Emerald | International Journal of Pharmaceutical and Healthcare Marketing

An empirical investigation of the variations in direct-to-consumer prescription drug advertising

Kabir C. Sen — 2011-11-21 00:00:00.0

Abstract

Purpose – The present paper aims to understand the underpinnings of the variations in brand level direct-to-consumer (DTC) advertising through a two-part study. First, it seeks to examine the various influences on advertising intensity (operationalized by advertising to sales ratios) in the context of DTC advertising. Second, it aims to analyze how changes in share of voice impact changes in market share. Design/methodology/approach – Data on brand level advertising as well as sales were collected from different government and industry sources. This is used to compute the ratio of DTC advertising to sales as well as changes in share of voice, market share and average drug prices. A log-log model is used to find parameter estimates based on OLS regression. Findings – Market share has a negative influence on the ratio of advertising to sales. Drugs which have a greater degree of innovation (as judged by the FDA) appear to spend more on DTC advertising relative to sales. The paper also finds that an increase in share of voice is not associated with increased average drug prices, but is related to a growth of market share because of a change in the share of total prescriptions dispensed. Originality/value – The paper is one of the few to examine the factors influencing advertising to sales ratios in the context of DTC advertising. It is also one of the first to investigate the relationship of changes in the share of voice with changes in market share.

Drug prescription practices in Brazil: a structural equation model

2011-11-21 00:00:00.0

Abstract

Purpose – The paper's aim is to analyze the functional relationships between factors related to the prescription of medical drugs in Brazil. Design/methodology/approach – A survey was conducted among 232 medical doctors in Brazil. Data were collected using a structured questionnaire. Five hypotheses on the factors impacting drug prescription were proposed, and the constructs were validated using a set of techniques pertaining to the calculation of structural equations. Findings – The process of medical drug prescription in Brazil is positively correlated with all the presented constructs. However, the study found that the five proposed hypotheses demonstrated varying degrees of positive effect levels, ranging from strong to weak. Particularly, factors such as the characteristics of the drug and information available on a drug have the weakest effect, while the cost-benefit ratio of a drug has a moderate effect. The drug's brand and its related advertising have the strongest effect. Practical implications – The results demonstrate the success of specific applications of advertising tools and brand construction in pharmaceutical marketing strategies targeting Brazilian physicians. Originality/value – The study provides a broad map to understand the influences on drug prescriptions. Despite a prior study that found the behavior of physicians to be impacted by a different set of factors, this new research clearly shows that, in the Brazilian context, branding and advertising remain the major influences.

Prescription loyalty behavior of physicians: an empirical study in India

Kareem Abdul Waheed, Mohammad Jaleel, Mohammed Laeequddin — 2011-11-21 00:00:00.0

Abstract

Purpose – This paper seeks to empirically identify the major factors that influence physician loyalty behavior in prescribing certain brands of drugs. Design/methodology/approach – Testable hypotheses were developed with respect to physician loyalty behavior regarding drug prescription practices, and a survey questionnaire was designed to capture the data from 71 physicians, as a convenience sample. The hypotheses were tested by PLS path modeling. Findings – The major finding is that tangible rewards to physicians by the pharmaceutical companies lead to prescription loyalty. The second major finding is that the professional values of pharmaceutical sales representatives (PSR) impact significantly on physician prescription loyalty. The hypotheses related to the impact of PSR personality, drug quality, corporate reputation and professional influence on prescription loyalty were not supported in the study. Practical implications – The results should prove useful to pharmaceutical companies in developing physician loyalty to particular brands as well as enhancing the understanding of drug control authorities and governmental health policy makers, in controlling unethical medical practices by physicians. Originality/value – This paper reports an original empirical study on physician loyalty behavior in the context of drug prescription.

Orphan drugs: pricing, reimbursement and patient access

Adam Barak, Jyoti Shankar Nandi — 2011-11-21 00:00:00.0

Abstract

Purpose – This article aims to provide a description of principal aspects of policy and practice associated with orphan drugs and treatments of rare diseases, and give perspectives for 2011 on new and emerging approaches for addressing patient access. Design/methodology/approach – Information has been synthesized from a wide variety of sources including the authors' experience and familiarity with this topic, having over the past ten years developed market access strategies for many orphan drugs. This is supplemented by pertinent information from conferences, meetings and articles published over the last 20 years and from policy documents released by relevant regulatory bodies. Findings – While a small number of people suffer from any one rare disease, approximately 30 million in the EU and 25 million in the USA are affected by such diseases. Annual orphan drug treatment costs may approach $500,000. High costs coupled with relatively sparse supportive clinical data and difficulty in meeting standard cost-effectiveness benchmarks raise significant issues for payers in allocating finite budgetary resources. Since the US (1983) and European (European Parliament, 2000) orphan drug regulations were approved, hundreds of agents have been granted orphan status although many fewer have achieved marketing authorization. Agencies have introduced a slew of incentives to help sponsors develop and market orphan medicinal products. The nature and focus of the programs are undergoing a metamorphosis as access to funding is becoming as important as supporting development. Originality/value – The article represents a contemporary examination of orphan drug policy and practice, bringing together historic elements which influenced practice up to 2010 and the latest, emerging trends and approaches which stakeholders are now embracing and which will shape procedures from 2011.

Towards logic models for the analysis and evaluation of the criticalities in chronic patients' care paths

Isabella Bonacci, Oscar Tamburis — 2011-11-21 00:00:00.0

Abstract

Purpose – The aim of the present paper is to examine how the introduction of information and communication technologies (ICTs) can have positive implications in a territorial context, where healthcare organizations are characterized by limited organizational independence and lack of individual statutory autonomy, with limited level of integration between the involved parties (healthcare operators, managers, and patients) and an uneven management of data and of information-sharing. Design/methodology/approach – The approach taken was an investigation based on a combination of quantitative and qualitative methods for information-gathering and data-analysis in the context of diabetes care. A case study approach was adopted with the aim of enhancing general practitioners' (GPs') performance levels through an evaluation monitoring and by controlling care paths dynamics. Findings – The realization of the target care path for chronic–degenerative pathologies in the Local Health Trust “Naples 4” in Campania Region (Italy) led to the identification of a suitable framework that modifies, through the implementation of ICT tools, the communications dynamics and the interaction/integration for those actors involved in a patient's care path. Originality/value – Healthcare markets are currently experiencing an acceleration of technological developments; the study tries to show how the appropriate adoption of new technologies can lead to improvements for the quality of care, managing at the same time the consequent rising costs in the sector.

Nudge: Improving Decisions about Health, Wealth, and Happiness

2011-11-21 00:00:00.0

Half a decade of IJPHM and continuing new ideas in the business of healthcare

2011-11-21 00:00:00.0