PHARMA PROJECT

Submitted To:

Faisal Qureshi

Submitted By:
Name
M.Usman Khan
Ubaid Ghazi
Ayaz ur Rehman
Shoaib Khan

Registration
Number
16530
14214
16520
14550

Email ID
m.usman.khan@live.com
ubaid.ghazi@pakbev.com
ayaz.khan909@gmail.com
muhd.shoaibkhan@gmail.co
m

Submission Date:

23rd-July-2014

Class Timings:

Monday and Wednesday- (06:30 to 09:00)

Contact
Number
0345-2388791
0321-2888810
0345-2999074
0332-3259812

INTRODUCTION
Acute diarrheal diseases are among the leading causes of mortality in infants and young children in many
developing countries. In most cases, death is caused by dehydration. Dehydration from diarrhea can be prevented
by giving extra fluids at home, or it can be treated simply, effectively, and cheaply in all age-groups and in all but
the most severe cases by giving patients by mouth an adequate glucose-electrolyte solution called Oral
Rehydration Salts (ORS) solution.
There are some medicines that may be sold without a prescription, in contrast to prescription drugsthese drugs
are termed as Over-the-counter (OTC) drugs. Over-the-counter (OTC) drugs are non-prescription drugs sold in
convenience stores, grocery stores and health shops. They range from pain relievers, cough and cold remedies to
sleeping aids, weight reducing aids, and vitamin supplements. The OTC drugs are characterized as less risk
taking, less dynamic, non-maintenance therapeutic pharmaceutical drugs. The efficacy and potency of these drugs
have been well established. OTC drugs play an increasingly vital role in health care system.
Oral rehydration solutions (ORS) are used to treat dehydration caused by diarrhea, a common illness in travelers.
An ORS contains three ingredients:
1. Clean water that has been boiled or disinfected or from a commercially sealed bottle.
2. Electrolytes (also called salts), which are chemicals that your body needs to function properly.
3. Carbohydrates, usually in the form of sugar.
The internationally endorsed definition of probiotics is live microorganisms that, when administered in adequate
amounts, confer a health benefit on the host.
What we are launching is a hybrid product which will serve the function of two OTC, as ORS and as probiotics
for the consumers. We aim at producing a good quality product keeping the cost to its minimum.

FACTORS AFFECTING SALES OF OTC

Based on the primary data collected from 115 respondents there are three factors that affect the sale of OTC. Most
respondents considered Doctors prescription to be decisive factor in purchasing OTC. Second factor that
respondents agreed most on was Pharmacist recommendation and third was previous experience. Summarizing
the results of this particular question from the instrument it is worth noting that for an OTC it needs to be
endorsed by Doctors firstly and then reminded by the pharmacists on a regular basis, this will in turn create a
positive experience and recalling for the brand in future.

PRICE PER UNIT

Pricing of a product depends on a lot of different variables , major consideration in pricing is the costing of the
product, the advertising and marketing expenses, any price fluctuations in the market, distribution costs etc.
Along with the above factors, there are also other things which have to be taken in consideration when deciding
on a pricing strategy. Competition can be the best example.
Based on the survey the average price per unit for the product is around Rs 25 and considering the fact that this is
a new product and the competitive pricing we would launch the product at Rs 23 per unit.

PACKAGING DESIGN
As per the data most of the respondents are of the view that consumers prefer loose sachets for these kind of
product so we will be placing a customized designed vertical carton box containing 10 sachets with an opening
below which will be placed on the counter where customers can pull the sachets causing the above sachets to
come down.

POSITIONING STRATEGY & PROMOTION TACTICS

Positioning
Target Market

The product will provide health solution to anyone who is suffering from Diarrhea and with bad
stomach, so the product is directed towards people suffering from this disease. The price we will be
charging will cater mainly urban Middle and upper class of urban areas but is suited for lower class
also. It is suited for lower class in two ways, one is that when it comes to medicine or OTC price is
not really a factor that changes consumers preference and second, if price do become a factor that
can change consumer decision so this product is not very expensive.
Who will the decision maker in our target market?
All the parents who have children of age less than 18 and all the adults.

Uniqueness:
The differentiating factor for the product is that we are introducing ORS and Probiotics together for
a very first time in this market. Currently there is no company that is offering this kind of product in
market. This will help to cure diarrhea patients keeping them hydrated at the same time.

Promotion
For communicating the benefits of the product to the target market a Doctor will be taken on board
which will be the face for this product. Doctor will be authentic source for consumers who will
communicate all the benefits of the product.

Advertising
We want to reduce cost as much as possible so advertisement promotions will be done on print
media and billboards. Besides this, streamers, banners and hangings will be displayed near big
pharmacies of the city. This can also be followed by BTL activities where our representative will be
present in these pharmacies to educate customers from our unique product. This will help customers
to recall brand whenever they will visit pharmacies.
o Stationery
Stationery, which includes letterheads, envelopes and business cards, is a means by which
business image or name identification is projected. We can use this everyday means of
presenting business image for our advantage.
o Outdoor

We will be placing billboards in different locations of the city and branding the product at
bus stands as well.

Sales Locations:
We will ensure the smooth Distribution of the product by assigning Sales
Representatives for different territories. These Sales Representatives will have
Zone wise supervisors to monitor their efficiency. Zone Supervisor will be
responsible for achieving the targets set by the management.

TRADE PROMOTIONS FOR PHARMACIES

Incentives and activities encourages Pharmacist to promote sale of of the product, which are directed in
following ways.

Discounts
We will be offering 15% discount to the pharmacies which will give them incentive to purchase and
sell the product at their stores.

Remodeling of Pharmacies
Shelf space will be designed with our product theme along with the Pharmacies boards.

PR CAMPAIGN FOR PHYSICIANS

Integrating a public relations campaign with a marketing program can improve the effectiveness of
marketing program by ensuring the effective communication with groups of people who influence the
purchase of a product, directly or indirectly. Taking the physicians on board will be our main focus as
they will perform vital role in educating masses about the effectiveness of the product.

Seminars:
We will let our on board doctors to educate the masses about our new product with the interactive
sessions from customers. This will let us know customers reservations regarding the disease and
regarding our product.

 Conferences:
There will be semi annual conference of Management and Doctors in which they will discuss the
issues faced by customers and to give new approach to take product further.

ESTIMATED MARKETING BUDGET

We want to launch a product considering minimum cost so the Marketing budget needs to also reflect
that. Marketing campaign will be from two fronts, by print media and by outdoor advertisements
through billboards.

Outdoor Advertisement
We have selected 6 sites considering the city traffic flow. There are 4 sites that we use for the first month
at the time of launch to gain maximum attention, these sites are the most visited sites of the city. For
second month other two site will be used for recalling of the brand.

Site 1-Sher Shah Suri Road

Route

From A.O Tower (Triangle) towards Nagan Chowrangi

Rate

Rs.350,010 per month

Occupied For :

1 Month

Site 2-Boat Basin

Route

From Korangi Road towards Boat Basin

Rate

Rs.399,990 per month

Occupied For :

1 Month

Site 3-Shaheed-e-Millat Road

Route

From Central Jail Chowrangi towards Baloch Colony Bridge

Rate

Rs.350,010 per month

Occupied For :

1 Month

Site 4-Shahrah-e-Faisal

Route

From Airport towards FTC

Rate

Rs.800,010 per month

Occupied For :

20 Days

Site 5-Khayaban-e-Iqbal

Route

From Doo Talwar towards Club Road

Rate

Rs.99,990 per month

Occupied For :

1 Month

Site 6-Shaheed-e-Millat Road

Route

From Central Jail Chowrangi towards Baloch Colony Bridge

Rate

Rs.99,990 per month

Occupied For :

Site
Site
1
Site
2
Site
3
Site
4
Site
5
Site
6

1 Month
TOTAL OUTLAY ON OUTDOOR ADVERTISEMENT
Occupied
Location
Cost Per Month
for

Total Cost

SHER SHAH SURI ROAD

1 Month

350,010

350,010

BOAT BASIN ROAD

SHAHEED-E-MILLAT
ROAD

1 Month

399,990

399,990

1 Month

350,010

350,010

SHAHRAH-E-FAISAL

20 Days

800,010

533,340

KHAYABAN-E-IQBAL
SHAHEED-E-MILLAT
ROAD

1 Months

99,990

99,990

1 Months

99,990

99,990

Total

1,833,330

Print Media

Publications

Size

DAWN

15cms

Newspaper

x 4cols

The News

20cms

Position

- Metro
(Khi Only)
Any Khi
Only
Inside Front

Express

15cms

Page

Tribune

x 4cols

(Metro)Khi

20cms

Only
Front page -

x 3cols

Daily Express

20cms
x 3cols

Frequency

Month

in a Month

Cost

Mon

Tue

Wed

Fri

134,400

134,400

51,000

51,000

47,250

47,250

94,500

370,800

370,800

60,000

60,000

Front Page

x 3cols

Jang

Day

Khi Only
Any
position Khi Only

Total

710,700

Total Marketing Budget,

Outdoor Advertisement

Rs.1,833,330

Print Media

Rs.710,700

Total Budget

Rs.2,544,030

ANSOFF MATRIX

EXISTING PRODUCT

NEW PRODUCT

EXISTING MARKET

Market penetration

Product Development

NEW MARKET

Market Development

Diversification

This is a new product so its falls under Product development on the Ansoff grid.

CONTINGENCY PLAN
A contingency plan is devised to mitigate critical risks should they occur. We need to find the risk
associated with the product launch and its execution so that we prioritize the risk which are under our
control and form plan to tackle it.
Key Risks

Hurdles in distribution
Government Impose taxes or increases interest rates which causes the raw material price to go up
Despite of our best efforts the product is unable to click

We need to prepare alternate distribution plans in case our present distribution strategy does not fetch
fruitful results. For this, we can use different distributors for serving different parts of the market.
An increase in taxes and interest rates is not under our control so we can only increase prices in future
should there be any need to do so.
If the product fails to capture market and fails in generating sales then we will go for repositioning of the
product. As per our data collection, our first priority for the product is to capture urban markets, but if it
fails then we can aim for rural markets . This will not entail the company to incur huge investments

again for launching it in rural areas but we may have to reduce its cost to coup with the purchasing
power of rural area.

PIMARY REAEARCH:
SAMPLE SIZE-PHARMACIST: 115
SAMPLE SIZE-PHYSICIANS : 28
SAMPLE TYPE: Pharmacist and Physicians
RESEARCH TOOL: Questionnaire
Question 1:

v.low
low

33

43

moderate
high
very high

Pain Killers and Analgesics

Very
low
Low

0
3

Modera 33
te
High
37
Very
high

43

37

19

very low

5 8

low
moderate
high

39

very high

45

Supplements and Multivitamins

Very
low
Low

Modera
te
High

45

Very
high

19

39

12

very low
low

19

25

moderate
high
very high

50

Laxatives
Very
low
Low

9
25

Modera 50
te
High
19
Very
high

12

21

very low

16

low
moderate

31

high
very high

47

Antacids
Very
low
Low

0
16

Modera 31
te

High

47

Very
high

21

very low

29

low

38

moderate
high
very high

44

Oral Rehydration Salts (ORS)

Very
low
Low

Modera
te
High

38

Very
high

29

44

14 2 13

very low
low
moderate

34

high

53

very high

Probiotics
Very
low
Low

13

Modera
te
High

53

Very
high

34
Question 2:
14

not at all
marginally

4
28

some extent

28

resonably high
very high

18

38

Advertising

not at all
18
marginall 28
y
some
38
Doctor's Prescription
extent
resonably 28
high
very high 4

not at 5
all
Marginally

1
1
2
0
3
3
4
7

some
extent
resonably
high
very high

not at all
marginally

47

some extent
very high

33

15

marginally
resonably high
very high

20

resonably high

not at all
some extent

11

5
23

33
39

Previous Experience
not at all
Marginally
some
extent
resonably
high
very high

5
23
39
33
15

17

not at all

8
16

marginally
some extent
resonably high

37
38

very high

Brand Image of OTC

not at all
Marginally
some
extent
resonably
high
very high

8
16
38
37
17

15

17

not at all
marginally
23

some extent

27

resonably high
very high

34

Price(Affordability)
not at all
marginally
some
extent
resonably
high
very high

15
27
34
23
17

not at all

15

24

marginally
some extent
resonably high

37

very high

32

Shelf Space
not at all
Marginally
some extent
resonably
high
very high

2
4
3
2
3
7
1
5
7

14

not at all

14

marginally
some extent
resonably high
very high

40
40

Ph
armacist's
Recommendation
not at all
Marginally

8
1
4

some extent
resonably
high
very high

4
0
4
0
1
4

not at all

19

marginally

5
30

some extent
resonably high

32

very high

30

Packaging
not at all
Marginally
some extent
resonably
high
very high

3
0
3
QUEStion 3:
0
3
2
1
9
5 rarely

26

ocassionally
frequently
49

rarely
41
ocassion 49
ally
frequentl 26
y

41

Question 4:

14 2

highly unlikely
unlikely
possibly

39

likely

38

highly likely

highly
unlikely
unlikely
possibly
likely
highly likely

23

2
23
38
39
14

Question 5:

13 4 15

not at all
marginally
some extent

35

resonably high

49

very high

not at all
Marginally
some
extent
resonably
high
very high

4
1
5
4
9
3
5
1
3

Question 6:

general physicians
37

consultant

63

pediatrician
none of the all

General
Physicians
Consultants
pediatrician

11

63
11
37

none of the 4
all

Question 7:

not at all

30

marginally
some extent

39

very high

4
14
29
39
30

14
29

resonably high

not at all
Marginally
some
extent
resonably
high
very high

Question 8:

Trust and previous

relationship with the
pharmacist

price

Better promised
efficacy of the
Alternative
suggested by the
pharma

others

Trust and previous

relationship with
the pharmacist
Price
Better
promised
efficacy of the
Alternative
suggested by the
pharma
Others

4
39
63
9

6
3
9
3
9

Question 10:

17
Ready-to-use Liquid
solutions
Instant Powder form
98

Ready-to-use 17
Liquid
solutions
Instant
98
Powder form

One that makes

approximately one liter
of liquid solution and
can offer around 4
adult doses

30

One that makes can

be dissolved in a glass
of water and offers
one single dose

83

Question 11:
One
that
makes
approximatel
y one liter of
liquid
solution and
can
offer
around
4
adult doses
One
that
makes
can
be dissolved
in a glass of
water
and
offers
one
single
dose
Pack of
10

8
3

10
Pack of 10 sachets or
more
A few loose sachets

3
0

103

Question 12:
10

sachets or
more
A few loose 103
sachets

RS.1 to 10

8 2

11 to 20

28

23

21 to 30
31 to 40

10

41 to 50

38

51 to 60

Question 13:
RS.1
to 28
10
11 to 20
38
10

31 to 40

23

41 to 50

resonably high

51 to 60

very high

marginally
some extent

Question 14:
Trade discounts:
not at 12
all
Marginally
some
extent
resonably
high
very high

14

not at all

21 to 30

28
39
23
14

23

12
28

39

Trade
promotion
s:
not at 8
all
Marginally

3
2
4
2
1
8
1
5

some extent
resonably
high
very high

marginally
some extent

15

not at all
18

32

resonably high
very high

42

Proven efficacy
of the ORS:
not at 6
all
Marginally
some
extent
resonably
high
very high

1
7
1
7
3
4
4
2

not at all
marginally

42

some extent

17

resonably high
very high

Knowing that it is preferred and

recommended by doctors:

17

34

12

40
not at all

marginally

some extent 22resonably high

very high

38

not at all
Marginally
some
extent
resonably
high
very high

4
1
2
2
2
3
8
4
0

Paper cartons
or boxes that
can be placed
on shelf
or
counter
Paper cartons
or boxes that
can be hung
from a hook
creating
a
dispenser-like
packaging,
making it easy
to
sell
individual units
(sachets)
Other

Question 15:

Paper cartons or
boxes that can be
placed on shelf or
counter

Paper cartons or
boxes that can be
hung from a hook
creating a dispenserlike packaging, making
it easy to sell
individual units
(sachets)

other

6
8

PHYSICIAN DATA ANALYSIS:

4
2

5
42

68

Use of ORS

Use of probiotics
Use of ORS +
Probiotics

12

use of drugs
Use anti protozoal
Combination of more
than one approach

others

QUESTION 2:
Use of ORS

1
2
Use of probiotics 0
Use of ORS + 9
Probiotics
Use of drugs like 0
Diphenoxylate
to slow down
the movement
of intestines
use
of 0
antiprotozoal
and
antibacterial
agents
Combination of 5
more than one
approach
Others
3

no experience
Too insignificant

Somewhat satisfying
Satisfying
13

highly Satisfying

Question3
no experience
Too insignificant
Somewhat
satisfying
Satisfying
highly
Satisfying

0
2
7
1
3
4

Not recommended

Highly skeptical

Somewhat skeptical

13

Favorable

Highly favorable

Question 4
Not
recommended
Highly skeptical
Somewhat
skeptical
Favorable

Highly favorable

1
4
13
Strongly disagree

Disagree

Neither agree nor

disagree
Agree
20

Strongly agree

Strongly disagree

Disagree

Neither agree nor

disagree

Agree

2 1 3

13

Strongly agree

Question 5
Strongly
disagree
Disagree
Strongly
Neither agree
disagree
nor disagree
Disagree
Neither
Agree agree
nor
disagree
Strongly
agree
Agree
Strongly agree

1
3
0
9
2
2
13
2
20
4

Question 6

Strongly disagree
Disagree
Neither agree nor
disagree

2
5

10

Agree
10

Strongly agree

Question 7 :

Strongly
disagree
Disagree
Neither agree
nor disagree
Agree
Strongly
agree

2
5
1
10
10
Strongly disagree

Strongly agree

Disagree

2 1
Neither
agree nor disagree

Agree

21

Q
uestion 8 :
Strongly
disagree
Disagree
Neither agree
nor disagree
Agree
Strongly
agree

2
0
1
21
4

Question 9

Strongly
disagree
Disagree
Neither agree
nor disagree
Agree
Strongly
agree

1
3
2
17
5

Disagree5

Strongly disagree

Strongly agree

yes
no

1
3 agree nor disagree
Neither
2

17

10
18

Question 10:

Lactobacillus acidophilus

Yes 18
no 10

Agree

4
yes
no
24

Lactobacillus
rhamnosus
Yes
no

4
24

2
yes
no
26

Any other
Yes
no

2
26

Bifidobacterialongum

4
yes
no
24

Yes

No

24

Bifidobacteriabifidum
Ye
s

13

no

15
yes
no

15

13

very high

high
moderate
low
very low
17

Question 11:
very high
High
Moderate
Low
very low

3
3
17
5
0