Detailed Brand Budgets in Pharmaceutical Marketing New Reports
Pharmaceutical and biotechnology companies are now launching the drugs that will buoy them in the decade ahead. Successful brand commercialization depends upon savvy resource allocations. One brand team, for example, poured more than $500 million into its drug launch and hopes to see years of sales that top $1 billion. Another team drew on less than $30 million and thinks a peak sales year will bring in $200 - $300 million for its niche drug.
Two new studies on pharmaceutical brand marketing show companies spending big dollars on potential blockbusters but pay attention to smaller niche drugs as well. The two Pharmaceutical Product Commercialization reports, "Pre-Clinical to Phase III Resource Allocation" and "Phase III to Post-Launch Resource Allocation," examine budget and staffing levels for 16 current drugs, both large and small. Findings include breakdowns of key spending categories and analyses of different brands' reactions to a range of competitive pressures. Business intelligence firm Cutting Edge Information will publish both studies in December 2004 and January 2005.
"Companies are spending their money very carefully," said Eric Bolesh, senior analyst at Cutting Edge Information. "No one's going to turn down a blockbuster, but we see much smaller drugs pulling in significant marketing budgets, too. Blockbuster or specialty product, these new brands will make winners out of smaller companies and will pull other firms through patents expirations."
The reports show how organizations such as Pfizer, Sanofi-Aventis, AstraZeneca, and Novartis fund their product launches. The reports feature more than 250 metrics that illustrate resource levels among brand teams working toward launch. Extensive metrics address the following areas: Marketing budget breakdowns from Pre-Clinical development through Post-Launch marketing, staffing resources for the same periods, brands' responses to competitive, clinical and internal challenges, key marketing activities and timelines and therapeutic area and brand team organizational structures.
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