育 デジ (Iku-Digi) Promoting further evolution of digital promotion

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育 デジ (Iku-Digi) Promoting further evolution of digital promotion Abstract Digital promotion has established its presence and become a commodity in the pharmaceutical industry. In the last few years, use of digital channels to access healthcare professionals (HCPs) has rapidly increased, including websites dedicated to HCPs, web conferences, smartphone applications, and third-party promotional services. Simultaneously, digital content for MRs to enhance impact of detailing has been enriched. As a result of pharmaceutical companies scrambling to the digital approach, an overabundance of content has been delivered to users, HCPs and MRs, beyond their capacity to digest and make use of. Even the individuals in charge of digital promotion are often unaware how their contents are actually used or how users value them Although digital promotion is considered more cost-effective than other forms of promotion, the current situation may actually result in inefficient use of promotional budget. This paper discusses 育 デジ (Iku-Digi), how to promote further evolution of digital promotion by ensuring that it meets users interests and needs. 製 薬 会 社 によるデジタルプロモーションは 今 や 業 界 における 標 準 装 備 としてプレゼンスを 確 立 している 医 療 従 事 者 向 けサイト ウェブ 講 演 会 アプリ サードパーティーを 活 用 したプロモーションなど 製 薬 企 業 によ る 医 師 へのデジタルを 介 したアクセス 手 法 は ここ2~3 年 で 急 速 に 増 加 してきた また MRによるディテー ル インパクトを 高 める 目 的 でのデジタルコンテンツも 年 々 充 実 してきている 一 方 で 各 社 が 飛 びつくように 新 しいデジタルアプローチを 採 用 した 結 果 ユーザーである 医 師 MRの 手 元 にはコンテンツが 溢 れかえり それらを 持 て 余 すような 状 況 が 生 まれている 企 業 内 のデジタル 担 当 者 が 現 状 いくつのコンテンツが 現 場 で 利 用 されていて その 頻 度 や 評 判 はどの 程 度 のものなのかを 知 らないという 状 況 さえある デジタルプロモーションが 他 のプロモーションに 比 べコスト 効 率 に 優 れる 一 面 があったとして も これでは 投 資 の 垂 れ 流 しになってしまう 本 稿 では このような 状 況 を 改 善 すべく ユーザーの 声 をしっかりと 捉 え デジタルプロモーションを 育 て 長 く 効 果 を 発 揮 するものへと 導 くための 育 デジ について 提 言 する

Development phase of digital promotion Promotional activities via third party platforms have also spread since around 2005, including Digitalization of commercial and information banners on medical information websites, e- transactions began in earnest around the year detailing and enabling HPCs to reach MRs via 2000. Starting with the launches of Rakuten online drug bulletin boards. (1997) and Amazon in Japan (2000), a number of major e-commerce websites were launched. Digitalization in MR promotion has also rapidly Consumers became familiar with such websites evolved. Although there were questions about and digital is now a common channel by which to need for ipads when they were first rolled out to gather information and purchase services / MRs around 2010, the ipad has become a products. standard promotional tool accepted by HCPs. Many contents that are intuitive and attractive Lagging several years behind consumer have became available, such as 3-D contents business, pharmaceutical companies gradually and personalized detailing stories for each HCP, adopted digitalization of information. While making use of tablet PCs capabilities. websites for healthcare professionals (HCPs) were very simple in the beginning, containing As such, digital has evidently established its minimal information, the contents have been position as a new promotional channel even expanded over time. Now companies are though the pharmaceutical industry was competing in offering unique services, such as e- skeptical about it until just a few years ago. To learning programs, in addition to scientific proceed to the next phase, cost-effectiveness of information on their products. Information digital promotion must be improved, and customized for each individual HCP is also allocation of promotional channels based on available through membership websites (Table individual HCPs preferences must be optimized. 1). Table 1: Example developments in websites for HPCs Month / Year June 2008 April 2010 September 2010 October 2010 February 2011 December 2013 Event GSK: Launched a website on cervical cancer for HCPs, which provides information on the latest scientific articles, and diagnosis / treatment tips with graphics and videos Bayer: Launched a website for HCPs containing disease information for over 600 dermatology conditions with more than 6,500 images Ono: Revamped corporate website with enriched information and FAQs for HCPs Teijin Pharma: Launched membership website that offers integrated information on hyperuricemia, such as epidemiology, pathology, treatments and relationships with life-style diseases Pfizer: Added new contents to membership website that allows HCPs to view full articles published on NEJM* Pfizer: Added new functionality to membership website that allows HCPs to set up a call with a specialty MR, and receive required information online 2 February 2014 AstraZeneca: Fully revamped membership website for HCPs, adding a function to select best information for individual users based on analysis of member information linked with access logs Source: Nikkan Yakugyo, *The New England Journal of Medicine

Challenges in reaching the next phase Many pharmaceutical companies now recognize the necessity of performance evaluation of digital promotion and are searching for the appropriate approach. Some companies have already developed IT infrastructure to track access automatically for real-time analysis. However, they have not yet made practical use of this information. Despite this situation, we have seen companies that launch brand-new contents while they have not assessed prior content released just six months ago, since they fear falling behind the rapidly changing digital trends. Even companies assessing ROI of digital promotion as a whole often fail to evaluate individual pieces of digital content or apply the results to future digital promotion materials and/or MRs use of the contents. For example, looking at smart phone apps developed by pharmaceutical companies, Deloitte s periodic survey on apps (Figure 2) revealed that the majority of apps are for patient support. However, the number of downloads indicates that not many of them are being used. Pharmaceutical companies must review if those apps were properly designed to address the market demands. We have seen situations where digital contents for MRs were seldom used and remained untouched. In such a situation, it is necessary to assess why the MRs are not making use of the digital contents being provided, and then make the necessary modifications or adjustments. Before assessing cost-effectiveness, a scheme to monitor the current situation should be built. If there are contents which are not being used, the reasons (e.g. lack of recognition from users, poor contents and/or unclear purpose) should be identified as well. It should be noted that we have observed the same problem in other industries, with companies unleashing an abundance of digital content without assessing the efficacy of any particular piece, rather than continuously updating and improving existing digital content. Figure 2: Number of apps *1 and downloads by type *2 Downloads *2 Source: Deloitte survey, as of June 2014 Note: *1: The survey covers top 40 pharmaceutical companies in Japan (revenue basis) *2: Number of downloads is only available for android applications 育 デジ (Iku-Digi) - Promoting further evolution of digital promotion 3

育 デジ (Iku-Digi) - Promoting further evolution of digital promotion What should pharmaceutical companies do next in digital promotion? It is obviously important to keep providing new contents in order to impress customers. Since generating brand-new content is a risky task due to underlying uncertainty in audience reception, initiatives to identify existing contents with great potential and to promote their further evolution should proceed in parallel. The advantage of existing contents is they can be analyzed objectively based on frequency of use and/or access. This allows pharmaceutical companies to continue to update and maintain only popular pieces of digital content, while discontinuing others, in order to resolve the current situation in which users are confused by overabundance of digital content and to reduce unnecessary maintenance costs. From the perspective of brand recognition, it is more cost-effective to maintain one single set of content continuously rather than to keep delivering different content. Obviously, the cost of revising existing contents is relatively lower than developing new contents from scratch. The below describes steps required to promote further evolution of digital promotion. Please confirm what your company has already done and where it might need to focus in the future: Build a platform Qualitatively and quantitatively evaluate digital contents based on usage (access and frequency of use), external reports, internal surveys and customer feedback Select assets to further develop Define selection criteria based on company situation (consistency with strategies, usage level, feedback from MRs, etc.) and assess each piece of content Designate contents to further develop based on the above criteria and discuss revision or discontinuation for the others. Discontinuation criteria should be clarified in the planning phase of content. Establish a scheme to enable sustainable evolution Develop plans to improve internal and external awareness for digital contents to be further developed Define KPIs and monitoring cycle to streamline monitoring process for digital promotion (while real-time monitoring is ideal, weekly or monthly basis is sufficient as well) Create rules to maintain digital contents based on monitoring results Continue to evaluate, update and select digital contents for further development Assign an individual responsible for assessment and maintenance of digital promotion Manage digital pipeline in an integrated manner (type / volume of digital content, development / launch schedule, etc.) 4

Figure 3: Heading to the era of evolution 2013 Development phase 2014 Evolution phase Shrinking access to HCPs due to a ban on entertainment and restriction on MR s visits New digital channels emerged with the advent of smart phones / tablet devices and promotional services via third party platform (such as M3 and MedPeer) Early adoption of new technology cannot be a differentiating factor as HCPs are getting used to it Increased number of contents is now beyond capacity of product managers and MRs they need to know which contents are really effective and how to strengthen linkage between other channels Main objectives are developing new channels and accumulating experiences ahead of competitors The key is 育 デジ (Iku-Digi), select and evolve digital contents consistent with company strategy in a mid- / long-term point of view Conclusion Digital promotion has rapidly established its presence in the pharmaceutical industry and will be an even more important channel along with the increased importance of transparency and tightened restriction on MR visits to HCPs. However, as a result of scrambling to the digital approach, users have been overwhelmed by an overabundance of content and the volume of content has expanded beyond the company s ability to control. The fast adoption of digital promotion has been a key to success to impress customers with unique and differentiated contents. However, the novelty of the new channel is wearing off. Looking towards the next phase of digital promotion, it is important to evaluate digital contents based on objective analysis of users acceptance. This scheme will enable pharmaceutical companies to improve existing digital assets and realize competitive and valueadded digital promotion suited to the needs of each company. 育 デジ (Iku-Digi) - Promoting further evolution of digital promotion 5

Digital / Analytics Introduction Deloitte s expertise in Digital / Analytics can support you in streamlining emarketing Deloitte Digital provides one-stop service achieving business innovation with digital technology and creativity combined with Deloitte s business knowledge, from digital strategy development based on company strategies, design / development of mobile applications / website UX to implementation of global CMS / e-commerce. 6

Contacts Jun Matsuo Partner Life Science & Health Care Unit Leader +81 80 2003 8644 jmatsuo@tohmatsu.co.jp Wataru Hamaguchi Manager +81 80 4359 5707 whamaguchi@tohmatsu.co.jp Christian Boettcher Director +81 80 9097 7376 chrboettcher@tohmatsu.co.jp Mitsuhiro Itakura Consultant +81 80 4424 7806 miitakura@tohmatsu.co.jp Goro Nishimoto Partner +81 80 4367 7858 gnishimoto@tohmatsu.co.jp Ryota Nakamura Consultant +81 80 4362 3495 rnakamura@tohmatsu.co.jp Deloitte Tohmatsu Consulting (DTC) is a Japan-based member firm of Deloitte -a worldwide network providing professional services and advice. As an entity in the Deloitte Touche Tohmatsu Limited providing four professional service areas: audit, tax, consulting, and financial advisory services, DTC provides consulting services in Japan and to Japanese companies worldwide. DTC s integrated services cover strategy through implementation to solve wide-ranging management challenges. DTC works closely with other Deloitte member firms both in Japan and overseas by leveraging the deep intellectual capital of approximately 200,000 professionals worldwide. Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in more than 150 countries and territories, Deloitte brings world-class capabilities and high-quality service to clients, delivering the insights they need to address their most complex business challenges. Deloitte s more than 200,000 professionals are committed to becoming the standard of excellence. Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee ( DTTL ), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as Deloitte Global ) does not provide services to clients. Please see www.deloitte.com/about for a more detailed description of DTTL and its member firms. This communication contains general information only, and none of Deloitte Touche Tohmatsu Limited, its member firms, or their related entities (collectively, the Deloitte Network ) is, by means of this communication, rendering professional advice or services. No entity in the Deloitte Network shall be responsible for any loss whatsoever sustained by any person who relies on this communication. 2014. For information, contact Member of Deloitte Touche Tohmatsu Limited