PROPECIA®: Helping Make
Hair Loss History
PRESENTED BY:
Group 6 PGP-IM
Beeshmoy Kumar Mohanty (12PGPIM05)
Nitin Gupta (12PGPIM21)
Pratik Solanki (12PGPIM23)
Saumitra Das (12PGPIM28)
Shubham Garg (12PGPIM33)
Merck & Co. Background
Developed, manufactured and marketed a
broad range of human and animal products
World’s largest pharma company with more
than 70000 employees worldwide
Expected to exceed $23 billion in sales in 1997
Major share of revenue comes from human
drug therapies
Company was one of the most admired
company on Fortune list
Had no history of government imposed drug
recall
Cont..
Relied more on self research for new products
Tried to develop products that are potent, well
tolerated, convenient to use and make real
difference to patients
Out of 9 new drugs, launched since 1995, 3
(COZAAR®, HYZAAR® & CRIXIVAN®)were
most successful in generating revenues
Most of the drugs (like FOSAMAX®, ZOCOR®,
etc) were highly successful
PROPECIA®
Developing a drug for treatment of Male
Pattern Hair Loss (MPHL)
83% of participants, in clinical study, at least
maintained their current hair count
66% experienced visible re-growth of hair
within the first year
Meant only for men, had very strong side
effects if consumed by women
Cont..
Few men, during trial run, had sexual side
effects of the drug which in some cases
subsided even when the consumption is
continued
In some cases, use of the drug has to be
stopped to subside the side effects
Even though only a few men were affected, it
could influence the public’s perception of the
drug
Understanding Hair Loss
Vast potential market for the drug (almost half
the male population is expected to use it)
MPHL occurs in 30-40 million American men
In most of the cases the treatment is delayed as
men underestimate the degree of hair loss
Might be because its happening at the back of
their heads
People first try with different alternatives before
going for the treatment
2/3rd considered it as problem while 1/3 rd
considered it as inevitable
Solutions to Hair Loss
Hair Replacement Surgery
Costly and irreversible procedure, can costs from
$2000 to over $10000
Mechanical Solutions
Wigs, weaves and toupees made from real or
synthetic hair, can cost from $500 to $3500
Either glued directly to scalp or woven in to
existing hair
Tropical Interventions
Lotions, potions, shampoos
coloring of scalp for those with moderately
thinning hair
Rogaine
Only approved option to treat hair loss by FDA
How it induced hair growth was unclear
Initially developed as drug for high pressure
control but growth of hair was seen as a side
effect in some patient
Effects visible as long as it is applied, but
vanishes once the application is stopped
Lots of side effects
Scalp irritation, chest pain, faintness,
hypotension, hypertrichosis, etc.
Cont..
Failed to meet expectations as a prescription drug
Sales were only 10-20% of what were expected
Became successful as over-the-counter medication
usage surged to 2.5 million from 0.4 million
Sold at $30 per month as over-the-counter drug as
compared to $60 for prescribed form
Achieved 95% brand awareness after almost a
decade in market
Marketing Prescription Drugs
Marketing is regulated by Food and Drugs
Administration
to ensure the safety and efficacy of any drug
to require truthful labelling and advertising
An approval of ‘safe & effective’ has to be taken before
marketing
Post marketing performance of drug has to be monitored
FDA has to be informed about drug’s safety, efficacy &
adverse effects
These were to be included in all advertising and
promotions
Marketing to Physicians
Sponsored conferences and speaker
programs, provided complementary samples
to physicians
Deployment of Sales representatives to
communicate with physicians
Have 3 products in their portfolio
Assigned with list of physicians
Visit them once a month to give samples and
details of company’s products
Lot of time was spent waiting, time to provide
details was limited to about 2 min
Cont..
Needed people who knows how to get key
message across and gain business
Sales representative has to make several
calls to the physician detailing him about the
product so that he can start its prescription
Identified big physicians related to the
product category in which the drug belongs
Special preferences to physicians prescribing
Rogaine. But they were very few in number.
Marketing to Patients
Believed in Direct-to-Customer Advertising
As hair loss is not a much urgent medical
condition
Medication for hair loss was not covered under
health insurance
Before 1997, full disclosure of drug’s side
effects and contraindications was must in all
advertisements
Advertisements exempted from this regulation
Unbranded “help seeking” advertisements
Branded “reminder” advertisements
Cont..
Now the FDA has allowed the airing of
advertisement without full disclosure
Drug manufacturers could now mention both
a drug’s brand name and its approved
indications in advertisement
Must disclose the drug’s major side effects
Campaigns not meeting the requirements of
FDA were discontinued
75%–85% of patients asking prescription
from their doctor for an advertised drug
received it
The Launch Plan - Recommendations
Type of Advertising : Product Claim Ads
Can showcase greater success among patients than
its main competitor in market, i.e. Rogaine
Still huge market is left to be addressed as only 2.5
million out of 40 million has used Rogaine
In Reminder ads, the use of the drug wouldn’t be
highlighted
The Help Seeking ads, would encourage physicians’
prescriptions and thus other drugs can also be
recommended depending on the sales team
effectiveness of that product
Thus, although have some shortcomings, this will be
better than the other two
Product Positioning
Should be positioned as “Pill to control hair
loss” for “Men only”
Re-growth of hair can also be targeted but
shall be very clear that what will be the rate
at which hair re-growth takes place
The customer will know about its side effects
as the product claim ads will disclose all the
side effects
Detailing Support
As it has to be marketed direct to consumer and
not through physicians, thus larger DTC budget is
required and not bigger detailing support
Can approach Dermatologists also, other that
physicians, since patients having hair loss tends to
discuss the issue more with him rather than a
physician. Still only limited detailing support will
be required as there aren’t many dermatologists
Huge market is opportunity is available, so it can
sustain for quite a long time, thus any investment
made in any sort of training will not get wasted
Thank You!!
