
*

Market:

* An estimated 30 million men in the United States and 150 million worldwide experience chronic ED. Furthermore, the National Institutes of Health estimates that as many as 50% of all men between the ages of 40 and 70 experience some form of ED
* Physiscians POV:
1. Efficacy followed by safety was the two most attributes constituting a relative importance of 70%. Duration attribute had a relative importance less than 10%.
2. PCP were hesitant to prescribe Viagra bcs The inability to perform sexually was secondary in their opinion to the potential risks arising from the drug
* Patients POV:
1. The average ED patient was in his 50s, with over 80% having a sexual partner. The U.S. ED patients seemed to be more highly educated than in other countries.
2. Spouse or sex partner were the main reason patient seek treatment
3. Younger men expressed higher levels of embarrassment in talking about the condition and were waiting for it to go away, while for older men the belief that this was a normal phenomenon of aging seemed to create a reluctance to seek treatment.
4. Patients showed various levels of satisfaction ranging from very satisfied to not at all satisfied
5. 91% of current Viagra users expressed high/very high intent to continue taking the drug in...

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