Naming a Pharmaceutical Brand: A Product Manager's Dilemma
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ICMR HOME | Case Studies Collection
Case Details:
Case Code : MKTG149
Case Length : 05 Pages
Period : Not Applicable
Organization : Not Applicable
Pub Date : 2006
Teaching Note : Available
Countries : India
Industry : Pharmaceutical
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Please note:
This case study was compiled from generalized experience of the
authors, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Ramesh Nayar (Ramesh) was having sleepless nights over how to
increase the sales of his new brand X-Neuro Plus.
Ramesh was a product manager in a medium sized pharmaceutical company in India,
and X-Neuro Plus was a brand extension of X-Neuro, one of the star
brands in his portfolio. X-Neuro Plus had failed to live up to the high
expectation of sales from gynecologists , who were the primary target segment.
The sales of the brand in the first three months after its launch were dismal,
and way off the initial projections.
X-Neuro was used as a vitamin supplement in the treatment of certain
neurological disorders; it was used as an adjunct to standard therapy.
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The drug was popular with its target segment - physicians and neurologists. Its
brand name too was a good fit with the neurological disorders for which the
company had positioned the brand.
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Ramesh
often pointed this out to the sales force during sales review meetings
and training programs. During the previous year's annual brand strategy
meeting, he had said, “X-Neuro is synonymous with the
(neurological) disorder it is intended for. Doctors say that its brand
name is quite apt. Whenever they diagnose the disorder, they remembered
X-Neuro.” Within a few years of its launch, X-Neuro had
cornered 12 percent of the market, despite the intense competition. As
it was a widely prescribed drug, it enjoyed good brand recall among
members of the medical fraternity. Even doctors who did not prescribe
this drug were aware of X-Neuro. |
In May 2005, a clinical study showed that the addition of two other vitamins to the composition of X-Neuro made it a very good supplementary drug for treating some rare neurological and cardiovascular disorders. As these disorders were rare, the demand for this combination drug would be quite limited.
Ramesh put forward a proposal to launch this combination as a brand extension of
X-Neuro. Ramakant Desai (Desai), the Managing Director of the company quickly
shot down the proposal...
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