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Advertising/Detailing - Case Study #1 (All Products)
Study Objective
To compare print advertising in medical publications alone, detailing alone, and the combination, on their ability to increase Rx's, sales and ROI (Return on Investment) across a range of product life-cycles...from new to more-established.
Methodology
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49 separate promotion campaigns were evaluated. These campaigns included products that had been on the market for less than a year, as well as older, more-established products.
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For each campaign, a minimum sample of 2,000 physicians completed a questionnaire that documented their exposure to medical journal advertising and detailing.
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Four groups of physicians were then compared: test groups exposed to print advertising alone, detailing alone, the combination of print advertising and detailing, as well as a control group not exposed to print advertising or detailing.
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The individual physicians in the four groups were then matched to a new prescription database (Walsh or IMS), and the change in new prescription share computed (test period vs. baseline).
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The last step in the analysis was to calculate the ROI for each product for print only, detailing only, and print & detailing only, by dividing the annualized average sales increase (as generated by the market share growth) by the annualized average spend.
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Results
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Medical Journal Advertising had a higher ROI than detailing, and increased detailing's efficiency when used in combination, across a wide range of products and life-cycles.
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Print Only vs. Detailing Only vs. Print & Detailing Only
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Spend*
($000)
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Sales Increase**
($000)
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ROI***
(Per $ Spent)
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Print Only
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$939
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$2,244
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$2.39
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Detailing Only
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$9,988
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$19,477
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$1.95
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Print & Detailing
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$25,213
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$67,571
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$2.65
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Total
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$36,140†
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$87,097‡
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$2.41
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| * |
Annualized average print spend
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Annualized average sales increase
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| *** |
Annualized average ROI
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| † |
Total spend (000) = $4,534 for Print, $31,606 for Detailing
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Total Sales Increase will not equal components shown due to a combination of rounding and averaging
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Source: PERQ/HCI
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