Review on Pharmaceutical Sales and Marketing

Abstract

Pharmaceutical industry mechanics are changing at an incredible rate. Millions of dollars are being spent in drug discovery, which is followed by a rigorous clinical trial process leading up to the drug administration agency's approval to allow the drug to hit the market. The drug development process thus has a typical cycle time of 10-15 years. A great deal more is spent on marketing these drugs to boost sales. The window of profitability lies only until the patent is alive after which generic companies can manufacture and market the same drug. To maximize revenue returns, drug-marketing cycle needs to be more efficient. Over the years, revenue per sales person is falling and sales force effectiveness is reducing. While sales representatives are being added, the increase in revenue is not aligned to this cost. Companies are looking at initiatives to increase revenues without increasing sales headcount, by reducing operational costs and other downtime. While most other sectors have taken up Business Intelligence and Performance Management drives more easily Pharmaceutical firms have been a little reluctant to embracing this emerging technology. This whitepaper is intended to illustrate the potential that BIPM holds for pharmaceutical firms in the area of sales and marketing.