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Advertising/Detailing - Case Study #2 (Products 1-4 Years)
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) for products on the market 1 to 4 years.
Methodology
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21 separate promotion campaigns were evaluated. These campaigns included only products that had been on the market one to four years.
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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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For products on the market 1 to 4 years, Medical Journal Advertising had a higher ROI than detailing, and increased detailing's efficiency when used in combination.
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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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$710
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$1,924
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$2.71
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Detailing Only
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$10,881
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$23,829
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$2.19
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Print & Detailing
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$29,671
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$88,420
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$2.98
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Total
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$41,262†
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$109,344‡
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$2.65
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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) = $4,223 for Print, $37,039 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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