When one cuts through the early problems of Obamacare implementation, it is clear that there are many opportunities for DTC advertisers now and in the future. Implementation issues aside, we can expect millions of Americans to be added to the insured roles. That means more people will be getting drug reimbursement and more taking drugs for heart disease, diabetes, hypertension and other diseases.
?Drug companies will be increasing their efforts at disease identification?? -Bob Ehrlich
The major opportunity for drug companies is in identifying disease sufferers. The mandated coverage for preventive care with no deductibles will flood the health system with people being tested for high blood sugar, high cholesterol and high blood pressure. Doctors will also hear from patients about erectile dysfunction, depression, allergies, and other common conditions. That means more people prescribed pills.
Drug companies will be increasing their efforts at disease identification as it is both good public policy and good business. Many of the newly insured are low income and their health literacy can be greatly improved through education. That education can be done by government, advocacy groups, and drug and device companies.
We can also expect that much of this communication needs to be directed at African-Americans and Hispanics who will make up many of the newly covered. That means drug companies will need to dedicate more resources internally at understanding how best to construct messaging. The media planners will need to understand how to best reach these targets.
There will also be an increased pressure to control cost. That burden will fall on all of us through higher premiums, co-pays, deductibles, higher taxes, and rationing. Most people going to the healthcare exchange will see plans that basically are self insurance up to the $10,000-12,000 deductible for a family. That means most Americans will get nothing from their insurance unless they have a serious illness. That means they are spending their own money for doctors and drugs. Once that is evident, price shopping will be a much more important part of health care decisions.
Drug companies need to understand that their branded drugs will be looked at differently by patients and doctors. Me-too drugs will fail unless they offer significant price, side effect, or efficacy advantages. The days are gone when a drug company can use sales force muscle to get a third or fourth drug in class to be successful.
There are many challenges facing drug and device marketers in the new cost constrained environment. It is incumbent on drug marketers to thoroughly understand how the new realities will affect what they do. While day to day brand activities may dominate their time, the marketing superstars of the future will go beyond the day to day to look at marketing in a broader context.
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