Rebeca Adriana Raziel Rocha Daniel Ahijado Juan Pablo Mndez Jos-Domingo Lzaro

Global Case Competition 2011

IPADE Business School

Whats happening in the Insuline Market?

Identifying Problems
Sustentable advance of our competitors
70% 60% 50% 40%

Humalog Mix 25 Lantus Levemir

Severe fall of Humalin Market Share

30% 20% 10% 0%

Humulin N Generic Human

Will Eli Lilly survive the insuline market?

Evolution and Projection of The Mexican Insuline Market, Market Share (Source: Eli Lilly)

Whats happening in Mexico?

Identifying Problems
Only half of the patients have been diagnosed
9%

INSULIN NO INSULIN

Only 5% have good control of the desease

91%

Percentage of Dianosed People under Treatment (Source: Eli Lilly)

Oral Antidiabetics are much popular

Whats happening in Mexico?

Identifying Oportunities

Population in Mexico (110 M)

People with Diabetes (16 M)

70,000 deaths due to diabetes

Whats happening in the insuline market?

Identifying Oportunities

13%

Low Medical Prescriptions (Lantus prescribed more than Humulin and Humalog together)

Lantus 12% 40% Humalog Mix25 + Humulin N Levemir Generic Human Insulin 35%

Market Share, 2011 (Source: Eli Lily)

Whats happening in the insuline market?

Identifying Oportunities
Value Proposition of Humalog not well perceived (more Humulin Market Share)
0.07 0.06 0.05 0.04 0.03 0.02 0.01 0 Humalog Mix 25 Lantus Levemir Humulin N Generic Human Insulin

Lower prices of Humulin and Humalog regarding Lantus

Prices in the Market 2011, USD (Source: Eli Lily)

Short Term Strategy

Red Ocean
Recover Market Share: Get back to the Game

Understand Trends Convenience+ Practicity

Humalin ONE launch

Value Reposition of Humalog Mix 25

Short Term Strategy

Red Ocean
Create Unique Experiences
Communicate Brand Awareness Innovations

Customer Satisfaction

Brand Loyalty

Long Term Strategy

Blue Ocean
Grow the Market: Create a New Game

Get OADs Patients

Tools for Early Diagnosis

Humalin ONE as a platform to Promote Humalog

Long Term Strategy

Blue Ocean
Create Unique Experiences
Communicate Device Benefits Sensibilize Population

Break the Paradigm of Infectious Disease

Brand Loyalty

Red Ocean vs. Blue Ocean

Marketing
PASS Model
Positioning
> Middle: Convenience > Make it easy! > Premiun: Innovation > High value!

Awareness
> Associated to obesity > Create Infocenters

Segment:
> Middle: Humalin (less price & more convenience) > Premiun: Humalog Mix 25 (more control & less risks)

Stakeholders:
> Physicians > partners > Public Administrations > supporters

Looking to the Future

Virtuos Circle
Recover Leadership Generate Unique Experiences

Increase Benefit Margin

Develop Relations with Stakeholders Became an Example

Improve Mexican People Health

Thank You!

Q&A