...Section 03 CASE STUDY: METABICAL POSITIONING AND COMMUNICATIONS STRATEGY FOR A NEW WEIGHT LOSS DRUG PREPARED FOR: DR. FAUZIAH SH. AHMAD GROUP MEMBERS STUDENT NUMBERS SHENBAGAM RAMAN (MR131131) SYAHIRAH BINTI ISMAIL (MBS141154) MUZAMMIL BIN ZOLKARNAIN (MR131142) HUZAIMAH YAHYA (MBS141112) OKEKE EMMANUEL (MBS141163) 1.0 Company Background Metabical is a weight loss drug that has been proven to be safe and effective for moderately overweight individuals in clinical trials. FDA approval is expected for January 2009, which gives the Marketing team around Barbara Printup a little less than a year to develop an effective positioning strategy for Metabical, as well as a full marketing communications plan to be ready for the launch. It is clear that the product will have to amortize extensive R&D costs and secure excess profits in order to be a success for CSP, all that in a market environment characterized by diverse competition and low consumer trust. 2.0 Issue and Problem Statement The issue in Metabical can be carried out from the case study is the company required to discover the market positioning for that particular product which is the weight-loss drug named Metabical. In addition, the issues arise that the company less clarity by the way of the communication tools or method to deliver the good messages regarding the product of weightloss drug. 3.0 Possible Solutions There...
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...Metabical: Pricing, Packaging &Demand Forecasting For A New Weight Loss Drug Metabical: Pricing, Packaging &Demand Forecasting For A New Weight Loss Drug Abstract Metabical will be the only weight loss drug clinically proven to be effective for moderately overweight people, also recognized by the FDA. The CSP’s (Cambridge Sciences Pharmaceuticals) drug Metabical got its final approval from the FDA. The senior marketing director for CSP-Barbara Printup must develop the marketing communication and positioning strategy for a successful launch of the new drug Metabical. The main points to be stressed on by Barbara are consumer decision making concept and understanding between the consumer who is purchasing the drug and the health care provider who prescribes the medicine. Poor positioning of the drug in a highly competitive market for weight loss solutions could prove to be disastrous despite promising medical studies and consumer research. CSP wanted to base their new product comparably to Alli, but felt Metabical could be priced at a premium due to the need of a prescription to get the drug. Pricing was the main concern with this product and several scenarios were run to try and project and forecast where the pricing would give the best returns on investment. Objective * Develop Positioning Strategy for the drug. * Build the marketing communication plan in order to create a strong level of understanding between the consumer and the prescriber of the drug...
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...Printup go about segmenting the Metabical market? What do you think is the optimal target market? Segmentation Different segments as identified by Printup, based on different studies conducted can be classified as follows: • Psychographic segmentation It is based on a wide variety of attitudes towards physical activity, portion control, food preferences, nutrition, self-image, and overall health. Five discrete psychographic profiles identified in case of women can be classified as follows: Segment Typical demographic profile I want to look like a movie star Age 18 to 30, high school education, household income under $40,000 I want to be healthier Age 35 to 65, college education plus, household income $80,000+ I want to wear my skinny jeans Age 25 to 40, college education , household income $50,000-$80,000 I want to lose weight, but only if it is easy Age 45 to 65, some college education, household income $40,000-$60,000 I am fine the way I am Age 40 to 65, some college education, household income $30,000-$50,000 • BMI scale classification The customers can also be segmented based on the relationship between their weight and height associated with body fat and health risk and appropriate both for men and women. Three categories of excess weights for adults: overweight (25 to 30); obese (30 to 40); and severely, or morbidly, obese (over 40). • Gender segmentation Both men and women who are overweight can be the segment for Metabical. Targeting a particular gender...
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...eport abuse Transcript of Metabical Case Study Presented by: The Lever Group Metabical - Case Study Goal? Targeting and Positioning: How to market Metabical to the correct audience to maximize sales Who are we? The Lever Group An independent market research group specializing in the balance between exercise and diet for overweight individuals Cambridge Sciences Pharmaceuticals (CSP) International health care company $25 billion in sales in 2007 Makers of Zimistat Metabical - may be first FDA approved prescription drug? Shown to be very effective for slightly overweight individuals The Situation Ideal target customer is a slightly overweight female between the age of 35-65. Positioning Strategy Losing weight is tough. You don't have to do it alone. Let Metabical and your health care provider start you on the road to a healthy weight and better life. (End Consumers) Advertising Message How to Market? TARGET: SWOT ANALYSIS CSP has spent 10 years and $400 million developing Metabical A successful launch will ensure a steady, long-term demand. Not a long term solution for patients Should be combined with diet and exercise Emphasize support program to change behavior patterns with over-eating The Consumer Decision Making Process Empower your patients to lose excess weight, change their unhealthy eating habits, and achieve long term success. Introducing Metabical – short-term drug therapy and a comprehensive support program for overweight patients. It gets results. (Health...
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...Metabical After spending millions of dollars for ten years in research and development, Metabical was finally able to receive FDA approval, making it the first and only drug to receive FDA approval to meet the needs of customers who have been trying to lose weight. Like with any other new product, numerous issues need to be considered before Metabical is actually introduced in the market. Decisions about pricing, packaging and demand forecast of the product are key to the success of Metabical. Barbara Printup, senior director of marketing for CSP, needs to analyze the market critically in order to decide the pricing and packaging strategy and forecast the demand for the product before it is launched. The demand forecast and the pricing and packaging strategies all plays a significant role in determining the long-term success of Metabical because the drug market is intensely competitive and only those products which are marketed with innovative strategies can survive in the market. Packaging decision is the first thing that needs to be taken care of. Since FDA trials showed that most of the people were able to achieve their weight loss goals by week twelve, the drug would be approved as a twelve- week treatment plan. The major issue that Printup needs to consider is the number of pills that would be included in each pack. Packing the entire twelve- week supply in one package does sound like a good plan but CSP should not forget that packaging plan directly ties in with the...
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...Q1: What is the Decision-making process for Metabical? Who is involved in the process? Consumer research over the years has shown that shoppers often follow a relatively common shopping behavior for product purchase. In theory, a shopper is said to go through the following five stages as a process. In reality, sometimes the steps may be switched around or even left out, as not all consumers are by rule, always alike. The decision-making process (DMP) for Metabical, Cambridge Sciences Pharmaceuticals‘ (CSP) new weight-loss drug involves several people. The product end-user is the main subject of the decision-making process, but other external parties interject at different stages, influencing the consumer’s ultimate decision. Below is the flow Metabical’s consumers would go through as part of their shopping behaviors. Stage 1: Need Recognition & Problem Awareness A recognition occurs that consumers are unhappy with their current body image, their weight or their unhealthy lifestyle. This can come from consumers’ existing, continuous dissatisfaction in terms of their weight physical appearance. It can also be triggered by external media sources such as TV, Outdoor, Radio or Magazine advertisements whereby a variety different visuals, articles, messages can lead to consumer awareness that there is a problem, and a need, that must be satisfied. At this point, both the consumer and the respective media agents are involved in process. Stage 2: Information Search In...
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...METABICAL CASE STUDY REPORT INTRODUCTION Excess weight had become a big crisis in the US, affecting about 65% of the adult population leading to different kinds of health complications. In the past, several manufacturers had introduced various weight loss products like over-the-counter (OTC) drugs, herbal products, supplementary fad diets, etc. All of these have proven to be unsuccessful because of their ineffectiveness, severe side effects and lack of credibility among consumers. At this juncture, Barbara Printup, the Senior Marketing Director of Cambridge Sciences Pharmaceuticals (CSP) wants to introduce CSP’s newest revolutionary prescription drug, Metabical. It is the only FDA approved prescription drug for overweight people, which has minimal side effects and long term benefits. PURCHASING DECISION MAKING PROCESS (Q1) The communication strategy of Metabical targets both the health care provider and the consumer. Depending on the initiators there are two different purchase decision processes in the purchase of Metabical for the overweight problem. 1. For Customer: a. Problem identification: The various health awareness programs, BMI table etc help a health conscious or beauty conscious individual to identify the overweight problem. b. Information search: Once the problem is identified the individual decides on the course of action. He/She may decide to either ignore the problem or work on it. Metabical is interested in the group of individuals who are ready to...
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...4240 JULY 22, 2010 JOHN A. QUELCH HEATHER BECKHAM Metabical: Positioning and Communications Strategy for a New Weight-Loss Drug “I have tried countless diets and every new weight-loss pill that has come on the market. Nothing seems to take off those extra pounds. With diets, I am miserable because I am starving all the time, and none of the weight-loss pills seem to work. I might lose a couple pounds, but I never reach my weightloss goals and I usually end up gaining more back. I would give anything to lose this extra 20 pounds, so that I can live a longer, happier life.” — Tamara Jinkens: focus group participant, age 42 Barbara Printup, senior director of marketing for Cambridge Sciences Pharmaceuticals (CSP), listened as overweight focus group participants recounted their lifelong struggles with weight loss. Printup had just been placed in charge of the upcoming U.S. product launch of CSP’s newest prescription drug, Metabical (pronounced Meh-tuh-bye-cal). In clinical trials, Metabical proved to be safe and effective in stimulating weight loss for moderately overweight individuals. CSP was an international health care company with a focus on developing, manufacturing, and marketing products that treat metabolic disorders, gastrointestinal diseases, immune deficiencies, as well as other chronic and acute medical conditions. The company captured over $25 billion in sales in 2007. Printup had over 20 years of experience marketing prescription drugs for CSP. She had led six...
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...4240 JULY 22, 2010 JOHN A. QUELCH HEATHER BECKHAM Metabical: Positioning and Communications Strategy for a New Weight-Loss Drug “I have tried countless diets and every new weight-loss pill that has come on the market. Nothing seems to take off those extra pounds. With diets, I am miserable because I am starving all the time, and none of the weight-loss pills seem to work. I might lose a couple pounds, but I never reach my weightloss goals and I usually end up gaining more back. I would give anything to lose this extra 20 pounds, so that I can live a longer, happier life.” — Tamara Jinkens: focus group participant, age 42 Barbara Printup, senior director of marketing for Cambridge Sciences Pharmaceuticals (CSP), listened as overweight focus group participants recounted their lifelong struggles with weight loss. Printup had just been placed in charge of the upcoming U.S. product launch of CSP’s newest prescription drug, Metabical (pronounced Meh-tuh-bye-cal). In clinical trials, Metabical proved to be safe and effective in stimulating weight loss for moderately overweight individuals. CSP was an international health care company with a focus on developing, manufacturing, and marketing products that treat metabolic disorders, gastrointestinal diseases, immune deficiencies, as well as other chronic and acute medical conditions. The company captured over $25 billion in sales in 2007. Printup had over 20 years of experience marketing prescription drugs for CSP. She had led six...
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...yo Metabical: Pricing, Packaging, and Demand Forecasting for a New Weight-Loss Drug In April 2008, after 10 years of testing and $400 million in research and development costs, Cambridge Sciences Pharmaceuticals’ (CSP) newest prescription drug, Metabical (pronounced Mehtuh-bye-cal), was about to receive its coveted Food and Drug Administration (FDA) approval. CSP was an international healthcare company with over $25 billion in sales in 2007. The company, based in Cambridge, Massachusetts, focused on developing, manufacturing, and marketing products that treated metabolic disorders, gastrointestinal diseases, and immune deficiencies, as well as other chronic and acute medical conditions. Metabical was part of a strategic initiative that would allow CSP to enter the $3.74 billion market for weight-control products in the United States.1 tC CSP’s chief marketing officer, Bernard Long, said of the new product: No Metabical is revolutionary. It will be the first and only prescription drug to receive FDA approval to meet the needs of the millions of individuals struggling with moderate weight-loss goals. Previous prescription weight-loss drugs had negative side effects that, in the agency’s judgment, outweighed the benefits provided to individuals who were not considered obese. Metabical will be approved for use by those looking to shed between 10 to 30 pounds. Initial reviews from the medical community indicate a strong endorsement of Metabical. Our product ...
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...Metabical: Positioning and Communications Strategy for a new Weight-Loss Drug Q & A 1. Who is involved in the decision making process? What is the decision making process for Metabical? Since Metabical is a prescription drug for weight loss which can only be bought via a prescription, the overweight patients are not the only decision makers involved. The health care providers are also decision makers in this process for they are the ones who prescribe the drug. The consumer decision making process (J.Paul Peter & Donnelly, Ch3, p.49) for Metabical goes through five stages: a) Perceiving or recognizing a need. According to the case, 65 % of Americans are overweight. Many perceive themselves as social outcasts. Here Metabical ties in with a variety of needs in Maslow’s hierarchy of needs: the need for belongingness and love for companionship. After all no one likes being excluded. Exclusion can also negatively impact one’s self esteem. So it also ties in with the need for self esteem and self actualization since excess weight negatively impacts hiring, wages, and job promotion. b) Alternative Search: Once the need for love and belonging, and self esteem is recognized the overweight individual collects information from marketing sources like ads, or public sources like newspapers and magazines. The consumer might even ask his health care provider about it. He/she might even ask their overweight friends i.e. group sources who tried many diet drugs...
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...Sample Case Scenarios Via: Harvard Business School Scenario 1: Clean Edge Razor: Splitting Hairs in Product Positioning description After three years of development, Paramount Health and Beauty Company is preparing to launch a new technologically advanced vibrating razor called Clean Edge. The innovative new design of Clean Edge provides superior performance by stimulating the hair follicles to lift the hair from the skin, allowing for a closer shave. The company has already decided to introduce Clean Edge into the men's market where it has a strong presence. Jackson Randall, the product manager for Clean Edge, struggles with how best to position the product for the launch. One strategy is to release Clean Edge as a "niche" product, targeting the high-end market of fastidious groomers looking for superior skin care products. Another strategy is to release the product into the highly competitive mainstream razor market where the product can be positioned as the most effective razor available. Randall meets internal resistance to the mainstream strategy from the product manager for the company's current, but aging, mainstream razor products and he must consider the effects of cannibalization in his plan. Randall must recommend an optimal strategy and provide supporting economic analysis of his decision--not just for Clean Edge, but for its effect on the entire company. Learning objective: Explore issues associated with strategic product positioning. Review new product development...
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...University |Phone: 408-310-9244 | |MBA Winter 2014 |E-mail: cbyers@scu.edu & byers.charles@ yahoo.com | |Meeting Times: Sat. – 8:30 – 11:15 p.m. |Office Hours: Sat. 11:15 a.m. – 12:15 p.m. or by appointment | |Meeting Place: Lucas Hall 307 | | Integrated Marketing Communications Textbooks & Materials Byers & Barr, “Integrated Marketing Communications Custom Edition for Santa Clara University 3E”: Pearson Learning Solutions, 2014. CoursePack Reader – “Marketing 596 – Winter 2014” Course Description This course is designed as an introduction to the concept and practice of integrated marketing communications (IMC). It takes the participant through communication, marketing, branding, and integrated marketing theory, planning and IMC program coordination. The course also addresses the marketing communications tactics of advertising, public relations, direct response, sales support, the Internet and social media. Emphasis is placed on business-to-business and technology marketing demonstrating how theories and practices from consumer marketing are applicable to those discipline areas. Premise IMC is based on the premise that a proper mix and balance...
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...MARKETING COURSE Articles Books & Chapters Cases Course Modules Online Courses Simulations 2012 MATERIALS Harvard Business Publishing serves the finest learning institutions worldwide with a comprehensive catalog of case studies, journal articles, books, and eLearning programs, including online courses and simulations. In addition to material from Harvard Business School and Harvard Business Review, we also offer course material from these renowned institutions and publications: Babson College Business Enterprise Trust Business Expert Press Business Horizons Magazine California Management Review Darden School of Business Design Management Institute HEC Montréal Centre for Case Studies Ivey School of Business International Institute for Management Development (IMD) IESE Business School INSEAD John F. Kennedy School of Government Kellogg School of Management Perseus Books Princeton University Press Rotman Magazine Stanford Graduate School of Business Sloan Management Review Social Enterprise Knowledge Network Thunderbird School of Global Management Tsinghua University University of Hong Kong Customer service is available 8 am to 6 pm ET, Monday through Friday. Phone: 1-800-545-7685 (1-617-783-7600 outside the U.S. and Canada) Tech support is available 8 am to 8 pm ET, Monday through Thursday, 8 am to 7 pm ET Friday. Phone: 1-800-810-8858 (1-617-783-7700 outside the U.S...
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...Teaching Assistants Dave Isquick (David.Isquick@mba12.mccombs.utexas.edu ) Course Objectives The primary objectives of this course are to: a) advance your understanding of concepts and tools useful in the analysis and development of pricing and distribution strategy, and b) help you develop skills and gain experience in formulating these strategies. Learning methods The course uses (a) individual and team assignments with field work, (b) case study briefs and discussions (c) lectures and discussions of readings, (d) guest speakers, and (e) a pricing simulation. The classroom environment will be very interactive, so prepare to get involved. Students come from a variety of backgrounds with a large and diverse base of knowledge and experience. Therefore, the primary role of the professor will be to facilitate discussions that bring out pertinent issues and to better frame the analyses of these issues. Required materials Case Packet: The case packet is available through www.study.net. Instructions to get materials from study.net are included in the last page of this syllabus, before the course schedule. Pricing Simulation – Universal Rental Car – Harvard Business School: Sign up instructions will be provided to you in early October. It will cost $12.50. There will be a practice round available from Nov. 4-9....
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