Summary and Recommendations
The OTC market can be categorized based on organization, appropriation channel, route of administration, and location. The recommendations provided in this section would reposition the company to improve sales. First, Bayer Corporation can improve Midol sales using packaging, content advertising, and target responsiveness while describing the shortcomings of rival products in comparative advertising.
The organization should position the brand for super patterns in health care using administrative leadership in each brand market and allocating resources into a strong target population and customer niche. The company should drive quality through efficient and effective drug production and development by concentrating on its business strength such as innovation and market opportunities.
Market Analysis by Product Category
Over-the-counter (OTC) analgesics are marketed using significant advertising costs from the best brands. Advertising and sale ratios in this industry vary between 30 to 60 percent and are higher than other sales divisions. The OTC market can be categorized based on organization, appropriation channel, route of administration, and location (Mullan et al., 2016). Based on the direction of the administration, OTC products can be classified as an oral dose, topical, intramuscular channel, and intravenous drug.
Under the channels of distribution, analgesic drugs can be organized into healthcare centers, medicine stores, retail stores, and online businesses. The drivers for the OTC analgesic market are product demand, geriatric population growth, and cost, which have prompted the utilization of off-label prescriptions (Wilbur, Xu, & Kempe, 2013). This development process has inspired the pain management process because of the accessibility of OTC analgesics (Axon, Hernandez, Lee, Slack, 2018).
Analgesic producers and merchants are expanding their portfolio and geological impression to build a global brand (White, Kloner, Angiolillo, & Davidson, 2018). Drug reactions, for example, constipation, lassitude, and heart-related disorder associated with OTC analgesics are a market limitation (Anderson, Ciliberto, Liaukonyte, & Renault, 2016). Studies have revealed that OTC analgesic affects the cerebrum in unusual cases (Anderson et al., 2016).
Long-term use of palliatives or anodyne causes drug addiction. Midol like every other analgesic is a painkiller that stops menstrual sensation for a while or permanently. The OTC drug is used without a medical prescription for menstrual pain. Thus, drugs that do not require medical prescription care categorized as OTC analgesics, for instance, medications for fever, or body pain, or menstrual cramps. Introducing social insurance schemes and regulatory standards have energized the launch of different pain management systems to decrease service costs in healthcare delivery (Anderson et al., 2016).
The market analysis of Midol analgesic demonstrates that customers pay attention to comparative advertising concerning non-exclusive marketing (Anderson et al., 2016). By implication, 65 percent of all advertisements are indirectly relative while 20 percent contain direct comparative marketing. However, it is challenging to evaluate whether consumer behavior is based on the informed purchase or influenced by advertisement.
Although analgesic treats pain, fevers, cerebral pains, and menstrual cramps, there are some differences between analgesic brands. From a consumerâs view, using a simple relief for menstrual cramps is troublesome. Options in the medication store are sufficient to intensify menstrual pain. Most analgesic contains four active constituents, which are packaged and promoted from multiple angles to appeal to buyers. The perception drives this research to evaluate the job of advertising in this industry and speculation about product differentiation. The brandâs active ingredients are found in table 1.
Table 1: Brand Active Ingredients.
The competitive market for Midol analgesic includes Advil, Pamprin, Excedrin, and Tylenol. Wyeth, Chattem, Novartis, and McNeil market these drugs. The market index shares and advert share for these products are shown in table 2 and figure 1.
Table 2: Market Index of some Analgesic.
Perceived Differentiation
Contending brands, as coordinated by the FDA, contain the same measurement of ingredients. The tablets in each brand contain similar sums of ibuprofen, acetaminophen, and caffeine. Thus, Bayer pharmaceuticals promote its brand by using effective advertising schemes. Firms understand there is little to differentiate these drugs because of the FDA limitation concerning the quality and safety of OTC products. This regulation facilitates Bayerâs market analysis and brand mix for Midol.
In this situation, accepting that purchasers know about all OTC analgesics and advertising strategies stimulate consumer impression of merchandise by providing data about the item. Thus, Bayer Corporation can improve Midol sales using packaging, content advertising, and target responsiveness while describing the shortcomings of rival products in comparative advertising. Bayerâs strategic marketing for Midol depends on four cardinal points.
- Positioning the brand to advanced patterns in health care and nutrition
- Controlling the portfolio of administrative leadership in each brand market by allocating resources into strong target population and customer niche
- Driving quality through efficient and effective drug production and development
- Concentrating on its business strength, such as innovation and market opportunities
Business Strategy of the Segments
The expanding cost of health services and moral obligation by customers are putting the focus on the advantages of self-care. Propelling digitization in the human services market requires an expanded spotlight on digital products and services. Bayer is handling these progressions with brand differentiation by allocating resources to innovation and Internet business operations. This advancement presents difficulties for social insurance frameworks to survive. The Corporation contributes to recuperative improvement by creating marketing prescriptions that give clinical advantage and value in the therapeutic zones of oncology, wellbeing, and ophthalmology.
Consumer Behavior
Marketing is a social practice by which people get what they need through trading items with others. Marketing is characterized as the movement and procedure for making, importing, conveying, and trading contributions that have an incentive for clients, customers, and society (Huh, Delorme, & Reid, 2016). Advertising tells customers that a brand conveys quality rather than strong sales. Product marketing stimulates buying behavior by showing the drug features and improving consumer value (Seubert et al., 2017).
Bayer Pharmaceuticals targets teen groups using content analysis, advertising characteristics, comparative advertisement, and target marketing. Most female teenagers are attached to product characteristics than price differentiation. As a result, the organization uses target comparative marketing to promote drug features. This is achieved through emotional marketing, where consumers are educated about body comfort.
Using social media platforms, they create scenarios that evoke emotional attachment based on the drug features. Content analysis reveals the educational value of product adverts by describing specific components and features of the analgesic (Huh et al., 2016). The influence of an advertising message in any promotional program is weakened if it covers different areas. Thus, the themes of the message must describe a specific advertising content.
Brand Analysis
A brand name is a standout among the most productive resources for any organization. A brand creates a profound understanding of the customer’s behavior and encourages the organization to sustain its investment against the competition. The brand covers all aspects of the business and likewise improves internal organizational communication. Organizations invest in marketing materials, for example, logos, promotions, item bundling, and advertisements, however, the needed outcomes do not show up and the mixed hypothesis of âwe cannot improve resultsâ has been recorded.
Allocating resources into a brand is critical for the development of an organizationâs image. Market segmentation is a technique of classifying consumers into unmistakable quantifiable gatherings that share comparable needs and values. When several sections are recognized, advertisers test which target group requires promotional sales, market strategy, and product development.
Segmentation, Targeting, and Positioning
Segmenting, targeting, and positioning (STP), is a recognizable method in competitive marketing. It is a standout among many advertising models. The STP model is valuable while making advert designs since it causes advertisers to organize suggestions to create and convey customized and appropriate messages for the target group (Petkova et al., 2014).
The Midol brand analysis is influenced by five insights, which include the company, context, collaborators, competitors, and customer. Bayer Corporation tries to segment, position, and differentiates its brand for specific targets. The company targets teens since they do not use birth control pills and have the highest incidence of menstrual cramps. Different strategies are applied as investment actions using the 4Ps of marketing.
The product, place, promotion, and price have been useful tools in competitive marketing. Segmenting the target group for higher profitability has been challenging for most organizations. By segmenting the market, Bayer Corporation delivers enhanced service to customers, engage in compelling relationships, prevents competitive intrusion, and keeps customers with a higher return on investment. Since segmentation varies with geography, demographics, psychographics, and behavior, Bayer pharmaceuticals have been positioning its brands to meet the target group.
Demographic variables include age, gender, education, and income. Based on this context, Midol targets women, with specific emphasis on teenage girls. Segmentation based on psychographics includes attitude, lifestyle, and personality. Under behavioral segmentation, the organization invests in advertisements and content promotions to provide an informed knowledge of the benefits of Midol analgesic (Seubert, Whitelaw, Hattingh, Watson, & Clifford, 2018). This strategy builds loyalty and enhances customer retention. Bayer targets teen girls because this group relies on analgesics for menstrual pain and cramps. As a result, the organization focuses on the 4 Ps of marketing.
Positioning is the process of analyzing the marketing mix to improve sales. The price regime, store location, product innovation, enhancement, advert website, and social media platforms are areas that require effective decision-making (Petkova et al., 2014). Bayer’s positioning statement communicates its internal and external strategy. An active positioning system depends on consistency and prioritization. Thus, Bayer’s market strategy for Midol is based on segmentation, targeting, positioning, and product differentiation.
Portfolio
Bayer pharmaceutical intends to sustain its brands in alluring markets and to extend the stable position they occupy by emphasizing the improvement of science investment. As a result, the organization uses cooperative synergies to improve the quality of drug administration.
Growth
Bayer allocates resources into its innovative capacities and expanding its inventive design. The organization also exploits opportunities in the developing market.
Productivity
Based on the saying âmore advancement less organization,’ Bayer sustains its investment to enhance efficiency by separating structures and procedures within the organization.
Healthcare
The goal of Bayerâs marketing system is to accomplish quality health care delivery, generate profit, and sustain development. As a result, the company focuses on the development and reinforcement of its position in the developing markets. Their exploration strategy in innovations with high returns enhances the prescription choices for conditions that affect the target group.
Midol Marketing Mix
The marketing mix describes the pricing, advertising, and appropriation methodologies used by the organization.
Product
Bayer offers an extensive variety of healthcare products to its customers. The four segments of the product include hematology, oncology, analgesics, and cardiology drugs. The organization invested in these products based on its profitability. Midol falls under the OTC analgesic used for menstrual pain relief. As a result, the organization creates awareness using effective marketing strategies. Other product classification includes non-prescribed drugs such as flu or cold analgesics.
Price
Pricing assumes a crucial role in the therapeutic industry. Most brand owners rely on this strategy to create a competitive edge. Since most analgesics have the same constituents, brand differentiation relies on either content advertisement or pricing (Petkova et al., 2014). Based on this context, Bayer has consistently centered on quality healthcare. The organization has pursued a focused-based marketing mix system. However, the separating factor is the quality they never bargained for. Bayer has an active procurement and logistics channel. As a result, it lessens the cost of the supply chain logistics while maintaining safety and environmental standards.
Place
Production and procurement strategy is essential for Bayer Pharmaceuticals. This guarantees that drugs are accessible based on delivery time and place. This helps the flow of materials in the dispersion channels. Under the placement strategy, Bayer aims to distribute its products to the target market in record time. Since analgesics are OTC drugs, the primary channels are retailers and superstores. The organization creates an active logistic channel that covers areas of high profitability. This strategy positions the brand above other competing products.
Promotion
Bayer uses different publicizing and promotional methodologies to create an expanded market. The organization conducts promotional sales that highlight the comparative benefit of the Midol brand. The organization uses social media platforms to display products and promotional services.
Table 3: Midol SWOT Analysis.
Recommendations
The recommendations include market responsiveness, product superiority, distribution efficiency, resource management, market dominance, effective supply chain, and technological advantage. These strategies would position the Midol brand above its competitors and close substitutes. Under market responsiveness, counselors on the social media platform must be efficient and responsive to customer clarification and feedback.
Consequently, store attendants could be employed at each superstore to assist in educating teen girls on the best prescription for their illness. The organization must set standards on product superiority to create a competitive edge with brand differentiation. Distribution efficiency is critical in a competitive market. The availability of products at all times makes it difficult to use close substitutes. It also gives options to customers who could not find the product of their choice.
The content analysis promotions can improve the market dominance of the Midol brand. Brand positioning aims to enhance sales by attracting new customers. The benefits of these recommendations include improving sales, new customers, new goals, and increase engagement and streamline messaging. However, the cons of brand positioning include the high cost of advertisement, low patronage, and confusing marketing.
Changes in Target Market Age
The organizations concentrated on women from the ages of 22 to 28. However, the target populations used different birth control prescriptions to prevent unwanted pregnancy and the effects of long menstrual cycles. As a result, women from 24 to 28 are no longer profitable for promotional sales. The organization needs to focus on a new âtarget groupâ to improve its sales. The menstrual side effects are severe for teen girls and could be a critical focus in positioning the brand.
Customer Research
Customer research is another area for investment. Allocating resources for consumer evaluation and market analysis is essential. The recommendation would build confidence in the brand using direct feedback from customers. The organization could conduct the survey using social media channels and online polls. The loyalty program could be added to stimulate customers to take part in the exercise. Thus, online promotional sales connect customers with solutions to their challenges.
Communication
An effective communication strategy aims to create brand awareness (Jalal et al., 2018). There should be more buzz and discussion about the benefits of Midol analgesic. The organization can achieve these objectives by executing focal and fringe promotions using online media, direct marketing banners, and promotional commercials. Fringe developments require little idea as it serves to draw target groups to acknowledge the product. Fringe advertisements and commercials are simple, using empathy humor, satisfaction, misery, or joy to connect customers with practical solutions. Thus, the target audience forms suppositions, using responsive brand adverts.
References
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