Background

Erectile Dysfunction (ED)

Erectile Dysfunction also called male impotence, describes as a mans inability to achieve and maintain an erection because the distraction on their blood flow for attaining an erection impaired. Most cases of ED are associated with another medical diseases, certain medications, or lifestyle such as smoking or excessive alcohol consumption. 50% of all men between the

Company overview
1990
ICOS, small biotech start-up, develop therapeutically in form of PDE5 inhibitor. This company focus on the discovery and development of innovative drugs
Finding a partner to work in a collaborative joint venture with Eli Lilly and Company Signed a contract and the profit from future sales in U.S and Europe would be split 50 / 50.

1998

2001

Company was submitted a new drug application (NDA) for Cialis to U.S Food and Drug Administration (FDA) and European Agency for the Evaluation of Medical Products. Launching Cialis the innovate new drug for the treatment of male impotence in market , has successful phase III clinical trial for treatment ED for men.

2002

Cialis
Cialis is a medicine treatment for men with erectile dysfunction (ED) produced by Lilly ICOS LLC company Have a good prospect business since the huge successful of Viagra, generated over 1 billion in sales for three consecutive years. Cialis works a bit faster less than 30 minutes,

Competitor Analysis

Viagra
A little blue pill called Viagra was the first pharmaceutical treatment for ED and become phenomenon. Produced by Pfizer in 1998 and 600,000 prescription in their first month launch. Prescription medication in the form of 25, 50, and 100 mg tablets. It has 30 min to 1 hours onset time and half-life about 3 5 hours. In 2000, the revenue of Viagra is $ 1,3 billion. Known for its marketing

Levitra
Bayer release Levitra in 2000 Focus to diabetic men considered hard to treat segment. Proved to be very effective at lower dosages than Viagra (as low as 5 and 10mg). Levitra take effect quicker than Viagra and has half-life of 4 6 hours. Had a very good marketing coverage in Europe while in US was relatively week.

ED Market Share

Physicians
Divided into two groups: urologist and primary care 30% physician (PCPs) Efficacy was the most important followed by safety and duration. Urologist are more familiar with the medical causes and medicine of ED and were more comfortable
ED Market by Physicians
10% Efficacy & safety Other Duration

70%

Patients
A screening survey was administered to 32,644 patients. The prevalence of ED increased with age In all countries the average ED patient was2,172his 50s with over 80% having a in 3,450 didn't suffer from ED sexual partner.
suffering & sought treatment
28,022

suffering ED but not sought treatment

Physician Consulted
Average Age of ED Patients
60

58

Family doctor

3% 5% 0% 49% 43%
Urologist or men`s specialist

56

54

Cardiologist
52 58.4 56.9 55.4 50 53.5 50.7 50.7

Psychiatrist

Internet doctor
48

46 US France Germany Italy Spain UK

Demographics Information of ED Patients

Health Care Transaction Model (HCTM)

To gain deeper understanding of the drivers of consumer behavior, a follow-up questionnaire was administered to those screened their have ED. to Perceived Actually take Intend to Consult
they have condition

doctor about condition

Receive a perception

Fill the perception

the medication

refill prescription

Younger man expressed higher level of embarrassment in talking about the condition and were waiting to go away For older men the belief that this was a normal phenomenon of aging seemed to create reluctance to seek treatment For those who seek treatment, Viagra was the most commonly suggested medication.

Key Drivers Influence Treatment Seeking

My spouse or sex patner Newspaper or magazine 22% 2% 1% 2% 3% 2% 6% 5% 9% 4% 15% 29% TV, radio or movie commercial A TV or radioshow A newspaper or magazine ad A friend or relative Something that was mailed to me

A sex counselor or psychologist

Barriers to Seeking Treatment (ages 20-39)

3% 7% 21% 21% Waiting to see if the condition will go away Doesn`t happen all that often Embarrassed to talk about it Don`t want to take drugs for this condition 5% 6%

Barriers to Seeking Treatment (ages 40-49)

Waiting to see if the condition will go away 3%

9% 3% 5%

14%

18%

Doesn`t happen all that often

21%
10% 19% Embarrassed to talk about it Don`t want to take drugs for this condition

15%

16%

4%

Barriers to Seeking Treatment (ages 50-59)

Waiting to see if the condition will go away 18% 7% 1% 5% 10% 13% Embarrassed to talk about it Doesn`t happen all that often

Barriers to Seeking Treatment (ages 60+)

Waiting to see if the condition will go away Doesn`t happen all that often Embarrassed to talk about it

20% 5%

21%

32%

11%

8% 10%

12%

14%

8%
3% 3%

Interest In Trying Cialis

100%
90% 80% 70% 60% 70% 100% 97% 90% 97% 84% 100% 89% 70%

68%

US France

58% 52%

50%
40% 30% 20% 10% 0% Viagra current users Viagra dropouts

Germany
Italy Spain UK

Partners
Common aspects of partner response was the lack of information about ED prevalence and the potential reason for its occurrence.
Some women believed : ED was causes by stress, work-related stress, medical conditions. They felt they were not attractive Less physical intimacy with their partner, as a result more tense relationship Most couples were uncomfortable to join discussion ED.

Problem Analysis

Problem Analysis
How Cialis gain market share and compete with existing market leader Viagra? Should Cialis be priced higher or lower than Viagra? How Cialis choosing the strategy to compete with Viagra : - Niche strategy - Direct compete (head to head competition) - Beat strategy (differential Positioning)

SWOT Analysis

TRENGTHS

The absorption of the drug was not affected by food intake Cialis has a shorter onset time and the effects up to 36 hours. Rare incidence of visual irregularities Record submission time of Phase III to FDA Has a great Global Marketing Sales organization to improve Cialis High CAGR n the US, UK, Italy, Spain, Canada, Mexico and Brazil. There is a opportunity to gain market share in these regions. The high dropout rates of Viagra after first year offers potential targeting for Lilly ICOS LLC. Current Viagra users and dropouts user willing to try Cialis Positioning by considering love and intimacy

W
T

EAKNESSES

Cialis is a new entrance Low Compound Annual Growth Rates (CAGR) in Germany and France. This may lead to low return in these markets. The banned direct-toconsumer in Europe will lead to inconsistency in the marketing and present greater difficulties in targeting in countries.

Internal factors

PPORTUNITIES

HREATS

Viagra and Levitra as current competitor Upcoming new competitor Bad experience of using Cialis Barriers to seeking treatment Viagra well positioned and well known, but Cialis unknown

External factors

STP Cialis
Men with Erectile Dysfunction in United States and Europe (France, Germany, Italy, Spain, and United Kingdom) and age 20 65 years old.
Age : Core Target Age 50 59, 60+ age group Additional Target Age 20 39 Income : Middle to Low Employment : Employed full time and retired Marital status Primary : Married or Living together (76,5%) Secondary : Single, Never married (10,5%) & Divorce or separated (10,3%)

Segmenting

Positioning

Cialis, for male who suffer from Erectile Dysfunction will help you to be more intimate with your partner and quality of life because of its durability, shorter onset and flexibility with meal taken.

Targeting

Product Product
Brand name : Cialis Form : Tablet Serving size : 10 mg, 20 mg Cialis is only available with a prescription and have to consult with Primary care physician/ urologist first.

Product Price
Slightly lower than Viagra ($10/pill) Cialis set the price on $ 9 / pill To attract people that Cialis is better than Viagra even the price is less. It has better durability and more safety because all product are sell with doctor prescription.

Product Price

Net Sales Growth

Net Sales Growth 1996 1997 15,9% 8.517,6 1998 8,4% 9.236,8 1999 7,32% 9.912,9 2000 9,58% 10.862,2 Average Net Sales 10,3% Percentage Growth In Millions 7.346,6

Forecast
Forecast Net Sales (From average 10,3%) Year 1 Year 2 Year 3 (15% Growth) Year 4 (20% Growth) Year 5 (25% Growth)

In Millions

11.948,2

13.178,9

15.155.735

18.186,9

22.733,6

Product Place
Drug store Clinical Pharmacy Hospital Pharmacy Online Pharmacy

Promotion
Below the line
Distribute of Cialis product to doctor -> family doctor, urologist. Since they have big percentage in ED consulted. Influence doctor to use Cialis product to their patient.

Promotion
Above the line
Media advertising : To increase the brand awareness of Cialis TV advertisement

Promotion
Above the line
TV advertisement

Promotion
Above the line
Magazine Ads: Woman magazine like Cosmopolitan, Allure and Male Magazine like : FHM, GQ, Maxim, MensHealth. Sponsorship : Sponsoring the health sexology seminar and health consultant. Held an event to introduce Cialis and giving free consultation by doctor s, physicians.

Promotion
Above the line
Online media Make a website and Online store. People can seek the information about ED and how to solve the problem. Put the advertisement about Cialis product corporate with online Male and Female Magazine Promote the product to healthy website Customer Service Maintain customer from New Customers to Loyal Customers Handle customers complain Inform events and programs Free consultation

CONCLUSION
With low price, long durability (36 hours) and fast sensitivity (15 minutes), Cialis will have a big success because another competitor only have short durability, such as Viagra, the market leader. Even they dominate the market, Cialis can take over the market from Viagra