Sales and marketing strategies for CEE
But Phil Owens, Head of Gynaecology and Andrology, Region II at Schering AG and a scheduled speaker at eyeforpharma’s 4th annual Central and Eastern European Pharmaceutical Congress in Warsaw,
By on Sep 5, 2006But Phil Owens, Head of Gynaecology and Andrology, Region II at Schering AG and a scheduled speaker at eyeforpharma's 4th annual Central and Eastern European Pharmaceutical Congress in Warsaw, 10-11 October, warns against just accepting growth from a western perspective.
If companies in western markets are turning 10% sales growth, everybody's happy, but is that actually enough in CEE? he asks. Are we putting ourselves in a position where we'sre not just riding the growth curve, but actually making the most of it optimizing our growth?
If companies are only taking the growth that the market is providing and not strategically growing their portfolios, when the markets become saturated, as they have in the west, then where are they? he adds.
Slawomir Chomik, Area Director Central Europe at Solvay Pharmaceuticals, says it also is important to think about demography in this market. People are getting older, he says. They are more demanding and expect more in terms of quality and coverage.
At the same time, the authorities, he says, will be more demanding on proof of action and cost effectiveness specificity.
They will try to temper the commercial activities of the organization and even reduce them, Chomik predicts. And at the same time, doctors are less and less willing to accept visits from medical representatives unless they are providing them with highly relevant information.
Chomik says that means the industry will be forced to move away from its more commercial-oriented selling approach and conduct more clinical trials to support evidenced based medicine and cost effectiveness analyses.
The new selling paradigm will rely on the data that will be understood by the authorities and demanded by the doctors, he says. New approaches, rather than simply focusing on the number of reps in the sales force, will rely on the relevance of their argumentation to drive sales.
But Chomik warns that data is not lying in the street; you have to generate it and says early initiatives are being taken on by the big companies that are in the position to collect pharmacoeconomic data early.
They have enough resources to gather the data and initiate modeling, he says. So that is another constraint for the industry that will probably force consolidation. Small companies will have to become bigger to have the resources to provide that data. This is unavoidable.
We should not blind ourselves, he adds. It is not about introducing territory management systems, e-detailing or something like that. What will determine if the visit was effective is the relevance of the data. And this will have a tremendous impact on how we measure and assess the sales force.
For tomorrow's sales force in CEE it also will be more important than ever to collaborate closely and effectively with the marketing team.
Commercial effectiveness relies on the perfect collaboration between sales and marketing, says Yann Brun, Country Manager, Czech Republic at Solvay Pharmaceuticals. Often we speak about how important the right targeting is, but not how to optimize its implementation and application at an operational level, especially in CEE where the data is difficult to collect and has to be systematically challenged internally and externally. When you are able to make your teams work with the same relevant data and with the same business plan, you will achieve real effectiveness.
Truly effective business planning, Brun says, should see marketing and sales sharing the same objectives and priorities.
It is always the dream of the general manager to perfecting match the organization in terms of sales and marketing, he says. True commercial effectiveness requires common targeting between marketing and sales that supports the coordination of information and action based on common goals.
Success, Brun says, requires a lot of communication, coordination and good will.
Markus Ramming, Regional Manager CEE at Astellas, believes success also depends on the implementation of global branding campaigns that accommodate the unique and specific needs of individual CEE countries.
Our customers's base may be completely different and may focus on different subjects than their western counterparts, Ramming says. Local research often shows the differences and is the key in order to tailor a campaign to CEE countries and make it successful.
Ramming argues that it is the balance between global marketing and local implementation that determines growth in Eastern European countries. Respect for the different stages at both the headquarters and local country organization is a crucial aspect for success, he says.
Owens agrees. Most of the corporate level strategy is done in westernized environments like the US and Europe, where they'sve got an eye on saturated markets, reimbursed systems and highly competitive market scenarios, he says. We have a completely different dynamic. There is massive social change, political risk, growth, cultural and religious differences.
Companies in CEE, Owens says, must be careful to map local conditions onto corporate strategies, identify overlaps and really focus their efforts there.
Strategic implementation, Owens says, is the real challenge. He believes success relies on having the right people in each country, establishing really good communication, building trust and being very culturally sensitive.
The bottom line, they all agree, is that western standards cannot be applied to eastern markets.
To learn more about sales and marketing strategies and trends in Central and Eastern Europe, make plans to attend eyeforpharma's 4th annual Central and Eastern European Pharmaceutical Congress in Warsaw, 10-11 October. For more details and to register, visit www.eyeforpharma.com/cee2006 or call the eyeforpharma team on +44 (0) 207 375 7500.