Ad-ology Research recently updated their Industry Marketing Insights report for Sleep Disorder Centers. The following are the predicted Top 3 Opportunities/Challenges from the report for this industry for the upcoming 12 months:

• Aging Baby Boomers are expected to be a lucrative market, as 75% of Boomers don’t get eight hours of sleep, and 17% report trouble falling asleep each night.
• Actigraphy is gaining acceptance in the industry as a reliable method of testing.
• Lack of widespread awareness of sleep disorders and treatments is a challenge to the industry: Between 80 and 90% of people with sleep apnea go undiagnosed.

The Industry Marketing Insights report for Sleep Disorder Centers is available on Ad-ology.com (Research Store) for $195 USD with local market data for any U.S. market.

[Source: Ad-ology Research. April 27, 2010]

Last week, I  wrote about how the medical journal industry is expecting a brighter outlook for 2010.  TV also continues to be a huge area of focus for pharmaceutical companies. The Nielsen Company reported that drug companies increased their 2009 expenditures on national TV by 0.6%.  And big spending was carried out by several top brands which allocated more than $100 million each on TV. The top 5 prescription brands advertised on TV last year were:

• Lipitor
• Cialis
• Abilify
• Cymbalta
• Plavix

Did the big expenditure on TV translate into better consumer recall? Not according to Nielsen IAG research. Their findings show that the ads with the best recall levels were:

• Flomax
• Gardasil
• Pristiq
• Aricept

Pharmaceutical companies are faced with some key challenges when marketing their products. Lately, they have been forced to extend TV ads to as long as 75 seconds to discuss product claim information. And they worry that lengthy commercials may lose consumer attention. But Fariba Zamaniyan, Senior Vice President within the healthcare practice of Nielsen IAG, notes that  several of most recalled ads last year were longer than 60 seconds. Zamaniyan says that other factors play a role in grabbing consumer attention. “Creativity and clarity are essential ingredients for effective and efficient ad development and deployment. “ And she believes  that “compelling and unique creative executions” will help a drug company stand out from the competition.

The findings from this study indicate that drug marketers may continue to advertising products on national TV and extend their message to 75 seconds while attempting fresh creative approaches to grab consumer attention.
[Source: Most Recalled Drug Commercials Are not the Biggest Spenders. Nielsenwire.com. 8 Apr. 2010. Web. 19 Apr. 2010]

Aging consumers often turn to natural foods and beverages to delay or prevent specific diseases from developing.  If those options don’t deliver the desired results, consumers over age 55 select the next best thing – over the counter and prescription medications. Vendors who understand what drives purchasing behavior in this demographic and the concerns about chronic diseases stand to benefit by marketing solutions for these problems.

SymphonyIRI Group, in its  “Healthcare III: Understanding the Age-Driven Health & Wellness Needs of Baby Boomers,” report, notes that the age 55+ group is a unique demographic because these consumers:

• Represent 1/3^rd of the population
• Control 50% of discretionary income
• Fill prescriptions at a rate that is 30% higher than average

This group is also worried about 4 major chronic conditions and takes specific purchasing action as follows:

• High Blood Pressure: Nearly 90% of consumers with this condition take medication but almost ½ of the group believes that a healthy diet makes a difference and seeks out  products that contain high fiber and low sodium.
• Diabetes: To control weight and the underlying condition, consumers in this group are looking for sugar-free candy, low-calorie soft drinks and single-serving meals.
• High Cholesterol: Prescription medications should be combined with a healthy diet so people in this group purchase reduced-fat and low-cholesterol.
• Heartburn/Acid Reflux: While food may play a role here,  consumers usually reach for prescription medications and non-prescription solutions such as antacid tablets, liquids and powders.

Sean Seitzinger,  a partner with SymphonyIRI Group Consulting & Innovation, says a large percentage of these shoppers frequent the grocery store to buy products to help them improve their quality of life.  While price is mentioned by many consumers as an obstacle to purchasing healthy-for-you products, these shoppers also say that stores do not maintain sufficient stock. In addition, these products can be hard to locate in the store.

Seitzinger notes, “[f]unctional foods with specific health benefits represent a major opportunity for food and beverage manufacturers.” As consumers seek out more healthful solutions to prevent chronic conditions, expect marketers to develop and advertise new products.
[Source: SymphonyIRI Group’s Health & Wellness Report Finds Major “Disease State” Opportunities as Baby Boomers Age. SymphonyIRI Group. 31 Mar. 2010. Web. 15 Apr. 2010]

Medical journals deliver a unique audience to the pharmaceutical industry. Certainly the industry spends vast sums marketing its latest products directly to consumers. But for any drug to achieve big sales, it must find acceptance by an important gatekeeper, the physician who writes the prescription. These days, as regulations have crimped the style of drug detail reps who distribute samples to physicians, medical journals can have an important influence on busy pediatricians and internists.

Along with the rest of the magazine industry, medical journals witnessed a steep decline in 2009. Revenues dropped overall by 21% to a total of $341 million.  This drop translated to a loss of over 1/3^rd of industry revenues between  2006 and 2009. Despite this grim news, James Chase, writing for Medical Marking & Media, sees reason for optimism.

Here are the drug categories that had the fastest growth rates in medical journal advertising in 2009 and might be expected to continue growing in 2010:

• Antidepressants
• Proton pump inhibitors
• Urinary tract antispasmodics
• Transplant/immunosuppressives

Chase also reports that Forest Laboratories was responsible for advertising more top brands than any other pharma company in 2009. The company’s heavily promoted products are:

• Lexapro
• Savella tablets
• Bystolic

In general, specialty publications, such as those which target oncologists, appear to be pulling in more ad dollars than general medical journals. This strategy makes sense as marketers use their budgets to target specific audiences. And while medical journals are looking to digital channels for future revenue, Chase indicates that the industry should fare better in 2010 as the first quarter showed an improvement particularly  “in the primary care space.”

[Source: Chase, James. “Journal Ad Review: Down But Not Out.” Medical Marketing & Media. 15 Mar. 2010. Web. 12 Apr. 2010]