Professional Documents
Culture Documents
and
Pharmaceutical Branding
Datamonitor
October 19, 2001
147 Pages
Pub ID: DFMN734790
US $: 6,100.00
Known as EMD Biosciences in North America and Merck Biosciences in all other countries
Mature Products
When a marketing manager treats a mature product as a
commodity, he or she may feel the only option is to compete
on price. But if one examines the mature products in the Life
Sciences market, it becomes apparent that there are wide
discrepancies in prices, profit margins and market share.
This would not occur in a true commodity market. In fact,
what is being observed is brand equity at work. Some
vendors are able to charge far higher prices than others, for
essentially the same product, simply because of the
perceptions, beliefs and behavior exhibited by their customer
base. As products mature, effective marketing designed to
build brand equity becomes all the more critical.
http://www.biotactics.com/Newsletter/v1i1/Brand2.htm
53.37$ billion
4. GE
46.99$ billion
5. Intel
35.58$ billion
Branding As An Internal
Competency In Pharma
We are focusing on branding because it adds value to the organization.
Schwarz Pharma is a company with an emerging pipeline that will
drive our future. If each aspect of our organization does their part to
help us properly brand and position these products, we will be able to
leverage opportunity into market value.
My best advice is to take branding seriously because it adds great value
not only to your products, but also to your company. We are not just
talking about improving the bottom line, we are talking about a direct
impact on shareholder value. I have seen the difference in company
valuation between pharmaceutical firms that have built solid brands
and those who have not. This is too important not to treat as a strategic
issue.
Thomas J. Willard, Vice President, Marketing,
Schwarz Pharma Inc.,
Naming Drugs
Chemical Name: Nomenclature rules of the International Union
of Pure and Applied Chemistry (IUPAC).
Nonproprietary Name: Official nonproprietary names given by
national and international nomenclature bodies. Jointly with the
World Health Organizations (WHO) International
Nonproprietary Name (INN) Committee: (PARACETAMOL)
Established Name: found in the official (e.g., The United States
Pharmacopeia); or given by the regulatory agency
Proprietary Name: Trademark (CROCIN)
Trivial Name: coined for convenience such as ASA
(acetylsalicylic acid), HCTZ (hydro- Drug chlorthiazide), or
AZT (azidothymidine).
Pharmacy Equivalent Name (PEN): primarily recommended
for combination products, for example, Co-triamterpharzide is
a representation of the Combination of triamterene and
hydrochlorothiazide.
Paracetamol
Crocin Other common brand
names for it include Tylenol in
the US and Canada, Panadol
in the UK, Tachipirina and
Efferalgan in Italy, Crocin in
India, Gelocatil in Spain,
Alvedon in Sweden, Panodil in
Denmark and Iceland and
Depon in Greece.
IUPAC Name:
N-(4hydroxyphenyl)ethanamide
Chemical Formula
C8H9NO2
WHAT IS A TRADEMARK?
Any sign, or any combination of signs,
capable of distinguishing the goods or
services of one undertaking from those of
other undertakings, shall be capable of
constituting a trademark.
Words including personal names, letters,
numerals, figurative elements (logos),
combination of colors, sounds, smells, etc
Visually perceptible; 2D or 3D (shape)
GUIDE on TRADEMARKS
Brand/Trademark
Trademark: Legal concept
Brand: Marketing concept
Registration of a brand adds value as it
protects its other inherent assets
Brand profile and positioning may vary
over time, but trademark protection
remains the same
Brand Identity
Brand Strategy
In recent years, the most successful pharmaceutical
companies have been distinguished as much by their
marketing clout as their scientific innovation. The
growing importance of creating strong brands,
supported by focused marketing plans, have prompted
many pharmaceutical companies to adopt business
plans that allocate more resources to brand building.
This competitive new business environment means
increased risk - the launch of a lifestyle drug
supported by direct-to-consumer advertising can cost
hundreds of millions of dollars, with most of the cash
spent before patients have even paid for their
prescription.
Auquisition of brands
Following a transition period, Advancis will assume product inventory and begin
marketing and distributing the Keflex brand. Cephalexin is the third most
prescribed outpatient antibiotic in the United States, with over 24 million
prescriptions written and sales of $140 million in 2003. Keflex is the mostrecognized brand of cephalexin in the United States with more than 15 million
prescriptions written each year. Although the majority of these prescriptions are
substituted with generic cephalexin, Lilly's Keflex net sales in 2003 were
approximately $4 million. First introduced in the 1970s, Keflex is most commonly
prescribed for skin and skin structure infections. In addition to assuming sales and
marketing responsibilities for Keflex, Advancis expects to begin clinical
development of an enhanced cephalexin utilizing Advancis' proprietary once-a-day
pulsatile dosing technology called PULSYS(TM).
Trust is to Business
What Trademark is to Brand
Brand Equity built on the foundation of a
protected Trademark
Brand/Trademark can:
(a) be disposed off separately from other
company assets (Free-standing Institutions); and
(b) give rights that can be legally protected
Centrality of
Knowledge
KNOWLEDGE underpins
PERFORMANCE
But...
Wolfgang Stofer, Director of BMWs
Treasury Department:
Whenever the technology becomes
commoditized, we buy it from third
parties.
But...
Brand Building Requires Time and Money;
Brand Nourishing Should be a Continuous
Process;
Higher Profile/Exposure, Greater its
Vulnerability;
Can be Target of Counterfeiting/Criminal
Activities;
Time required...
It took seven years of marketing before car
buyers began to recognize that the BMW
brand was distinctive: Jorg Zintzmeyer,
board member of Interbrand, p 33 of
FORBES Global, July 22, 2002 in The bestdriven brand by Nigel Hollway
So...
The cost of building a brand can be
very substantial over a period of
time. That is why buying a brand
sometimes makes sense to many
companies.
Creating/Designing a Trademark
Inherently distinctive
Easy to memorize and pronounce
Fit the product or image of the
business
No legal restrictions
Positive connotation
USING A TRADEMARK IN
ADVERTISING
USING A TM ON THE
INTERNET
Use of TM on internet may raise controversial legal
problems
Conflict between trademarks and domain
names(internet addresses) - cyber squatting
WIPO procedure for domain name dispute
(http://arbiter.wipo.int.domains)
USING A TRADEMARK AS A
BUSINESS ASSET
COMMON MISTAKES
of
High Technology Industries
COMMON MISTAKES
of
High Technology Industries contd..
Brand Companies
Nike...
Adidas...
Reebok...
Levi-Strauss
Own No Factories
AJI-NO-MOTO
In 1908, Professor Kikunae Ikeda identified the source of
the flavor of kelp, a common ingredient in Japanese
food, as glutamic acid (monosodium glutamate or MSG),
which is naturally present at high levels in kelp, tomatoes
and parmesan cheese.
Professor Ikeda discovered that soup stocks made from
kelp contained high levels of this substance, a discovery
forming the foundation of a major industry producing
MSG from seaweed.
It was introduced onto the market the following year
under the brand AJI-NO-MOTO.
Trademarks
Vivalis
Aminogen
Aminogen, a vital ingredient in high-quality protein supplements,
is clinically proven to increase amino acid levels and boost
nitrogen retention. Developed by Triarco Industries, Aminogen is
a patented, designer enzyme which breaks down protein and
improves amino acid absorption.
A natural, plant-derived enzyme, Aminogen is ideal for increasing
lean body mass and strength and promoting deep muscle
recovery. And Aminogen does all this while supporting protein
digestion and reducing or eliminating the gas, bloating and
constipation protein can sometimes cause.
Get more out of your protein and get bigger, strongerfaster
with Aminogen.
Demand Your Aminogen!
Please select one logo and click to get more information about our
brands.
Ingredient brands
ADM: www.admhealth.com
Cargill: www.cargillnutraceuticals.com
Degussa: www.bioactives.de
DuPont Protein Technologies: www.dupont.com
Inter-Cal: www.esterc.com/index2.html
Kemin: www.kemin.com
Martek: www.martekbio.com
sigma-tau: www.biosintcarnitines.com
Triarco: www.triarco.com
Wennstrom: www.wennstrom-integrated.com
ISHS Acta Horticulturae 630: XXVI International Horticultural Congress: Nursery Crops;
Development, Evaluation, Production and Use SUSTAINABLE TRADE IN
ORNAMENTAL HORTICULTURE
Author: B. JrgensenKeywords: Fair trade, benefit sharing, new ornamental
plantsAbstract:
A large proportion of ornamental potted plants produced in developed countries are based
on import of plant material from less developed countries, and most "potted plant species"
originate in less developed countries. There are, however, an increasing awareness and
concern about the intellectual property rights on native plant species and about economic
sustainability at the grower and, particularly, at consumer level. Sustainable or "fair trade"
is an alternative approach to conventional international trade. It is a trading partnership
which aims at sustainable development for disadvantaged producers. Fair trade is well
established within a range of edible horticultural products (coffee, tea and cocoa) and has
been adapted to a range of other products but, as yet, not to ornamental horticultural
products. It is obvious that fair trade, if adapted to ornamental horticulture, will not only
create a whole new product line but may also create a new niche in the global potted plant
market. Ornamental horticulture is an industry with great job opportunities and with a
great potential for generating much needed export income. It is, however, difficult for small
and medium sized businesses in developing countries to enter the export market for
horticultural products, especially because the demands to the transport chain are high for
horticultural products. It is evident that fair trade of ornamental plants will be a viable and
sustainable business on a longer term, but this will require training and education and
increased research into the practical aspects of plant export and reestablishment.
Origin function
allows identification of
the enterprise offering a
good or service
Functions of Marks
Art. 15(1) TRIPS:
capable of distinguishing
the goods or services of one
undertaking from those of
other undertakings
Quality function
consumers associate
certain quality with a
mark
encourages the holder
to maintain the quality
standard
Communication function
can become a carrier of
additional information
mark image
Collective mark
holder: association
focus on the good or service
geographical origin
specific nature
other characteristics
specific quality
specific functions:
distinction function?
guarantee function
securing quality
informing consumers
control concerning:
geographical origin
production process
specific nature
other characteristics
Examples
Origin
Examples
Geographical Origin
Examples
Nature
Examples
Quality
Collective Marks
external relations:
Collective Marks
Regulations - what contents?
association:
name and
headquarters
purpose
representation
membership:
requirements
obligatory admission?
use authorization:
criteria
all members?
third parties?
conditions of use:
term
form
nature of goods/services
quality standard
specific region?
Collective Marks
Is a change in ownership possible?
in principle: not precluded
same organizational structure required
collective mark: association
certification mark: control institution
Conclusion
Collective marks
no direct control
forms rather an additional
marketing instrument
not necessarily subject of
direct investment
useful starting point when
setting up a business
specific rules for assignment
and licensing
Certification Marks
Example: VIDALIA for onions
The certification mark is intended to be
used by persons authorized by certifier, and
will certify that the goods in connection with
which it is used are yellow Granex type
onions and are grown by authorized growers
within the Vidalia onion production area in
Georgia as defined in the Georgia Vidalia
Onion Act of 1986.
Collective Mark
Used only by members of
an organization to identify
goods or services and
distinguish them from
those of nonmembers.
The collective itself does
not sell goods or perform
services.
Sole purpose is to
indicate membership.
Importance of GIs
GIs provide added value to our producers. French GI
cheeses are sold at a premium of 2 euro. Italian
Toscano oil is sold at a premium of 20% since it has
been registered as a GI in 1998. Many of these
products whose names are protected, are exported.
85% of French wine exports use GIs. 80% of EU
exported spirits use GIs. GIs are the lifeline for
138000 farms in France and 300000 Italian
employees.
Trade Issues, EU Commission,
30 July 2003 http://europa.eu.int/
comm/trade/issues/sectoral/
intell_property/argu_en.htm
Geographical Indication
A geographical indication is an indication
which identifies a good as originating in
the territory of a Member, or a region or
locality in that territory, where a given
quality, reputation or other characteristic
of the good is essentially attributable to its
geographical origin.
origin
(TRIPS-Agreement)
Protected Geographical
Indication (PGI)
Product must be
produced and
processed and
prepared
in geographical area
Product must be
produced or
processed or
prepared
in geographical area
Ireland
Belgium
total 154
(2004)
Denmark
Netherlands
Germany
Austria
UK
11
Portugal
12
Spain
19
Greece
20
Italy
31
France
42
0
10
15
20
25
30
35
40
45
PDO
PDO // PGI
PGI
Share
Share of
of cheese
cheese production
production
55 %
60%
50%
40%
30%
?%
20 %
20%
< 0,5 %
10%
0%
EU 25
Germany
France
Italy
German GI cheeses
Allguer Bergkse
Allguer Emmentaler
Altenburger Ziegenkse
Odenwlder
Frhstckskse
Generic Cheeses
Emmental,
Emmental, Cheddar,
Cheddar,
Gouda,
Gouda, Edam,
Edam,
Camembert,
Camembert, Brie,
Brie,
Provolone,
Provolone, Mozzarella...
Mozzarella...
Feta
Feta (C-465/02),
(C-465/02),
Parmesan
Parmesan (C-132/05)
(C-132/05)
GIs in India
Geographical Indication of Goods
(Registration and Protection) Act,
adopted in 2000
Examples of Geographical Indications in
India: Darjeeling Tea, Kanchipuram Silk
Saree, Alphonso Mango, Nagpur Orange,
Kolhapuri Chappal, Bikaneri Bhujia, etc