Product Team Cialis

Syndicate 5 :
Rangga Tri Raeros
Joseph Enrico
Ria Agustriana
Agung Mahendra
Karina Soedjati

Background

Erectile Dysfunction (ED)

Erectile Dysfunction also
called
maleimpotence,
describes as a mans
inability to achieve and
maintain
an
erection
because the distraction on
their
blood
flow
for
attaining
an
erection
impaired.
Most cases of ED are
associated with another
medical diseases, certain
medications, or lifestyle
such
as
smoking
or
excessive
alcohol

Company overview
ICOS,
small
biotech
start-up,
develop
therapeutically in form of PDE5 inhibitor.
1990 This company focus on the discovery and
development of innovative drugs
Finding a partner to work in a collaborative joint
venture with Eli Lilly and Company
1998 Signed a contract and the profit from future sales
in U.S and Europe would be split 50 / 50.

Company was submitted a new drug application

(NDA) for Cialis to U.S Food and Drug
2001 Administration (FDA) and European Agency for
the Evaluation of Medical Products.
Launching Cialis the innovate new drug for the
treatment of male impotence in market, has
2002 successfulphase III clinical trial for treatment
EDfor men.

Cialis
Cialis is a medicine treatment
for
men
with
erectile
dysfunction (ED) produced by
Lilly ICOS LLC company
Have a good prospect business
since the huge successful of
Viagra, generated over 1 billion
in sales for three consecutive
years.
Cialis works a bit faster less
than 30 minutes, and the
effects last much longer - up to
36 hours.
Many men (age 40-70) in US
and
worldwide
experience
chronic ED

Competitor Analysis

Viagra
A little blue pill called Viagra was
the first pharmaceutical treatment
for ED and become phenomenon.
Produced by Pfizer in 1998 and
600,000 prescription in their first
month launch.
Prescription medication in the form
of 25, 50, and 100 mg tablets.
It has 30 min to 1 hours onset time
and half-life about 3 5 hours.
In 2000, the revenue of Viagra is $
1,3 billion.
Known
for
its
marketing
prowess,fierce
and
sustained
marketing campaigns post launch.

Levitra
Bayer release Levitra in 2000
Focus to diabetic men considered hard to treat
segment.
Proved to be very effective at lower dosages
than Viagra (as low as 5 and 10mg).
Levitra take effect quicker than Viagra and has
half-life of 4 6 hours.
Had a verygood marketing coverage in Europe
while in US wasrelatively week.

ED Market Share

Physicians
Divided into two groups: ED Market by Physicians
urologist and primary
care physician (PCPs)
Efficacy &
9%
Efficacy was the most
safety
27%
important followed by
Other
safety and duration.
Duration
Urologist are more
familiar with the medical
causes and medicine of
ED and were more
comfortable discussing
ED withpatients
compare to PCPs.

Patients
A screening survey was administered
to 32,644 patients.
The prevalence of ED increased with
age
In all countries the average ED
suffer
patient was
in his 50sdidn't
with
over
80%
3,450
from ED
2,172
having a sexual partner.
28,022

suffering &
sought
treatment

Physician Consulted
Average Age of ED Patients
60

58

Family doctor
56

4%

5% 1%
49%

Urologist or
men`s
specialist

54

Cardiologist

52

43%
Psychiatrist

58.4
56.9
55.4
53.5

50

Internet doctor

50.7

50.7

48

46

US

France Germany

Italy

Spain

UK

Demographics
Information of ED
Patients

Health Care Transaction Model (HCTM)

To gain deeper understanding of the

drivers of consumer behavior, a
follow-up questionnaire was
administered
to those screened
to Intend to
Consult
Actually
Perceived
their
Receive a
Fill the
take the
refill
they have
doctor
perception
perception
medicatio
prescriptio
have ED.
condition
about
n
n
condition

Younger
man
expressed
higher
level
of
embarrassment in talking about the condition and
were waiting to go away
For older men the belief that this was a normal
phenomenon of aging seemed to create reluctance to
seek treatment
For those who seek treatment, Viagra was the most

Key Drivers Influence

Treatment Seeking
2%
1%
2% 22%
3%
2%
7% 5%

29%
15%
9% 4%

My spouse or sex patner

TV, radio or movie
commercial
A newspaper or magazine
ad
Something that was mailed
to me
Pharmacist
The Internet

Newspaper or magazine
A TV or radioshow
A friend or relative
A sex counselor or
psychologist
Telephone
Sought treatment entirely
on their own

Barriers to Seeking Treatment (ages 20-39)

Waiting to see if
the condition will
go away

Doesn`t happen all

that often

Embarrassed to
talk about it

Don`t want to take

drugs for this
condition

Afraid that
underlying problem
might be serious

Couldn`t easily
about it

Condition is not
that important to
me

Don`t believe that

anything can be
done about it

Believe that the

condition is a
normal part of
aging

Barriers to Seeking Treatment (ages 50-59)

Waiting to see if
the condition will
go away

Doesn`t happen
all that often

Embarrassed to
talk about it

Don`t want to take

drugs for this
condition

Afraid that
underlying problem
might be serious

Couldn`t easily
about it

Condition is not
that important to
me

Don`t believe that

anything can be
done about it

Believe that the

condition is a
normal part of
aging

Barriers to Seeking Treatment (ages 40-49)

Waiting to see if the
condition will go
away

Doesn`t happen all

that often

Embarrassed to talk
about it

Don`t want to take

drugs for this
condition

Afraid that
underlying problem
might be serious

Couldn`t easily
about it

Condition is not that

important to me

Don`t believe that

anything can be
done about it

Believe that the

condition is a normal
part of aging

Barriers to Seeking Treatment (ages 60+)

Waiting to see if the
condition will go
away

Doesn`t happen all

that often

Embarrassed to talk
about it

Don`t want to take

drugs for this
condition

Afraid that
underlying problem
might be serious

Couldn`t easily
about it

Condition is not that

important to me

Don`t believe that

anything can be
done about it

Believe that the

condition is a
normal part of aging

Interest In Trying Cialis

100%

100%

97%
97%
90%

84%

90%
80%
70%
60%

100%

70%
58%

89%

68%

70%
52%

50%
40%
30%
20%
10%
0%

Viagra current users

Viagra dropouts

US
France
Germany
Italy
Spain
UK

Partners
Common aspects of partner
response was the lack of information
about ED prevalence and the
potential reason for its occurrence.
Some women believed :
ED was causes by stress, workrelated stress, medical conditions.
They felt they were not attractive
Less physical intimacy with their
partner, as a result more tense
relationship
Most couples were uncomfortable to
join discussion ED.
The most common sources ofED
drugs information was media reports
and word ofmouth

Problem Analysis

Problem Analysis
HowCialisgainmarketshare andcompete
with existing market leader Viagra?
Should Cialis be priced higher or lower than
Viagra?
How Cialis choosing the strategy
tocompetewith Viagra:
- Niche strategy
- Direct compete (head to head
competition)
-Beat strategy (differentialPositioning)

SWOT Analysis

TRENGTHS

The absorption of the drug

was not affected by food
intake
Cialis has a shorter onset
time and the effects up to 36
hours.
Rare incidence of visual
irregularities
Record submission time of
Phase III to FDA
Has a great Global Marketing
Sales organization to
improve Cialis

PPORTUNITIES

High CAGR n the US, UK,

Italy, Spain, Canada, Mexico
and Brazil. There is
a opportunity to gain market
share in these regions.
The high dropout rates of
Viagra after first year offers
potential targeting for Lilly
ICOS LLC.
Current Viagra users and
dropouts user willing to try
Cialis
Positioning by considering
love and intimacy

W
T

EAKNESSES

Cialis is a new entrance

Low Compound Annual
Growth Rates (CAGR) in
Germany and France.
This may lead to low
return in these markets.
The banned direct-toconsumer in Europe
will lead to inconsistency
in the marketing and
present greater difficulties
in targeting in countries.

Internal
factors

HREATS

Viagra and Levitra as

current competitor
Upcoming new competitor
Bad experience of using
Cialis
Barriers to seeking
treatment
Viagra well positioned and
well known, but Cialis
unknown

External
factors

STP Cialis

Product
Brand name :
Cialis
Form :
Tablet
Serving size :
10 mg, 20 mg
Cialis is only available with a prescription and have to consult with Primary
care physician/ urologist first.

Price
Slightly lower than Viagra ($10/pill)
Cialis set the price on $ 9 / pill
To attract people that Cialis is better than Viagra even the price is
less. It has better durability and more safety because all product are
sell with doctor prescription.

Price
Net Sales Growth
Net
1996
Sales
Growth
Percenta ge
Growth
In
7.346,6
Millions

1997

1998

1999

2000

15,9%

8,4%

7,32%

9,58%

9.236,8

9.912,9

10.862,2 -

Forecast 8.517,6

Average
Net
Sales
10,3%

Forecast Net Year 1

Sales (From
average
10,3%)

Year 2

Year 3 (15%
Growth)

Year 4 (20%
Growth)

Year 5 (25%
Growth)

In
Millions

13.178,9

15.155.7
35

18.186,9

22.733,6

11.948,2

Place
Drug store
Clinical Pharmacy
Hospital Pharmacy
Online Pharmacy

Promotion
Below the line

Distribute of Cialis product to

doctor -> family doctor,
urologist. Since they have big
percentage in EDconsulted.
Influence doctor to use Cialis
product to their patient.

Promotion
Above the line
Media advertising : To increase the brand
awareness of Cialis
TV advertisement

Promotion
Above the line

TV advertisement

Promotion
Above the line
Magazine Ads: Woman
magazine like Cosmopolitan,
Allure and Male Magazine like :
FHM, GQ, Maxim, MensHealth.
Sponsorship :
Sponsoring the health
sexology seminar and health
consultant.
Held an event to introduce
Cialis and giving free
consultation by doctor s,
physicians.

Promotion
Above the line
Online media
Make a website and Online store. People can seek the
information about ED and how to solve theproblem.
Put the advertisement about Cialis product corporate with
online Male and Female Magazine
Promote the product to healthy website
Customer Service
Maintain customer from New Customers to Loyal Customers
Handle customers complain
Inform events and programs
Free consultation

CONCLUSION
With low price, long durability (36
hours) and fast sensitivity (15
minutes), Cialis will have a big
success
because another competitor only
have short durability, such as
Viagra, the market leader.
Even they dominate the market,
Cialis can take over the market

THANK YOU!