A Strategic Management Plan for Restolax Ibuprofen Paracetamol #Thesis

RESTOLAX (IBUPROFEN + PARACETAMOL)

A Strategic Management Plan Presented to the Faculty of the Career Development Program De La Salle-College of Saint Benilde In Partial Fulfillment Of the Requirements for the Degree of Bachelor of Science in Business Administration By:

King del Rosario Michael P. Yukong

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EUROHEALTHCARE EXPONENTS, INC.

A strategic management plan submitted by Kristoffer Jan V. del Rosario and Michael P. Yukong to the faculty of De La Salle-College of Saint Benilde in partial fulfillment of the requirements for the degree in Bachelor of Science in Business Administration major in Marketing Management has been examined and approved for Oral Defense by:

Adviser Approved by Oral Defense Panel:

Chair Panelist Panel Member

Panel Member

Accepted and approved in partial fulfillment of the requirements for the degree of Bachelor of Science in Business Administration Major in Marketing Management by:

Chairperson, Career Development Program

Dean, SPaCE

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I. TABLE OF CONTENTS

I. TABLE OF CONTENTS A. Table of Contents B. List of Tables C. List of Figures D. List of Appendices II. ACKNOWLEDGEMENTS III. INTRODUCTION IV. SCOPE OF LIMITATIONS V. METHODOLOGY VI. EXECUTIVE SUMMARY VII. EXTERNAL ANALYSIS A. Industry Definition B. Industry Segmentation C. Industry Size and Growth D. Seasonality E. Stage in the Product Life Cycle F. Environmental Scan 1. Political-Legal 2. Economic 3. Socio-Cultural 4. Technological 5. Demographic G. Consumer/Customer Analysis 1. Profile of Consumer/Customer 2. Segmentation of Consumer/Customer 3. Usage Patterns 4. Purchase Patterns 5. Consumer/Customer Preferences H. Industry Trends VIII. KEY SUCCESS FACTORS IX. INTERNAL ANALYSIS A. Company Background 1. History 2. Mission/Vision 3. Product/Service Offerings 4. Selling Prices and Pack Sizes

3 3 6 8 9 10 11 13 15 17 19 19 24 25 31 32 35 35 37 39 41 43 44 44 45 46 47 48 49 55 57 57 57 58 58 61

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5. Distribution Network 61 6. Highlights of Historical Performances 64 B. Review of Current Marketing Efforts 65 1. Current Target Market 65 2. Positioning Statement 65 3. Current Sales Performance including Sales Mix and Sales Distribution 66 4. Current Marketing Strategies and Activities 67 5. Current Marketing Problems and Concerns 70 X. COMPETITIVE ANALYSIS 72 A. Industry Participants 72 B. Comparative Brand Performance 72 C. Comparative Analysis of Competition 76 XI. SWOT ANALYSIS 113 A. Product 113 B. Price 117 C. Place 118 D. Promotions 121 XII. MARKETING OBJECTIVES 129 A. Marketing Objectives 129 B. Other Strategies 130 XIII. MARKETING STRATEGIES 134 A. Core Strategies 134 1. Target Market 134 2. Positioning Statement 135 XIV. MARKETING PROGRAM/SCHEDULE/PLAN 138 A. Strategy A: Strengthen brand focus and target market 138 B. Strategy B: Strengthen presence in smaller drugstore chains C. Strategy C: Enter new distribution channels 151 XV. MARKETING BUDGET A. Strategy A: Strengthen brand focus and target market 154 B. Strategy B: Strengthen presence in smaller drugstore chains C. Strategy C: Enter new distribution channels XVI. ACTIVITY GANTT CHART 172 XVII. MONITORING AND CONTROL 174 A. Strategy A: Strengthen brand focus and target market: 174 B. Strategy B: Strengthen presence in smaller drugstore chains C. Strategy C: Enter new distribution channels 176

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XVIII. A. B. C. D. E. F. G. XIX.

FINANCIAL PROJECTIONS Eurohealthcare Exponents Income Statement Prorated Restolax Income Statement Prorated Restolax Horizontal Analysis Prorated Restolax Vertical Analysis 2007 Restolax Interim Income Statement 2008 Restolax Projected Income Statement 2008 Cumulative Marketing Budget for Restolax APPENDICES

178 178 179 181 182 183 184 191 194

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List of Tables

Table 1. Classification of Antirheumatics and Analgesics 20 Table 2. Ibuprofen (200 mg) Combined with Paracetamol (325 mg) Segment 27 Table 3. Ibuprofen Combined with Paracetamol Segment 28 Table 4. Topical Muscle-Pain Reliever Segment 30 Table 5. Peso Sales of Overall Muscle-Pain Reliever Industry 31 Table 6. UAI Market Size Calculations 32 Table 7. Peso Sales of Overall Muscle-Pain Reliever Industry 32 Table 8. 2006 Monthly Peso Sales of Restolax 33 Table 9. Politico-Legal Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax) 35 Table 10. Economic Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax) 36 Table 11. Socio-Cultural Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax) 39 Table 12. Technological Factors affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax) 41 Table 13. Demographic Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax) 43 Table 14. Demographic Profile of Muscle-Pain Reliever Consumer 44 Table 15. Chronological Listing of Recent Marketing Efforts 64 Table 16. Historical Sales of Restolax 66 Table 17. List of Sub-Distributors and Institutional Accounts 67 Table 18. 2007 Sales of Top 5 Manufacturers/Companies of MPRs per Classification of Philippine Pharmacopoeia 73 Table 19. 2007 Sales and Market Share of Top Companies in MusclePain Reliever Industry 74 Table 20. Competitive Analysis for Restolax and Restolax Forte 84 Table 21. Competitive Analysis for Alaxan and Alaxan FR 86 Table 22. Competitive Analysis for Gardan 250 and Gardan 500 91 Table 23. Competitive Analysis for Ponstan 250 and Ponstan 250 SF 94 Table 24. Competitive Analysis for Ponstan 500 and Ponstan 500 SF99 Table 25. Competitive Analysis for Flanax and Flanax Forte 101 Table 26. Competitive Analysis for Dolfenal 250 and Dolfenal 500 103 Table 27. Competitive Analysis for Biogesic and Alaxan Gel 107

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Table 28. Competitive Analysis for Efficascent Oil and Efficascent Oil Extra 112 Table 29. Competitive Analysis for Bengay Cream and Bengay Ultra115 Table 30. Competitive Analysis for Omega Painkiller 119 Table 31. SWOT Analysis for Product 134 Table 32. SWOT Analysis for Price 135 Table 33. SWOT Analysis for Place 136 Table 34. SWOT Analysis for Promotion 137 Table 35. Other Strategies for Eurohealthcare (Restolax) 139 Table 36. Blister Pack Improvements for Restolax 147 Table 37. Marketing Budget for Strategy A, Action Plan 1 152 Table 38. Marketing Budget for Strategy A, Action Plan 2 158 Table 39. Marketing Budget for Strategy B, Action Plan 1 159 Table 40. Marketing Budget for Strategy B, Action Plan 1 164 Table 41. Marketing Budget for Strategy C, Action Plan 1 168 Table 42. Marketing Budget for Strategy D, Action Plans 1, 2, and 3172 Table 43. GANTT Chart for 2008 Strategies and Action Plans 174

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List of Figures

Figure 1. Muscular System 19 Figure 2. Industry Segmentation of Muscle-Pain Relievers 25 Figure 3. Hierarchy of Muscle-Pain Reliever Industry 26 Figure 4. Seasonality of Restolax Sales 34 Figure 5. Growth Stage for Restolax 34 Figure 6. Growth of OTC per Region 50 Figure 7. Share of Analgesics in Asia-Pacific’s $36.5 B OTC Market Figure 8. Philippine OTC Market in Comparison to Other Asian Markets Figure 9. Philippine OTC Growth Rate in Comparison to Other Asian Countries 53 Figure 10. Annual per Capita Income by 2010 of Asian Countries 54 Figure 11. Distribution System of Eurohealthcare 62 Figure 12. Restolax Billboard along Malabon, NLEX 69 Figure 13. Restolax Mobile Billboard and Delivery Van 69 Figure 14. Market Share of Muscle-Pain Reliever Industry 75

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List of Appendices

Appendix A. UAI Questionnaire 195 Appendix B. UAI Results 231 Appendix C. 2008 Costing of Marketing Strategies and Action PlansAppendix D. Selected Pages from April - June 2006 Philippine Pharmacopoeia 283 Appendix E. Raw Data from Eurohealthcare and SEC 336

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II. ACKNOWLEDGEMENTS

King and Mike would like to thank the following: Our parents, Mr. & Mrs. Rogie B. del Rosario; and, Mr. & Mrs. Pete Yukong; Our siblings, Vanessa Mar; and, Zarrina, Aleli, Rey, Arthur, and Richard; Atty. Fritz-Erich Baldoria; Our classmates and batchmates at Career Development Program in De La Salle-College of Saint Benilde; Our theis adviser, the faculty, and staff of CDP; The management and staff of Eurohealthcare namely Mrs. Zenaida D. Balajadia, Mr. Max Balajadia, Mr. Dennis D. Balajadia, and Mrs. Ma. Cristina Palomara; Our current employers, Mr. Robert E. Bachmann; and Mr. & Mrs. Rolando P. Moscardon; Mary Ira Reena Cruz and Maikela ; In God we trust. In the name of Allah, the most gracious, the most merciful!

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III. INTRODUCTION

The Paper that follows is a well-researched academic exercise as to how Eurohealthcare Exponents, Inc., the makers of Restolax (200 mg Ibuprofen combined with 325 mg Paracetamol) can enhance the competitiveness of their brand operations through its proposed marketing strategies. Detailed Action Plans are presented delineating how each of these strategies can be accomplished with the greatest possible benefit for the company. Muscle-Pain Relievers, or MPRs, are healthcare products that aid in the relief of muscle pains brought about by stress, fatigue, or old age. MPRs are generally classified as either of three (3) forms, namely: a.) topical (liquids, lotions, liniments, gel); b.) plaster-type or stick-ons; and, c.) capsules or tablets. There are other types of MPRs available such as the injectable-types, steroids, opiods, and opiates. However, they are used in accordance to ethical prescription and are limited in number. Restolax is classified under analgesics as with other brands of MPRs in capsule form. Restolax tablet is a muscle pain reliever containing 200 mg Ibuprofen combined with 325 mg Paracetamol.

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Paracetamol is a strong analgesic and antipyretic. It provides symptomatic relief from painful conditions, including headache, dysmenorrhoea,

myalgias,

neuralgias,

rheumatism

arthritis,

and

musculoskeletal disorders as well as in febrile conditions. Examples of febrile conditions are rheumatic fever, common colds, flu, and other upper respiratory tract infections. On the other hand, ibuprofen provides quick symptomatic relief from pain of low to moderate intensity particularly pain with inflammation, for acute chronic forms of arthritis, ankyslosing spondylitis, and other inflammatory diseases of the spinal column, irritations in degenerative diseases of joints and the spinal column, nonparticular rheumatism syndrome, painful swelling or inflammations following injuries or operations. Business commenced in 2002 and was highlighted with TV commercials featuring Robin Padilla. Unfortunately, though sales growth has gone up, its growth rate is minimal especially since no concrete marketing strategy has been implemented ever since. Today, Restolax is being sold in drugstores through sub-distributors mostly within Metro Manila and Luzon. Exports are also performed to counter the wide dominance of its main competition, Alaxan, within the Philippines.

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IV. LIMITATIONS

1.

The researchers consolidated data up to July 10, 2007.

Any

developments in the Company or in the industry after the said date are not included in the Study. 2. The Usage, Attitude and Image (UAI) Study (Appendix A) conducted by the researchers consists of 105 respondents and utilized the multistage random sampling method. The number of respondents and sampling methodology is higher than the requirement set by the De La Salle-College of Saint Benilde of only 100 respondents. In the event, however, that survey results conflict with acquired quantitative data from more reliable sources such as industry associations, professional research agencies, trade data, newspaper articles, and the like, the researchers gave due credibility to published reports and data. 3. It is assumed that all data gathered from internal company sources, and the financial statements acquired from the Securities and Exchange Commission (SEC), are almost accurate. 4. The focus of the researchers is within the Greater Manila Area.

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5. Respondents’ ages were between 18 - 60 years old involving both men and women from classes A/B, C, and D. Most questions asked pertain to the respondents’ knowledge about muscle pain relievers. 6. The researchers’ study pertains specifically to Restolax. Rather than classifying it under “Ibuprofen combined with Paracetamol,” analgesics, or non-steroidal anti-inflammatory drugs (NSAIDs), the research focused on muscle pain relievers due to the need to widen the company’s perception of competition. The researchers initially proceeded to formulate a questionnaire specifically pertaining to the subject brand.

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V. METHODOLOGY

The survey was conducted with the use of random respondents utilizing multi-level cluster who fit the following criteria: 

male or female



belonging to classes A/B, C, or D



18-60 years of age



Uses muscle pain relievers weekly A randomly generated map was secured from an external

supplier. Though the presenters performed a part of the survey, majority of the actual survey was outsourced to Vertol, a local market research company. The areas where the survey was conducted are in the following areas: 

Cubao, Quezon City



Taguig



Kalawaan, Pasig



Las Piñas



Sta. Cruz, Makati



Bgy. 645, 6th Manila

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The results were tabulated using the Statistical Package for Social Sciences (SPSS) software in order to attain a finer perspective regarding the usage, attitude, and image of muscle pain relievers. Primary and secondary data were also collected from the employees of Eurohealthcare. Primary data are actual interviews with the marketing department and with the General Manager, Ms. Ma. Christina

Palomara.

Secondary

data

chiefly

includes

financial

statements, archives of past marketing efforts, as well as copies of the April-June 2006 Philippine Pharmacopoeia. The research also made important references on the 2006 AprilJune Philippine Pharmacopoeia (Appendix D), which stands as the fundamental basis of reporting and analyzing sales of all pharmaceutical products within the Philippines. The UAI was examined to aide in the formulation of marketing strategies. The gathered data were consolidated and analyzed, which was used in citing the company’s strengths, weaknesses, possible opportunities and threats. Consultation with key persons within and outside Eurohealthcare and De La Salle-College of Saint Benilde were also

conducted

to

gather

ideas

and

recommendations.

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DEFINITION OF TERMS

Muscle pain relievers. Muscle-pain relievers are varied healthcare products used to relieve localized muscle pain in a manner of minimizing or eliminating the source of discomfort1. Analgesics. Simply put, analgesics are a class of drugs used to relieve pain. The pain relief induced by analgesics occurs either by blocking pain signals going to the brain or by interfering with the brain's interpretation of the signals, without producing anesthesia or loss of consciousness. There are basically two kinds of analgesics: non-narcotics and narcotics.2 Nonsteroidal. The term "non-steroidal" is used to distinguish these drugs from steroids, which (among a broad range of other effects) have a similar eicosanoid-depressing, anti-inflammatory action.3 NSAIDs.

Nonsteroidal

anti-inflammatory

drugs,

or

NSAIDs

(pronounced en-said) are the most prescribed medications for treating

1

2

3

Tide, M., 2006. Muscle-Pain Solutions. http://arthritis.about.com/ od/muscle/Muscle_Pain_Causes_Symptoms_Diagnosis_ Treatment_Pain_Relief.htmx. accessed 24 August 2007. Eustice, C., 2006. Your Guide to Arthritis. http://arthritis.about.com/od/ n analgesic/a/factsanalgesics.htmx. accessed 24 August 2007. Anonymous, 2006. NSAIDs, http//en.wikipedia.org/wiki/Non-steroidal_antiinflammatory_drug. accessed 24 August 2007.

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conditions such as arthritis. Most people are familiar with over-thecounter, nonprescription NSAIDs such as aspirin and ibuprofen.4 Ibuprofen Ibuprofen belongs to a class of drugs called non-steroidal anti-inflammatory drugs (NSAIDs). These drugs are used for the management of mild to moderate pain, fever, and inflammation. Prostaglandins are chemicals that are made by the body and are responsible for causing pain, fever and inflammation5. Paracetamol. Paracetamol is a painkiller, more technically described as a non-opioid analgesic. As a painkiller, it's similar in strength to aspirin, but does not have the anti-inflammatory action of aspirin.6 Topical. In medicine, a topical medication is applied to body surfaces such as the skin or mucous membranes such as the vagina, penis, anus, throat, eye or the ear.7 Rubefacients. Drugs that act locally on cutaneous or mucosal surfaces to produce inflammation; those that cause redness due to hyperemia are rubefacients; those that raise blisters are vesicants and those that

4

5

6

7

Anonymous, 2006. What are NSAIDs?, http://orthoinfo.aaos.org/fact/ thr_report.cfm?Thread_ID=398&topcategoryx. accessed 24 August 2007. Anonymous, 2006. Ibuprofen, http://www.medicinenet.com/ibuprofen/ article.htm accessed 24 August 2007. Anonymous, 2006. Paracetamol, http://www.bupa.co.uk/health_information/ html/medicine/paracetamol.html accessed 24 August 2007. Anonymous, 2006. Topical , http://en.wikipedia.org/wiki/Topical accessed 24 August 2007.

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penetrate sebaceous glands and cause abscesses are pustulants; tear gases and mustard gases are also irritants.8 OTC. Over-the-counter (OTC) drugs are medicines that may be sold without a prescription, in contrast to prescription drugs. The term likely dates back to before self service shopping became common, when most goods were obtained by requesting them from a clerk at a sales counter; while prescription drugs required a visit to the doctor first, these drugs could be purchased "over the (sales) counter" just like other goods. 9 Prescription Drugs. A prescription drug is a licensed medicine that is regulated by legislation to require a prescription before it can be obtained. The term is used to distinguish it from over-the-counter drugs which can be obtained without a prescription10.

8

9

10

Anonymous, 2006. NSAIDs, http://www.online-medical-dictionary.org/ Rubefacients.asp?q=Rubefacients. accessed 24 August 2007. Anonymous, 2006. Over the Counter Drugs, http://en.wikipedia.org/wiki/ Over-the-counter_drug accessed 24 August 2007. Anonymous, 2006. Over the Counter Drugs http://en.wikipedia.org/wiki/

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VI. EXECUTIVE SUMMARY

Restolax is classified under analgesics as with other brands of MPRs in capsule form. Restolax tablet is a muscle pain reliever containing 325 mg Paracetamol combined with 200 mg Ibuprofen. Paracetamol is a strong analgesic and antipyretic. Provides symptomatic relief from painful conditions, including headache, dysmenorrhoea, myalgias, neuralgias, rheumatism arthritis, and musculoskeletal disorders as well as in febrile conditions. Examples of febrile conditions are rheumatic fever, common colds, flu, and other upper respiratory tract infections. On the other hand, Ibuprofen provides quick symptomatic relief from pain of low to moderate intensity particularly pain with inflammation, for acute chronic forms of arthritis, ankyslosing spondylitis, and other inflammatory diseases of the spinal column, irritations in degenerative diseases of joints and the spinal column, nonparticular rheumatism syndrome, painful swelling or inflammations following injuries or operations.

Prescription_drug accessed 24 August 2007.

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Restolax’s sales for 2006 is P20,630,037.56, which is merely 1.49% of the ibuprofen combined with paracetamol segment. The brand’s sale does not create a significant market share in the overall muscle pain reliever industry. Restolax’s objective is to increase annual peso sales to not less than P30.5 million, increasing market share to 2% in the ibuprofen combined with paracetamol segment. In addition, the company aims to achieve a bigger share in the muscle pain reliever industry by tapping new markets such as the topical muscle pain reliever segment. This will substantially improve income to more than P3,640,000.00. The strategies proposed by the researchers for the year 2007 are to strengthen brand focus and target market, strengthen presence in smaller drugstore chains, and to enter new distribution channels. The purpose of the said strategies is to create brand awareness and to generate more sales.

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VII. EXTERNAL ANALYSIS

A. Industry Definition Muscle pain has been scientifically defined as an unpleasant, emotional, and sensory experience associated with actual or potential tissue damage11. Relief is the fact or state of lessening or freeing from a pain, burden, or difficulty12. Muscle pain is most frequently related to tension, overuse, or muscle injury from exercise or physically demanding work.

Figure 1. Muscular System

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12

Lynch, Tim. 1996. Pain Management: Ways To Manage Your Pain. On-line. Available from Internet, http://arthritis.about.com/ cs/painmanage/a/stopthepain.htm, accessed 10 July 2007. Ferguson, A, "Relief," in World Book Disctionary, 1992 ed.

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Muscle pains are common and can involve more than one muscle at the same time. It can also involve the soft tissues that surround muscles. These structures are often referred to as connective tissues, and include ligaments, tendons, and fascia, which are thick bands of tendons (Figure 1)13.

MUSCLE-PAIN RELIEVERS MO1 Antirheumatics System MO1A1 Antirheumatics Non-Steroid PLN MO1A2 Antirheumatics Non-Steroid COMB COXIBS MO1B Antirheumatic Steroid Comb MO1C Antirheumatic Agents MO2 Antirheumatics Topical/Rubefacients MO2A Antirheumatics Topical NO2 Analgesics NO2A Narcotic Analgesics NO2B Non-Narcotic Analgesics NO2C Anti-migraine Preps Table 1. Classification of Antirheumatics and Analgesics As of April-June 2006 Philippine Pharmacopoeia

Muscle pain Relievers, or MPRs, are healthcare products that aid in the relief of muscle pains brought about by stress, fatigue, or old age. MPRs are generally classified as either of 3 forms, namely: a.) topical

13

Peters, L., 2006. Muscle-Pain. On-line. Available from Internet, http://adam.about.com/encyclopedia/Muscle-pain.htm. accessed 10 July 2007.

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(liquids, lotions, liniments, gel); b.) plaster-type or stick-ons; and, c.) tablets or capsules. There are other types of MPRs available such as the injectable-types, steroids, and muscle relaxants. Muscle relaxants contain opiods and opiates. However, these other types are used in accordance with ethical prescription and are limited in number. Moreover, some differ in the process they relieve muscle pain. The muscle relaxing properties of muscle relaxants arise not from direct activity at the muscular or neuromuscular junction level but rather from an inhibition of more central polysynaptic neuronal (nerve cells that end in synapses) events.14 Whereas MPRs attack the pain in the muscle itself, these muscle relaxants containing opiods send signals to the brain informing it of the decrease or even the absence of pain. The April-June 2006 Philippine Pharmacopoeia lists several forms of MPRs under varying categories, generally based on their effect on human physiology (Table 1). MO1 are antirheumatic products, which is comprised of antirheumatic non-steroid pln, antirheumatic non-steroid comb, coxibs, antirheumatic steroid comb, and antirheumatic agents. MO2 are antirheumatics that are topical in form. Technically, most of these products listed under MO2 are termed as rubefacients. 14

Malanga, G. 2000. Muscle Relaxants in the Treatment of Acute Low Back

24

Rubefacients are traditional formulations based on salicylate and nicotinate esters, capsaicin and capsaicin extracts and derivatives15. NO2 are generally analgesics containing either of the following major components:

Ibuprofen,

Fenoprofen,

Aspirin, Diclofenac,

Sulindac, Diflusinal, Naproxen, Indomethacin, Tolmetin, Piroxicam, Ketoprofen, Azopropazone, and Ketorolac. Categories that are italicized in the Table 1 are generally sold as prescriptive pharmaceutical and are used in severe cases of physical pain. These cases include dental operations, surgeries, and other chronic physical pain. These products are in great contrast to those sold over-thecounter which comprises the muscle pain reliever industry. Topical painkillers come as gels, creams, lotions or patches that are applied directly to the skin over your aching joints. Three types of over-the-counter joint creams are sometimes used by people seeking arthritis pain relief, including: 1. Rubefacients. Applications that make skin feel hot or cold usually containing menthol or camphor. These products are termed as rubefacients.

15

Pain. General MD, 15 March, p. 103. Bandolier, S., 1993. Topical Analgesics Introduction. New York: Oxford Books.

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2. Aspirin-like pain rubs.

Some products, called topical

analgesics, contain salicylates, the same ingredients that give aspirin its pain-relieving quality. In addition to offering arthritis pain relief, these products may reduce joint inflammation, as they are absorbed into the skin. 3. Capsaicin creams.

The seeds contain a compound called

capsaicin (kap-sa-IH-sin), which causes the burning sensation you associate with peppers. Creams made with capsaicin are most effective for arthritis pain in joints close to the skin surface, such as your fingers, knees and elbows. Capsaicin creams work by depleting your nerve cells of a chemical called substance P, which is important for sending pain messages. Capsaicin creams may need to be applied regularly for one or two weeks before arthritis pain relief may occur. 4. Combination products. Some products contain a combination of these three types of arthritis pain relief methods. Topical analgesic products may be useful for those with mild arthritis pain that affects only a few joints. Topical analgesic products can differ widely in the number and type of their active ingredients16. 16

Peters, L., 2006. Topical Analgesics ( Capzasin-P, Menthacin, Zostrix). On-

26

However, Study results from Nottingham University scientists comparing topical (applied to the skin) NSAIDs, oral NSAIDs, and a dummy topical treatment revealed that: topical NSAIDs offered better pain relief than the dummy treatment for the first two weeks, but after that period of time it was no more effective than the dummy treatment. Topical NSAIDS were less effective compared to oral NSAIDS even in the first two weeks. Oral NSAIDs demonstrated long-term effectiveness. Their conclusion: the benefit of topical NSAIDS is short-lived17. Plaster MPRs are basically topical analgesics but with the purported convenience and efficacy of localizing pain with the use of a plaster and other similar sheets. Unlike the topical and plaster-type MPRs, capsules are vague in distinction because of the various formulations, which can lead to the relief of muscle pains. Major brands falling under the capsule forms utilize the mixture of Paracetamol (referred as acetaminophen in the United States) and Ibuprofen. On the other hand, there are also other brands of MPRs, which make use of Mefenamic acid. Some brands,

17

line. Available from Internet, http://arthritis.about.com/od/ topicalanalgesics/Topical_Analgesics_CapzasinP_Menthacin_ Zostrix.htm. accessed 10 July 2007. Zhang, N., 2004. How Do Topical NSAIDs Perform?. On-line. Available

27

which make use only of Paracetamol and Ibuprofen in their formulation, are also perceived to be MPRs from the point-of-view of certain consumers. These capsule MPRs are classified as either antirheumatics or analgesics18. Aspirin is the prototypical member of the group of medications known as non-steroidal anti-inflammatory drugs (NSAIDs)19. Successive research and development led to the increased usage of Ibuprofen. Ibuprofen is an NSAID used to treat arthritis pain and inflammation20. The other NSAIDs are Clonixin, Ketoprofen, Naproxen, Diclofenac, Fenbufen, Indomethacin, Piroxicam, and Azopropazone

B. Industry Segmentation In the Philippines, the muscle pain reliever industry is not concretely defined because regulations pertaining to usage and purchase

from Internet, http://arthritis.about.com/b/a/102945.htm. accessed 10 July 18 19

20

2007. Anonymous. 2006. April-June 2006 Philippine Pharmacopoeia. Manila: PPO. Willis, N., 2006. Effect of NSAIDs. On-line. Available from Internet, http://www.spineuniverse.com/displayarticle.P/article1832.html. accessed 10 July 2007. Nevinsky, N., 2006. Ibuprofen Motrin Dosage. On-line. Available from Internet, http://arthritis.about.com/od/Ibuprofen/ Ibuprofen_Motrin_Dosage_Side_Effects_Interactions_Warnings.htm. accessed 10 July 2007.

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are yet to be regulated (Figure 2). The segments of muscle pain relievers within the thick lines indicate that these are sold over-the-counter (OTCs)21. Segments outside the thick lines are sold only with prescription. The products above the broken lines indicate that these are in topical form while the ones below are in either capsule or tablet.

Rubefacients Topical Analgesics Other Topical Anti-Rheumatics Oral Analgesics Mefenamic Acid Anti-Inflammatory Paracetamol NSAIDs Paracetamol + Ibuprofen Others Opiods Anti-Inflammatory Foods Figure 2. Industry Segmentation of Muscle-Pain Relievers22

C. Industry Size and Growth Calculating the weighted growth of each brand with respect to their market size provided an overall growth of 1% of the Ibuprofen (200 mg) combined with Paracetamol (325 mg) segment of the muscle pain reliever industry (Table 2). This segment accounts for 99.97% of all

21

Pangilinan, M. 2007. Analgesics, NSAIDs, etc. ed. Pangilinan, M.,

419-423. 22

Manila: CMPMedica. Anonymous,. 2006. April-June 2006 Philippine Pharmacopoeia.

Manila: PPO.

29

tablet products containing Ibuprofen combined with Paracetamol regardless of dosage (Figure 3).

Error! Bookmark not defined. Figure 3. Hierarchy of Muscle-Pain Reliever Segments23

The peso sales of all products containing Ibuprofen combined with Paracetamol regardless of dosage contributes to 22.27% of all OTC muscle pain relievers such as analgesics, anti-rheumatism, NSAIDs, in tablets or capsules only. These products may include components like mefenamic acid and naproxen. Combining this with all forms and types of OTC muscle pain relievers will accumulate to peso sales of P6,441,910,000.00. This shows that the OTC analgesics/anti-rheumatism/NSAIDs that are in tablets or capsules comprise 96% of the entire muscle pain reliever industry. Ethical products contribute only around 4% of the entire peso sales.

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Ibid.

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PESO SALES BRAND Drugstores All Accounts GROWTH Alaxan 471,170,000.00 703,238,805.97 2% Alaxan FR 422,530,000.00 630,641,791.04 0% Muskelax 28,390,000.00 42,373,134.33 4% Restolax 500,000.00 3,903,774.14 33% Flexigesic MPR 100,000.00 149,253.73 0% Selxan 100,000.00 149,253.73 0% Anoflam 20,000.00 29,850.75 0% Total 922,810,000.00 1,380,485,863.70 1% Table 2. Ibuprofen (200 mg) Combined with Paracetamol (325 mg) Segment24 § UAI calculation based on location of frequent purchase Though Alaxan and Alaxan FR are the top brands in the segment containing Ibuprofen (200 mg) combined with Paracetamol (325 mg), it only has a growth of 2% and 0% respectively (Table 2). On the other hand, Restolax has a growth of 33%, the highest among all products within the segment. The same scenario exists in the segment containing all products with Ibuprofen combined with Paracetamol regardless of dosage (Table 3). Alaxan and Alaxan FR only has a growth of 2% and 0% respectively, Restolax has 33% growth, while the entire segment has 1% growth. Alaxan and Alaxan FR have a market share of 51% and 46% respectively.

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Ibid.

31

PESO SALES BRAND Drugstores All Accounts GROWTH Alaxan 471,170,000.00 703,238,805.97 2% Alaxan FR 422,530,000.00 630,641,791.04 0% Muskelax 28,390,000.00 42,373,134.33 4% Restolax 500,000.00 3,903,774.14 33% Restolax Forte 170,000.00 253,731.34 0% Brustan 100,000.00 149,253.73 0% Flexigesic MPR 100,000.00 149,253.73 0% Selxan 100,000.00 149,253.73 0% Anoflam 20,000.00 29,850.75 0% Total 923,080,000.00 1,380,888,848.77 1% Table 3. Ibuprofen Combined with Paracetamol Segment25 § UAI calculation based on location of frequent purchase

Restolax only has a very minute market share of 0.05%. The market leader, Alaxan, along with Alaxan FR, experienced only a minimal growth for 2006 because during that year, minimal promotional efforts were done. The company did not expand its distribution network nor performed any major promotional campaign, hence the brand status quo with respect to sales. This dismal growth is why Therapharma, under the umbrella of United Laboratories (Unilab), became one of the biggest ad spenders in 2007.26

25 26

Ibid. Anonymous, 2006. Cumulative Report on Top Advertising Spenders.

Manila: Leo Burnett.

32

On the other hand, the topical muscle pain reliever segment has a cumulative 12% growth for 2006. The top brand, which is Efficascent Oil, experienced a growth rate of 23% (Table 4). It is notable, however, that though most of the big topical brands are experiencing a high growth, the smaller and more generic counterparts are experiencing dismal, or even negative, growth rates. The fact of which is stunting the overall performance of this particular segment. Based on the Philippine Pharmacopoeia, peso sales of the muscle pain reliever industry amounts to P383 million (Table 5). This figure takes into account the percentage of users who buy from drug stores and pharmacies that is only 67% of the entire market based on UAI; the muscle pain reliever industry has peso sales amounting to P6.5 million.

33

Calculating industry size with the use of the UAI survey supports this figure (Table 6). PESO SALES BRAND All Accounts GROWTH Efficascent Oil 124,611,940.30 23% Alaxan Gel 56,761,194.03 -4% Omega Painkiller 52,373,134.33 -3% Katinko Ointment 45,611,940.30 29% Ben-Gay 27,014,925.37 -20% Voltaren 23,567,164.18 6% Salonpas 17,029,850.75 26% Superscent Oil 15,567,164.18 37% Capsicum 7,716,417.91 8% Mentopas 3,253,731.34 34% Feldene 2,552,238.81 -16% Metsal 1,671,641.79 -31% Begesic 1,671,641.79 -25% Megascent Oil 970,149.25 -27% Oil Wintergreen IPH 656,716.42 -58% Oil Wintergreen ACE 552,238.81 -11% Macroxam 462,686.57 -5% Oil Wintergreen LAR 417,910.45 127% Yee Tin Medical 253,731.34 54% Oil Wintergreen JERUC 223,880.60 -9% Oil Wintergreen APOLO 164,179.10 283% Tiger Balm 44,776.12 -77% Oil Wintergreen PAB 29,850.75 -78% Vi-Gel 14,925.37 0% Others 0% 383,194,029.90 12% Total §

Table 4. Topical Muscle-Pain Reliever Segment27 UAI calculation based on location of frequent purchase

27

Anonymous,. 2006. April-June 2006 Philippine Pharmacopoeia.

Manila: PPO.

34

MUSCLE-PAIN RELIEVER INDUSTRY PPI Classification All Accounts Antirheumatics System 4,033,388,059.70 MO1A1 Antirheumatics Non-Steroid PLN 2,697,805,970.15 MO1A2 Antirheumatics Non-Steroid COMB 1,335,582,089.55 Antirheumatics Topical 383,208,955.22 MO2A Antirheumatics Topical 383,208,955.22 Analgesics 5,198,194,029.85 NO2B Non-Narcotic Analgesics 5,198,194,029.85 TOTAL 9,614,791,044.78 Table 5. Peso Sales of Overall Muscle-Pain Reliever Industry28 § UAI calculation based on location of frequent purchase

UAI Calculations for market size was calculated as follows. Based on the National Statistics Office (NSO), there are around 18 million29 households in the country today. This is then multiplied by the general percentage of users of muscle pain relievers. The answer would yield the actual number of household users, which is then multiplied by the percentage of users per form. The result would be number of users per form. The weighted frequency is calculated by multiplying number of respondents per purchase frequency (Appendix B) with the weighted number of days per interval. The weighted quantity is calculated by 28 29

Ibid. Anonymous, 2006. Number of Household Users. On-line. Available from Internet, http://www.census.gov.ph/data/quickstat/ index.html. accessed 10 July 2007.

35

multiplying the number of respondents per purchase quantity (Appendix B) with the weighted grams per interval. The weighted SRP is basically the weighted SRP of number of respondents per SRP interval.

MARKET SIZE OF MUSCLE-PAIN RELIEVER INDUSTRY General Topical Capsules Households 18,000,000.00 18,000,000.00 18,000,000.00 Usership Level 50% 27% 12% # of Household Users 8,910,000.00 4,811,400.00 2,213,244.00 % of MPR Form User 100% 54% 46% # of Household Users 8,914,286.00 4,800,000.00 4,114,286.00 Weighted Frequency of Purchase 3.16 2.08 4.42 Subtotal 28,169,144.12 9,984,000.00 18,185,144.12 Weighted Quantity of Purchase 3.22 7.63 0.8 Market Size Units 90,726,035.30 76,177,920.00 14,548,115.30 Weighted SRP 1.78 0.79 6.98 Market Size Peso Sales 161,726,401.57 60,180,556.80 101,545,844.77 Market Size % 100% 37% 63% Table 6. UAI Market Size Calculations D. Seasonality MPRs are not seasonal in nature, though for health-required MPRs the usage surges during summer and the cold months beginning September each year. Summer is characterized by an increase of outdoor-related activities associated with athletic customers which

36

causes muscle strains and similar ailments (Figure 4). In the latter part of the year, cold temperature increases occasions of muscle pain and other related ailments especially for the consumers with health problems and senior citizens.

Peso Sales Months Drugstores All Accounts January 39,500.00 308,398.16 February 40,750.00 318,157.59 March 40,500.00 316,205.71 April 43,500.00 339,628.35 May 45,500.00 355,243.45 June 42,000.00 327,917.03 July 41,000.00 320,109.48 August 40,250.00 314,253.82 September 39,500.00 308,398.16 October 41,500.00 324,013.25 November 41,000.00 320,109.48 December 45,000.00 351,339.67 Total 500,000.00 3,903,774.14 Table 8. 2006 Monthly Peso Sales of Restolax30 § UAI calculation based on location of frequent purchase However, since the majority of consumers for this category are among the working class, there is no particular season where this type of product is in demand. The minor sector of the market, which is the children, on the other hand, may need less of this product during

30

Anonymous,. 2006. April-June 2006 Philippine Pharmacopoeia.

Manila: PPO.

37

vacations from school. Moreover, sales according to the Philippine Pharmacopoeia show no change due to seasonality (Table 8).

400,000.00 350,000.00 300,000.00 250,000.00 200,000.00 150,000.00 100,000.00 50,000.00 -

Drugstores

Ju ly Se pt em be r No ve m be r

ay M

ar ch

Ja nu a

ry

All Accounts

M

Amount in Pesos

Peso Sales by Months

Months

Figure 4. Seasonality of Restolax Sales31

E. Stage in the Product Life Cycle Though Restolax has been in the market since 2002, the brand is still in its growth stage (Figure 5). This is because it has attained a 33% growth in sales for 2006. This is quite high in contrast to the mere 4% growth stage of the entire segment of branded MPRs. In fact, even Alaxan, its perceived main competitor only received a shy 2% sales growth rate for the same period. This is because it was only during 2006 that the company widened its distribution network, which accounts for the high growth of the brand.

38

Error! Bookmark not defined.

Figure 5. Growth Stage for Restolax

31

Ibid.

39

F. Environmental Scan 1. Political-Legal Factor

Effect on Industry

Effect on Company

Intensified implementation of BFAD regulations (e.g. Generics Act of 1988), and creation of other related laws (e.g. AO 2005-0016, AO 20050030, AO 2006-0021, AO 2005-0031, AO 2004-70, BC 2005-005, BC 2006-01132

The industry will face tougher control and interference from the government, all for the benefit of the public, in terms of product development, certifications, placement, and promotions, among others.

From new product registrations, renewal of certifications, to promotional activities, Eurohealthcare needs to ensure that compliance is prioritized

Table 9. Politico-Legal Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax)

32

Anonymous. 2006. Bureau of Food and Drugs Memorandum 2006-223-A. (June): 1-65.

40

2. Economic Factor

Effect on Industry

Effect on Company

The improving pesodollar exchange rates. Average exchange rate for the third quarter of 2006 is P 46.00 = US$ 1.0033

This would result to a better economy, which means that basic necessities may have lower prices.

The increase of Dubai crude oil prices, that went up from US$ 53.20/bbl to US$ 57.82/bbl as of March which is 21.5% increase34 The increase of GDP in the third quarter of 2006 that accelerated to 4.8% from 4.2 percent in the previous year posting a 0.6% growth35

Increase in import payments.

May result to better sales since people will have more buying power and a possible decrease in the cost or price of the manufactured product may result. May result to higher cost of sales.

The impressive growth of GDP contributes to the domestic economy showing steady vibrancy.

May result to more revenue as more investments come in the Philippines, offering more jobs, therefore higher buying power for most Filipinos. Growth of merchandise There is a good demand May result to more imports by six percent in the production of revenue as more 33

Anonymoys, 2006. Peso-US Dollar Watch. On-line. Available from Internet, http://www.nscb.gov.ph/stats/pesodollar.asp. accessed 10 July 2007. 34 Al Soomi, M. 2005. Oil price increase hits exporting nations too. Special to Gulf News. On-line. Available from Internet, http://archive.gulfnews.com/ articles/06/07/07/10051936.html. accessed 10 July 2007. 35 Anonymous, 2007. Ibon: Q1 6.9% growth poll-driven, temporary. On-line. Available from Internet, http://www.gmanews.tv/story/44611/Ibon-Q1-69growth-poll-driven-temporary. accessed 10 July 2007.

41

for the last quarter of 200736

goods particularly in the importation of raw materials that compliment manufacturing products. The continuous upsurge The increase of dollar of OFW remittances remittances increased (Overseas Filipino consumer spending as Workers). An increase well. of USD146,787 from Oct 2005-2006, a 16.93% increase37

investments come in the Philippines, offering more jobs, therefore higher buying power for most Filipinos. May result to an increase in the buying capacity of the consumer and may increase revenues.

No increase in salaries and wages while prices of basic commodities have gone up38

May result to an increase in the buying capacity of the consumer and may increase revenues.

The increase of dollar remittances increased consumer spending as well.

Table 10. Economic Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax)

36

Anonymous, 2006, RP merchandise exports up by 8.8%. On-line. Available from Internet, http://www.gov.ph/news/default.asp?i=12274. accessed 10 July 2007.

37

Anonymous, 2006, Palace buoyed up by higher OFW remittances. On-line. Available from Internet, http://www.gov.ph/news/default.asp?i=15169. accessed 10 July 2007.

38

Anonymous, 2006, ‘We need higher wages to make ends meet’. On-line. Available from Internet, http://newsinfo.inquirer.net/ inquirerheadlines/nation/view_article.php?article_id=63611. accessed 10 July 2007.

42

3. Socio-Cultural Factor

Effect on Industry

Effect on Company

Family weekend outings are most likely to increase as the parents or working children can relax and relieve the stress and tension from work39

Spending will increase Eurohealthcare should in proportion to increase take opportunities like in time spent for going this to market Restolax out to malls, watching to those families movies, or simply through different dining out together, as a promotional campaigns means of making up for like sampling events in lost quality time. the mentioned places. Filipino consumers are First, they would Restolax is relatively a adopting new ways and consider purchasing newcomer in the means to make ends items that are more muscle-pain reliever meet due to increase in important. Second, they industry. It is a prices but unstable will not substitute a challenge for the 40 income brand that they are used company to attract more to even if the price is customers, further higher. If they have promoting the Generics already tested that brand Act of 1988. they will adopt to keep and maintain that brand or product. Third, they are willing to seek other job opportunities to satisfy their desired lifestyle.

39

Anonymous, 2007, Philippine business and family-friendliness: a developing alliance. On-line. Available from Internet http://www.uap.edu.ph/ downloads/iese/IESE%20study%20%20Dr%20Avic%20Caparas.pdf. accessed 10 July 2007. 40 Anonymous, 2007, Consumers prioritize needs as oil price soars up. On-line. Available from Internet http://www.gov.ph/news/default.asp?i=13518. accessed 10 July 2007.

43

Increase in women workers41

More women will join Since Eurohealthcare the employment of employs a majority of pharmaceutical women in the company, industries either as blue- there will only be a or white-collar workers; minimal effect on more women will company structure; experience muscle-pain increase in sales. as brought about by work-related stress. Table 11. Socio-Cultural Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax)

41

Anonymous, 2007, Increase in Filipina workers. On-line. Available

from Internet http://www.fes.org.ph/rgp_ph.htm. accessed 10 July 2007.

44

4. Technological Factor

Effect on Industry

Effect on Company

Customer relations management is becoming a more intrinsic part of marketing in most companies as brought about by the influx of local business process outsourcing companies and developments in technology42

Due to the awareness of To be at par with its customer relations, competitors, the consumers are now company would have to expecting companies to exert effort in keeping be well-prepared for track of consumer any form of consumer feedback. Thus interaction since it is customer relations now a requirement and management system no longer an edge. will make the company’s customer feel that the they are at par with their competitors though Restolax is perceived to be a generic brand. The increase of Filipino Since almost everyone It would be an internet users reached has their own computer opportunity for the 9.6% in 2006 from at home and the company to reach a lot 43 2.3% in 2000. availability of different of Filipinos from internet services Luzon, Visayas and provided by phone and Mindanao if they plan cable companies, there to have their own is also a rise in the website. This gives establishment of more opportunity to the computer shops or consuming public internet cafes which access for information, serves all social status. feedback and inquiries regarding Restolax. It is

42

Anonymous, 2007, Customer Care and Commitment of Pfizer. On-line. Available from Internet. http://www.pfizer.com.ph/v3/corporate.php? page=profile,. accessed 10 July 2007. 43 Anonymous, 2007, Philippines Internet Usage Stats and Marketing Report. http://www.internetworldstats.com/asia/ph.htm. accessed 10 July 2007.

p. 45

a way to give quality service and a medium the company can use to increase brand awareness. Table 12. Technological Factors affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax)

p. 46

5. Demographic Factor

Effect on Industry

Effect on Company

Projected population is An increase in This would mean an 81,081,45744 population would mean increase in sales for on increase in Restolax because consumers regardless of existing consumers or increase in market adults would need to share. work harder due to more mouths to feed. Percentage of senior The market of MPRs Only a percentage of the citizens increasing45 directed to senior senior citizen market citizens would increase would translate to an by the same number. increase in sales for Earlier mortality may Restolax due to its increase concerns about affordable image, the health especially to the more affluent senior senior-citizen market. citizens would go for the more trusted brands. Table 13. Demographic Factors Affecting the Muscle-Pain Reliever Industry and Eurohealthcare (Restolax)

44

Anonymous, 2007, ADB & Philippines - 2007 Fact Sheet. http http://www.adb.org/Documents/Fact_Sheets/phi.asp. accessed 10

July 2007. Anonymous, Senior Citizens Comprised Six Percent of the Population. http http://www.census.gov.ph/data/sectordata/sr05151tx.html. accessed 10 July 2007. 45

p. 47

G. Consumer/Customer Analysis: 1. Profile of Consumer/Customer Demographic Target Market SEC Sex Age AB C D Total AG % Sex % 20s 0 2 1 3 6% Male 30s 0 4 1 5 10% 40s 0 1 2 3 6% 50s 0 0 2 2 4% Subtotal 0 7 6 13 25% 20s 0 2 5 7 13% Female 30s 1 4 6 11 21% 40s 1 5 9 15 29% 50s 0 3 3 6 12% Subtotal 2 14 23 39 75% Total 2 21 29 52 100% 100% SEC % 4% 40% 56% 100% Table 14. Demographic Profile of Muscle-Pain Reliever Consumer

Utilizing the UAI Results (Appendix B), consumers of MPRs in the Philippines are found to be predominantly female (75%) with only 25% being males (Table 14). Based on socio-economic class, 56% and 40% of the users are under what we term as the classes D and C, respectively. Only 4% of the users are from class A. Moreover, based on the age of users, 35% are currently in their 40s while the rest are in their 30s

(31%),

20s

(19%),

p. 48

and

50s

(15%).

2. Segmentation of Consumer/Customer Five (5) different profiles of muscle pain reliever consumers can be derived based on the UAI, specifically pertaining to their answers to the following: 1.) household income; 2.) age; 3.) educational background; 4.) frequency and amount of use; 5.) frequency and amount of purchase; 6.) time of usage; 7.) factors prefered in muscle-pain reliever; and, 8.) brands used and aware of. Blue-collar workers. These workers are those who take part in menial rank-and-file tasks in companies regardless of size. Thus, since physical work is a requirement for them as a part of their job description, these consumers experience muscle pain on a daily basis. Thus, bluecollar workers make use of MPRs as both prevention and cure. Unfortunately, due to budget constraints, this consumer group is not as financially able as the succeeding four (4) consumer profiles. Athletic consumers. These consumers are typically those who regularly participate in sports or visit the gym. Sports-minded consumers are generally into ball games such as basketball, volleyball and soccer. On the other hand, the gym-users are what we could refer to as healthconscious individuals who take care of their physical well-being. The profile of the gym-users may sometimes overlap those of the massage-

p. 49

enthusiasts. These consumers experience muscle pain as a result of intense physical workout that is both voluntary and expected. Though these types of consumers prepare their body from unwanted strain usually do warm-up, muscle pain is almost always unavoidable. They usually make use of MPRs as a form of cure rather than prevention. Consumers with health-problems. This type of consumers is either senior of age or is afflicted by a form of chronic muscle pain. They utilize MPRs to comfort them whenever a pain arises. In general, this type of consumers is overly dependent on MPRs. For those who prefer topical MPRs, the smell of their current brand is usually noticeable. Senior citizens. These are the consumers of MPRs who are aged 60 years and above. In relation to consumers with health problems, senior citizens utilize MPRs to relieve themselves of the natural degradation of their bodies. Massage-enthusiasts. This type of consumers visits the spa as a form of prevention or to pamper themselves after a stressful day at work. Presence or existence of actual pain is not a compulsory requirement for them to avail of massage services.

p. 50

3. Usage Patterns 

2 out of the 105 respondents do not use MPRs at all



48% of the entire 100 who use MPRs are lapse users, that is they use the product only 2-3 times a month, or even less



The lapse users do not use MPRs as often because they rarely have sensations of muscle pain (96%)



73% of the users apply topical MPRs when asked what they do upon experiencing a muscle pain; only 15% take a capsule or tablet



83% of the users have been using MPRs for more than 4 years



52% of the users do so to “soothe or relieve their muscle pain”



62% of the users have husbands or wives who also use musclepain reliever



43% of the users regularly use MPRs in topical form while 17% prefer tablets



Of those who use topical MPRs, 66% apply it before sleeping, compared to 25% of those who take capsules



25% of those who prefer capsules take it before breakfast



Users who prefer topical MPRs use 10 to 30 mL (finger-size) of their brand per use (39%)

p. 51



89% of the users who prefer capsule MPRs generally take 1-2 tablets each intake

4. Purchase Patterns 

32% of those who use topical MPRs regularly buys the SKU that falls under 31 to 50 mL in quantity per purchase occasion



44% of those who use capsule MPRs regularly buys only 1-2 capsules per purchase occasion



32% of topical-users usually pay P26 to P35 for their preferred quantity



56% of tablet-users spend P6 to P10 for their preferred quantity



70% of the users buy their brand by themselves



9% buy MPRs 1 to 4 times a week



56% of the MPR-users regularly buy their favorite brand from Mercury Drug



In addition, 56% of the MPR-users last purchased their favorite brand there



33% would buy another brand of the same form if their favorite brand is currently unavailable; 46% would transfer to another outlet where their preferred brand is currently available

p. 52

5. Consumer/Customer Preferences 

The top three (3) features consumers look for in a muscle pain reliever are efficacy, affordability, and warming effect on skin/muscle



When asked to rate the weight of importance of product factors (1-5 where 5 is highest), the results are as follows: famous brand (3.5), efficacy (4.9), long shelf life (5), imported (1.9), all-natural ingredients (4.8), approved by BFAD (4.9), can be bought by single piece (4.9), fastest relief (5), and can physically feel effect (5)



When asked to rate the weight of importance of place factors (15, where 5 is highest), the results are as follows: availability in outlets (4.9), excellent service of outlet personnel (3.5), and high visibility of product (5)



When asked to rate the weight of importance of promotional factors (1-5, where 5 is highest), the results are as follows: attractive

advertisements

(3.2),

recommended

doctors/pharmacists (3.7), and recommended by others (3.5)

p. 53

by



When asked to rate the weight of importance of price factors (15, where 5 is highest), the result is as follows: value for money (4.9)

H. Industry Trends The future of OTC healthcare in Asia indicates a merge between aspects of prescriptive medicine and fast-moving consumer goods. This is in direct link to the region’s being the largest OTC market globally. In 2005, Asia Pacific has US$ 36.5 billion in the global OTC market that reached US$ 117 billion46. Asia’s growth is roughly up US$ 6.4 billion from 1997’s figures (Figure 6). However, the Asian market is heavily focused on vitamins and dietary supplements (Figure 7), which takes up 61.2% of the entire market. Analgesics, which are generally comprised of MPRs, only comprised 8.1%. The Philippine market contributes to US$566 million (Figure 8), a mere 7th placer after Japan (US$ 21,842 M), China (US$ 6,313 M), South Korea (US$ 2,402 M), Taiwan (US$ 1,353 M), India (US$ 1,303 M), and Indonesia (US$ 985 M). After all, the local market has had a 0-

46

Powell, M. 2006. The future of OTC Healthcare in Asia. Asian Pharmaceutical Report, 22 January 2006.

p. 54

2% industry growth (Figure 9) which is not as healthy to the likes of its neighboring countries like Singapore (3-4%) and Taiwan (5-6%).

Figure 6. Growth of OTC per Region47

However, this minimal growth is also similar to that of Japan and South Korea. By 2010, it is forecasted that the analgesics sector will jump to US$ 3,279 million from the present US$ 2,811 million48.

47 48

Ibid. Ibid.

p. 55

Figure 7. Share of Analgesics in Asia-Pacific’s $36.5 B OTC Market49

The several developments in the OTC market are fueled by the desires of cheaper alternative compared to an actual doctor’s visit. At the same time, part of the growth is due to wider growth in consumer wealth. It is projected that by 2010, the Philippines will have an annual per capita income growth of about 8% (Figure 10), relatively higher compared to its neighboring countries. This would translate to higher sales for the Asian OTC market due to higher buying power due to economic growth. Middle-income groups would also take up modern over traditional remedies.

p. 56

Figure 8. Philippine OTC Market in Comparison to Other Asian Markets50

As for the retailing development, drugstore and pharmacies experience a decline in the bulk of sales outside the vitamins and dietary

49 50

Ibid. Ibid.

p. 57

supplement market. In 1997, these retail outlets only hold 88% while it only has 86% in 2005. It is also notable that pharmacists are now often trusted as a doctor. Distribution shifts to groceries (17%) and direct sales (31%) though most particularly for vitamins and dietary supplements.

Figure 9. Philippine OTC Growth Rate in Comparison to Other Asian Countries51

On the other had, the Philippines along with Indonesia, China, Vietnam, and Thailand, will become the world’s top growth markets for child-specific OTC products. Unfortunately, the growth of Asian OTC is slower than prescriptive medicine and hospital pharmaceuticals.

p. 58

Nevertheless the region contributed to US$ 7 billion in retail sales up to the next five (5) years. Consumers in Asia are also steadily taking more responsibility for self-medication. Population aging is also swelling the consumer base for many OTC products.

Figure 10. Annual per Capita Income by 2010 of Asian Countries52

Curative OTC sectors such as MPRs need clearer regulation to underpin clearer identities. Cities push all the consumer and retailing trends, which push a complex market like OTC. Pharmacy channel

51

Ibid.

p. 59

expanding fast with the grocery challenge also well under way. Worth viewing OTC as the Asian consumers do increasingly consider it as another part of the daily or weekly household shopping. Competition from food, drink, and non-food brands will also become prevalent as everyone would want to take a part of the growing health market. Moreover, there are now seemingly overlapping ways for individuals

52

to

keep

Ibid.

p. 60

themselves

well.

VII. KEY SUCCESS FACTORS

Flat

organization.

Unlike

big

corporations

especially

multinationals like Pfizer and GlaxoSmithKline, Eurohealth is generally flat in structure. Due to this, decisions regarding the company and its processes are easily resolved. Continuous product innovation. Eurohealthcare continuously strives to introduce innovative products and are committed to bringing to their costumers an extensive product range to meet their needs. High quality. All products strictly conform to specifications laid down by USP, BP, and other leading International pharmacopoeias. Tailor-made solutions. Eurohealthcare endeavors to see things from the costumer’s point of view. The company tailors their processes and product development to meet client needs and capabilities. High safety. The company continues to give the highest priority in doing things with the highest ethical standards, enhancing safety and contributing to wider terms for increasing quality of life. Constant compliance. All products are tested, approved, and registered with the Philippine Bureau of Food and Drugs (BFAD).

p. 61

Intensified

distribution.

The

distribution

partners

of

Eurohealthcare are provided with complete support documentation to meet the specific needs of their clients. The company works closely and openly with the distributors to establish long strategic alliances. High value for money. Eurohealthcare provides products not only to answer the health needs of Filipinos but also to empower patients to receive value for their money. This is achieved by sourcing its products

from

Manufacturing

manufacturers

with

a

Practice

p. 62

certified

Current

Good

(CGMP).

VIII. INTERNAL ANALYSIS

A. Company Background 1. History Eurohealth Care Exponents, Inc. was incorporated on August 30, 1990, to buy and sell at wholesale and retail, import, export, and to deal in all kinds of drugs whether medicinal or chemical, pharmaceuticals and other useful preparations for scientific, medicinal, and domestic use, as well as derivatives thereof, oils, dyestuffs, glassware, toiletries, druggist sundries, soap, perfumeries, liquors, surgical instruments, appliances, and apparatus, physician’s and hospital supplies and other articles pertaining to, or in connection with, the drug business. The incorporators were Doreen G. Fernandez, Aquiles de Rivera, Antonio R. Bautista, Agnes Maranan, and Eugenio H. Villareal. It was acquired by a new set of stockholders in 1996; majority stockholder is Mrs. Zenaida D. Balajadia. Mrs. Ma. Cristina Palomara, being one of its directors, was appointed as General Manager up to the present. By May 08, 2004, other present owners were Mr. Maximo Balajadia as Chairman, Zenaida D. Balajadia, Virginia de Guzman (Corporate Secretary), and Dennis D. Balajadia. Currently, Eurohealth

p. 63

Care is referred to as Eurohealthcare Exponents with office at 67 Scout Fuentebella St., Bgy. Laging Handa, Quezon City.

2. Mission/Vision The mission statement of Eurohealthcare is: “To continually develop new products and deliver the highest standards and services to provide our consumer with a diverse source of effective, dependable, and quality healthcare products.” The vision statement of the Company is: “[To become] one of the leading local and imported traders of highly ethical pharmaceutical products in the Philippine market.”

3. Product/Service Offerings The company is engaged in production, importation, and local distribution of highly specialized ethical products. Eurohealthcare was created with the end in view of providing Filipino consumers with a wide range of pharmaceutical and health care products at costs lower than imported brands but comparable in potency and effectiveness. To achieve this goal, product line expansion is permanent business program with continuous product research and development.

p. 64

All products were tested, approved, and registered with the Philippine Bureau of Food and Drugs (BFAD). The core product lines of Eurohealthcare are: 

Analgesics/Antipyretics



Antibiotics/Antibacterials



Aminogliosides



Oxytoxics



Corticosteroids



Vitamins and Minerals



Anti-hypertensive 

Beta Blockers



Ca Channel Blockers



ACE Inhibitors



Hematinic



Diuretics



NSAID’S



Cephalosphorins



H2 Receptor Antagonist



Trophic Hormones



Anti-psychotic

p. 65



Anti-thrombic

Restolax is classified under analgesics as with other brands of MPRs in capsule form. Restolax tablet is a muscle pain reliever containing 325 mg Paracetamol combined with 200 mg Ibuprofen. Paracetamol is a strong analgesic and antipyretic. Provides symptomatic relief from painful conditions, including headache, dysmenorrhoea,

myalgias,

neuralgias,

rheumatism

arthritis,

and

musculoskeletal disorders as well as in febrile conditions. Examples of febrile conditions are rheumatic fever, common colds, flu, and other upper respiratory tract infection. On the other hand, Ibuprofen provides quick symptomatic relief from pain of low to moderate intensity particularly pain with inflammation, For acute chronic forms of arthritis, ankyslosing spondylitis, and other inflammatory diseases of the spinal column, irritations in degenerative diseases of joints and the spinal column, nonparticular rheumatism syndrome, painful swelling or inflammations following injuries or operations. Restolax tablet is a strong, quick analgesic compound. It kills pain in two hours. Ibuprofen reduces pain production and Paracetamol

p. 66

reduces pain transmission and increases the patient’s pain threshold. It is being manufactured by Lloyd Laboratories in blister packs by 100’s. Restolax Tab is non-Rx with 200 mg Ibuprofen combined with 325 mg Paracetamol. Restolax Forte Tab is listed as Rx with 400 mg Ibuprofen combined with 325 mg Paracetamol. Dosage indication is as follows: mild to moderate pain - 1 tablet every 8 hours; moderate to severe pain - 2 tablets every 8 hours; or as prescribed by the physician. Contraindication is for individuals with syndrome

of

nasal

polyps,

history

of

anticoagulants

and

bronchospasmodic reactivity to aspirin or other NSAIDs. Precaution is given to individuals with peptic ulcer, hepatic diseases, impaired renal function, cardiac decomposition, and intrinsic coagulation defects. It has adverse reaction to gastrointestinal disturbances, central nervous system effects, and rash.

4. Selling Prices and Pack Sizes Restolax tablets are sold in blister packs of 100s per box. Suggested Retail Price (SRP) is P4.75 for Restolax Tab. The price indicated in the Philippine Pharmacopoeia is P4.50. Wholesale price is at less 15% off original SRP or P4.04.

p. 67

5. Distribution Network

Lloyd Lab

Local Distributo Eurohealthcare rs

Internatio nal Partners

Institution s Internatio nal Market

Local Retail Outlets

Local Consumer s

Figure 11. Distribution System of Eurohealthcare

Local partners include Lloyd Laboratories, Inc., which is a sistercompany of Eurohealthcare. Lloyd Lab is in charge of the production of most products, specifically Restolax and Restolax Forte. Distribution is traditional and conservative. Restolax tablet, like most of its competitor brands, is available in primary, secondary, and tertiary pharmacies and drug stores all over the Philippines. This is made possible through nationwide distributors with good financial base and with established marketing plan and personnel. Exclusivity of the product will depend on the sales force, marketing plan, and sales projections of the participating company.

p. 68

Category: 

Nationwide exclusivity



Regional



Government biddings



Open-market products

Eurohealthcare has foreign principals, which aids the company in identifying products suitable for importation. These principals are the following: 

Arcolab Ltd. (Switzerland)



Crovis Drug (Italy)



Pharma Drug (Germany)



Strides Arcolub (India)



Brown and Burk (India)



Natco Pharma (India)



Ranbaxy Lab (India)



Ethypharm Ltd. (India)



Shinpoong (Korea)



Daewoo Pharma (Korea)



Phil. International (Korea)

p. 69



Medicap Ltd. (Thailand)

p. 70

6. Highlights of Historical Performances YEAR 2002 March Restolax launched YEAR 2003 May Restolax TVC debuts on-air top billing Robin Padilla Press releases about Restolax supporting Robin Padilla (Appendix E) Launch of Website (http://www.eurohealthcare.com and http://www.restolax.com) August Product placement in "Alab ng Lahi" starring Robin Padilla YEAR 2005 February Restolax Forte launched Product sampling (with flaps) during PAFP Annual Convention Increased distribution network YEAR 2006 January Selected product sampling (with flaps) to non-traditional market, trade personnel, including dispensing MDs in GMA and Central Luzon, continuous project Regular Sales offer (new stocks), continuous project Flexi-pricing of not less than 30% at SOP, continuous project Billboards up Stickering of jeepneys (Jeepney Drivers Association in Metro Manila), continuous, continuous project May Product sampling (with flaps) during the PMA Convention at Manila Hotel JulyProduct sampling (with flaps) to about 300 employees in Philippine AXA Life Center Building at Makati City Moving billboards through company delivery vans August Product sampling (with flaps) to about 300 employees in Philippine AXA Life Center Building at Makati City - Part 2 September Product sampling (with flaps) during DSAP 10th Annual Convention at Crowne Plaza Hotel YEAR 2007 April Sales promo offer "Buy one get one free" a SOP, e.g. P552.00 per box x 100's Table 15. Chronological Listing of Recent Marketing Efforts

p. 71

B. Review of Current Marketing Efforts 1. Current Target Market Eurohealthcare’s General Manager, Mrs. Ma. Cristina Palomara indicated that the company is targeting the C and D markets for Restolax, which they believe to be generally comprised of blue-collar workers. This is supported by the UAI Results (Appendix B) where 2% of the respondents that mentioned Restolax as the brand they use most often are females, belonging to the C market, and are in their 30’s and 40’s in age.

2. Positioning Statement The brand’s current slogan is “Sakit ng ulo’t katawan? I-Restolax mo yan!” In MIMS 109th Edition 2006, Restolax, along with Restolax Forte, is indicated to be used for the management of muscoskeletal and joint disorders (ankyslosing spondylitis, osteoathritis, and RA), periarticular disorders (bursitis and tenosynovitis), soft-tissue disorders (sprains and strains) and mild to moderate pain and inflammation in conditions e.g. headache, migraine, post-op pain, and dental pain. Symptomatic management of pain and fever.

p. 72

Al Ries and Jack Trout53 stated that positioning starts with a product. It is a piece of merchandise, a service, or company, an institution, or even a person. But positioning is not what you do to a product. Positioning is what you do to the mind of the prospect. That is, you position the product in the mind of the prospect. Restolax is currently demonstrating a cure-all strategy, which is very common in the pharmaceutical industry. Associating a lot of positive effects to a brand and thus losing its focus in the long run characterize this. Similar claims are being made by other brands containing the mixture of Ibuprofen combined with Paracetamol (e.g. Alaxan), or those containing only Ibuprofen (Advil), only Paracetamol (Biogesic), Mefenamic Acid (Gardan), Naproxen (Flanax), among others. However, among the leading brands indicated, a strong positioning of the consumers’ mind has been a priority. Advil positioned itself as the best solution for headaches. Alaxan, until recent promotion activities positioned itself as the best solution for muscle pain similar to Flanax. On the other hand, Biogesic is known as medicine for fever.

53

Al Ries and Jack Trout (2006). Positioning: The Battle for your Mind,

USA: Liberty Press.

p. 73

3. Current Sales Performance including Sales Mix and Sales Distribution

Accounts 2004 2005 2006 Metro Drug 4,173,353.80 4,067,772.47 4,985,697.45 Mercury Drug 1,838,599.21 2,572,828.14 3,153,407.12 Sub-Distributors 9,179,327.30 10,191,206.74 12,490,932.99 Total 15,191,280.32 16,831,807.35 20,630,037.56 Growth 35% 11% 23% 54 Table 16. Historical Sales of Restolax Eurohealthcare has 3 accounts namely Metro Drug, Mercury Drug, and the Sub-Distributors. Metro Drug is a division of Zuellig Pharma. The Sub-Distributors also include sales coming from institutional accounts.

4. Current Marketing Strategies and Activities Based on the interview with Eurohealthcare’s General Manager, Mrs. Ma. Cristina Palomara, the Restolax brand is seen as nothing more but a direct competitor of Unilab’s Alaxan. In fact, with Unilab’s release of Alaxan FR, Eurohealthcare countered that move with its own Restolax Forte last 2005.

54

Internal company data

p. 74

This proved to be a misaligned decision because Alaxan FR and Restolax Forte are not generic counterparts. Alaxan FR is similar in dosage to Alaxan but just in capsule form, hence the claim of fast-relief. On the other hand, Restolax Forte has a higher dose of Ibuprofen at 400 mg instead of just 200 mg. SUB-DISTRIBUTORS (Including Institutional Accounts) Aldril Pharma Makati Shangri-La Hotel Alman Pharma Metz Pharma Alphamed Mr. Elmo Briol Astromed Mr. Gabby Bonaga Blessed St. John MRV Enterprises BVG Pharma Pharma 500 Ceber Meds Marketing Pharmacare Charlton Pharmatek Marketing Dalle Essential Drug Philippine International Trading Corporation DMI Medical Supply Renmar Drug ECE Marketing Solemed EDSA Shangri-La Hotel Sun Pharma Foramen Products Corp. Unilever Phils. Inc. Lykus Vitalink Health Products M&C Health Care Others (House Accounts) Table 17. List of Sub-Distributors and Institutional Accounts

The following are continuous marketing strategies employed by Eurohealthcare through its distribution arm, Pryce Pharma. As a company, Eurohealthcare does not involve itself with the actual

p. 75

promotions for Restolax, with the exclusion of course of 2003 when they utilized Robin Padilla as the brand’s official endorser. 

Selected product sampling (with flaps) to non-traditional market, trade personnel, including dispensing MDs in GMA and Central Luzon, continual project



Regular sales offer (new stocks), continual project



Flexi-pricing of not less than 30% at SOP, continual project



Stickering of jeepneys (Jeepney Drivers Association in Metro Manila), continuous, continual project

Currently, Restolax is only being promoted through minimal quantity of billboards (Figure 12) in the outskirts of Metro Manila through company-owned sites such as in Bocaue, Bulacan, C5, Malabon, and GMA-Kamuning. Company delivery vans are also utilized as a means of promotion by turning them into roving billboards (Figure 13).

p. 76

Figure 12. Restolax Billboard along Malabon, NLEX

Figure 13. Restolax Mobile Billboard and Delivery Van

p. 77

5. Current Marketing Problems and Concerns The following are the current marketing problems and concerns of Eurohealthcare: The growth of topical MPRs. Since more and more people are using topical MPRs instead of tablets and capsules due to its perceived direct-effect on the localized area of pain, the growth rate of Restolax and the entire tablet segment has been drastically hampered. Decrease in exports. Due to the strengthening of the peso, exporting Restolax to other countries will prove to be difficult as much of Eurohealthcare’s agreements with international distribution partners have pegged the dollar to a higher conversion rate. Billboard reputation. The devastating effects of the storm “Milenyo” in 2007 resulted to an unfavorable image to most billboard advertisers. Since Eurohealthcare currently places much of its advertising efforts through billboards, continuing to do so amidst clamor and vigilance against the supposed risk of the billboards may appear to be an irresponsible act of the company. Unilab and trade channel barriers. Like most companies in the pharmaceutical industries, Eurohealthcare faces a tough position in enticing retailers to favor Restolax over competitive products from

p. 78

Unilab. This is because Unilab is a pioneer in the Philippine pharmaceutical industry and has long placed several threatening maneuvers and trade barriers that even multinationals like Pfizer and GlaxoSmithKline fail to topple. Robin Padilla’s endorsement of Revicon Forte. Endorsers are generally selected based on their appeal to the target market and their trustworthiness to convey positive regard on product or service. In Restolax’s case, Robin Padilla was contracted to endorse the tablet through a series of tri-media ads and press releases which extended to his movie entitled “Alab ng Lahi”. Having Robin Padilla endorse another OTC product, that is an indirect competitor, of Restolax and is manufactured by its direct competitor send a very strong negative message about Restolax’s efficacy. However, the proponents do not consider this as a major issue because of the long period of time that lapsed since Robin Padilla’s endorsement of Restolax. Moreover, Revicon Forte is a multivitamin and not an analgesic or NSAID unlike Restolax. However, the company did not counter this perceived problem at

all

through

advertising,

PR,

p. 79

or

any

other

means.

IX. COMPETITIVE ANALYSIS

A. Industry Participants The two (2) main competitors of Eurohealthcare in the muscle pain reliever industry are Therapharma and International Pharma. Therapharma is a division of Unilab along with Biomedis. Therapharma owns the Alaxan product line and Dolfenal while Biomedis owns Biogesic. On the other hand, International Pharma controls the topical muscle pain reliever segment with Efficascent Oil and Omega Painkiller.

B. Comparative Brand Performance For antirheumatics system, Therapharma of Unilab has peso sales of P1,221,070,000.00 followed by Pfizer Pharma and MSD-ZPC with P31,400,000.00 and P30,090,000.00 respectively (Table 18). For anti-rheumatics topical, International Pharma is first among all manufacturers in terms of peso sales with P119,670,000.00 followed by Therapharma of Unilab and Greenstone Pharma (Table 18). The second and third-placing manufacturers have peso sales of P38,030,000.00 and P30,560,000.00 respectively.

p. 80

Company Unit Sales Peso Sales Antirheumatics System Therapharma (Unilab) 1,236,100 P 1,221,070,000.00 Pfizer Pharma 272,900 731,400,000.00 MSD-ZPC 165,000 230,090,000.00 Novartis Pharma 134,200 229,870,000.00 Boeinger Ingelheim 165,000 229,070,000.00 Antirheumatics Topical International Pharma 3,931,300 P 119,670,000.00 Therapharma (Unilab) 1,554,000 38,030,000.00 Greenstone Pharma 367,500 30,560,000.00 Pfizer CHC 143,200 18,100,000.00 Novartis Pharma 81,500 15,790,000.00 Analgesics Biomedis 4,151,200 825,660,000.00 Bristol Myers 8,332,700 671,520,000.00 GlaxoSmithkline 5,523,800 315,870,000.00 Roche Philippines 147,500 276,150,000.00 Sanofi-Aventis 180,700 244,760,000.00 Table 18. 2007 Sales of Top 5 Manufacturers/Companies of MPRs per Classification of Philippine Pharmacopoeia55

On the other hand, Biomedis of Unilab holds the top place among manufacturers of analgesics with P825,660,000.00 peso sales. The company is followed by Bristol-Myers and GlaxoSmithKline with P671,520,000.00 and P315,870,000.00 respectively. Unilab, which owns Therapharma and Biomedis, emerges as the top company in the industry based on 2007 peso sales upon consolidation of all figures from subsidiaries (Table 19). The

p. 81

accumulated peso sales of P2,084,760.00 results to 22% market share of the entire muscle pain reliever industry (Figure 14). Multinational companies such as Pfizer Pharma and BristolMyers follow suit with very far 2nd and 3rd place market shares of 8% and 7% respectively. The top company in the topical muscle pain reliever segment, which is International Pharma only has 1% market share with P119,670,000.00 peso sales. Eurohealthcare, on the other hand, failed to make a significant market share in the whole industry. TOP MUSCLE-PAIN RELIEVER COMPANIES Company Peso Sales Market Share Unilab 2,084,760,000.00 22% Pfizer Pharma 749,500,000.00 8% Bristol Myers 671,520,000.00 7% GlaxoSmithkline 315,870,000.00 3% Roche Philippines 276,150,000.00 3% Novartis Pharma 245,660,000.00 3% Sanofi-Aventis 244,760,000.00 3% MSD-ZPC 230,090,000.00 2% Boeinger Ingelheim 229,070,000.00 2% International Pharma 119,670,000.00 1% Greenstone Pharma 30,560,000.00 0% Table 19. 2007 Sales and Market Share of Top Companies in MusclePain Reliever Industry56

55

Anonymous, 2006. April-June 2006 Philippine Pharmacopoeia.

Manila: PPO. 56

Ibid.

p. 82

Market Share of Muscle-Pain Reliever Industry Unilab 22%

Others 46%

Pfizer Pharma 8% Bristol Myers 7% GSK 3%

Greenstone Pharma 1% Boeinger Ingelheim 2%

International Pharma 1%

MSD-ZPC Sanofi-Aventis 3% 2%

Roche Philippines Novartis 3% Pharma 3%

Figure 14. Market Share of Muscle-Pain Reliever Industry57

57

Ibid.

p. 83

C. Comparative Analysis of Competition

COMPANY Products

EUROHEALTHCARE Restolax Class C, D Target Market 18 above (For adults) M/F Sakit ng ulo’t katawan? IPositioning/ Restolax mo yan! Slogan Ibuprofen (200 mg) combined Features with Paracetamol (325 mg) Tablet Solid orange tablet color Blister pack of 10's (2x5) Packaging Eurohealthcare Care logo at the foil of blister pack Generic and brand at the foil of blister pack pursuant to BFAD regulations Manufacturing code at the foil of blister pack

SRP

EUROHEALTHCARE Restolax Forte Class C, D 18 above (For adults) M/F Sakit ng ulo’t katawan? IRestolax mo yan! Ibuprofen (400 mg) combined with Paracetamol (325 mg) Tablet Solid orange tablet color Blister pack of 10's (2x5) Eurohealthcare Care logo at the foil of blister pack Generic and brand at the foil of blister pack pursuant to BFAD regulations Manufacturing code at the foil of blister pack

Box of 100's Box of 100's Main body of trade box Main body of trade box contains generic, brand, contains generic, brand, company name, manufacturer, company name, manufacturer, address, contents, indications, address, contents, indications, dosage, contraindications, dosage, contraindications, special precautions, adverse special precautions, adverse reactions, and storage reactions, and storage instructions at trade box instructions at trade box pursuant to BFAD regulations pursuant to BFAD regulations Trade box is plain yellow with Trade box is plain yellow with green band for storage/packing green band for storage/packing purposes only purposes only Bar code Bar code Box made out of c2s 140 Box made out of c2s 140 1's - P4.50 1's - P4.70

p. 84

10's - P45.00 10's - P47.00 100's - P450.00 100's - P469.70 Stationary billboards Stationary billboards Current Roving billboards Roving billboards Advertising, Stickering of jeepneys Promotions and Stickering of jeepneys Selected product sampling Selected product sampling Publicity (with flaps) to non-traditional (with flaps) to non-traditional market, trade personnel, market, trade personnel, including dispensing MDs in including dispensing MDs in GMA and Central Luzon, GMA and Central Luzon, continuous project continuous project Regular sales offer (new Regular sales offer (new stocks), continuous project stocks), continuous project Flexi-pricing of not less than Flexi-pricing of not less than 30% at SOP, continuous 30% at SOP, continuous project project Stickering of jeepneys Stickering of jeepneys (Jeepney Drivers Association (Jeepney Drivers Association in Metro Manila), continuous, in Metro Manila), continuous, continuous project continuous project Merchandising Vertical banners at secondary Vertical banners at secondary and tertiary drugstores and tertiary drugstores Stickering of secondary and Stickering of secondary and tertiary drugstores tertiary drugstores Stickering at sari-sari stores Stickering at sari-sari stores Bulk of sales through Mercury Bulk of sales through Mercury Distribution Drug chain Drug chain Through Metro Drug chain Through Metro Drug chain In institutional accounts such In secondary or tertiary as hospitals, company and convenience stores (excluding school clinics 7-Eleven and Ministop) In secondary or tertiary In sari-sari stores convenience stores In sari-sari stores Table 20. Competitive Analysis for Restolax and Restolax Forte

p. 85

COMPANY COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

THERAPHARMA (Unilab) Alaxan Class A/B, C, D 18 above (For adults) M/F Sipag at Alaxan, para mas magaan!

THERAPHARMA (Unilab) Alaxan FR Class A/B, C, D 18 above (For adults) M/F For fast relief of body pain!

Fast release for fast relief! Ibuprofen (200 mg) Ibuprofen (200 mg) combined with combined with Paracetamol Paracetamol (325 mg) (325 mg) Tablet Capsule Orange obverse, white Yellow top cap, orange reverse tablet color bottom cap Alaxan brand name Alaxan printed on yellow top molded on orange side cap Blister pack of 10's (2x5) Blister pack of 10's (2x5) Therapharma logo at the Therapharma logo at the foil foil of blister pack of blister pack Generic and brand at the Generic and brand at the foil foil of blister pack pursuant of blister pack pursuant to to BFAD regulations BFAD regulations Manufacturing code at the Manufacturing code at the foil of blister pack foil of blister pack Expiration date at the foil Expiration date at the foil of of blister pack blister pack "Tamper-resistant for your "Tamper-resistant for your protection" at the foil of protection" at the foil of blister pack blister pack Foil manufacturer logo at Foil manufacturer logo at the the foil of blister pack foil of blister pack Animated Alaxan FR logo Box of 10's for consumers with registered insignia Main body with flap Tamper resistant seal for Box of 10's for consumers box of 10's, containing Main body with flap Unilab logo and text Tamper resistant seal for box

p. 86

"Tamper-resistant for your of 10's, containing Unilab protection; Do not accept if logo and text "Tamperseal is broken" resistant for your protection; Main body of trade box Do not accept if seal is contains generic, brand, broken" company name, Main body of trade box manufacturer, address, contains generic, brand, contents, indications, company name, dosage, contraindications, manufacturer, address, special precautions, contents, indications, dosage, adverse reactions, and contraindications, special storage instructions at trade precautions, adverse box pursuant to BFAD reactions, and storage regulations instructions at trade box Main body of trade box pursuant to BFAD obverse plain white, with regulations orange dynamic wave at Main body of trade box bottom, all text black obverse plain white, with except generic and brand orange dynamic wave at name, not pursuant to bottom, all text black except BFAD regulations generic and brand name, not Main body of trade box pursuant to BFAD reverse with animated regulations orange Alaxan logo Main body of trade box watermark not pursuant to reverse with animated orange BFAD regulations Alaxan logo watermark not Flap obverse and reverse pursuant to BFAD containing generic, brand, regulations dosage, category, and Flap obverse and reverse quantity containing generic, brand, Picture of muscular male dosage, category, and model, at obverse flap of quantity box of 10's, not pursuant to Picture of muscular male BFAD regulations model, at obverse flap of box Animated Alaxan logo of 10's, not pursuant to with registered insignia, BFAD regulations not pursuant to BFAD Animated Alaxan logo with regulations registered insignia, not Text "10 capsules" in both pursuant to BFAD

p. 87

main box body and flap regulations Hole at flap for wire Text "10 capsules" in both hanging in displays main box body and flap Bar code Hole at flap for wire hanging Lot number, expiration in displays date, manufacturing date at Bar code bottom of box Lot number, expiration date, Sides of box containing manufacturing date at bottom animated Alaxan logo, of box generic, brand name, and Sides of box containing category; dynamic orange animated Alaxan logo, wave, orange text for generic, brand name, and generic and brand name, category; dynamic orange and animated logo not wave, orange text for generic pursuant to BFAD and brand name, and regulations animated logo not pursuant Box made out of c2s 140 to BFAD regulations Text "Effective for Muscle Box made out of c2s 140 Pain, Arthritis, Text "Effective for Muscle Rheumatism, Toothache, Pain, Arthritis, Rheumatism, Menstrual Cramps, and Toothache, Menstrual Other Body Pains" Cramps, and Other Body Pains" Box of 100's and 500's Tamper resistant seal for Box of 100's and 500's box of 100's and 500's, Tamper resistant seal for box containing Unilab logo and of 100's and 500's, containing text "Tamper-resistant for Unilab logo and text your protection; Do not "Tamper-resistant for your accept if seal is broken" protection; Do not accept if Main body of trade box seal is broken" contains generic, brand, Main body of trade box company name, contains generic, brand, manufacturer, address, company name, contents, indications, manufacturer, address, dosage, contraindications, contents, indications, dosage, special precautions, contraindications, special adverse reactions, and precautions, adverse storage instructions at trade reactions, and storage

p. 88

box pursuant to BFAD instructions at trade box regulations pursuant to BFAD Trade box is plain white regulations with orange dynamic wave, Trade box is plain white with animated Alaxan logo, for orange dynamic wave, storage/packing purposes animated Alaxan logo, for only storage/packing purposes Bar code only Box made out of c2s 140 Bar code Box made out of c2s 140

SRP

Current Advertising, Promotions and Publicity

Merchandising

1's - P6.00 1's - P7.65 5's - P24.00 5’s - P30.60 10's - P51.02 10's - P64.31 100's - P510.29 100's - P643.22 500's - P2,551.45 Stationary billboards Stationary billboards Roving billboards Roving billboards In tri-media TV, radio, In tri-media TV, radio, newspapers, magazines, newspapers, magazines, billboards billboards Current price rollback from Buy 4 Get 1 SKU SRP per tablet P 6.50 per Current image model is tablet Manny Pacquiao Buy 4 Get 1 SKU Continuous PR about Alaxan On-line promotions FR and Manny Pacquiao through corporate website On-line promotions through http://www.unilab.com. ph corporate website http://www.unilab.com.ph Most recent TVC featuring athletic guy playing soccer with team/friends Unilab controls OTC Unilab controls OTC section section gondola of key gondola of key accounts such accounts such as Mercury as Mercury Drug, Shopwise, Drug, Shopwise, Rustans, Rustans, SM, etc. SM, etc. Box of 10's hanging through

p. 89

Box of 10's hanging wire display at OTC section through wire display at In-house pharmacist, OTC section merchandiser placed in key In-house pharmacist, accounts, usually in direct merchandiser placed in key alliance with distribution accounts, usually in direct outlet, except in drugstores alliance with distribution Penholders with animated outlet, except in drugstores Alaxan FR logo, at drug Promotional Buy 4 Get 1 section near cashiers, in all SKU placed near cashiers Mercury Drug outlets Mobiles/hanging items Posters of product Promotional Buy 4 Get 1 SKU placed near cashiers Mobiles/hanging items Bulk of sales through Bulk of sales through Distribution Mercury Drug chain Mercury Drug chain In most groceries at OTC In most groceries at OTC section section In institutional accounts In secondary or tertiary such as hospitals, company convenience stores and school clinics (excluding 7-Eleven and In secondary or tertiary Ministop) convenience stores In sari-sari stores (excluding 7-Eleven and Ministop) In sari-sari stores Table 21. Competitive Analysis for Alaxan and Alaxan FR -x-

p. 90

COMPANY COMPANY SANOFI-SYNTHELABO Products Gardan 250 mg Target Market Class C, D 18 above (For adults) M/F Sa matinding sakit ng Positioning/ katawan...i-Gardan angel mo! Slogan Features

Packaging

SANOFI-SYNTHELABO Gardan 500 mg Class C, D 18 above (For adults) M/F Sa matinding sakit ng katawan...i-Gardan angel mo!

Mefenamic acid (250 mg) Mefenamic acid (500 mg) Capsule Tablet Grey top cap, white bottom White tablet cap Blister pack of 10's (2x5) Blister pack of 10's (2x5) Generic and brand at the foil of Generic and brand at the foil blister pack pursuant to BFAD of blister pack pursuant to regulations BFAD regulations Manufacturing code at the foil Manufacturing code at the foil of blister pack of blister pack Expiration date at the foil of Expiration date at the foil of blister pack blister pack Foil manufacturer logo at the Foil manufacturer logo at the foil of blister pack foil of blister pack Box of 4's Box of 200's Main body with flap Main body of trade box Main body of trade box contains generic, brand, contains generic, brand, company name, manufacturer, company name, manufacturer, address, contents, indications, address, contents, indications, dosage, contraindications, dosage, contraindications, special precautions, adverse special precautions, adverse reactions, and storage reactions, and storage instructions at trade box instructions at trade box pursuant to BFAD regulations pursuant to BFAD regulations Trade box is plain white with Main body of trade box bluish shade for obverse plain white, with storage/packing purposes only bluish shade at bottom, all text Bar code black except generic and brand Box made out of c2s 140

p. 91

name, not pursuant to BFAD regulations Main body of trade box reverse with animated orange Alaxan logo watermark not pursuant to BFAD regulations Flap obverse and reverse containing generic, brand, dosage, category, and quantity; brand and generic name not in black text not pursuant to BFAD Regulations Picture of metal shield at obverse flap of box of 4's, not pursuant to BFAD regulations Red violator at top left of flap with text "Save P8.00" Text at obverse and reverse of flap, "Sa matinding sakit ng katawan…i-Gardan Angel mo!" and " Relieves body pains and toothache" Hole at flap for wire hanging in displays Bar code Lot number, expiration date, manufacturing date at bottom of box Registration number Box made out of c2s 140 Box of 100's Main body of trade box contains generic, brand, company name, manufacturer, address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage

p. 92

instructions at trade box pursuant to BFAD regulations Trade box is plain white with bluish shade for storage/packing purposes only Bar code Box made out of c2s 140 1's - P6.36 1's - P15.09 SRP 4's - P25.44 10's - P150.89 10's – P57.24 200's - P3,017.88 100's – P570.00 In tri-media TV, radio, In tri-media TV, radio, Current newspapers, magazines, newspapers, magazines, Advertising, billboards Promotions and billboards Current image is a "guardian Current image is a "guardian Publicity angel" angel None Merchandising Box of 4's hanging through wire display at OTC section Box of 4's placed at cashier in key accounts (e.g. Mercury Drug) Posters of product Bulk of sales through Mercury Bulk of sales through Mercury Distribution Drug chain Drug chain In most groceries at OTC In most groceries at OTC section section In secondary or tertiary In secondary or tertiary convenience stores (excluding convenience stores (excluding 7-Eleven and Ministop) 7-Eleven and Ministop) In sari-sari stores Table 22. Competitive Analysis for Gardan 250 and Gardan 500

-x-

p. 93

COMPANY PFIZER Products Ponstan 250 Target Market Class A/B, C, D Adults and children above 14 years old M/F “Unclear” Positioning/ Slogan Mefenamic acid (250 mg) Features Tablet White tablet

Packaging

PFIZER Ponstan 250 SF Class A/B, C, D Adults and children above 14 years old M/F Sakto sa Pain Mo

Mefenamic acid (250 mg) Capsule Red top and bottom caps Text "SF" at top cap, "Ponstan 250 mg" at bottom cap Blister pack of 10's (2x5) Blister pack of 10's (2x5) Pfizer logo at the foil of blister Pfizer logo at the foil of blister pack pack Generic and brand at the foil of Generic and brand at the foil blister pack pursuant to BFAD of blister pack pursuant to regulations BFAD regulations Manufacturing code at the foil Manufacturing code at the foil of blister pack of blister pack Expiration date at the foil of Expiration date at the foil of blister pack blister pack "Tamper-resistant for your "Tamper-resistant for your protection" at the foil of blister protection" at the foil of blister pack pack Text "Analgesic" and "Anti- Text "Analgesic" and "Antiinflammatory" inflammatory" Production code Production code Perforated lengthwise and Perforated lengthwise and crosswise between capsules for crosswise between capsules for single use or sale single use or sale Diagonal printing at foil Diagonal printing at foil Box of 10's for consumers Main body with flap Tamper resistant seal for box of 10's, containing Pfizer logo and text "Reject if seal is

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Box of 10's for consumers Main body with flap Tamper resistant seal for box of 10's, containing Pfizer logo and text "Reject if seal is

broken" broken" Main body of trade box Main body of trade box contains generic, brand, contains generic, brand, company name, manufacturer, company name, manufacturer, address, contents, indications, address, contents, indications, dosage, contraindications, dosage, contraindications, special precautions, adverse special precautions, adverse reactions, and storage reactions, and storage instructions at trade box instructions at trade box pursuant to BFAD regulations pursuant to BFAD regulations Main body of trade box Main body of trade box obverse plain white, with red obverse plain white, with red border, window at bottom border, window at bottom right, all text black except right, all text black except generic, brand name, and generic, brand name, and dosage, not pursuant to BFAD dosage, not pursuant to BFAD regulations regulations Main body of trade box reverse Main body of trade box with bluish shade not pursuant reverse with bluish shade not to BFAD regulations pursuant to BFAD regulations Flap obverse and reverse Flap obverse and reverse containing generic, brand, containing generic, brand, dosage, category, and quantity dosage, category, and quantity Picture of car-racing/NASCAR Picture of carflag at obverse flap of box of racing/NASCAR flag at 10's, not pursuant to BFAD obverse flap of box of 10's, not regulations pursuant to BFAD regulations Animated SF logo with Animated SF logo with registered insignia and bluish registered insignia and bluish shade at obverse of flap, not shade at obverse of flap, not pursuant to BFAD regulations pursuant to BFAD regulations Text "New" in both obverse Text "New" in both obverse and reverse of flap and reverse of flap Hole at flap for wire hanging Hole at flap for wire hanging in displays in displays Bar code Bar code Lot number, expiration date, Lot number, expiration date, manufacturing date at bottom manufacturing date at bottom of box of box

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Sides of box containing Sides of box containing generic and brand name generic and brand name pursuant to BFAD regulations pursuant to BFAD regulations Box made out of c2s 140 Box made out of c2s 140 Text "For Headaches, Body Text "For Headaches, Body and Muscle Pain" at obverse of and Muscle Pain" at obverse of flap, with red dynamic flap, with red dynamic background, not pursuant to background, not pursuant to BFAD regulations BFAD regulations Image of male office worker Image of male office worker silhouette and flying Ponstan silhouette and flying Ponstan 250 SF capsule at reverse of 250 SF capsule at reverse of flap flap Yellow violator with text Yellow violator with text "Now with SLS for faster "Now with SLS for faster absorption in the body" absorption in the body" Logo of Pfizer and slogan Logo of Pfizer and slogan "made it," "Consumer "made it," "Consumer Healthcare Division, "TM Healthcare Division, "TM Trademark of Parke-Davis, a Trademark of Parke-Davis, a Pfizer company" Pfizer company" With foldable patient With foldable patient information leaflet, containing information leaflet, containing brand, generic name, brand, generic name, formulation, dispensing formulation, dispensing category, actions, indications, category, actions, indications, precautions, drugs that may precautions, drugs that may react to Mefenamic acid, react to Mefenamic acid, dosage for adults and children dosage for adults and over 14 years old, overdosage, children’s over 14 years old, storage, presentations, text overdosage, storage, "Keep Ponstan and all presentations, text "Keep medicines out of reach of Ponstan and all medicines out children," manufacturer, of reach of children," company name, address manufacturer, company name, address Box of 200's Tamper resistant seal for box Box of 100's and 200's of 200's, containing Pfizer logo Tamper resistant seal for box

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and text "Reject if seal is broken" Main body of trade box contains generic, brand, company name, manufacturer, address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box pursuant to BFAD regulations Trade box is plain white with orange dynamic wave, animated Pfizer logo, for storage/packing purposes only Bar code Box made out of c2s 140

of 200's, containing Pfizer logo and text "Reject if seal is broken" Main body of trade box contains generic, brand, company name, manufacturer, address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box pursuant to BFAD regulations Trade box is plain white with orange dynamic wave, animated Pfizer logo, for storage/packing purposes only Bar code Box made out of c2s 140 1's - P9.97 1's - P10.27 SRP 10's - P99.68 10's - P102.67 200's - P1,993.64 100's – P994.50 200's - P2,053.45 None Stationary billboards Current In tri-media TV, radio, Advertising, newspapers, magazines, Promotions and billboards Publicity TVC featuring imaginary control center for curing or providing relief for musclepain None Box of 10's hanging through Merchandising wire display at OTC section Posters of product Bulk of sales through Mercury Bulk of sales through Mercury Distribution Drug chain Drug chain In most groceries at OTC In most groceries at OTC section section In institutional accounts such In institutional accounts such as hospitals, company and as hospitals, company and

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school clinics school clinics In secondary or tertiary In secondary or tertiary convenience stores (excluding convenience stores (excluding 7-Eleven and Ministop) 7-Eleven and Ministop) In sari-sari stores In sari-sari stores Table 23. Competitive Analysis for Ponstan 250 and Ponstan 250 SF -x-

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COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

PFIZER Ponstan 500 mg Class A/B, C, D Adults and children above 14 years old M/F “Unclear”

PFIZER Ponstan 500 SF Class A/B, C, D Adults and children above 14 years old M/F “Unclear”

Mefenamic acid (500 mg) Tablet White tablet

Mefenamic acid (500 mg) Capsule Red top and bottom caps Text "SF" at top cap, "Ponstan 500 mg" at bottom cap Blister pack of 10's (2x5) Blister pack of 10's (2x5) Pfizer logo at the foil of blister Pfizer logo at the foil of blister pack pack Generic and brand at the foil of Generic and brand at the foil blister pack pursuant to BFAD of blister pack pursuant to regulations BFAD regulations Manufacturing code at the foil Manufacturing code at the foil of blister pack of blister pack Expiration date at the foil of Expiration date at the foil of blister pack blister pack Text "Analgesic" and "Anti- Text "Analgesic" and "Antiinflammatory" inflammatory" Production code Production code Perforated lengthwise and Perforated lengthwise and crosswise between capsules for crosswise between capsules single use or sale for single use or sale Diagonal printing at foil Diagonal printing at foil Box of 200's Box of 100's Tamper resistant seal for box Tamper resistant seal for box of 200's, containing Pfizer logo of 100's, containing Pfizer and text "Reject if seal is logo and text "Reject if seal is broken" broken" Main body of trade box Main body of trade box contains generic, brand, contains generic, brand, company name, manufacturer, company name, manufacturer,

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address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box pursuant to BFAD regulations Trade box is plain white with orange dynamic wave, animated Pfizer logo, for storage/packing purposes only Bar code Box made out of c2s 140

1's - P21.49 10's - P214.87 100's - P2,148.67 Stationary billboards Current In tri-media TV, radio, Advertising, newspapers, magazines, Promotions and billboards Publicity Box of 10's hanging through Merchandising None wire display at OTC section Posters of product Bulk of sales through Mercury Bulk of sales through Mercury Drug chain Drug chain Distribution In most groceries at OTC In most groceries at OTC section section In institutional accounts such In institutional accounts such as hospitals, company and as hospitals, company and school clinics school clinics In secondary or tertiary In secondary or tertiary convenience stores (excluding convenience stores (excluding 7-Eleven and Ministop) 7-Eleven and Ministop) Table 24. Competitive Analysis for Ponstan 500 and Ponstan 500 SF SRP

1's - P21.06 10's - P210.60 200's - P 4,211.98 None

address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box pursuant to BFAD regulations Trade box is plain white with orange dynamic wave, animated Pfizer logo, for storage/packing purposes only Bar code Box made out of c2s 140

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COMPANY ROCHE Products Flanax Target Market Class A/B, C, D 18 above (For adults) M/F “Unclear” Positioning/ Slogan Features

Packaging

ROCHE Flanax Forte Class A/B, C, D 18 above (For adults) M/F “Unclear”

Naproxen sodium (275 mg) Naproxen sodium (550 mg) Tablet Caplet Bluish tablet Bluish caplet Blister pack of 10's (2x5) Blister pack of 10's (2x5) Roche logo at the foil of blister Roche logo at the foil of pack blister pack Generic and brand at the foil of Generic and brand at the foil blister pack pursuant to BFAD of blister pack pursuant to regulations BFAD regulations Manufacturing code at the foil Manufacturing code at the foil of blister pack of blister pack Expiration date at the foil of Expiration date at the foil of blister pack blister pack Rx symbol Rx symbol Production code Production code Bubble at the middle, in Bubble at the middle, in between caplets between caplets Box of 100's and 500's Tamper resistant seal for box of 100's and 500’s, containing Roche logo and text "Refuse if seal is broken" Main body of trade box contains generic, brand, company name, manufacturer, address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box

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Box of 50's and 250's Tamper resistant seal for box of 50's and 250’s, containing Roche logo and text "Refuse if seal is broken" Main body of trade box contains generic, brand, company name, manufacturer, address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box

pursuant to BFAD regulations Trade box is plain purple for storage/packing purposes only Bar code Box made out of c2s 140 With foldable patient information leaflet, containing brand, generic name, formulation, dispensing category, actions, indications, precautions, drugs that may react to Mefenamic acid, dosage for adults and children over 14 years old, overdosage, storage, presentations, text "Keep out of reach of children," manufacturer, company name, address 1's - P8.40 10's - P84.02 100's - P840.18 500's - P4,200.01 None

pursuant to BFAD regulations Trade box is plain purple for storage/packing purposes only Bar code Box made out of c2s 140 With foldable patient information leaflet, containing brand, generic name, formulation, dispensing category, actions, indications, precautions, drugs that may react to Mefenamic acid, dosage for adults and children over 14 years old, overdosage, storage, presentations, text "Keep out of reach of children," manufacturer, company name, address 1's - P16.80 SRP 10's - P168.04 50's - P840.18 250's - P4,200.00 TVC featuring happy couple Current dancing the night away in the Advertising, party, major claim is their Promotions and availability now as an OTC Publicity product Placed in customer's view at Merchandising None drug section Bulk of sales through Mercury Bulk of sales through Mercury Distribution Drug chain Drug chain In most groceries at OTC In most groceries at OTC section section In institutional accounts such In institutional accounts such as hospitals, company and as hospitals, company and school clinics school clinics In secondary or tertiary In secondary or tertiary convenience stores (excluding convenience stores (excluding 7-Eleven and Ministop) 7-Eleven and Ministop)

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Table 25. Competitive Analysis for Flanax and Flanax Forte – x-

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COMPANY COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

THERAPHARMA THERAPHARMA (Unilab) (Unilab) Dolfenal 250 Dolfenal 500 Class A/B, C, D Class A/B, C, D 18 above (For adults) 18 above (For adults) M/F M/F Kapag masakit ang Kapag masakit ang sikmura, sikmura, madaling tandaan madaling tandaan - Dolfenal! - Dolfenal! Mefenamic acid (250 mg) Mefenamic acid (500 mg) Caplet Caplet Pinkish color Pinkish color Foil sheet of 4's Foil sheet of 4's Therapharma logo at the Therapharma logo at the foil foil sheet sheet Generic and brand at the Generic and brand at the foil foil sheet pursuant to sheet pursuant to BFAD BFAD regulations regulations Manufacturing code at the Manufacturing code at the foil sheet foil sheet Expiration date at the foil Expiration date at the foil sheet sheet "Tamper-resistant for your "Tamper-resistant for your protection" at the foil sheet protection" at the foil sheet Foil manufacturer logo at Foil manufacturer logo at the the foil sheet foil sheet Rx symbol Rx symbol Box of 100's Box of 100's Tamper resistant seal for Tamper resistant seal for box box of 100's and 500's, of 100's and 500's, containing containing Unilab logo and Unilab logo and text text "Tamper-resistant for "Tamper-resistant for your your protection; Do not protection; Do not accept if accept if seal is broken" seal is broken" Main body of trade box Main body of trade box contains generic, brand, contains generic, brand, company name, company name,

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SRP

Current Advertising, Promotions and Publicity

manufacturer, address, manufacturer, address, contents, indications, contents, indications, dosage, dosage, contraindications, contraindications, special special precautions, precautions, adverse adverse reactions, and reactions, and storage storage instructions at trade instructions at trade box box pursuant to BFAD pursuant to BFAD regulations regulations Trade box is plain white Trade box is plain white for for storage/packing storage/packing purposes purposes only only Bar code Bar code Box made out of c2s 140 Box made out of c2s 140 With foldable patient With foldable patient information leaflet, information leaflet, containing brand, generic containing brand, generic name, formulation, name, formulation, dispensing category, dispensing category, actions, actions, indications, indications, precautions, precautions, drugs that may drugs that may react to react to Mefenamic acid, Mefenamic acid, dosage for dosage for adults and adults and children over 14 children over 14 years old, years old, overdosage, overdosage, storage, storage, presentations, text presentations, text "Keep "Keep out of reach of out of reach of children," children," manufacturer, manufacturer, company company name, address name, address 1's - P8.35 1's - P14.87 10's - P83.52 10's - P148.69 100's - P835.23 100's - P1,486.85 In tri-media TV, radio, In tri-media TV, radio, newspapers, magazines, newspapers, magazines, billboards billboards Current image model is Current image model is Dolphy Dolphy Stationary billboards Stationary billboards Roving billboards Roving billboards On-line promotions On-line promotions through

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through corporate website corporate website http://www.unilab.com. ph http://www.unilab.com.ph Unilab controls OTC section Merchandising Unilab controls OTC section gondola of key gondola of key accounts such accounts such as Mercury as Mercury Drug, Shopwise, Drug, Shopwise, Rustans, Rustans, SM, etc. SM, etc. Box of 10's hanging through Box of 10's hanging wire display at OTC section through wire display at In-house pharmacist, OTC section merchandiser placed in key In-house pharmacist, accounts, usually in direct merchandiser placed in key alliance with distribution accounts, usually in direct outlet, except in drugstores alliance with distribution Posters of product outlet, except in drugstores Posters of product Bulk of sales through Bulk of sales through Distribution Mercury Drug chain Mercury Drug chain In most groceries at OTC In most groceries at OTC section section In institutional accounts In secondary or tertiary such as hospitals, company convenience stores and school clinics (excluding 7-Eleven and In secondary or tertiary Ministop) convenience stores (excluding 7-Eleven and Ministop) In sari-sari stores Table 26. Competitive Analysis for Dolfenal 250 and Dolfenal 500 -x-

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COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

BIOMEDIS (Unilab) Biogesic Class A/B, C, D 18 above (For adults) M/F Para safe, Biogesic!

THERAPHARMA (Unilab) Alaxan Gel Class A/B, C, D 18 above (For adults) M/F Massage pain away!

Paracetamol (500 mg) Menthol (70 mg), methyl Tablet salicylate (100 mg) Orange color Topical gel 5g, 10g, 30g Text "Biogesic" and "500" Clear, colorless gel molded in tablet Blister pack of 20's 1 foil tube 5g, 10g, and 30 g Biomedis logo at the foil of Foil tube, white sealed end, blister pack generally orange body, with Generic and brand at the red and yellow stripes foil of blister pack pursuant Animated Alaxan gel logo to BFAD regulations Brand and generic name in Manufacturing code at the yellow font color, not foil of blister pack pursuant to BFAD Expiration date at the foil regulations of blister pack Text "For external use only" "Tamper-resistant for your Text of quantity (e.g. 5g, protection" at the foil of 10g, 30g) blister pack Main body of foil tube Foil manufacturer logo at contains generic, brand, the foil of blister pack company name, Text "Analgesic manufacturer, address, Antipyretic" contents, indications, dosage, contraindications, special Box of 20's for consumers precautions, adverse Main body with flap reactions, and storage Tamper resistant seal for instructions at trade box box of 20's, containing pursuant to BFAD Unilab logo and text regulations "Tamper-resistant for your Batch code embossed at protection; Do not accept if white tip of tube seal is broken" White releasable cap Main body of trade box Box of 5g, 10g, and 30g

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contains generic, brand, Main body with flap company name, Main body of trade box manufacturer, address, contains generic, brand, contents, indications, company name, dosage, contraindications, manufacturer, address, special precautions, contents, indications, dosage, adverse reactions, and contraindications, special storage instructions at trade precautions, adverse box pursuant to BFAD reactions, and storage regulations instructions at trade box Main body of trade box pursuant to BFAD obverse plain white, with regulations sky blue section at bottom, Main body of trade box all text black except generally orange, with red generic and brand name, and yellow stripes, all text window at lower right not black except generic and pursuant to BFAD brand name, not pursuant to regulations BFAD regulations Main body of trade box Text "For external use only" reverse with sky blue in Flap obverse containing color not pursuant to slogan "Massage Pain Away" BFAD regulations and animated Alaxan gel Flap obverse and reverse logo containing generic, brand, Hole at flap for wire hanging dosage, category, and in displays quantity Bar code Picture of a family Lot number, expiration date, (mother, father, son), at manufacturing date at bottom obverse flap of box of 20's, of box not pursuant to BFAD Left and right sides of box, regulations orange in color, containing Text "World's Safe Pain animated Alaxan logo, Reliever" generic, brand name, and Text at obverse and reverse category, pursuant to BFAD of flap "When you've got a regulations headache, don’t take Top side of box, yellow in risks…. Take [Paracetamol color, containing animated Biogesic]" Alaxan logo, generic, brand Hole at flap for wire name, and category, pursuant

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hanging in displays to BFAD regulations Bar code Text "Topical Analgesic for Lot number, expiration Relief of Muscle & Joint date, manufacturing date at Pains" bottom of box Text "[Alaxan gel] is a nonSides of box containing greasy gel that soothes and generic, brand name, and relieves aching muscles, category; text "For swollen joints, stiff neck, headache, fever and flu" shoulder pains, backache, Box made out of c2s 140 sprains, cramps and pains Text "With 500 mg associated with arthritis" Paracetamol, the World's Text "[Alaxan gel] has Safe Pain Reliever" penetrating relief that lasts Text "Doctor-prescribed for hours and trusted for years" Text "Trust BIOGESIC for headache, fever, and flu. BIOGESIC can be taken even by patients with peptic ulcer because it causes no stomach disorders like irritation or bleeding. It is also safe for pregnant women. Text "BIOGESIC, No. 1 Choice for Headache, Fever, and Flu." Text "Also available: BIOGESIC Syrup for Children" Box of 500's Tamper resistant seal for box of 500's, containing Unilab logo and text "Tamper-resistant for your protection; Do not accept if seal is broken" Main body of trade box

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SRP

Current Advertising, Promotions and Publicity

contains generic, brand, company name, manufacturer, address, contents, indications, dosage, contraindications, special precautions, adverse reactions, and storage instructions at trade box pursuant to BFAD regulations Trade box is plain white with sky blue band for storage/packing purposes only Bar code Box made out of c2s 140 With foldable patient information leaflet, containing brand, generic name, formulation, dispensing category, actions, indications, precautions, drugs that may react to Mefenamic acid, dosage for adults and children over 14 years old, overdosage, storage, presentations, text "Keep out of reach of children," manufacturer, company name, address 1's - P2.26 5g - P10.29 20's - P45.27 10g - P18.86 500's - P1,131.82 30g - P51.45 In tri-media TV, radio, On-line promotions through newspapers, magazines, corporate website billboards http://www.unilab.com.ph Current image model is John Lloyd Cruz

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Stationary billboards Roving billboards On-line promotions through corporate website http://www.unilab.com. ph Posters of product Merchandising Unilab controls OTC section gondola of key Mobiles/hanging items accounts such as Mercury Drug, Shopwise, Rustans, SM, etc. Box of 10's hanging through wire display at OTC section In-house pharmacist, merchandiser placed in key accounts, usually in direct alliance with distribution outlet, except in drugstores "Ingat ka" stuffed toys posters of product Mobiles/hanging items Bulk of sales through Bulk of sales through Distribution Mercury Drug chain Mercury Drug chain In most groceries at OTC In most groceries at OTC section section In institutional accounts In athletic or footwear such as hospitals, company sections of selected and school clinics department stores In secondary or tertiary In convenience stores convenience stores including 7-Eleven and (excluding 7-Eleven and Ministop Ministop) In sari-sari stores Table 27. Competitive Analysis for Biogesic and Alaxan Gel – x-

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COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

INTERNATIONAL PHARMA Efficascent Oil Class C, D All ages M/F The Power of your Touch

INTERNATIONAL PHARMA Efficascent Oil Extra Class C, D All ages M/F The Power of your Touch

Methyl salicylate (13.846 Methyl salicylate, Camphor, mL/100 mL), Camphor (3.846 and Menthol g/100 mL), and Menthol Liniment (0.423 g/100 mL) Clear, greenish liquid Liniment Mentholated smell Clear, greenish liquid Mentholated smell Bottle of 25 mL, 50 mL, 100 Bottle of 25 mL, 50 mL, 100 mL, 200 mL, 250 mL mL, 200 mL 4-sided clear, colorless bottle 4-sided clear, colorless bottle Silver metallic sticker with red Silver metallic sticker with red border at obverse side of bottle border at obverse side of bottle Efficascent Oil logo and Efficascent Oil Extra logo and slogan "The Famous Liniment" slogan "The Famous Text containing indications, Liniment" directions for use, formulation, Text containing indications, storage, warning, drhr, directions for use, formulation, manufacturing date, expiration storage, warning, drhr, date, batch number manufacturing date, expiration With tamper-proof metal cap date, batch number Metal cap with International With tamper-proof metal cap Pharma logos Metal cap with International International Pharma logo Pharma logos watermark International Pharma logo Halal symbol watermark Barcode Halal symbol Company name and address Barcode Text "For external use only" Company name and address Text "For external use only" Box of 288's 25 mL Bottle with production marks

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SRP

Current Advertising,

Company name and address at bottom Logo of International Pharma Brand and generic name Box of 288's 25 mL Efficascent Oil logo and Company name and address slogan "The Famous Liniment" Logo of International Pharma Brand and generic name Box of 144's 50 mL Efficascent Oil Extra logo and Company name and address slogan "The Famous Logo of International Pharma Liniment" Brand and generic name Efficascent Oil logo and Box of 144's 50 mL slogan "The Famous Liniment" Company name and address Logo of International Pharma Box of 72's 100 mL Brand and generic name Company name and address Efficascent Oil Extra logo and Logo of International Pharma slogan "The Famous Brand and generic name Liniment" Efficascent Oil logo and slogan "The Famous Liniment" Box of 72's 100 mL Company name and address Logo of International Pharma Brand and generic name Efficascent Oil Extra logo and slogan "The Famous Liniment" 25 mL - P11.73 25 mL - P13.41 50 mL - P20.27 50 mL - P22.05 100 mL - P39.55 100 mL - P42.73 200 mL - P62.73 200 mL - P74.68 250 mL - P63.82 Box of 25 mL 288's Box of 25 mL 288's P3,862.08 P3,378.24 Box of 50 mL 144's Box of 50 mL 144's P3,175.20 P2,918.88 Box of 100 mL 72's Box of 100 mL 72's P3,076.56 P2,847.60 On-line promotions through corporate website

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On-line promotions through corporate website

http://www.ipi-phil.com Promotions and http://www.ipi-phil.com Stationary billboards Stationary billboards Publicity Roving billboards Roving billboards None Merchandising None Bulk of sales through Mercury Bulk of sales through Mercury Distribution Drug chain Drug chain In most groceries at OTC In most groceries at OTC section section In institutional accounts such In institutional accounts such as hospitals, company and as hospitals, company and school clinics school clinics In athletic or footwear sections In athletic or footwear sections of selected department stores of selected department stores In convenience stores In convenience stores including 7-Eleven and including 7-Eleven and Ministop Ministop In sari-sari stores In sari-sari stores Table 28. Competitive Analysis for Efficascent Oil and Efficascent Oil Extra-

p. 114

COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

PFIZER Bengay Cream Class A/B, C All ages M/F Greaseless Pain Relieving Cream for Muscle Stress

PFIZER Bengay Ultra Class A/B, C All ages M/F Ultra Strength Greaseless Pain Relieving Cream for Muscle and Joint Pains Menthol (10%), methyl Menthol (10%), methyl salicylate (15%) salicylate (30%), camphor Cream (4%) White liniment Cream Mentholated smell White liniment Mentholated smell Plastic tube of 57 g Plastic tube of 57 g White plastic tube with flip- White plastic tube with fliptop cap top cap Printed white body, Printed white body, generally green with white generally red with white stripes stripes Brand and generic name Brand and generic name Bengay logo with slogan Bengay logo with text "Ultra "Greaseless Pain Relieving Strength" and slogan Cream", "Serious Relief "Greaseless Pain Relieving from Muscle Stress" Cream", "Serious Relief Quantity "Net Wt. 57 g" from Muscle and Joints Pfizer logo, company name, Pain" manufacturer, importer, Quantity "Net Wt. 57 g" address Pfizer logo, company name, Text "For External Use manufacturer, importer, Only" address Barcode Text "For External Use Text containing directions, Only" warning, formulation, Barcode storage instructions, Text containing directions, registration number, warning, formulation, trademark storage instructions, registration number, Box of 57 g trademark

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Main body with flap Tamper resistant flap, glued Box of 57 g Main body of trade box Main body with flap contains generic, brand, Tamper resistant flap, glued company name, Main body of trade box manufacturer, address, contains generic, brand, contents at trade box company name, pursuant to BFAD manufacturer, address, regulations contents at trade box Bengay logo with slogan pursuant to BFAD "Greaseless Pain Relieving regulations Cream," "Serious Relief Bengay logo with text "Ultra from Muscle Stress" Strength" and slogan Main body of trade box "Greaseless Pain Relieving obverse full green with white Cream," "Serious Relief stripes, all text black except from Muscle Stress" generic and brand name, not Main body of trade box pursuant to BFAD obverse full red with white regulations stripes, all text black except Pfizer logo, company name, generic and brand name, not manufacturer, importer, pursuant to BFAD address regulations Main body of trade box Pfizer logo, company name, reverse full white with manufacturer, importer, directions address Flap obverse and reverse full Main body of trade box green with white stripes reverse full white with containing generic, brand, directions dosage, category, and Flap obverse and reverse full quantity red with white stripes Silhouette of muscular male, containing generic, brand, at obverse flap, not pursuant dosage, category, and to BFAD regulations quantity Text "Penetrating Pain Silhouette of muscular male, Relief," "Serious Relief from at obverse flap, not pursuant Muscle Stress" to BFAD regulations Violator at upper left of flap Text "Strongest Bengay "Flip-top cap!", "Easy to ever", "Serious Relief from squeeze tube," "Larger size- Muscle and Joint Pains"

p. 116

SRP

better value" Text "For External Use Text "For External Use Only" Only" Text "Topical Analgesic," Text "Topical Analgesic," "Serious Relief from Muscle "Serious Relief from Muscle Stress" Stress" Bar code Bar code Lot number, expiration date, Lot number, expiration date, manufacturing date at manufacturing date at bottom bottom of box of box Sides of box full red with Sides of box full green with white stripes containing white stripes containing animated generic, brand animated generic, brand name, and category; text name, and category; text "Ultra Strength", not "Greaseless Pain Relieving pursuant to BFAD Cream," not pursuant to regulations BFAD regulations Top of box full red with Top of box full green with white stripes containing white stripes containing animated generic, brand animated generic, brand name, and category; text name, and category; text "Greaseless Pain Relieving "Greaseless Pain Relieving Cream", not pursuant to Cream", not pursuant to BFAD regulations BFAD regulations Inside of box with box Inside of box with box manufacturer's logo, recycle manufacturer's logo, recycle logo logo Box made out of c2s 160 Box made out of c2s 160 Text "BENGAY provides soothing relief to sore, aching, and strained muscles." Text "BENGAY has warming power that penetrates deep down for fast, effective, relief that lasts for hours" 57 g - P121.59 57 g - P133.65 113 g - P175.27

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None None Current Advertising, Promotions and Publicity None Merchandising None Bulk of sales through Bulk of sales through Distribution Mercury Drug chain Mercury Drug chain In most groceries at OTC In most groceries at OTC section section In athletic or footwear In athletic or footwear sections of selected sections of selected department stores department stores Table 29. Competitive Analysis for Bengay Cream and Bengay Ultra

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COMPANY Products Target Market

Positioning/ Slogan Features

Packaging

INTERNATIONAL PHARMA Omega Painkiller Class C, D All ages M/F Whatever the action is, trust Omega Painkiller

Methyl salicylate (14.775 mL/100 mL), Camphor (4 g/100 mL), and Menthol (3.330 g/100 mL) Liniment Greenish, white liquid Mentholated smell Bottle of 15 mL, 30 mL, 60 mL, 120 mL Round-sided ruby bottle Yellow metallic sticker with gold border at 3/4 surface of bottle Omega Painkiller logo Text containing indications, directions for use, formulation, storage, warning, drhr, manufacturing date, expiration date, batch number With tamper-proof metal cap Text "Shake well before using" Text "Website: http://www.ipi-phil.com" Metal cap with International Pharma logos International Pharma logo watermark Halal symbol Barcode Company name and address Text "For external use only" Symbol "40 years of excellence" Bottle with production marks at bottom Box of 288's 215 mL Company name and address Logo of International Pharma Brand and generic name Omega Painkiller logo and slogan "The Famous Liniment"

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Box of 144's 50 mL Company name and address Logo of International Pharma Brand and generic name Omega Painkiller logo and slogan "The Famous Liniment" Box of 72's 120 mL Company name and address Logo of International Pharma Brand and generic name Omega Painkiller logo and slogan "The Famous Liniment" 15 mL - P12.64 30 mL - P15.23 60 mL - P29.00 120 mL - P54.14 Box of 15 mL 288's - P3,639.27 Box of 30 mL 144's - P 2,152.80 Box of 30 mL 288's - P4,305.60 Box of 60 mL 144's - P4,176.00 Box of 120 mL 72's - P3,898.08 On-line promotions through corporate website Current (http://www.ipi-phil.com) Advertising, Promotions and Stationary billboards Roving billboards Publicity SRP

Merchandising Posters of product Bulk of sales through Mercury Drug chain In most groceries at OTC section In institutional accounts such as hospitals, company and school clinics In athletic or footwear sections of selected department stores In convenience stores including 7-Eleven and Ministop In sari-sari stores Table 30. Competitive Analysis for Omega Painkiller

Distribution

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X. SWOT ANALYSIS

PRODUCT Strengths Efficacy. The two (2) components of Restolax, specifically Ibuprofen combined with Paracetamol, are known effective medicine against muscle pain. More specifically, the compound of 200 mg Ibuprofen combined with 325 mg Paracetamol is scientifically proven to be the most effective and safest dosage against muscle pain. Quality. Production facilities for Restolax follow the government regulations of quality, specifically the Current Good Manufacturing Practice (CGMP). Lloyd Laboratories, Inc. in particular is ISO 9001 certified. Cure-all tendency. The two (2) components of Restolax, specifically Ibuprofen combined with Paracetamol, are known effective medicine against a wide range of ailments aside from muscle pain. It can also be taken for cases of headache, fever, colds, dysmenorrhoea, toothache, etc. This would mean value for money for consumers since Restolax have alternative uses.

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Great brand name. The brand name Restolax rhymes with “rest” and “relax,” two (2) positive values attributed to well-being. The brand name emerged first in a survey and design study executed by the company through an outsourced marketing agency. Brand extension. To answer the need for a higher dosage, Restolax has a brand extension for a stronger compound with 400 mg Ibuprofen combined with 325 mg Paracetamol. This product is called Restolax Forte. Handy. Unlike topical MPRs, Restolax is handy since as a tablet, it does not take so much space and is spill-proof. Locally-produced. Being locally produced means smaller operational costs for the company, the savings of which could be passed on to the consumers. This is supported by the UAI results (Appendix B) that having to be imported is not a strong preference of most consumers for their MPR brand.

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Weaknesses Low in TOM awareness. Restolax ranked a dismal 0% in Top of Mind awareness based on the UAI survey conducted for the purposes of this Marketing Paper as well as in the April-June 2006 Philippine Pharmacopoeia. Low in brand awareness. Unaided brand awareness for MPRs only resulted to 1 respondent who is aware of the brand and 12 respondents during the aided portion. Form not associated as muscle pain reliever. 73% of the respondents said they apply a topical muscle pain reliever upon experiencing muscle pain compared to a small 15% who would take capsule or tablet MPRs. Not fast-release. In comparison to competition, Restolax is not a fast-release muscle pain reliever due to its retention of the tablet form. Unattractive/lack of packaging. The brand scrimped on packaging, which affected its brand image. Restolax is bought only as single tablets or as a whole blister pack with no box and other related materials that could enhance its image. Lacks expiration date on blister pack. Unlike the competition, the blister pack of Restolax does not indicate an expiration date. This

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may translate to inefficiency or indifference of the manufacturer to the consumer’s welfare. Lack of variants or brand extensions. The Restolax brand is only aided by only one (1) variant, Restolax Forte, in contrast to its competition. Unknown manufacturer from consumer’s perspective. Unlike its competitions, that are either multinationals or ranks higher in the pharmaceutical industry, Restolax is manufactured and owned by an unknown and less financially capable company. Opportunities Recognition of Restolax as alternative to Alaxan. The implementation of the Generics Act and further emphasis on the present industry may aide the brand in attaining recognition along with the more popular brands in the industry. Most pharmacists offer Restolax as an alternative to higher-priced competition like Alaxan should a customer request for a generic alternative. Filipinos now are more health-conscious. Consumers may easily purchase MPRs for preventive measures and for ready use rather than as a reactive measure.

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Increase in consumer spending. Consumers may not think twice about purchasing health products, provided it is of high quality and affordable. Beforehand, consumers may opt for sleep or relaxation to cure minor discomforts like muscle pain, the increase in buying power may mean that consumers are readily open to buying OTC solutions instead of quick relief. Decreasing unemployment. More consumers are working which would mean a bigger market that is able to spend on health products. Only a small percentage considers OTC products as MPRs. Since a majority of the target market considers topical analgesics and rubefacients as MPRs and not OTC products based on the UAI survey conducted for the purposes of this marketing paper, there is still a large untapped market for MPRs in capsule or tablet form. Threats Competitors have varied products across all forms. Having competition with a wide range of products would mean having competition that have already entrenched all sides of the industry with an existing product. Strict BFAD Regulations. BFAD’s continuous assessment and monitoring of the pharmaceutical industry could hamper the company’s

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product development to counter competition’s activities or to widen its market share.

PRICE Strengths Inexpensive. Being inexpensive, Restolax is more attractive to the C and D markets that may prioritize affordability more than branding and other factors. Weaknesses Low price does not appeal to A/B market. Restolax, like most unpopular products, is perceived to be a generic counterpart, which may alienate the A/B market that is not price-sensitive as long as quality is high. No discounts for more quantity purchase. Unlike other products, Restolax is priced as multiples of its single tablet. They don’t have special SKUs that are priced lower when purchased at a higher quantity. Opportunities Increasing peso can decrease COGS from imported raw materials. Most of the components used for the production of Restolax

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are imported. The stronger peso will translate to lower COGs for the company, the savings of which may be passed on to the consumers.

PLACE Strengths Institutional accounts helps open market. Tapping institutional accounts aide the brand in reaching the consciousness of its target market since it is being offered to employees, factory workers, and the likes. Successive trials would be more possible due to this scenario. Exports. Launching the brand in the international markets that are still in its growth stage aids Restolax in sustaining itself especially since the local market is already congested. Weaknesses Low visibility. Restolax is hardly seen or heard in retail outlets and does not have strong merchandising efforts. Dependence on Mercury Drug. Like most pharmaceutical products, Restolax is largely dependent on the Mercury Drug chain. This means the retail outlet may demand so much from the company, the inability of which would mean a more obscure placement for the product or deletion from the category.

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Lack of distribution in Vis-Min area. Failing to make Restolax as widely distributed in the Vis-Min area as it is in Luzon would open up the channel to other competitors who could utilize the area’s preference for a cheaper alternative to more expensive brands especially since it has a lower cost of living. Opportunities Vis-Min area is still not fully tapped. The Vis-Min area is a great opportunity to go head-to-head with more expensive brands due to the area’s lower cost of living in which Restolax is of advantage due to its lower price. BFAD’s removal of OTC section in 7-Eleven, Ministop, etc. The removal of the OTC section in 7-Eleven, Ministop, etc. due to BFAD regulations would mean a level playing field for the company. This is because Unilab is the sole initiator of this distribution channel, the success of which would have been fully under their control. This is an opportunity because the localized marktet of the convenience stores is now open for new players in the industry through sari-sare stores and non-chain convenience stores. Development of new drugstore chains. Several drugstore chains have emerged such as Savemore Drug, Emmaflor Drugstore, Rose

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Pharmacy, and Southstar Drug. These developments should have aided the company in having alternative trade channels since Mercury Drug becomes less attractive due to costs, private labels, or Unilab’s control. Unfortunately, taking control of these alternative drugstores is still not a priority for the company. Threats Strengthened peso may decrease exports. The stronger peso may decrease the company’s exports of the brand to the international market. BFAD’s stricter implementation of the pharmacist policy. Due to BFAD’s policy that only outlets with pharmacists can sell OTC products, or medicines in general, Restolax may find itself losing since more often than not, it is Unilab that controls the merchandiser or pharmacists manpower placed in the retail outlets. Mercury Drug’s plan of directly importing drugs/private labels. The increasing threat of private labels and Mercury Drug’s initial intent with regard to the feasibility of directly importing drugs for exclusive sale will be disastrous not only for the company but for the entire industry.

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Competition’s control of key distribution channels. It is a known fact that Unilab controls the OTC section of retail house giants such as Rustan’s, Shopwise, SM, and even Mercury Drug. Having a competitor which is vital to the operations of retailers would mean a difficult hurdle in implementing merchandising activities and availing better placement or accreditation.

PROMOTIONS Strengths Direct to target market. Utilizing below-the-line (BTL) promotional tactics allows the company to talk directly to the target market with lower expenses. Regional-based promotions. Having regional-based promotions of its assigned distributor translates to a better understanding of how the brand can be most effectively promoted to the area. Target market focus. Basing on company billboards and the likes, Restolax is being promoted directly to blue-collar employees or to anyone belonging to the C/D market. This direct strategy clearly defines the identity of the brand and creates a stronger relationship to its preferred target market.

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Focused placement of billboards. Having billboards in areas habituated by its target market such as Bocaue in Bulacan, C5, GMAKamuning, and Malabon rather than a shotgun-approach along more popular areas such as EDSA is not only more effective but also less costly for the company. Weaknesses Loss of advertising momentum. When the company contracted superstar Robin Padilla to become its image model complete with TV ads and press releases, Restolax created waves in the pharmaceutical industry. The inability to sustain this advertising campaign even through a BTL level made Restolax appear inefficient, and the company more obvious to be financially unable to stand up against Unilab. Lack of coherence. Utilizing a promotional tactic which can be independently decided and implemented at the distributor level is not coherent and may confuse consumers due to conflicting campaigns, pricing strategies, etc. Lack of positioning focus. The slogan “Sakit ng ulo’t katawan? I-Restolax mo ‘yan!” is a prime evidence of the product’s cure-all tendency. Failing to choose one aspect of the product and promoting it

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continuously to the target market would lead to confusion with regards to what Restolax is for. Poor brand loyalty. Since the product is basically selling due to its more affordable price, consumers would naturally tend to shift to a still more affordable alternative as soon as it is made available. Moreover, only a small fraction of its users would transfer to another outlet where Restolax is available based on the UAI survey conducted for the purposes of this marketing paper. The rest would simply buy another product. Discontinued website. The company’s decision to go off-line not only made them less inaccessible to consumers, but also more importantly, contributed to technically no information about their product or the company in the World Wide Web. Opportunities Competition losing focus. Its perceived main competitor, Alaxan of Unilab, is losing focus. The Alaxan brand name is altogether a tablet, a capsule, and a topical analgesic all stating different slogans. Most noticeable is that of the Alaxan tablet with an advertising campaign dubbed “Sipag at Alaxan, para mas magaan!” The slogan does not emphasize the brand to be a muscle pain reliever and is in fact aligning

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itself to multivitamins. It is more of a hollistic approach to well-being similar to Clusivol (Bawal magkasakit) and Stresstabs (Take stress seriously). Competition gaining focus. Less direct competition such as Advil (Wyeth) is strongly positioning itself away from the muscle pain reliever industry. Though it is made up of 200 mg Ibuprofen, it is dropping the cure-all tendency and is focusing on headaches as seen on their memorable advertising campaigns. Threats Heavy advertisements of competition. Just recently, the competition, especially those owned by Unilab, has implemented a large-scale advertising campaign, which features the brightest celebrities. This would be a great threat to the company because ours is mediadriven society. More importantly, the C and D market, which is Restolax’s focus, are in love with local showbiz. Finally, it would be quite difficult to find a strong image model that is at par with the likes of Manny Pacquiao, Dolphy, and John Lloyd Cruz, among others.

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XI. SWOT ANALYSIS -x-PRODUCT STRENGTHS 1. Efficacy 2. Quality 3. Cure-all tendency 4. Great brand name 5. Brand extension 6. Handy 7. Locally-produced

WEAKNESSES 1. Low in TOM awareness 2. Low in brand awareness 3. Form not associated as muscle-pain reliever 4. Not fast-release 5. Unattractive/lack of packaging 6. Lacks expiration date on blister pack 7. Lack of variants or brand extensions 8. Unknown manufacturer from consumer’s perspective

OPPORTUNITIES THREATS 1. Recognition of Restolax as alternative to 1. Competitors have varied products across all forms Alaxan 2. Strict BFAD regulations 2. Filipinos now are more health-conscious 3. Increase in consumer spending 4. Decreasing unemployment 5. Only a small percentage consider OTC products as MPRs Table 31. SWOT Analysis for Product

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PRICE

STRENGTHS 1. Inexpensive

WEAKNESSES 1. Low price does not appeal to A/B market 2. No discounts for more quantity purchase

OPPORTUNITIES THREATS 1. Increasing peso can decrease COGS from imported raw materials Table 32. SWOT Analysis for Price

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PLACE

STRENGTHS 1. Institutional accounts helps open market 2. Exports

WEAKNESSES 1. Low visibility 2. Dependence on Mercury Drug 3. Lack of distribution in Vis-Min area

OPPORTUNITIES 1. Vis-Min area is still not fully tapped 2. BFAD’s removal of OTC section in 7Eleven, Ministop, etc. 3. Development of new drugstore chains

THREATS 1. Competition targeting Vis-Min area 2. Strengthened peso may decrease exports 3. BFAD’s stricter implementation of the pharmacist policy 4. Mercury Drug’s plan of directly importing drugs/private labels 5. Competitions control of key distribution channels

Table 33. SWOT Analysis for Place

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PROMOTION STRENGTHS 1. Direct to target market 2. Regional-based promotions 3. Target market focus 4. Focused placement of billboards

WEAKNESSES 1. Loss of advertising momentum 2. Lack of coherence 3. Lack of positioning focus 4. Poor brand loyalty 5. Discontinued website

OPPORTUNITIES 1. Competition loosing focus 2. Competition gaining focus

THREATS 1. Heavy advertisements of competition

Table 34. SWOT Analysis for Promotion

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XII. MARKETING OBJECTIVES

With the implementation of the proposed marketing plan the company seeks to achieve the following objectives through the strategies proposed in Section XIII. Marketing Strategies: To increase Sales Revenues from P24,071,636.00 in 2007 to not less than P30,600,000.00 by December 31, 2008 To decrease Cost of Sales (COS) from 60% in 2007 to 51% by the end of calendar year 2008 To increase profitability from P10,546,957.00 in 2007 to not less than P15,000.000.00 by the end of fiscal year 2008 To increase Net Income After Tax (NIAT) from P2,490,144.00 to not less than P3,600,000.00 by December 31, 2008. To improve top-of-mind awareness of Restolax from none to not less than 2% by the end of calendar year 2008 To increase market share in the Ibuprofen combined with Paracetamol segment from 0.30% in 2007 to 2.00% by the end of fiscal year 2008.

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RESTOLAX Eurohealthcare

STRENGTHS S1 - Efficacy S2 - Quality S3 - Cure-all tendency S4 - Great brand name S5 - Brand extension S6 - Handy S7 - Locally-produced S8 - Inexpensive S9 - Institutional accounts helps open market S10 - Exports S11 - Direct to target market S12 - Regional-based promotions S13 - Focused target-market S14 - Focused placement of billboards

OPPORTUNITIES SO Strategies O1 - Recognition of Restolax as Strengthen brand focus and target alternative to Alaxan market

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WEAKNESSES W1 - Low in TOM awareness W2 - Low in brand awareness W3 - Form not associated as muscle-pain reliever W4 - Not fast-release W5 - Unattractive/lack of packaging W6 - Lacks expiration date on blister pack W7 - Lack of variants or brand extensions W8 - Unknown manufacturer from consumer’s perspective W9 - Low price does not appeal to A/B market W10 - No discounts for more quantity purchase W11 - Low visibility W12 - Dependence on Mercury Drug W13 - Lack of distribution in Vis-Min area W14 - Loss of advertising momentum W15 - Lack of coherence W16 - Lack of positioning focus W17 - Poor brand loyalty W18 - Discontinued website WO Strategies

Strengthen presence in smaller drugstore chains

O2 - Filipinos now are more health(S1, S2, S3, S6, S7, S8, S11, S13, conscious S14, O1, O2, O3, O4, O10, O11) O3 - Increase in consumer spending O4 - Decreasing unemployment O5 - Only a small percentage consider OTC products as MPRs O6 - Increasing peso can decrease COGS from imported raw materials O7 - Vis-Min area is still not fully tapped O8 - BFAD’s removal of OTC section in 7-Eleven, Ministop, etc. O9 - Development of new drugstore chains

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(W14, O8, O9)

O10 - Competition loosing focus O11 - Competition gaining focus THREATS ST Strategies T1 - Competitors have varied products across all forms T2 - Strict BFAD regulations T3 - Competition targeting Vis-Min area T4 - Strengthened peso may decrease exports T5 - BFAD’s stricter implementation of the pharmacist policy T6 - Mercury Drug’s plan of directly importing drugs/private labels T7 - Competitions

WT Strategies

Enter new distribution channels (W12, W13, W14, T3, T5, T6, T7)

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control of key distribution channels T8 - Heavy advertisements of competition Table 35. Other Strategies for Eurohealthcare (Restolax)

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XIII. MARKETING STRATEGIES

A. Core Strategies

1. Target Market. The demographic and psychographic target market stated below are large enough to support the brand, reachable because they are generally urbanized, profitable, and have purchasing ability with respect to the brand at hand albeit minimally due to their economic status, identifiable due to their lifestyle and work positions, and have potential for growth due to our country’s population boom.

Demographic Age: 25- 40 years old Status: Single and married Socio-Economic Classes: C and D Gender: Male and female Occupation: blue collar-workers to rank-and-file employees Location:

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PRIMARY:

National

Capital

Region

(NCR)/Metro

Manila/Luzon – initially focused in NCR/Luzon since the company’s distribution network is already existing here SECONDARY: Visayas and Mindanao – secondary in terms of execution dates due to lack of extensive distribution network in the region, Strategy C acts as precedent

Psychographic These are the type of individuals who strive to earn an honest living, and thus, they have to protect themselves from the pangs of nonexecutive work without hurting their budget too much. They are the ones who commute going to work and would not mind getting the occasional elbows jammed up their chest while standing inside the bus or MRT or LRT. They may bring baon to work and sell items to their colleagues as a sideline. They never refuse an opportunity to earn or save money. They do not fuss over the finer things in life as long as they do not feel cheated on what they purchase. They love showbiz and are not ashamed of it. They may be loyal to their brands to some extent, but if money becomes a problem, they would easily shift to a more affordable substitute.

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2. Positioning Statement: “Restolax! Mabilis at matipid na panlaban sa pananakit ng kalamnan!” Analysis. The positioning statement clearly defines what Restolax is for. Taking Restolax is like having proper rest and relaxation, it is the proper and cost-efficient step against muscle pain. By clearly emphasizing inexpensive (matipid), the statement separates itself from the higher priced competition such as Alaxan. Moreover, by indicating “pananakit ng kalamnan”, it clearly states that Restolax is for muscle pain alone. The wrong use of other words such as “sakit” instead of “pananakit” or “katawan” instead of “kalamnan” would have invoked the cure-all tendency of medicines. This would have made Restolax lose its focus. Moreover, aligning Restolax to the sense of well-being of rest and relaxations brings a positive imagery of efficacy and costlessness to the brand. It is also important to utilize Filipino in the positioning statement. Though majority of the target market are literate and English speaking, using Filipino adds a more relaxed tone that would be more comforting to the consumers.

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XIV. MARKETING PROGRAM/SCHEDULE/PLAN

Strategy A: Strengthen brand focus and target market Although the brand will still abide by the Generics Act of 1988 that call for informing the public that Restolax is Ibuprofen combined with Paracetamol, the function of the product as stated in all marketing efforts will now be focused. It is not against BFAD regulations to truncate or drop claims of a product in contrast to claiming efficacy against ailments that are not scientifically proven. Restolax will position itself as a muscle pain reliever. More specifically, its marketing campaign will speak of muscle pain brought about by strenuous work. This is a good strategy because it enables a direct attack against Alaxan. Currently, Alaxan as a brand name is losing focus because it is stretching itself across all platforms. It wants to be a topical analgesic, a fast-release capsule, and an analgesic-cum-multivitamin. The variety will confuse even its most loyal consumers. This is in great contrast to Restolax’s focus as a muscle pain reliever for blue-collar and rank-and-file employees who are physically tired from work.

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Action Plan 1: Improve blister pack and packaging of Restolax. The blister pack for Restolax and Restolax Forte will have the following improvements:

Improvements Perforation that runs lengthwise and crosswise, between tablets

Rationale Having perforations would make selling single tablets easier and would prevent untoward tearing of adjacent tablets, which would compromise safety and quality. Moreover, having perforations would convey an image of high quality to consumers. Additional text “Restolax! Placing the positioning Mabilis at matipid na panlaban statement among the texts of the sa pananakit ng kalamnan!” blister pack will aide in instilling the product’s focus to the target market. Expiration date printed on foil, Placing the expiration date and additional text “Tamper-proof tamper warning on the blister for your protection” pack will show to consumers that the company is vigilant in preserving quality and safety. Table 36. Blister Pack Improvements for Restolax Action Plan 2: Below-the-line campaign Due to Eurohealthcare’s limited financial capability to support a long term campaign and its disappointing experience earlier on with TV advertising, a below-the-line (BTL) campaign will be launched instead.

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Creative Brief 1 Campaign Requirement: Billboard (company-owned billboards within Metro Manila, present locations), Print (Inquirer Libre!), and FM Radio (Love Radio (90.7), Yes FM (101.9), Star FM (102.7)), AM Radio (DZRH, DZMM), press releases, merchandising collaterals (stickers, posters, banners, standees, flyers), transit ads (buses, jeepneys, tricycles), and website Background: This tri-media campaign is proposed to enforce the company’s segmentation strategy of the market. Restolax will be strongly positioned through this ad campaign as a muscle pain reliever, dropping off all other known functions and ailments that can be cured with the use of the product. Imagery of blue-collar workers and rankand-file employees should be utilized. Filipino language combined with English should be used. Advertising Objective: 

To increase market share of Restolax in the Ibuprofen combined with Paracetamol segment from 1.49% in 2006 to not less than 2.11% at the end of calendar year 2008



To achieve top of mind awareness of 2%

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Target Audience: 

Age: 25- 40 years old



Status: Single and married



Socio-Economic Classes: C and D



Gender: Male and female



Occupation: blue collar-workers to rank-and-file employees



Location: PRIMARY:

National

Capital

Region

(NCR)/Metro

Manila/Luzon – initially focused in NCR/Luzon since company’s distributoin network is already existing here SECONDARY: Visayas and Mindanao – secondary in terms of execution dates due to lack of extensive distribution network in the region, Strategy C acts as precedent What do you want them to think, feel, etc.? The target market should clearly understand the focus and positioning of the product, not considering it as another cure-all analgesic Proposition: Restolax is the most affordable muscle pain reliever Substantiation, product features giving off the benefit: Ibuprofen (200 mg) combined with Paracetamol (325 mg), inexpensive price Tone of voice: Friendly, understanding, motherly

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Mandatory inclusion: 

Positioning Statement/Slogan - “Restolax! Mabilis at matipid na panlaban sa pananakit ng kalamnan!”



“Eurohealth Cares!” - similar to end clips from competition (e.g. “from Unilab” and “Pfizer made it”)

Budget: See XIV. Marketing Budget

Strategy B: Strengthen presence in smaller drugstore chains Action

Plan

1:

Localized

promotions

and

merchandising

improvements Restolax will partner with smaller drugstore chains such as Savemore Drug, Emmaflor Drug, Manson Drug, and Southstar Drug. Localized raffles will be negotiated so as to increase sales within these retail outlets. This action plan is similar to the local marketing strategy of the food and beverage industry wherein each store is directly marketing Restolax within the area. Moreover, merchandising will be intensified so that Eurohealthcare will become a dominant player in the respective outlet’s area of business. This includes flyering in selected outlets.

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Promotion Brief 1 Type of Promo: Consumer Scheme: Purchase of 3 blister pack, gets one (1) turn at the tambiyolo Theme: Rest and Relax with Restolax Instant Prize Scope: Savemore Drug, Emmaflor Drug, Manson Drug, and Southstar Drug Mechanics: 2. Purchase of 3 blister pack, gets one (1) turn at the tambiyolo 3. Player gets a chance to win a free 1 4’s SKU, 1 blister pack, or a Restolax pillow 4. Prizes can be claimed on site Budget: See XIV. Marketing Budget

Strategy C: Enter new distribution channels Restolax will widen its distribution based on a 2-way program. The first will involve sari-sari stores and convenience stores within Metro Manila; the second will focus on tapping the Vis-Min area.

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Cost Analysis Required Purchase @ P4.75 x 36 Less COGs @ 56% Subtotal

P

171.00 95.76 75.24

Cost per Unit - Restolax Pillows 7.00 Sales Net COGs & Marketing Expense P 68.24 Table 37. Cost Analysis of Strategy B Action Plan 1

Action Plan 1: Tapping sari-sari stores and non-chain convenience stores for distribution Two (2) institutions catalyze the brand’s move to these 2 areas of distribution, namely BFAD and Unilab. Recently, BFAD has become stricter in implementing its regulations with regard to areas where medicines can be sold, requiring the presence of a pharmacist. On the other hand, Unilab has full-control of the OTC sections of key retail outlets such as Shopwise, Rustan’s, SM, and even Mercury Drug. Thus, the company’s effort will always play second score to efforts conducted by Unilab. Since BFAD no longer allows big convenience store chains such as 7-Eleven and Ministop to sell medicine unless they have pharmacists assigned to each store, Eurohealthcare will focus its distribution on the

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sari-sari and non-chain convenience stores which would most likely be out of BFAD’s rigid control. The company will initially tap salesmen or account executives who are experienced in this unique distribution channels who will earn through a very competitive commission-based incentive scheme. Their task is just to either sell or consign Restolax in strategic areas namely sari-sari stores present in economic zones where most factories and industrial plants are located such as, but not limited to: 1. First Bulacan Industrial Park, Bulacan 2. First Philippine Industrial Park 3. FTI Tenement 4. Guadalupe (along Pasig River) 5. Libis 6. Carmelray Industrial Park, Batangas 7. First Philippine Industrial Park, Batangas To further promote Restolax directly to the workers employed in the companies located in the areas above, transit and guerilla ads will be utilized by the brand. These ads will be similar to the effects of point-ofpurchase materials such as posters, mobiles, and brochures, which would

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also be provided in these areas. The transit and guerilla ads that will be utilized for this local area marketing are the following: Sari-sari store signage. Restolax will utilize sari-sari store signage bearing the name of the owner or actual name of the store similar to what Coke and Pepsi has been doing. The left ear will be utilized for the company generic and brand name to make it compliant with BFAD. The right ear, however, will be utilized for imagery showing blue-collar workers and employees endorsing Restolax. The slogan, “Restolax! Mabilis at matipid na panlaban sa pananakit ng kalamnan!” will also be visible. Jeepney stickers. The stickers will contain both the generic and brand name of Restolax to comply with BFAD regulations. The imagery of the blue-collar workers and the slogan will also be included to make the promotional campaign continuous and constant across all materials. Jeepney tent ads. These tent ads are the triangular minibillboards erected on top of jeepneys in a particular route. Restolax will make use of this medium to promote the brand in the local area. The design and copy of these mini-billboards will be similar to that of the jeepney stickers.

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In order to maximize expenses and to minimize legwork, the brand will utilize the services of Focus Media, which specializes in the production and execution of transit advertisements. . A higher profit for these outlets should be identified so that exclusively selling Restolax in their store is a win-win situation for them. The deal with the sari-sari stores should be legally-binding so as to prevent them from carrying competing products. Moreover, marketing collaterals should be placed in these outlets and areas so as to support future sales of the product. Due to the immense work required for this action plan and the uncertain success, initial area for Action Plan 1 will only be within Luzon. To ensure the success and legal compliance of this action plan with respect to the mand1ate of the Bureau of Food and Drugs (BFAD), permits and other necessary documentation will be secured from the City or Municipal government.

Action Plan 2: Opening Vis-Min area through distributorship Restolax is generally distributed within Luzon with a minor presence in the Vis-Min area. This is a weakness that needs to be solved because it translates to a huge loss of opportunity for the brand. The cost

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–of-living in these areas is lower than that of Metro Manila, or Luzon in general. Thus, consumers here are more price-sensitive and would be more amenable to Restolax’s approach. Being the more affordable product, Restolax would have an edge over Alaxan in taking a big part of the muscle-pain reliever sales. In addition, the threat of alternative medicine is also a consideration because the consumers in the Vis-Min area have an easyaccess to natural remedies compared to the market in Luzon, particularly in Metro Manila. Thus, the brand will look for strong distribution partners within the area that can prioritize Restolax sales and distribution.

Action Plan 3: Attaining institutional accounts in Vis-Min area Institutional accounts within the Vis-Min area will also be prioritized. The company will identify large manufacturing plants, companies, hospitals, and schools (Table 38). Though the margin attained through this will be minimal, this step is an effective way of inducing product trial of Restolax. Negotiations with regard to institutional accounts will be in the managerial level.

p. 156

Recommendations: New product development: Topical Muscle Pain Reliever It is recommended that the company develop a new product in topical form similar to the earlier envelopment moves of Unilab. This move is supported by the UAI Results (Appendix B), which shows that a majority of the respondents favor topical muscle pain relievers over tablets/capsules in relieving muscle-pain. It is also suggested that the topical product be positioned for the male A/B market. This is due to the proliferation of liniments and oils mostly attuned to the needs of the C and D market. Moreover, UAI results show that users of the most widely known high-end muscle-pain reliever,

Ben

Gay,

are

p. 157

generally

female.

Institutional Accounts Institutional Accounts Schools/Universities Rationale Xavier University Biggest university in Cagayan de Oro, active athletic community University of Mindanao Biggest university chain in Mindanao, active athletic community Ateneo de Davao University The sole Jesuit college in Davao City, active athletic community Marawi State University Biggest university for Moslems, active athletic community Siliman University One of the largest universities in Visayas, active athletic community Hospitals Rationale Bishop Reagan Hospital Key hospital for Davao del Norte Davao Doctors Hospital Probably the most prestigious hospital in Davao City Medical Mission Group Recognized as one of the most innovative and patient-friendly hospital in Davao Cagayan Medical Center Considered as one of the biggest hospitals in Cagayan de Oro Chong Hua Hospital Considered as one of the biggest hospitals in Cebu Hotels Rationale Marco Polo Hotel Probably the most prestigious hotel in Davao City Apo View Hotel Legendary landmark in Davao City Grand Men Seng Hotel Biggest Chinese-themed hotel in Mindanao Watefront Hotel Prestigious hotel in Cebu Boracay This includes all resorts and spas located within the vicinity, targetting vacationgoers Table 38. Examples of Institutional Accounts for Vis-Min Area

p. 158

XIV. MARKETING BUDGET Strategy A: Strengthen brand focus and target market Action Plan 1: Alignment of brand focus and target market Description

Timetable Responsibility (Days) 7 Marketing Assistant, Sales Associates

Market research, FGD, and employee input on packaging improvements Consolidation of 2 suggestions Brainstorming for new 2 SKU packaging, contract signing, downpayment, etc. Development of initial 6 artwork for revised packaging Revision requests of initial 1 artwork for revised packaging Development of second 3 artwork for revised packaging

Brand Manager Marketing Manager, Brand Manager, Outsourced Creatives, Lloyd Lab Representative Outsourced Creatives

Output Expected

UAI, survey results 20,000.00k tabulation, focus group discussion records Focus group discussion records Initial sketches, contracts 15,000.00h

Initial artwork

Marketing Manager, Brand Manager

Notes for modification

Outsourced Creatives

Second artwork

p. 159

Costs

Revision requests of 1 second artwork for revised packaging Development of final 2 artwork for revised packaging Approval of final artwork 1 for production, final payment Canvassing of suppliers, 3 materials, etc Delivery of final artwork 1 to Cygnus Industries, Inc. Delivery of final artwork 1 to Omnipack Corporation Development of initial 2 pre-production samples for foil58 Development of initial pre-production samples for blister pack59 58 59

2

Marketing Manager, Brand Manager, Lloyd Lab Representative Outsourced Creatives

Notes for modification

Marketing Manager, Brand Manager

Approval sheet, etc.

Brand Manager, Marketing Assistant, Outsourced Creatives Messenger

List of suppliers, negotiations, P.O.s

Messenger

Receipt of final artwork

Cygnus Production Team, Brand Manager, Marketing Assistant, Outsourced Creatives Omnipack Corporation Production Team, Brand Manager, Marketing

Initial pre-production samples

Actual cost of production reflected in COGS and not as marketing expense Ibid.

p. 160

Final artwork

15,000.00h

Receipt of final artwork

Initial pre-production samples

D

Revision request of initial 1 foil pre-production samples Revision request of initial 1 blister pack preproduction samples Development of second 2 pre-production samples for foil60 Development of second pre-production samples for blister pack61

2

Revision request of second 1 foil pre-production samples Revision request of second 1 blister pack preproduction samples 60 61

Assistant, Outsourced Creatives Marketing Manager, Brand Manager, Lloyd Lab Representative Marketing Manager, Brand Manager, Lloyd Lab Representative Cygnus Production Team, Brand Manager, Marketing Assistant, Outsourced Creatives Omnipack Corporation Production Team, Brand Manager, Marketing Assistant, Outsourced Creatives Marketing Manager, Brand Manager, Lloyd Lab Representative Marketing Manager, Brand Manager, Lloyd Lab Representative

Ibid. Ibid.

p. 161

Notes for modification

Notes for modification

Second pre-production samples

Second pre-production samples

Notes for modification

Notes for modification

Actual production of foil62 14

Actual production of blister pack63

14

Production of new batch 5 of Restolax (and Restolax Forte) tablets64 Delivery of foil FG to 1 Lloyd Laboratories Delivery of blister pack 1 FG to Lloyd Laboratories Quality check of foil and 1 blister pack Packing of new batch of 3 Restolax (and Restolax Forte) tablets65 Delivery of finished goods 1 62 63 64 65

Cygnus Production Team, Marketing Assistant, Outsourced Creatives Omnipack Corporation Production Team, Marketing Assistant, Outsourced Creatives Lloyd Lab Production Team

Actual foil following quantity and quality agreed

Cygnus Production and Logistics Team Omnipack Production and Logistics Team

Actual delivery of foil to Lloyd Lab, delivery receipt Actual delivery of blister pack to Lloyd Lab, delivery receipt Approved batch of foil and blister pack

Actual blister pack following quantity and quality agreed Restolax tablets less packaging

Marketing Manager, Brand Manager, Lloyd Lab Representative Lloyd Lab Production Team Packed Restolax tablets in foil and blister packs Lloyd Lab Logistics Team

Ibid. Ibid. Ibid. Ibid.

p. 162

Actual delivery of

to Eurohealthcare warehouse Quality check of Restolax 1 (and Restolax Forte) finished goods Delivery to distributors 1

Finished goods delivery to 5 retailers, etc. Merchandising, placement 3 of Restolax (and Restolax Forte) in retailers Monitoring and control 3

Restolax to Eurohealth warehouse, delivery receipt Marketing Manager, Brand Approved batch of new Manager, Quality Assurance Restolax tablets (with Officer packaging) Eurohealthcare/Distributor Actual delivery to Logistics Team distributors, delivery receipt Distributor Logistics Team Actual delivery to retailers, delivery receipt Retailers Restolax in proper view, 200,000.00o placement, within retailers Marketing Manager, Brand Manager

Audit of Action Plan, recommendations

TOTAL COSTS

P240,000.00 Table 39. Marketing Budget for Strategy A, Action Plan 1 includes Saturdays and Sundays

p. 163

Action Plan 2: Below-the-line campaign Description

Timetable Responsibility Expected Output (Days) Market research, FGD, and 7 Marketing Assistant, Sales UAI, survey results employee input on possible Associates tabulation, focus group promotional strategies discussion records Consolidation of 2 Brand Manager Focus group discussion suggestions records Brainstorming for new 2 Marketing Manager, Brand Initial sketches, contracts promotional campaign, Manager, Outsourced contract signing, Creatives, Lloyd Lab downpayment, etc. Representative Development of initial 6 Outsourced Creatives Initial artwork artwork for new promotional materials Revision requests of initial 1 Marketing Manager, Brand Notes for modification artwork for new Manager promotional materials Development of second 3 Outsourced Creatives Second artwork artwork for new promotional materials Revision requests of second 1 Marketing Manager, Brand Notes for modification artwork for new Manager, Lloyd Lab promotional materials Representative Development of final 2 Outsourced Creatives Final artwork

p. 164

Costs 20,000.00 k

15,000.00 h

artwork for new promotional materials Approval of final artwork 1 for production, final payment Canvassing of suppliers, 3 materials, etc Application of BFAD/DTI 3 permits, etc. Contract signing with 1 Trackworks, reservation, full payment Contract signing with radio 2 stations, reservation, full payment (Less: P50,000 product ex-deal) Contract signing with 1 contracted PR agency Delivery of final artwork to 0.5 Asiatype, Inc., downpayment, final payment, actual production of color separation, etc. Delivery of final artwork to 0.5

Marketing Manager, Brand Approval sheet, etc. Manager Brand Manager, Marketing List of suppliers, Assistant, Outsourced negotiations, P.O.s Creatives Marketing Assistant BFAD/DTI permits, etc. Marketing Manager, Brand Memorandum of Manager, Trackworks Agreement, guidelines Representative Marketing Manager, Brand Memorandum of Manager, Radio Agreement, guidelines Representative

15,000.00 h

10,000.00 j 90,000.00 e 500,000.00 a, i

Marketing Manager, Brand Memorandum of 25,000.00 g Manager, PR Agreement, guidelines Representative Messenger, Outsourced Actual delivery to 30,000.00 d Creatives, Marketing Asiatype, delivery receipt Assistant

Messenger, Outsourced

p. 165

Actual delivery to

150,000.00 b

Largeformatix, downpayment Delivery of radio 0.5 script/guidelines to outsourced studio, voice talents, downpayment Delivery of color 0.5 separation, etc. to JPA Printing, downpayment Delivery of color 0.5 separation, etc. to Inquirer Libre!, full payment Production of billboard 5 tarpaulin, streamers, etc. Production of initial sample 2 of radio ad Production of 5 merchandising collaterals Approval of initial sample 1 of radio ad Development of final radio 2 ad Delivery of marketing collaterals, final payment

0.5

Creatives, Marketing Assistant Messenger, Outsourced Creatives, Marketing Assistant

Largeformatix, delivery receipt Actual delivery to Lokallooper, delivery receipt

Messenger, Outsourced Creatives, Marketing Assistant Messenger, Outsourced Creatives, Marketing Assistant Largeformatix

Actual delivery to JPA, delivery receipt

30,000.00 b

Actual delivery to Inquirer 80,000.00 a Libre!, delivery receipt

Actual printed billboard, baners Outsourced Studio, Voice Initial study for radio ad Talents, Marketing Assistant JPA Printing Actual printed posters, mobiles, brochures, etc. Marketing Manager, Brand Approval sheet, etc. Manager Outsourced Studio, Voice Final radio ad on CD Talents, Marketing Assistant JPA Printing Actual delivery, original receipt

p. 166

15,000.00 g

30,000.00 b

Delivery of billboard tarpaulin, streamers, etc. final payment Delivery of final radio ad, final payment Press releases of Restolax (and Restolax Forte) improvements, etc. Installation of billboards, full payment Printing of Inquirer Libre! print ad Installation of streamers, standees, etc. at MRT station Flyering, sampling, sampling at MRT stations, full payment Playing of radio ad in selected/contracted radio stations Monitoring and control

0.5

Largeformatix

Actual delivery, original receipt

150,000.00 b

0.5

Outsourced Studio

15,000.00 g

7

PR Agents, Broadsheets

Actual delivery, original receipt Press releases on broadsheets, magazines

2

United Neon

Erected billboards, banners 20,000.00 d

1

Inquirer Libre!

1

Marketing Assistant, Contracted manpower

Printed Restolax ad per MOA on Inquirer Libre! Erected billboards, banners

1

Marketing Assistant, Contracted manpower

30

Radio station management, Actual radio ad on-air Marketing Assistant

3

Marketing Manager, Brand Audit of Action Plan, Manager recommendations

Actual event, flyering, sampling

TOTAL COSTS

25,000.00 g

255,875.00m,c

P1,835,875.00 Table 40. Marketing Budget for Strategy A, Action Plan 1 includes Saturdays and Sundays

p. 167

Strategy B: Strengthen presence in smaller drugstore chains Action Plan 1: Localized promotions and merchandising improvements Description

Timetable (Days) Market research, FGD, and 7 employee input on possible promotional strategies Consolidation of 2 suggestions Brainstorming for new 2 promotional campaign, contract signing, downpayment, etc. Development of initial 6 artwork for new promotional materials Revision requests of initial 1 artwork for new promotional materials Development of second 3 artwork for new promotional materials Revision requests of 1 second artwork for new

Responsibility

Expected Output

Costs

Marketing Assistant, Sales Associates

UAI, survey results tabulation, focus group discussion records Focus group discussion records Initial sketches, contracts

10,000.00 k

Brand Manager Marketing Manager, Brand Manager, Outsourced Creatives, Lloyd Lab Representative Outsourced Creatives

Initial artwork

Marketing Manager, Brand Manager

Notes for modification

Outsourced Creatives

Second artwork

Marketing Manager, Brand Manager, Lloyd Lab

Notes for modification

p. 168

15,000.00 h

promotional materials Development of final 2 artwork for new promotional materials Approval of final artwork 1 for production, final payment Canvassing of suppliers, 3 materials, etc Application of BFAD/DTI 3 permits, etc. Contract signing with 4 Savemore, Manson, Southstar, Emmaflor Drugstore management, reservation, full payment Delivery of final artwork to 2 Forlynn (China), downpayment Development of initial pre- 5 production samples Restolax promo pillows Approval, delivery of 2 initial pre-production samples Restolax promo

Representative Outsourced Creatives

Final artwork 15,000.00 h

Marketing Manager, Brand Manager

Approval sheet, etc.

Brand Manager, Marketing Assistant, Outsourced Creatives Marketing Assistant

List of suppliers, negotiations, P.O.s BFAD/DTI permits, etc.

10,000.00 j

Marketing Manager, Brand Manager, Trackworks Representative

Memorandum of Agreement, guidelines

40,000.00 e

Messenger, DHL

Actual delivery to Forlynn, 70,000.00 f delivery receipt

Forlynn

Initial pre-production samples

Forlynn, DHL

Actual delivery, delivery receipt

p. 169

pillows to Eurohealth Revision request of initial pre-production samples, downpayment Development of second pre-production samples Restolax promo pillows Approval, delivery of second pre-production samples Restolax promo pillows to Eurohealth Approval of final artwork for production for Forlynn and ; Actual production of Restolax promo pillows Shipment of Restolax promo pillows and plastic bottles/container to Eurohealthcare c/o Lloyd Lab Quality check of shipment from China Delivery to partner retailers/promo locations

1

Notes for modification

2

Marketing Manager, Brand Manager, Lloyd Lab Representative Forlynn

2

Forlynn, DHL

Actual delivery, delivery receipt

1

Marketing Manager, Brand Manager, Lloyd Lab Representative Forlynn, DHL

Approval sheet, etc.

Marketing Manager, Brand Manager, Lloyd Lab Representative Eurohealthcare/Distributor Logistics Team

Approved batch of Restolax promotional pillows Actual delivery, delivery receipt

7 20

1

1

Second pre-production samples

Actual Restolax promotional pillows Forlynn, Plastic Corporation, Actual delivery, delivery Omni Logistics receipt

p. 170

70,000.00 f

Starting of promo

30

Monitoring and control

3

Sales associates of partner retailers Marketing Manager, Brand Manager

Actual event, flyering, sampling Audit of Action Plan, recommendations

TOTAL COSTS

230,000.00 Table 41. Marketing Budget for Strategy C, Action Plan 1 includes Saturdays and Sundays

p. 171

Strategy C: Enter new distribution channels Combined: Action Plans 1: Tapping sari-sari stores & non-chain convenience stores for distribution; 2: Opening Vis-Min area through distributorship; and, 3: Attaining institutional accounts in Vis-Min area Description

Timetable Responsibility (Days) 14 Brand Manager, Marketing Assistant, Sales Manager

Gathering of data about key sari-sari and convenience stores within Metro Manila; new distributors in Vis-Min area; possible institutional accounts within Vis-Min area On-site visit and observation 7 of different retail outlets Retail trade audit 7 Analyze and gather results

7

Making of report and findings 5 on retail trade audit Evaluate findings of retail 2 trade audit Make recommendations and 2

Brand Manager, Marketing Assistant, Sales Manager Sales Manager, Sales Assistant Marketing Manager, Brand Manager Brand Manager

Marketing Manager, Brand Manager Marketing Manager, Brand

p. 172

Expected Output List of key sari-sari stores, non-chain convenience stores, etc.

Final list of sari-sari stores, non-chain convenience stores Audit of existing sales, distribution process Recommendations for Action Plan Actual reporting, deliberation on final list of sari-sari stores, non-chain convenience stores Printed report on sales, distribution process Recommendations for Action

Costs

plans from audit findings Draft new proposals and price 1 quotations Discussions, negotiations with 14 sari-sari and convenience stores, contract signing, installation of POP materials Discussion, negotiations with 14 potential distributors Discussion, negotiations with 21 potential institutional accounts Follow-up proposal 14 Sign contract based with distribution companies and institutional accounts Coordination meeting with Production Department. Monitoring and control

3

2 3

Manager Brand Manager

Plan Printed proposal, sales kits

Sales Manager, Sales Assistant

Actual negotiations, meetings

Sales Manager, Sales Assistant Sales Manager, Sales Assistant

Actual negotiations, meetings

Sales Manager, Sales Assistant Marketing Manager, Brand Manager, Sales Manager

Confirmation or rejection, future appointments Memorandum of Agreement, guidelines

Marketing Manager, Brand Manager Marketing Manager, Brand Manager

Allocation of Restolax

Actual negotiations, meetings

Audit of Action Plan, recommendations

TOTAL COSTS

0 Table 42. Marketing Budget for Strategy D, Action Plans 1, 2, and 3 includes Saturdays and Sundays

p. 173

XV. ACTIVITY GANTT CHART bl AP 2008 Jan Feb Mar April May Jun Jul Aug Sep Oct Nov Dec Strategy A: Strengthen brand focus and target market: Restolax AP 1: Alignment of brand focus and target market AP 2: Intensive advertising and belowthe-line campaign Strategy B: Strengthen presence in smaller drugstore chains AP 1: Localized promotions and merchandising improvements Strategy C: Enter new distribution channels AP 1: Tapping sari-sari stores and nonchain convenience stores for distribution AP 2: Opening Vis-Min area through distributorship AP 3: Attaining institutional accounts in Vis-Min area

p. 174

xxx AP 2009 Jan Feb Mar April May Jun Jul Aug Sep Oct Nov Dec Strategy A: Strengthen brand focus and target market: Restolax AP 1: Alignment of brand focus and target market AP 2: Intensive advertising and belowthe-line campaign Strategy B: Strengthen presence in smaller drugstore chains AP 1: Localized promotions and merchandising improvements Strategy C: Enter new distribution channels AP 1: Tapping sari-sari stores and nonchain convenience stores AP 2: Opening Vis-Min area through distributorship AP 3: Attaining institutional accounts in Vis-Min area Table 43. GANTT Chart for 2008 Strategies and Action Plans

p. 175

XVI. MONITORING AND CONTROL

Strategy A: Strengthen brand focus and target market Action Plan 1: Alignment of brand focus and target market The Marketing Manager should ensure that all promotional efforts should be aligned to Restolax’s new positioning statement. The Marketing Manager should approve all promotional efforts, especially advertising campaigns. Particular attention to Restolax as “muscle pain reliever” should be given. Cure-all tendency of the product should be prohibited even in verbal form. Marketing Manager should coordinate with Plant people to include needed blister pack improvements for Restolax. Web development should also follow deadline and deliverables.

Action Plan 2: Below-the-line campaign The Marketing Manager should ensure that deadlines and deliverables should be met on time. Marketing staff should collect data regarding sales on a monthly basis over a 12-month period. Marketing Manager will do audit on print ads, radio placements, and billboards.

p. 176

Marketing Manager should ensure proper documentation of expenses is done for liquidation and to avoid going over-budget.

Strategy B: Strengthen presence in smaller drugstore chains Action

Plan

1:

Localized

promotions

and

merchandising

improvements The Marketing Manager will close deals with management of several drugstore chains for this action plan. The Marketing staff should do regular area visits to ensure that localized promotions are in its peak. Flyering should be done continuously and product pushed at point-ofpurchase. Restolax pillows should always be available for winners. Critical points for stocks of pillows and flyers should be identified and reported to Marketing Manager immediately.

Strategy C: Enter new distribution channels Action Plan 1: Tapping sari-sari stores and non-chain convenience stores for distribution The Marketing staff should come up with leads monthly per assigned area. The succeeding month will be utilized for contacting appropriate key persons. Marketing Manager should check on

p. 177

performance and reports of Marketing Staff. Random inspection of outlets should be done by Marketing Manager to ensure compliance of agreement and proper merchandising. Critical points for stocks and merchandising materials should be identified and passed on to Marketing Manager immediately.

Action Plan 2: Opening Vis-Min area through distributorship The Marketing Manager will contact possible distributors and place advertisements on top 3 dailies as well calling for proposals. Meetings should commence wherever appropriate. Two (2) distributors each for Visayas and Mindanao should be closed within 3 months. Delivery should commence on the 4th month. Action Plan 3: Attaining institutional accounts in Vis-Min area The Marketing Manager will contact possible institutional accounts and send proposals. Meetings should commence wherever appropriate. Five (5) accounts each for Visayas and Mindanao should be closed within 3 months. Delivery should commence on 4tth month.

p. 178

XVII. FINANCIAL PROJECTIONS

Notes to Pro-rata Statements of Income

Sales. Per company sources, the percentage of the total company sales that has been contributed by the Restolax in 2004 is 92.60%. Due to the creation of Restolax Forte, it has decreased to 76% and 69% for 2005 and 2006, respectively. Cost of Sales. It is estimated that the Cost of Sales for Restolax during 2004 was at 68.85% of sales. It decreased in the years 2005 and 2006 to 61.56% and 60%, respectively. Gross Profit. Computed by deducting Cost of Sales from Sales Net Income Before Tax. Computed by subsequently deducting Operating Expenses from the resulting total from Gross Profit. Provision for Income Tax. In accordance with tax laws pertaining to corporations, this is computed at 32% of Net Income Before Tax Net Income After Tax. Calculated by deducting Provision for Income Tax

from

Net

Income

p. 179

Before

Tax.

p. 180

p. 181

p. 182

p. 183

Notes to 2008 Projected Income Statement

Gross Sales. In 2007, the company is expected to have Gross Sales of P24,071,635.90 based on the horizontal analysis of 2006-2007. Gross Sales is expected to increase by 17% without the benefit of the proposed marketing strategies by the researchers. This will bring 2008 revenues to P28,163,814.00. The incremental sales to be realized in the projected year 2008 = P6,499,341.69 will be realized through the implementation of the following strategies and action plans: Normal expected increase in sales (10%):

P2, 407,164.00

Product Strategy A: Strengthen brand focus and target market Action Plan 1: Improve blister pack and packaging of Restolax Total 2008 annual sales increase due to improved packaging: Total 2008 annual sales increase in pesos:

P 481,433.00

Action Plan 2: Below-the-line campaign Estimated incremental increase in Gross Sales due to Action Plan 2: 6% Estimated 2008 annual sales in pesos :

p. 184

P 1,444,298.15

2%

Place Strategy C: Strengthen presence in smaller drugstore chains Action

Plan

1:

Localized

promotions

and

merchandising

improvements Estimated incremental increase in Gross Sales due to Action Plan 1:

0.5%

Estimated 2008 annual sales in pesos:

P120,358.00

Place Strategy D: Enter new distribution channels Action Plan 1: Tapping sari-sari stores and non-chain convenience stores for distribution Estimated incremental increase in Gross Sales due to Action Plan 1:

0.5%

Estimated 2008 annual sales in pesos:

P120,358.18

Action Plan 2: Opening Vis-Min area through distributorship Action Plan 3: Attaining institutional accounts in Vis-Min area Estimated incremental increase in Gross Sales due to distribution in Visayas:

4.5%

Estimated 2008 annual sales in pesos for Visayas:

p. 185

P1,083,224.00

Estimated incremental increase in Gross Sales due to distribution in Mindanao:

3.5%

Estimated 2008 annual sales in pesos for Mindanao:

P842,507.00

Cost of Sales. As of 2006, the company has two (2) product variants: Restolax and Restolax Forte. In 2006, with these two (2) products the company’s COS is 60%. The researchers propose the introduction of Topical Muscle Pain Reliever, a liniment which is expected to garner 30% of the company’s total sales mix. This liniment will have 36% COS. Gross Profit. Follows the same 0.58% relationship to gross sales as a vertical relationship of 2006. Salaries and Wages. Perceived to increase by the projected annual inflation rate of 4.6% Insurance Expense. Follows the same 0.24% relationship to gross sales as a vertical relationship of 2006. Rental Expense. Perceived to increase by the projected annual inflation rate of 4.6% Light and Water. Perceived to increase by the projected annual inflation rate of 4.6%

p. 186

Gas and Oil. Perceived to increase by the projected annual inflation rate of 4.6% Postage, Telephone, and Telegraph. Perceived to increase by the projected annual inflation rate of 4.6% Office Supplies. Perceived to increase by the projected annual inflation rate of 4.6% SSS and ECC Contribution. Follows a similar vertical relationship of 2.46% of salaries and wages as in 2006. Philhealth Contribution. Follows a similar vertical relationship of 0.37%of salaries and wages as in 2006. Pag-ibig Contribution. Follows a similar vertical relationship of 0.81% of salaries and wages as in 2006. Professional Fee. Perceived to remain constant in 2008. Marketing Budget. As per the research proponent, a marketing budget for 2008 amounting to P2,901,875 is proposed. Repairs and Maintenance. Perceived to increase by the projected annual inflation rate of 4.6% Representation Expenses. Perceived to increase by the projected annual inflation rate of 4.6%

p. 187

Transportation Expenses. Perceived to increase by the projected annual inflation rate of 4.6% Dues and Subscription. Perceived to remain constant in 2008. Employee Benefit. Follows a similar vertical relationship of 15.38% of salaries and wages as in 2006. 13th Month Pay. Follows a similar vertical relationship of 6.05% of salaries and wages as in 2006. Miscellaneous Expenses. Perceived to increase by the projected annual inflation rate of 4.6% Security Expenses. Perceived to increase by the projected annual inflation rate of 4.6% Donation Expenses. Perceived to remain constant in 2008. Bonus and Christmas Expenses. Follows a similar vertical relationship of 4.38% of salaries and wages as in 2006. Depreciation Expenses. Perceived to remain constant in 2008. Income from Operations. Arrived at by deducting Total Operating Expense from Gross Profit. Provisions for Income Tax. Computed at 32% of Income from Operations in compliance with prevailing Corporate Tax Rates.

p. 188

Net Income After Tax. Computed by deducting Provisions for Income

Tax

from

Income

p. 189

from

Operations.

p. 190

Notes to 2008 Marketing Budget

Advertising Expenses. Includes all items superscripted by the letter a in the preceding Action Plans. Marketing Collaterals. Includes all items superscripted by the letter b in the preceding Action Plans. Sample Costs. Includes all items superscripted by the letter c in the preceding Action Plans. Ad

Production

and

Development.

Includes

all

items

superscripted by the letter d in the preceding Action Plans. Location Fee/Rental. Includes all items superscripted by the letter e in the preceding Action Plans. Prizes (Restolax Pillows). Includes all items superscripted by the letter f in the preceding Action Plans. Talent and Professional fees. Includes all items superscripted by the letter g in the preceding Action Plans. Design - Outsourced Creatives. Includes all items superscripted by the letter h in the preceding Action Plans. Ex-Deal Costs. Includes all items superscripted by the letter i in the preceding Action Plans.

p. 191

Permits, etc. Includes all items superscripted by the letter j in the preceding Action Plans. Market Research. Includes all items superscripted by the letter k in the preceding Action Plans. Production Costs. Includes all items superscripted by the letter l in the preceding Action Plans. Contracted Manpower Fees. Includes all items superscripted by the letter m in the preceding Action Plans. Shipping Fees, Customs, etc. Includes all items superscripted by the letter n in the preceding Action Plans.

p. 192

APPENDICES

p. 193

Appendix A UAI Questionnaire on Muscle-Pain Reliever Industry

p. 194

MUSCLE-PAIN RELIEVER

I.

INTRODUCTION

Good morning/afternoon/evening! We are King del Rosario and Michael Yukong, graduating Marketing Management students of the De La Salle-College of Saint Benilde. We are conducting a survey for our thesis regarding muscle-pain relievers and we would like to have you as our respondent. Magandang umaga/tanghali/gabi! Ako, si King del Rosario at ang kasama kong si Michael Yukong, ay mga graduating students ng kursong Marketing Management sa De La Salle-College of Saint Benilde. Gumagawa kami ng survey para sa aming thesis tungkol sa muscle-pain relievers at nais sana namin kayong maging respondent. Please feel free to answer us with your personal opinion as we go through the survey. Take note that there are no right or wrong answers. Thank you. Huwag kayong mag-atubiling ibigay ang inyong personal na opinyon sa pagsagot sa aming survey. Wala po ditong tama o maling sagot. Maraming salamat. II. 1)

SCREENING: (If M/F probability): Who in your household, between the ages of 18 to 60 (per yellow paper’s target market in terms of age), last celebrated his/her birthday? Sino sa mga kasambahay mo, na may edad na 18 hanggang 60 (ayon sa target market na isinasaad ng yellow paper), ang nagdiwang ng kanyang kaarawan kamakailan lang? Ask for and interview the last birthday celebrant or mom. Get details on the following:

p. 195

Hilinging makapanayam ito at kumuha ng mga detalye sa mga sumusunod:   

2)

Exact age: _______________ Eksaktong edad Gender: []M []F Kasarian SEC: [ ] AB [ ] C [ ] D

Do you or any member of your family, relatives or close friends work for a/an: Nagtatrabaho ka ba o sino mang miyembro ng iyong pamilya, kamag-anak o mga kaibigan sa:

Pharmaceutical company? respo) Advertising agency? respo) Market research agency? respo) Media like TV, newspaper, radio, etc.? respo)

3)

/__/

No /__/

/__/

/__/

-

(T by thanking

/__/

/__/

-

(T by thanking

/__/

/__/ - (T

by

thanking

Do you use muscle-pain relievers? Gumagamit ka ba ng muscle-pain relievers? ( ) No ( ) Yes

4)

Yes - (T by thanking

***(Go to Q4) ***(Got to Q5)

Why don’t you use muscle-pain relievers? (SA) Bakit ka hindi gumagamit ng muscle-pain relievers? (SA)

p. 196

__________________________________________________________ __ __________________________________________________________ __ Terminate by thanking the respondent for his/her time. (This terminated respondent forms part of the “non-user” group and part of the 200 required respondent base.) 5)

How often do you use muscle-pain relievers? (SA) ( ( ( ( (

) 5-7 times a week ) 1-4 times a week ) 2-3 times a month ) once a month ) less than once a month

***(Go to Q7) ***(Go to Q7) ***(Go to Q6) ***(Go to Q6) ***(Go to Q6)

Gaano ka kadalas gumamit ng muscle-pain relievers? (SA) ( ( ( ( ( 6)

) 5-7 beses sa isang linggo ) 1-4 beses sa isang linggo ) 2-3 beses sa isang buwan ) 1 beses sa isang buwan ) bihira

(Dumeretso sa Q7) (Dumeretso sa Q7) (Dumeretso sa Q6) (Dumeretso sa Q6) (Dumeretso sa Q6)

Why don’t you use muscle-pain relievers more often? Bakit hindi ka madalas gumamit muscle-pain relievers?

__________________________________________________________ __ __________________________________________________________ __ Terminate by thanking the respondent for his/her time. (This terminated respondent forms part of the “lapser” group and part of the 200 required respondent base.)

p. 197

III.

CORE – BRAND AWARENESS SEGMENT:

7)

When you think of muscle-pain relievers, what brand first comes to your mind? (SA) Kung muscle-pain relievers ang pag-uusapan, anong tatak ang unang pumapasok sa isip mo? (SA)

8)

What other brands of muscle-pain relievers are you aware of? What else? What else? (MA) Bukod dito, ano pang ibang tatak ng muscle-pain relievers ang alam mo? Ano pa? Ano pa? (MA)

9)

What about (brand not mentioned in Q7 & Q8)? Do you know this brand? How about this brand? Alam mo ba ang (tatak na hindi nabanggit sa Q10 & Q11)? Eh eto? …

p. 198

MUSCLE-PAIN RELIEVERS BRAND Acet Acetadol Acet-ES Acet-MS Advil Aeknil Alaxan Alaxan FR Alaxan Gel Alvedon 500 Anoflam Apollo Methyl Salicylate Artrosilene Gel Baropyrine Begesic Bengay Guardian Bengay Ultra Betet Parrot Brand Balm Biogesic Brufen

Q7 TOP OF MIND

p. 199

Q8 UNAIDED

Q9 AIDED

Brustan BSI Medicated Spray Calpol Calpol Six Plus Cloxina Corgic Corgic Plus Counterpain Crocin Detramol DLI-Paracetamol Dolan FP Dolexpel Efficascent Oil Febrinil Feldene Gel Flexigesic MPR Gendol Gifaril P Idyl SR Katinko Ointment Ketotop Lafayette Paracetamol Lexalgin Local Herbal Remedy

p. 200

Macroxan Transdermal Patch Medgenol Medicol Mentopas Metad Midol Mobilat Muskelax Napran Naprex Nektol Neo-Kiddielets Omega Painkiller Opigesic Para-4-Kids Parvid Pharex Paracetamol Phil Pharmawealth Atlantic Paracetamol Phil Pharmawealth Oboi Paracetamol Poro Pou Siu Medicated Oil Queenflower Balm Restolax Restolax Forte Rexidol

p. 201

Rhea Coldrub Rhea Superscent Oil Riber Ritemed Paracetamol Salonpas Gel Salonpas Liniment Salonpas Sheets Saridon Selxan Skelan Tempain Tempain Forte Tempra Tiger Balm Tylenol Ultragesic United Home Paracetamol Vick's Vaporub Vi-Gel Voltaren Emulgel Vorwek Porous Capsicum Plaster (Chili Brand) Zestagesic Zydinol Others:

p. 202

10)

How did you become aware of (TOM)? How else? (MA) Promotional efforts: ( ) Television ( ) Radio ( ) Magazines ( ) Posters

( ( ( (

) Billboards ) Periodicals ) Brochures ) Gondolas

Personal recommendation: ( ) Husband/wife ( ) Mother/father ( ) Son/daughter ( ) Grandmother/grandfather ( ) Relatives ( ) Friends ( ) Neighbors ( ) Officemates/colleagues ( ) Doctor ( ) Drugstore personnel/salespeople/pharmacist ( ) Myself ( ) Household help ( ) Others, please specify: _______________ ( ) None Paano mo nalaman ang

(TOM)

Promosyon ng naturang produkto: ( ) Telebisyon ( ) Radyo

? Paano pa? (MA)

( ) Billboards ( ) Dyaryo

( ) Magasin ( ) Brochures ( ) Karatula ( ) Gondolas ( ) Iba pa, pakisulat kung ano: _______________ Rekomendasyong personal: ( ) Asawa ( ) Magulang ( ) Anak ( ) Lolo/Lola ( ) Relatives ( ) Kaibigan ( ) Kapitbahay ( ) Kasamahan sa trabaho ( ) Doktor ( ) Empleyado sa botika ( ) Myself ( ) Katulong ( ) Iba pa, pakisulat kung sino: _______________

p. 203

IV.

CORE – TRIAL/USAGE SEGMENT:

11)

What brands of muscle-pain relievers have you heard, read and seen advertised during the past three (3) months? What else? (MA) Sa mga nakaraang tatlong (3) buwan, anong mga tatak ng muscle-pain relievers ang iyong mga narinig, nabasa o nakitang in-advertise? Ano pa? (MA)

12)

What are the brands of muscle-pain relievers have you ever tried? What else? What else? (MA) Anong mga tatak ng muscle-pain relievers ang nasubukan mo na? Ano pa? Ano pa? (MA)

13)

What brand of muscle-pain relievers did you last use? (SA) Anong pinakahuli mong nagamit na tatak ng muscle-pain relievers? (SA)

14)

What brand of muscle-pain relievers do you most often use? (SA) Anong pinakamadalas mong gamiting tatak ng muscle-pain relievers? (SA)

p. 204

MUSCLE-PAIN RELIEVERS BRAND Acet Acetadol Acet-ES Acet-MS Advil Aeknil Alaxan Alaxan FR Alaxan Gel Alvedon 500 Anoflam Apollo Methyl Salicylate Artrosilene Gel Baropyrine Begesic Bengay Guardian Bengay Ultra Betet Parrot Brand Balm Biogesic Brufen

Q11 ADS

p. 205

Q12 BET

Q13 BLU

Q14 BUMO

Brustan BSI Medicated Spray Calpol Calpol Six Plus Cloxina Corgic Corgic Plus Counterpain Crocin Detramol DLI-Paracetamol Dolan FP Dolexpel Efficascent Oil Febrinil Feldene Gel Flexigesic MPR Gendol Gifaril P Idyl SR Katinko Ointment Ketotop Lafayette Paracetamol Lexalgin Local Herbal Remedy

p. 206

Macroxan Transdermal Patch Medgenol Medicol Mentopas Metad Midol Mobilat Muskelax Napran Naprex Nektol Neo-Kiddielets Omega Painkiller Opigesic Para-4-Kids Parvid Pharex Paracetamol Phil Pharmawealth Atlantic Paracetamol Phil Pharmawealth Oboi Paracetamol Poro Pou Siu Medicated Oil Queenflower Balm Restolax Restolax Forte Rexidol

p. 207

Rhea Coldrub Rhea Superscent Oil Riber Ritemed Paracetamol Salonpas Gel Salonpas Liniment Salonpas Sheets Saridon Selxan Skelan Tempain Tempain Forte Tempra Tiger Balm Tylenol Ultragesic United Home Paracetamol Vick's Vaporub Vi-Gel Voltaren Emulgel Vorwek Porous Capsicum Plaster (Chili Brand) Zestagesic Zydinol Others:

p. 208

CORE – USAGE SEGMENT:

V. 15)

How long have you been using muscle-pain relievers? (SA) ( ( ( ( ( (

) less than 6 months ) 6 months to 1 year ) more than 1 year to 2 years ) more than 2 years to 3 years ) more than 3 years to 4 years ) more than 4 years

Gaano katagal ka nang gumagamit ng muscle-pain relievers? (SA) ( ( ( ( ( ( 16)

) anim na buwan pababa ) 6 na buwan hanggang isang taon ) mahigit 1 hanggang 2 taon ) mahigit 2 hanggang 3 taon ) mahigit 3 hanggang 4 taon ) mahigit sa 5 taon

Who or what influenced you to use muscle-pain relievers? (SA) Promotional efforts: ( ) Television ( ) Radio ( ) Magazines ( ) Posters

( ( ( (

Personal recommendation: ( ) Husband/wife ( ) Son/daughter Grandmother/grandfather ( ) Relatives ( ) Neighbors ( ) Doctor ( ) Drugstore personnel/salespeople /pharmacist

p. 209

) Billboards ) Periodicals ) Brochures ) Gondolas

( ) Mother/father ( ( ( ( ( (

) Friends ) Officemates/colleagues ) Household help ) None ) Othetrs, please specify:

)

( ) Myself _____________________ Sino o anong nag-impluwensya sa iyo na gumamit ng musclepain relievers? (SA) Promosyon ng naturang produkto: ( ) Telebisyon ( ) Billboards ( ) Radyo ( ) Dyaryo ( ) Magasin ( ) Brochures ( ) Karatula ( ) Gondolas ( ) Iba pa, pakisulat kung ano: _______________ Rekomendasyong personal: ( ) Asawa ( ) Magulang ( ) Anak ( ) Lolo/Lola ( ) Relatives ( ) Kaibigan ( ) Kapitbahay ( ) Kasamahan sa trabaho ( ) Doktor ( ) Empleyado sa botika ( ) Sarili ( ) Katulong ( ) Iba pa, pakisulat kung sino: _______________ ( ) Wala 17)

Who usually decides on the brand of your muscle-pain reliever? (SA) Promotional efforts: ( ) Television ( ) Radio

( ) Billboards ( ) Periodicals

( ) Magazines ( ) Posters

( ) Brochures ( ) Gondolas

Personal recommendation: ( ) Husband/wife ( ) Son/daughter Grandmother/grandfather ( ) Relatives

p. 210

( ) Mother/father ( ( ) Friends

)

( ) Neighbors ( ) Doctor ( ) Drugstore personnel/salespeople /pharmacist ( ) Myself _____________________

( ( ( (

) Officemates/colleagues ) Household help ) None ) Othetrs, please specify:

Sino ang madalas pumipili ng tatak ng muscle-pain reliever? Promosyon ng naturang produkto: ( ) Telebisyon ( ) Billboards ( ) Radyo ( ) Dyaryo ( ) Magasin ( ) Brochures ( ) Karatula ( ) Gondolas Rekomendasyong personal: ( ) Asawa ( ) Magulang ( ) Anak ( ) Lolo/Lola ( ) Relatives ( ) Kaibigan ( ) Kapitbahay ( ) Kasamahan sa trabaho ( ) Doktor ( ) Empleyado sa botika ( ) Sarili ( ) Katulong ( ) Iba pa, pakisulat kung sino: _______________ ( ) Wala 18)

Why do you use muscle-pain relievers? (SA) ( ( ( ( ( (

) To soothe muscle pain ) To prevent muscle pain ) To pamper body ) To improve health/well-being ) To relieve stress/tension ) Others, please specify: _______________

Bakit ka gumagamit ng muscle-pain relievers? (SA) ( ) Upang mabawasan ang pananakit ng kalamnan ( ) Upang maiwasan ang pananakit ng kalamnan ( ) Upang maalagaan ang katawan

p. 211

( ) Upang pabutihin ang kalusugan ( ) Upang mawala ang stress o tensyon ( ) Others, please specify: _______________ 19)

Aside from yourself, who else in your household use musclepain relievers? (SA)

( ) Husband/wife ( ) Son/daughter Grandmother/grandfather ( ) Relatives ( ) Neighbors ( ) Doctor ( ) Drugstore personnel/salespeople /pharmacist ( ) Myself _____________________

( ) Mother/father ( ( ( ( ( (

)

) Friends ) Officemates/colleagues ) Household help ) None ) Othetrs, please specify:

Bukod sa iyo, sino pa sa bahay mo ang gumagamit ng musclepain relievers? (SA) ( ( ( ( ( ( (

) Asawa ( ) Magulang ) Anak ( ) Lola/Lolo ) Kamag-anak ( ) Kaibigan ) Kapitbahay ( ) Katrabaho ) Doktor ( ) Empleyado ng botika ) Sarili ( ) Katulong ) Iba pa, sabihin kung sino: _______________ ( ) Wala 20)

What form of muscle-pain relievers do you usually use? (SA) Anong klaseng muscle-pain relievers ang madalas mong ginagamit? (SA) ( ( ( (

) Liquid ) Lotion ) Liniment ) Gel

***(Go to Q21) ***(Go to Q21) ***(Go to Q21) ***(Go to Q21)

p. 212

( ) Stick-on/plaster-type ( ) Capsules ( ) Tablets

***(Go to Q22) ***(Go to Q23) ***(Go to Q23)

21) What part of the day do you usually use (Answer in Q20) muscle-pain relievers? (SA) ( ) After waking up ( ) Morning massage/bath/sauna ( ) Afternoon

( ) After gym/exercise ( ) After ( ) After work/school

( ) Evening ( ) Before sleeping ( ) Others, please specify: _______________ ***(Go to Q24) Kelan ka madalas gumagamit ng (sagot sa Q20) muscle-pain relievers? (SA) ( ) Pagkagising ( ) Pagkatapos mag-gym/ehersisy ( ) Umaga ( ) Pagkatapos magpamasahe/maligo/mag-sauna ( ) Tanghali ( ) Pagkatapos ng trabaho o pagkagaling sa eskwela ( ) Gabi ( ) Bago matulog ( ) Iba pa, sabihin kung ano: _______________ ***(Dumeretso sa Q24) 22) What part of the day do you usually use (Answer in Q20) muscle-pain relievers? (SA) ( ) After waking up ( ) Morning massage/bath/sauna ( ) Afternoon

( ) After gym/exercise ( ) After ( ) After work/school

( ) Evening ( ) Before sleeping ( ) Others, please specify: _______________

p. 213

***(Go to Q25) Kelan ka madalas gumagamit ng (sagot sa Q20) muscle-pain relievers? (SA) ( ( ( ( ( (

) Pagkagising ( ) Pagkatapos mag-gym/ehersisyo ) Umaga ) Pagkatapos magpamasahe/maligo/mag-sauna ) Tanghali ) Pagkatapos ng trabaho o pagkagaling sa eskwela ) Gabi ( ) Bago matulog

( ) Iba pa, sabihin kung ano: _______________ ***(Dumeretso sa Q25) 23) What part of the day do you usually take (Answer in Q20) muscle-pain relievers? (SA) ( ( ( (

) After waking up ) During breakfast ) After breakfast ) During lunch

( ( ( (

) After lunch ) During dinner ) After dinner ) Before sleeping

( ) Others, please specify: _______________ ***(Go to Q26) Kelan ka madalas gumagamit ng (sagot sa Q20) muscle-pain relievers? (SA) ( ( ( ( ( (

) Pagkagising ( ) Pagkatapos mag-gym/ehersisyo ) Umaga ) Pagkatapos magpamasahe/maligo/mag-sauna ) Tanghali ) Pagkatapos ng trabaho o pagkagaling sa eskwela ) Gabi ( ) Bago matulog

p. 214

( ) Iba pa, sabihin kung ano: _______________ ***(Dumeretso sa Q26) 24)

What quantity of (Answer in Q20) do you usually apply on your skin per application? (SA) ( ) Less than 10 mL/pea-size ( ) 51 to 100 mL ( ) 10 to 30 mL/fingertip ( ) 101 to 150 mL ( ) 31 to 50 mL/palmful ( ) More than 150 mL ( ) Others, please specify: _______________ *** Go to Q27 Gaano kadaming (Sagot sa Q20) ang ipinapahid mo sa bawat gamit? (SA) ( ) Maskonti pa sa 10 mL ( ) 51 to 100 mL ( ) 10 to 30 mL ( ) 101 to 150 mL ( ) 31 to 50 mL ( ) More than 150 mL ( ) Iba pa, sabihin kung ano: _______________ *** Dumeretso sa Q27

25)

How many (Answer in Q20) do you usually place on your skin per application? (SA) ( ) Less than 1 sheet ( ) 1 to 2 sheets

( ) 3 to 5 sheets ( ) More than 5

sheets ( ) Others, please specify: _______________ *** Go to Q28 Gaano kadaming (Sagot sa Q20) ang inilalagay mo sa bawat gamit? (SA)

p. 215

( ) Maskonti pa sa 1 piraso ( ) 3 hanggang 5 piraso ( ) 1 hanggang 2 piraso ( ) Masmadami pa sa 5 piraso ( ) Iba pa, sabihin kung ano: _______________ *** Dumeretso sa Q28 26)

How many (Answer in Q20) do you usually drink per intake? ( ) Less than 1 tablet/capsule tablets/capsules ( ) 1 to 2 tablets/capsules ( ) More than 5 tables/capsules

(

)

3

to

5

( ) Others, please specify: ______________ *** Go to Q29 Gaano kadaming (Sagot sa Q20) ang iniinom mo sa bawat gamit? ( ) Maskonti pa kaysa sa 1 tableta/capsule ( ) 3 hanggang 5 tableta/capsule ( ) Higit oa sa 5 ( ) 1 hanggang 2 tableta/capsule tableta/capsule ( ) Iba pa, sabihin kung ano: _______________ *** Dumeretso sa Q29 27)

What size of your (Answer in Q20) do you usually buy? ( ) Less than 1 mL ( ) 1 to 10 mL ( ) 11 to 20 mL

( ) 51 to 75 mL ( ) 76 to 100 mL ( ) 101 to 150 mL

( ) 21 to 30 mL

( ) Bigger than 150

mL

p. 216

( ) 31 to 50 mL ( ) Others, please specify: _______________ ***(Go to Q30) Gaano kalaking (Sagot sa Q20) ang madalas mong binibili? ( ) Maskonti pa sa 1 mL ( ) 1 hanggang 10 mL ( ) 11 hanggang 20 mL

( ) 51 hanggang 75 mL ( ) 76 hanggang 100 mL ( ) 101 hanggang 150 mL

( ) 21 hanggang 30 mL ( ) 31 hanggang 50 mL

( ) Higit pa sa 150 mL

( ) Iba pa, sabihin kung ano: _______________ *** (Dumeretso sa Q30) 28)

What size of your (Answer in Q20) do you usually buy? ( ( ( ( ( ( ( (

) Less than 1 sheet ( ) More than 8 sheets ) 1-2 sheets ) Whatever is cheapest/lowest unit ) 3-5 sheets ) Whatever is biggest in size for BUMO ) 6-8 sheets ) Whatever is equal to perceived area of pain ) Others, please specify: _______________

***(Go to Q30) Gaano kadaming (Sagot sa Q20) ang madalas mong binibili? ( ) Maskonti pa sa 1 piraso ( ) Higit pa sa 8 piraso ( ) 1 hanggang 2 piraso ( ) Iyong pinakamura/pinakakonting pwedeng mabili ( ) 3-5 piraso ( ) Kung ano ang pinakamadaming nabibili ( ) 6-8 piraso

p. 217

( ) Kung ilan ang kakailanganin para sa sakit na dinadamdam ( ) Iba pa, sabihin kung ano: _______________ *** (Dumeretso sa Q30) 29)

What size of your (BUMO) do you usually buy? ( ) Less than 1 capsule/tablets ( ) More than 8 capsule/tablets ( ) 1-2 capsule/tablets ( ) 1 box SKU ( ) 3-5 capsule/tablets ( ) 1 amber or plastic bottle ( ) 6-8 capsule/tablets or 1 pillow pack/banig ( ) Others, please specify: _______________ ***(Go to Q30)

Gaano kadaming (BUMO) ang madalas mong binibili? ( ) Maskonti pa sa 1 capsule/tableta ( ) Higit pa capsule/tableta ( ) 1-2 capsule/tableta ( ) 1 kahon SKU ( ) 3-5 capsule/tableta ( ) 1 bote ( ) 6-8 capsule/tableta or 1 banig

sa

8

( ) Iba pa, sabihin kung ano: _______________ *** (Dumeretso sa Q30) CORE – PURCHASE SEGMENT:

VI. 30)

How much do you usually pay for (Answer in Q24, Q25, or Q26) of (BUMO)? (SA) ( ( ( ( (

) Less than P3 ) P3 to P5 ) P6 to P10 ) P11 to P15 ) P16 to P25

( ( ( ( (

) P25 to P35 ) P35 to P50 ) P50 to P75 ) P75 to P 100 ) More than P100

Magkano ang (Sagot sa Q24, Q25, o Q26) ng (BUMO)?

p. 218

( ) Masmura sa P3 P35 ( ) P3 hanggang P5

( ) P25 hanggang

( ) P6 hanggang P10

( ) P50 hanggang

( ) P11 hanggang P15

( ) P75 hanggang P

( ) P16 hanggang P25

( ) Higit sa P100

( ) P35 hanggang

P50 P75 100

31) 32)

Who usually buys muscle-pain relievers? (SA)

( ) Husband/wife ( ) Son/daughter Grandmother/grandfather ( ) Relatives ( ) Neighbors ( ) Doctor ( ) Drugstore personnel/salespeople /pharmacist ( ) Myself _____________________

( ) Mother/father ( ( ( ( ( (

)

) Friends ) Officemates/colleagues ) Household help ) None ) Othetrs, please specify:

Sinong madalas bumibili ng muscle-pain relievers? (SA) ( ( ( ( ( ( (

32) (SA)

) Asawa ( ) Magulang ) Anak ( ) Lola/Lolo ) Kamag-anak ( ) Kaibigan ) Kapitbahay ( ) Katrabaho ) Doktor ( ) Empleyado ng botika ) Sarili ( ) Katulong ) Iba pa, sabihin kung sino: _______________

How often do you/(Answer to Q31) buy muscle-pain relievers?

p. 219

( ( ( ( ( ( (

) 5 to 7 times a week ) 1 to 4 times a week ) Every 2 weeks ) Every 3 weeks ) Monthly ) Once every 2 months ) Only when needed

Gaano kadalas bumibili ng muscle-pain relievers ikaw o (sagot sa Q31)? (SA) ( ( ( ( ( ( (

) 5 hanggang 7 beses sa isang linggo ) 1 hanggang 4 beses sa isang linggo ) 1 sa 2 linggo ) 1 sa 3 linggo ) 1 sa 1 buwan ) 1 sa 2 buwan ) Tuwing kailangan lang

33)

The last time you bought muscle-pain relievers, where did you buy it from? (SA) Saan ka huling nakabili ng muscle-pain relievers? (SA)

34)

Where do you usually buy muscle-pain relievers? (SA) Saan ka madalas bumibili ng muscle-pain relievers? (SA) Q33

Drugstore, please specify Health and Beauty Shop, please specify Grocery, please specify Medical representative/Sales agents, please specify Supermarket, please specify Sari-sari store Others, please specify 35) What do you/does your (Answer to Q31) do if (BUMO) is not available at (Answer in Q34)?

p. 220

Q34

( ) Go to another outlet where (BUMO) is available on the same day ( ) Buy another (Answer in Q20) muscle-pain reliever currently available in (Answer in Q34) ( ) Buy another form of muscle-pain reliever aside from (Answer in Q20) currently available in (Answer in Q34) ( ) Come back to (Answer in Q34) to buy (BUMO) on another day ( ) Not do/buy anything ( ) Others, please specify: _______________ Anong ginagawa mo o ng (Sagot sa Q31) kapag walang (BUMO) sa (Sagot sa Q34)? ( ) Agad pumuta kung saan pang ibang meron ng (BUMO) ( ) Bumili ng ibang (Sagot sa Q20) muscle-pain reliever na meron sa (Sagot sa Q34) ( ) Bumili ng ibang klaseng muscle-pain reliever maliban sa (Sagot sa Q20) na meron sa (Sagot sa Q34) ( ) Come back to (Answer in Q34) to buy (BUMO) on another day ( ) Walang gagawin/hindi na lang bibili ( ) Iba pa, sabihin kung ano: _______________ VII.

CORE - ATTITUDE SEGMENT:

36) What qualities do you look for in a (Answer in Q20) musclepain reliever? Anong mga katangian ang hinihanap mo sa (Sagot sa Q20) muscle-pain reliever?

37)

What do you dislike about (BUMO)?

p. 221

Anong ayaw mo sa (BUMO)?

38)

What do you like about (BUMO)? Anong gusto mo sa (BUMO)?

(Answers to Q37 and 38 to be tabulated separately by brand.) VIII. CORE - IMAGE SEGMENT: 39)

Here is a rating scale, which shows the degree of importance in choosing a muscle-pain reliever. (Hand over show card showing the rating scale.)

Rating scale ito na nagpapakita ng antas ng kahalagahan sa pagpili ng muscle-pain reliever. SHOW CARD:

IMPORTANCE RATING SCALE 5

Extremely important Talagang napakaimportante 4 Very important Talagang importante 3 Moderately important Medyo importante 2 Slightly important

p. 222

Importanteng bahagya 1

Not important at all Talagang hindi importante

In the scale, 5 means … (explain the scale) Now, I will read to you a list of product characteristics, which describe a muscle-pain reliever. Kindly tell me how important this product characteristic is by choosing the number in the rating scale which best represents your answer. Let us start with (first product attribute)… Sa scale, ang ibig sabihin ng 5 ay… (ipaliwanag ang scale) Bibigyan kita ng mga katangian ng produkto na tumutukoy sa muscle-pain reliever. Sasabihin mo sa akin kung gaano kahalaga ito sa iyo sa pamamagitan ng pagpili ng numero sa rating scale ayon sa iyong sagot. Simulan natin sa (unang katangian ng produkto) PRODUCT Attributes Reputable brand name Maasahang tatak Effectiveness Mabisa Long shelf life Matagal masira Imported All-natural ingredients Gumagamit ng natural na kasangkapan sa paggawa BFAD-Approved Can be bought by single piece Mabibili ng tingi Fastest-relief Pinakamabilis ang bias Can physically feel effect

p. 223

5

4

3

2

1

Direktang mararamdaman ang ginhawa PLACE Attributes Availability in outlets Mabibili kahit saan Excellent service of outlet employees Magandang serbisyo ng mga empleyado High visibility of product Pinakamadaling makita ang produkto

5

4

3

2

1

5

4

3

2

1

5

4

3

2

1

PROMOTION Attributes Attractive advertisements Kaakit-akit na advertisement Must be recommended by a doctor/pharmacist Inirekomenda ng doktor/pharmacist Must be recommended by others like relatives, friends, neighbors, etc. Inirekomenda ng kamag-anak, kaibigan, kapitbahay, atbpa. PRICE Attributes Value for money Sulit sa presyo

40)

Here is another rating scale. This time, it shows the degree of performance of any brand of muscle-pain relievers. (Hand over show card showing the rating scale.) Bibigyan naman kita ng isa pang rating scale na tutukoy naman sa antas ng pagganap ng kahit anong tatak ng muscle-pain relievers.

p. 224

SHOW CARD:

BRAND PERFORMANCE RATING SCALE 5 4 3 2 1

-

Excellent Very good Good Fair Poor

In the scale, 5 means … (explain the scale) First let’s talk about (Top 1 brand first followed by Top 2, then Top 3, and lastly your brand). I will read to you a list of product characteristics which describe a muscle-pain reliever. Kindly tell me how (Top 1 brand first followed by Top 2, then Top 3, and lastly your brand) perform in each of the product characteristic by choosing the number in the rating scale which best represents your answer. Let us start with (first product attribute)… Sa scale, ang ibig sabihin ng 5 ay… (ipaliwanag ang scale) Unahin natin ang (Top 1 brand first followed by Top 2, then Top 3, and lastly your brand). Bibigyan kita ng mga katangian ng produkto na tumutukoy sa muscle-pain reliever. Sasabihin mo sa akin kung paano gumaganap ang (Top 1 brand first followed by Top 2, then Top 3, and lastly your brand) sa bawat katangian ng produktong sasabihin ko. Pipili ka ng numero sa rating scale ayon sa sagot mo. Simulan natin sa (unang katangian)…

p. 225

ALAXAN/ ALAXAN FR Attributes PRODUCT Reputable brand name Maasahang tatak Effectiveness Mabisa Long shelf life Matagal masira Imported All-natural ingredients Gumagamit ng natural na kasangkapan sa paggawa BFAD-Approved Can be bought by single piece Mabibili ng tingi Fastest-relief Pinakamabilis ang bisa Can physically feel effect Direktang mararamdaman ang ginhawa

RESTOLAX/ FORTE

ADVIL

SALONPAS LINIMENT

OMEGA PAINKILLER

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1 1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1 1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

p. 226

PLACE Availability in outlets Mabibili kahit saan Excellent service of outlet employees Magandang serbisyo ng mga empleyado High visibility of product Madaling makita ang produkto PROMOTIONS Attractive advertisements Kaakit-akit na advertisement Must be recommended by a doctor/pharmacist Inirekomenda ng doctor/pharmacist Must be recommended by others like relatives, friends, neighbors, etc. Inirekomenda ng kamaganak, kaibigan, kapitbahay, atbpa. PRICE

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

1

p. 227

Value for money Sulit sa presyo

5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2 1 5 4 3 2

p. 228

1

IX. 41)

CLASSIFICATION: What radio station do you usually tune in to? (SA) Anong istasyon sa radyo ang madalas mong pinakikinggan? (SA) ( )

AM

( )

Specific Stations: __________________ (Istasyon) __________________ __________________ __________________ __________________ __________________ __________________

FM

_______________

42)

What TV programs do you watch? What else? (MA) Anong mga programa sa telebisyon ang pinapanood mo? Ano pa? (MA) ______________________________________________ ______________________________________________ 43)

What magazine do you usually read? (SA) Anong magasin ang madalas mong basahin? (SA)

( ) Good Parenting Magazines ( ) Cosmopolitan ( ) MOD ( ) Woman Today ( ) Mega ( ) Preview ( ) Vogue ( ) ( ) ( )

( )

Body Building

( ( ( ( ( (

Sports Magazines Tech Magazines Business Magazines GQ Good Housekeeping Travel and Living

) ) ) ) ) )

Vanity Fair ( ) “O” (Oprah) Others, please specify: _______________

p. 229

Health Today

44)

What newspaper do you usually read? (SA) Anong dyaryo ang madalas mong basahin? (SA)

( ( ( ( (

Philippine Daily Inquirer ( ) Manila Bulletin ( ) Philippine Star Manila Standard Others, please specify: _______________

) ) ) ) )

Business Today Newsweek Asia

45)

What is your highest educational attainment? (SA) Anong pinakamataas mong napag-aralan? (SA)

( ( ( ( (

No schooling Some elementary Some High School Completed High School Some College

) ) ) ) )

( ( ( ( (

) ) ) ) )

Completed College Some Masters Degree Completed Masters Degree Some Doctorate Degree Complete Doctorate Degree

46) From this show card, please estimate your average household monthly income. Gamit ang sumusunod, tansyahin ang madalas na kinikita ng iyong sambahayan buwan-buwan. SHOWCARD: Estimated Average Household Monthly Income:          

P6,000 and below P6,001 to P10,000 P10,001 to P15,000 P15,001 to P20,000 P20,001 to P30,000 P30,001 to P40,000 P40,001 to P50,001 P50,001 to P60,001 P60,001 to P70,000 Above P70,000 p. 230

X.

IDENTIFICATION :

Full Name of Respondent : _____________________________ Complete Address : ____________________________ _____________________________ Contact Number/s : _____________________________ Signature : _____________________________ THANK YOU SO MUCH FOR YOUR TIME!!! King del Rosario & Mike Yukong

p. 231

NOTES:  Household income classification guide: A C2

P75, 001 and above P15, 001 to 30,000

B D

P50, 001 to P75, 000 P6, 001 to P15, 000

C1 E

P30, 001 to P50, 000 P6, 000 and below

 House structure/appearance classification guide: FACTORS A B C Neighborhood: Located in an exclusive Located in Generally found Location of the subdivision/expensive subdivisions/expensive in mixed house neighborhood, enclaves. neighborhood. May be neighborhood Upscale townhouses found in mixed with houses and neighborhood or larger larger or small Condominiums. If in or smaller houses, with than it mixed predominantly larger neighborhood, it must houses have a fence, at least

Durability of the Heavy high quality Of good and quality home materials (concrete, materials (concrete, wood and concrete, or wood and concrete, or

p. 232

D E Found mostly in Located in neighborhood of generally houses with slum district generally the same interior or size, with rural house occasional large Selfhouses sufficient Neighborhood is community strongly (everything is connected; within reach); compound set-up compound set-up Of mixed light Of light and cheap Temporary heavy materials, materials, poorly structure, semi-permanent; constructed; semi- barong

first class wood, first class wood, bricks); bricks); permanent; permanent generally with sprawling lawn/garden

Indoor quality: Well-painted; House need of repair maintenance

not

In C homes there permanent barong type are basic Limited space; or a poorly divisions into May have 1 - 2 constructed living room, bedrooms Very limited kitchen/ dining Low-rate space; onearea, bedroom apartment dwellers room affair and bathroom. belong to this class Bathrooms Medium-rate In D homes, some are often apartments basic rooms give common belong to this way to common sharing. category rooms. Divisions are often makeshift in Well-painted but may Painted but Generally Unpainted need a new coat of paint needs a new coat unpainted and and and some minor repairs of paint and badly in need of dilapidated needs some repair repairs

p. 233

Appendix B UAI Results on Muscle-Pain Reliever Industry

p. 234

Table of Contents

I.

Executive Summary 3

II.

Methodology 4

III.

Respondent Description 5

IV.

Summary of Findings 8

V.

Appendices 53

p. 235

Executive Summary

The Study aims to find out the Usage, Attitude, and Image of the musclepain reliever industry. The brand in focus is Restolax and has generally considered Alaxan as its main competition. The Study gathered respondents which are: 

from classes A/B. C, and D,



both male and female



aged 18-20



who uses muscle-pain reliever

The Study showed that the muscle-pain reliever encompasses other forms aside from tablets and capsules. It is a competition between overthe-counter drugs, plasters, and topical forms such as the surprisingly popular efficascent oil.

p. 236

Methodology

The survey was conducted with use of random respondents utilizing multi-level cluster who fit the following criteria: 

male or female



belonging to classes A/B, C, or D



18-60 years of age



Uses muscle-pain relievers weekly

A randomly generated map was secured from an external supplier. Though the presenters performed a part of the survey, majority of the actual survey was outsourced to Vertol, a local market research company. The areas where the survey was conducted are in the following areas; 

Cubao, Quezon City



Taguig



Kalawaan, Pasig



Las Piñas



Sta. Cruz, Makati



Bgy. 645, 6th Manila

p. 237

The results were tabulated using SPSS statistical software in order to attain a finer perspective regarding the usage, attitude, and image of muscle-pain relievers.

Respondent Description

Respondent Age.

RESPONDENT AGE Age Qty % 41 14 14% 38 11 11% 37 10 10% 47 9 9% 56 9 9% 35 7 7% 34 6 6% 32 5 5% 40 4 4% 20 3 3% 30 3 3% 42 3 3% 29 2 2% 39 2 2% 44 2 2% 50 2 2% 54 2 2% 27 1 1% 33 1 1% 43 1 1% 46 1 1% 48 1 1%

p. 238

51 1 59 1 60 1 Total 102

1% 1% 1% 100%

14% of the respondents are aged 41. The youngest is aged 20 while the oldest is aged 60. Respondents in their 30’s comprise a majority of the survey respondents. Respondent Sex.

Majority of the respondents are female taking up 58%. Males comprise only 42%. This indicates that there are more females in Metro Manila.

RESPONDENT SEX Male Female Total

Qty 43 59 102

% 42% 58% 100%

Respondent SEC.

65% of the respondents are from Class D followed by 30% from class C. This shows that in promoting muscle-pain in general, sensitivity to the

p. 239

plight and needs of the lower and middle class should be taken into consideration. Price, quality, and importance should be emphasized over preference and status.

SEC RESPONDENTS Qty % A/B 5 5% C 44 30% D 56 65% 100% Total

Summary of Findings Question 3a. What do you do when you experience muscle-pain?

IMMEDIATE MUSCLE-PAIN REMEDY Qty % Apply topical 22 76% Take capsule/tablet 4 14% Massage 2 7% Sleep/rest 1 3% Take a bath 0 0% 29 100% Total

Majority of the respondents (76%) replied that they apply a certain topical product when they experience a muscle-pain. Secondary answer

p. 240

is taking a capsule or tablet (14%) that would relieve muscle-pain. This shows that non-medical remedies such as massage, sleep or rest, and taking a bath are not really believed to relieve muscle-pain. Though Filipinos are known to be traditional in treating ailments, this survey shows that most Filipinos now believe in the efficacy of topical and tablet remedies against muscle-pain.

Question 3b. Do you use muscle-pain relievers?

A majority of the respondents indicated that they use muscle-pain relievers (98%) even though only 77% indicated in Question 3a that they either apply a topical or take a tablet remedy against muscle pains. This overwhelming majority indicates that Filipinos are really aware of the beneficial effects of topical and tablet muscle-pain relievers.

USERSHIP LEVEL Qty % Yes 100 98%

p. 241

No Total

2 102

2% 100%

Question 4. Why don’t you use muscle-pain relievers? (SA)

Of the 2 respondents who indicated that they do not use muscle-pain relievers, 1 answered that it is because he does not experience much pain, while the other one doesn’t use it due to preference. The second reason is one of the major factors against muscle-pain relievers that need to be analyzed because overcoming such concern would inhibit growth in the industry.

REASONS LESSER USAGE Qty % Not much pain Don't like Total

1 1 2

50% 50% 100%

Question 5. How often do you use muscle-pain relievers? (SA)

FREQUENCY OF USE Qty

p. 242

%

5-7 times a week 2-3 times a month 1-4 times a week once a month less than once a month Total

21 21% 31 31% 23 23% 16 16% 9 9% 100 100%

Though a large 98% indicated in Question 3b that they do use musclepain relievers, only a total of 52% are frequent users, which would be the main focus of this study. 21% use muscle-pain relievers 5-7 times a weeks while 431% use the product 2-3 times a week. Even though the number of users went down due to frequency, it is still the majority compared to the lapse users.

Question 6. Why don’t you use muscle-pain relievers more often?

A majority of the lapse users indicated that they don’t use muscle-pain relievers often due to they only purchase the product whenever they experience muscle-pain which happens rarely. Due to this, the industry

p. 243

should evaluate how they can promote the products as a preventive remedy rather than a direct solution to an existing muscle pain. REASONS FOR NON-USE MPR No answer "Bihira naman sumasakit ang katawan ko" "Di naman laging needed" "Hindi naman ganun katindi ang sakit" "Hindi pa naman madalas sumpungin o atakahin ako ng kirot ng kalamnan ng katawan" "Hindi naman gaanong matindi ang sakit, kapag sumasakit lang ang aking balakang" "Hindi naman gaanong sumasakit ang mga muscles ko kapag may nararamdaman lang ako na pananakit sa katawan" "Hindi pa naman ganun katindi ang sakit ng kalamnan ng katawan ko" "Kung kailangan lang" "Kapag kailangan lang" "Kapag kailangan na talaga sa kirot ng aking katawan" "Kapag kumukurot lang ang likod ko kapag maraming nilalabhan" "Kapag kumikirot lang ang balikat lang at ma control ang sakit ng mga muscle "Kapag kumikirot lamang ang aking ulo, batok" "Kapag kumikirot lang muscles ko" "Kapag makirot lang ang mga muscles ko" "Kapag masakit ang ulo ko lang, dibdib, likod, tiyan ko lang ginagamit" "Kapag masakit lang ang kasukasuan ko" "Kapag masakit lang ang katawan" "Kapag masakit lang ang katawan ko" "Kapag masakit lang ang katawan ko at lalagnatin" "Kapag masakit lang ang tiyan at katawan ko" "Kapag masakit lang katawan ko"

p. 244

Qty 3 1 1 1

% 6% 2% 2% 2%

1

2%

1

2%

1

2%

1 1 1 1

2% 2% 2% 2%

1

2%

1 1 1 1

2% 2% 2% 2%

1 1 1 1 1 1 1

2% 2% 2% 2% 2% 2% 2%

"Kapag masakit lang katawan ko at makirot mga muscle ko" 1 "Kapag masasakit lang ang muscles at likod" 1 "Kapag may dismmanorhea ako 1 "Kapag may sumasakit lang sa muscle ng binti ko at tuhod" 1 "Kapag minamasahe lang ang likod ko" 1 "Kapag nakakaramdam lang ng sakit katawan galing sa trabaho" 1 "Kapag nakakaramdam ng stress at pagod" 1 "Kapag nangalay at namamanhid lang aking mga kamay, binti at sakit sa ibang parte ng katawan" 1 "Kapag pagod at masama lang katawan ko" 1 "Kapag sumasakit ang katawan" 1 "Kapag sumasakit lang ang aking kalamnan, ulo, etc." 1 "Kapag sumasakit lang ang binti ko at mga muscles" 1 "Kapag sumasakit lang ang hita ko at mga likod kapag pagod me sa work" 1 "Kapag sumasakit lang ang likod ko" 1 "Kapag sumasakit lang at kumikirot ang katawan ko 1 "Kapag sumasakit lang ang paa ko" 1 "Kapag sinusumpong lang ang sakit sa likod at pamparelax" 1 "Kapag sumusumpong lang ang mga muscles sa binti ko at makirot, pag masakit ang ulo ko" 1 "Kapag sumusumpong lang rayuma ko at pananakit sa likod" 1 "Kasi di ka masyodong nagrerely sa gamot masama ma sobrahan kapag matindi lang ang sakit ng katawan" 1 "May mga side effects din" 1 "Minsan lang sumasakit ang katawan ko at kapag dadapuan lang ako ng trangkaso" 1 "Wala naman akong masyadong sakit na nararamdaman sa katawan kasi inaalagaan ko naman katawan ko" 1 48 Total

p. 245

2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2%

2% 100%

Question 7b. When you think of muscle-pain relievers, what brand first comes to your mind? (SA)

TOP OF MIND Qty Efficascent oil Omega painkiller Alaxan Alaxan FR Katinko ointment Bengay Ultra Alaxan gel Bitek (Indonesia) Salonpas liniment Total

18 12 5 5 4 4 2 1 1 52

% 35% 23% 10% 10% 8% 8% 4% 2% 2% 100%

35% of the respondents indicted that they think of efficascent oil when muscle-pain relievers is mentioned. This makes this liquid muscle-pain reliever the leading top of mind brand for this study. This is followed by Omega Pain Killer with 23%. The industry’s leading tablet muscle-pain reliever, Alaxan tablet, only garnered 10% top of mind recall equal to its other variant, Alaxan FR capsule. However, out of the 52 respondents, 80% have top of mind brands that are topical in nature and not in tablet or capsule form. This result should be an indication to tablet

p. 246

manufacturers about this growth opportunity eclipsed by the popularity of topical muscle-pain relievers.

Question 8. What other brands of muscle-pain relievers are you aware of? What else? What else? (MA)

UNAIDED Efficascent oil Omega Pain Killer Alaxan Salonpas sheets Stoppain Alaxan gel Katinko Bitet Tiger Balm Vicks Vaporub Acura aromatheraphy oil liniment Advil Alaxan FR Biogesic Calpol Denco rub heat gel Dragon Balm Eucalyptus Manzanilla Restolax Rhea superscent oil Ultra Fast Ultra Hot

p. 247

Qty 15 10 7 6 6 5 5 4 2 2

% 20% 13% 9% 8% 8% 7% 7% 5% 3% 3%

1 1 1 1 1 1 1 1 1 1 1 1 1

1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1%

7 herbs Total

1 76

1% 100%

For unaided brands in recall, efficascent oil still dominated the charts with 20% followed by Omega Painkiller 13%. Alaxan tablet

only

garnered 9%. This shows that topical muscle-pain relievers are by far more popular among the respondents than its tablet counterpart.

Question 9. What about (brand not mentioned in Q7 & Q8)? Do you know this brand? How about this brand?

AIDED Pparvid Medicol Biogesic Advil Vicks Vaporub Tempra Tiger Balm Salonpas sheets Alaxan Midol Calpol Alaxan FR Alaxan gel Omega Pain Killer Katinko ointment Salonpas liniment

p. 248

Qty

%

52 47 43 42 42 39 38 36 35 35 32 31 30 28 27 19

6% 6% 5% 5% 5% 5% 5% 4% 4% 4% 4% 4% 4% 3% 3% 2%

Tylenol Bengay Ultra United Home Paracetamol Brufen Efficascent oil Bengay Guardian Pharex Paracetamol Neo-Kiddielets Restolax Aifaril P Salonpas gel Naprex Rhea superscent oil Dolan FP Medgenol Aeknil Alvedon 500 Apollo methyl salicylate Calpol Six Plus Idyl SR Mentopas Metad Rexidol Rhea coldrub Tempain Forte Voltaren emulgel Ketotop Mobilat Restolax Forte Saridon Ultragesic Vi-gel Acet-ms Begesic

p. 249

18 17 17 16 16 14 14 12 12 11 11 8 7 4 4 3 3 3 3 3 3 3 3 3 3 3 2 2 2 2 2 2 1 1

2% 2% 2% 2% 2% 2% 2% 1% 1% 1% 1% 1% 1% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0%

Betet Parrot Brand Balm Brustan BSI medicated spray Cloxina DLI-Paracetamol Febrinil Flanax Flexigesic MPR Gendol Nektol Opigesic Para-4-Kids Queen Flower Balm Skelan Gydinol Total

1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 819 100%

For aided awareness, Parvid got the most number of respondents who are aware of the brand with 52 followed by Medicol and Biogesic with 47 and 43 respondents, respectively.

Question 10. How did you become aware of (TOM)? How else? (MA)

22% of the respondents indicated that they learned about their top of mind brand through their neighbors followed by learning through their parents (18%). TV also garnered 18% as the leading cause of top of mind

p. 250

awareness. This indicates that word-of-mouth is a strong source of awareness for the muscle-pain awareness garnering the top 40% and with a total of 79%

TOM AWARENESS SOURCE Qty % Neighbors 11 22% Parents 9 18% TV 9 18% Friends 4 8% Relatives 3 6% Magazine 3 6% Grandparents 2 4% Pharmacy/Botika 2 4% Bangketa (Mindanao) 1 2% Manghihilot 1 2% Doctor 1 2% Children 1 2% Husband/Wife 1 2% Self 1 2% 49 100% Total

p. 251

Question 11. What brands of muscle-pain relievers have you heard, read and seen advertised during the past three (3) months? What else? (MA)

AD AWARENESS Qty Alaxan FR 28 Advil 27 Biogesic 25 Alaxan 17 Alaxan gel 11 Omega Pain Killer 10 Medicol 9 Efficascent oil 6 Vicks Vaporub 5 Calpol 4 Skelan 3 Seknil 2 Katinko ointment 2 Mentopas 2 Midol 2 Restolax 2 Salonpas sheets 2 Anaflam 1 Baropyrine 1 Bengay Guardian 1 Bengay Ultra 1 Dolfenal 1 Tempra 1 Tiger Balm 1

p. 252

% 17% 16% 15% 10% 7% 6% 5% 4% 3% 2% 2% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1%

United Home Paracetamol Total

1 1% 165 100%

17% of the respondents indicated that they have heard, read, and see ads for Alaxan FR during the past 3 months from the day they were interviewed. This is followed by Advil with 16% and Biogesic with 15%. During this period, the top 3 brands were actually one of the biggest ad campaign spenders. Aside from Alaxan FR being endorsed by boxing-champ Manny Pacquiao, the Alaxan tablet and Alaxan gel also has separate ad campaigns. Advil was widely promoted on TV featuring Annabelle Rama and the Gutierrez twins, Richard and Raymond. Unilab, the owner of Alaxan FR and Biogesic through subsidiaries Therapharma and Biomedis, is considered as one of the biggest ad spenders across all industries for 2006.

Question 12. What are the brands of muscle-pain relievers have you ever tried? What else? What else? (MA)

Medicol an Vicks Vaporub garnered the highest number of respondents who have ever-tried the brand with 38. Top of Mind leaders Efficascent Oil has 35, Omega Painkiller has 32, and

Alaxan FR with 25. This

indicates that product trial for Medicol and Vicks Vaporub did not turn

p. 253

out positively for they were not able to retain top of mind awareness even though most of the respondents have tried the product. On the other hand, Efficascent Oil, Omega Painkiller, and Alaxan FR, had a great feedback as a muscle-pain reliever because even though they garnered lower number of product trials based on this survey, they got the top 3 ranks for the top of mind awareness.

BRANDS EVER-TRIED Qty % Medicol 38 9% Vicks Vaporub 38 9% Biogesic 37 9% Efficascent oil 35 8% Salonpas sheets 34 8% Omega Pain Killer 32 8% Tiger Balm 31 7% Medicol 30 7% Midol 27 6% Alaxan FR 25 6% Advil 23 6% Alaxan 20 5% Alaxan gel 13 3% Katinko ointment 10 2% Calpol 8 2% Tempra 7 2% Salonpas liniment 4 1% BSI medicated spray 3 1% Dolexpel 3 1% Vi-Gel 3 1%

p. 254

Aeknil Calpol Six Plus Naprex Opigesic Restolax Rhea superscent oil Salonpas gel Tylenol Begesic Dolan FP Gendol Gifaril P Mentopas Neo-Kiddielets Pharex Paracetamol Restolax Forte Saridon Skelan United Home Paracetamol Deniega Mesulin 7 herbs Bitet Herbal oil menthol Dencorub Total

2 0% 2 0% 2 0% 2 0% 2 0% 2 0% 2 0% 2 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 1 0% 416 100%

Question 13. What brand of muscle-pain relievers did you last use? (SA)

p. 255

Efficascent oil has 36% of all respondents for being the brand last used followed by Omega Painkiller (18%) and Alaxan FR (12%). This supports the 3 brand’s top of mind awareness ranking through actual product usage.

BRAND LAST TRIED Qty Efficascent oil 18 Omega Pain Killer 9 Alaxan FR 6 Alaxan gel 3 Katinko ointment 2 Bengay Ultra 2 Bitek (Indonesia) 1 Alaxan 1 Advil 1 Salonpas sheets 1 7 herbs 1 Acura aromatheraphy oil 1 Vicks Vaporub 1 Herbal oil menthol 1 Dencorub 1 Skelan 1 50 Total

p. 256

% 36% 18% 12% 6% 4% 4% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 100%

Question 14. What brand of muscle-pain relievers do you most often use? (SA)

Similar to Question 13, the rank of efficascent oil (38%), Omega Pain Killer (17%), and Alaxan FR (12%) as top 3 in brands used most often supports their top of mind awareness with actual product usage.

BRAND USED MOST OFTEN Qty % Efficascent oil Omega Pain Killer Alaxan FR Alaxan gel Katinko ointment Bengay Ultra Vicks Vaporub Bitek (Indonesia) Alaxan Advil 7 herbs Acura aromatheraphy oil Herbal oil menthol Dencorub Skelan Total

p. 257

20 9 6 3 2 2 2 1 1 1 1 1 1 1 1 52

38% 17% 12% 6% 4% 4% 4% 2% 2% 2% 2% 2% 2% 2% 2% 100%

Question 15. How long have you been using muscle-pain relievers? (SA)

LENGTH OF MPR USE Qty % More than 4 years 43 83% More than 2 years to 3 years 5 10% Less than 6 months 2 4% 6 months to 1 year 1 2% More than 1 year to 2 years 1 2% 52 100% Total

A large 83% of muscle-pain reliever users have been using the product for more than 4 years. This shows that the market is actually wellacquainted with the beneficial effects of the product and is a support to the results of Question 3a.

Question 16. Who or what influenced you to use muscle-pain relievers? (SA)

p. 258

55% of the respondents claim that no one else but themselves influenced their use of muscle-pain relievers. Their spouses followed with 12% and parents with 6%. This shows that certain promotional efforts should be more personal direct in order to become more effective in marketing muscle-pain relievers.

MPR INFLUENCER Qty % Self 27 55% Husband/Wife 6 12% Parents 3 6% TV 3 6% Friends 2 4% Doctor 2 4% Grandparents 2 4% Neighbors 1 2% Colleagues 1 2% Relatives 1 2% Sales agent 1 2% 49 100% Total

Question 17. Who usually decides on the brand of your muscle-pain reliever? (SA)

MPR BRAND DECISIONMAKER

p. 259

Self Husband/Wife Parents Friends Total

Qty 46 2 1 1 50

% 92% 4% 2% 2% 100%

Similar to Question 16, 92% claim that they are the ones who decide on which brands of muscle-pain relievers to purchase. This indicates that marketing efforts for muscle-pain relievers should be personal and direct because consumers decided on which brands to buy by themselves and does not undergo a more social process with spouses, friends, etc.

Question 18. Why do you use muscle-pain relievers? (SA)

25% use muscle-pain reliever to soothe muscle pain followed by 13% which is to prevent muscle-pain. In connection to the results of Question 4 and 6, prevention of muscle-pain should be explored in promoting muscle-pain so that lapse users and non-users can be converted into users of the product.

p. 260

MPR USAGE REASON Qty To soothe muscle pain 13 To prevent muscle pain 7 To pamper body 3 To relieve stress/tension 1 Nawawala ang pananakit ng aking kasukasuhan 1 Para makaalis sa naninigas na muscle para pang masahe sa ulo 1 Para sa buong pamilya 1 Para sa pangangalay, kirot ng katawan 1 Masarap ang pakiramdam, para kang nagpapamassage 1 Para pwede rin pangtanggal sa sakit ng ulo 1 Para mawala ang sakit tulad ng athritis at makaginhawa 1 Para marelax ang mga ugat 1 Para panghilot sa lamig pumapasok sa aking kamay at paa 1 Sumasakit ang daliri ko 1 Para mapangalagaan ang aking katawan 1 Para mapigil ang iba pang magiging sintomas ng katawan 1 Para sa panghihilot ko aking katawan, ulo 1 Para matanggal ang kirot sa katawan lalo na sa buong araw 1 Para marelax ng muscle 1 Pinanghihilot sa likod 1 Para sa lamig rayuma 1 Para pang first-aid panghaplos sa kasukasuhan 1 Para sa panghihilot ko ang mga batok ko at mga binti 1 Para sa sakit ng kasukasuhan, sipon, ubo 1 Nakakatulong sa mga pananakit ng aking katawan, arthritis 1 Pangmasahe ko sa mga binti ko kapag nananakit & pinupulikat 1 Para makatanggal ng kabag, lamig sa katawan, para makadighay 1 Kapag sumasayaw ako para sa mga muscles na pain ko 1 Pagkagaling sa trabaho panghilot sa mga likod at ulo ko 1 Para makaalis ng matinding kirot ng ulo ko 1 para sa sakit sa paa kapag namamanhid 1 Kapag nagweweights ako at masakit ang mga katawan ko 1

p. 261

% 25% 13% 6% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2%

52

Total

100%

Question 19. Aside from yourself, who else in your household use muscle-pain relievers? (SA)

OTHER HOUSEHOLD MPR USERS Qty % Husband/Wife 32 62% Children 6 12% Self 4 8% Brothers/Sisters 3 6% Relatives 3 6% Friends 2 4% Parents 1 2% Colleagues 1 2% Total 52 100%

62% of the respondents claim that their spouses also use muscle-pain relievers while 12% indicated that their children are users as well. This means that in a regular household, the market size of a certain brand can be multiplied 3 times due to this effect, and so, even though promotions of the product should be direct and personal, it should also remind consumers of how they can have other household members make use of the product.

p. 262

Question 20. What form of muscle-pain relievers do you usually use? (SA)

MPR FORM PREFERENCE Qty % Liquid Capsules Lotion Liniment Gel Tablets Total

32 7 4 4 3 2 52

62% 13% 8% 8% 6% 4% 100%

As earlier shown in awareness and usage levels of certain brands, a large 83% of the respondents use liquid muscle-pain relievers. 17 % make use of tablet muscle-pain relievers. This shows the overwhelming popularity of topical muscle-pain relievers

over tablet-form, which should be

explored and analyzed by the latter’s manufacturer to optimize growth.

p. 263

Question 21. What part of the day do you usually use (Answer in Q20) muscle-pain relievers? (SA)

TOPICAL PART OF DAY USAGE Qty % No preference Before sleeping Evening After massage/Bath/Sauna After gym/exercise Afternoon Pagkatapos maglaba Total

44 29 6 4 2 1 1 87

51% 33% 7% 5% 2% 1% 1% 100%

51% of those who prefer topical muscle-pain reliever make use of the product at no particular time of the day but 33% do so before sleeping. This shows that even though results in Question 3 shows that resting or sleeping ranks low as muscle-pain reliever remedies, the results in Question 21 shows that consumers may still be correlating positive effects of rest and sleep against muscle pain, especially when joined with proper medical remedies.

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Question 23. What part of the day do you usually take (Answer in Q20) muscle-pain relievers? (SA)

TABLET PART OF DAY USAGE After breakfast/Morning Before sleeping Kapag naglaro ako ng basketball Pag nakaramdam na ako ng sakit ng katawan at ulo Kapag matindi na ang sakit ng ulo ko After meal Total

Qty % 2 25% 2 25% 1 13% 1 13% 1 13% 1 13% 8 100%

25% use tablets after breakfast/morning or before sleeping. This indicates that consumers are very aware about doctor’s recommendations of taking medicines during food intake. Moreover, the high rank of taking tablets before sleeping also supports the consumers positive reference on the effects or rest and sleeping.

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Question 24. What quantity of (Answer in Q20) do you usually apply on your skin per application? (SA)

TOPICAL USAGE QUANTITY Qty % 10 to 30 mL/fingertip 16 39% Less than 10 mL/pea-size 8 20% 31 to 50 mL/palmful 8 20% 51 to 100 mL 4 10% 101 to 150 mL 2 5% More than 150 mL 1 2% Don't know 1 2% No answer 1 2% 41 100% Total

39% claim that they make use of a fingertip-sized quantity in applying topical products to areas affected by muscle pain. Second place goes to pea-size with 20%. This shows that consumers do not really believe in the notion of “quantity is quality”. In fact, this shows that consumers believe in the actual efficacy of the product, not needing to use more than what is needed per application.

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Question 26. How many (Answer in Q20) do you usually drink per intake?

TABLET USAGE QUANTITY Qty % 1 to 2 tablets/capsules 7 88% 3 to 5 tablets/capsules 1 13% 8 100% Total

Taking 1 to 2 tablets per application garnered a large 88%. This shows that consumers are quite convinced of the efficacy of tablet products and does not overcompensate perceived poor quality with quantity.

Question 27. What size of your (Answer in Q20) do you usually buy?

TOPICAL PURCHASE QUANTITY Qty % 31 to 50 mL 13 32%

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21 to 30 mL 101 to 150 mL 51 to 75 mL 11 to 20 mL 76 to 100 mL Don't know Bigger than 150 mL Total

9 6 5 3 2 2 1 41

22% 15% 12% 7% 5% 5% 2% 100%

32% claimed that they purchase topical products ranging from 31 to 50 mL in quantity/ This is followed by 21 to 30 mL with 22%. This indicates the SKUs that are popular to consumers of topical muscle-pain relievers. Most consumers prefer to purchase in quantities that will be totally used up per application.

Question 29. What size of your (BUMO) do you usually buy?

TABLET PURCHASE QUANTITY Qty % 1-2 capsules/tablets 4 44% Less than 1 capsule/tablets 3 33% 3-5 capsules/tablets 2 22% 9 100% Total

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44% purchase 1 to 2

tablets only per purchase. This shows that

consumers are into “tingi-tingi” system as allowed by most pharmacies and drugstores. This mentality should be taken into consideration in planning new products and promotions for tablet muscle-pain relievers.

Question 30. How much do you usually pay for (Answer in Q24, Q25, or Q26) of (BUMO)? (SA)

PURCHASE AMOUNT Qty % P26 to P35 13 26% P16 to P25 12 24% P6 to P10 6 12% P51 to P75 5 10% More than P100 5 10% P11 to P15 4 8% P36 to P50 4 8% P76 to P100 1 2% 50 100% Total

26% indicates that they spend around P26 to P35 for muscle-pain relievers per purchase and 26% spend P26 to P35 per purchase. This

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shows the average amount a consumer is willing to spend on the product per purchase. Thus, product developments should be aware of this price constraint especially in formulating new SKUs for the market.

Question 31. Who usually buys muscle-pain relievers? (SA)

MPR PURCHASER Qty Self 35 Husband/Wife 11 Brothers/Sisters 1 Children 1 Relatives 2 50 Total

% 70% 22% 2% 2% 4% 100%

70% says that they are the ones who purchase muscle-pain relievers. In support to the results in Questions 16 and 17, promotions for musclepain relievers should be taken inside retail outlets. Points-of-purchase

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materials and other merchandising collaterals should be well utilized in achieving a sale.

Question 32. How often do you/(Answer to Q31) buy muscle-pain relievers? (SA)

39% say that they purchase the product 1 to 4 times a week. 31% claim to do so every 2 weeks. This supports the results in Question 27 and 28 that consumers prefer to buy in small quantities. Thus, they have to keep on coming back to purchase more as they still experience muscle-pain.

MPR PURCHASE FREQUENCY Qty % 1 to 4 times a week 19 39% Every 2 weeks 15 31% Only when needed 7 14% Monthly 4 8% 5 to 7 times a week 3 6% Every 3 weeks 1 2% 49 100% Total

Question 33. The last time you bought muscle-pain relievers, where did you buy it from? (SA)

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56% purchase their products from the Mercury Drug chain. This shows how important this retailer is to the industry and should be prioritized.

Question 34. Where do you usually buy muscle-pain relievers? (SA)

In support to Question 33, Mercury Drug (56%) is really a major player in affecting sales of the industry.

Question 35. What do you/does your (Answer to Q31) do if (BUMO) is not available at (Answer in Q34)?

Most consumers are loyal to their brand and would transfer to another store if their brand is not available (46%). However, some opt to buy another brand of the same form (33%). This means that promoting muscle-pain relievers should bank on the generics concept so as to make the switch easier for consumers.

LAST PURCHASE LOCATION

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Mercury Drug Sari-sari store Unspecified drugstore/pharmacy Sales agent Domingo DR Road 5 Chan Lee (Chinatown) Rivera Drug Store Manson Drug Labao Drugstore Peralta Botica ng barangay N. Domingo Bangketa Padala lang ng pamangkin ko Ruth Pharmacy Total

Qty 29 5

% 56% 10%

3 2 2 1 1 1 1 1 1 1 1 1 1 1 52

6% 4% 4% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 100%

X USUAL PURCHASE LOCATION Qty % Mercury Drug 29 56% Sari-sari store 5 10% Unspecified drugstore/Pharmacy 3 6% Sales agent 2 4% Domingo 2 4% DR Road 5 1 2% Chan Lee (Chinatown) 1 2% Rivera Drug Store 1 2% Manson Drug 1 2%

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Labao Drugstore Peralta Botica ng barangay N. Domingo Bangketa Padala lang ng pamangkin ko Ruth Pharmacy Total

1 1 1 1 1 1 1 52

2% 2% 2% 2% 2% 2% 2% 100%

x BUMO LOYALTY Qty % Go to another outlet where BUMO is available on the same day 22 46% Buy another same form mpr currently available in outlet 16 33% Buy another form mpr aside from currently available 4 8% Not do/buy anything 5 10% No answer 1 2% 48 100% Total

Question 36. What qualities do you look for in a (Answer in Q20) muscle-pain reliever?

29% indicate that they want their muscle-pain relievers to be effective. Being affordable only ranked 2nd with a far 11%. This shows that consumers prioritize quality more than price in choosing their favorite brands.

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MPR FEATURES PREFERENCES Qty % Effective 33 29% Affordable 13 11% Warming effect 11 10% Safe 9 8% Nice smell 9 8% Menthol 4 4% Not hot 3 3% Availability 3 3% Long lasting 3 3% Not oily 2 2% Value 2 2% Famous brand 2 2% Attractive 2 2% All natural ingredients 2 2% Many uses 2 2% Easy to swallow 2 2% Handy 1 1% Massage 1 1% Quantity per SKU 1 1% Relaxing 1 1% Large size 1 1% Choices 1 1% Nice packaging 1 1% Hiyang 1 1% Advertisement 1 1% Mild 1 1% Fast acting 1 1% Simple name 1 1% 114 100% Total

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Question 37. What do you dislike about (BUMO)?

BUMO NEGATIVE FEATURES Qty % None 44 85% Availability 1 2% Oily 2 4% Unsafe 1 2% Amoy matanda 0 0% Matapang na amoy 2 4% Expensive 1 2% Fake 1 2% Aftertaste 0 0% Total 52 100%

85% claim that they have nothing against their brands used most often and are quite satisfied with it.

Question 38. What do you like about (BUMO)?

BUMO POSITIVE FEATURES

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Effective Warming effect Nice smell Menthol Safe Affordable Many uses Color Easy to swallow Anti coughs Relaxing Hiyang All natural ingredients Not bitter Swabe Eye friendly Cooling effects Long shelf life Famous brand Not painful Efficient Not oily Availability Famous manufacturer None Total

Qty % 24 23% 17 16% 13 12% 10 10% 6 6% 5 5% 4 4% 3 3% 3 3% 2 2% 2 2% 2 2% 2 2% 2 2% 1 1% 1 1% 1 1% 1 1% 1 1% 1 1% 1 1% 1 1% 1 1% 1 1% 0 0% 105 100%

Only 23% claim that efficacy is their brands most likable feature. Second comes warming effect with 16% which is a unique feature of topical

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muscle-pain relievers. This indicates that consumers are very convinced on how the warming effects of a topical muscle-pain relievers have positive effects on muscle-pain.

Question 39. Here is a rating scale, which shows the degree of importance in choosing a muscle-pain reliever. (Hand over show card showing the rating scale.)

IDEAL BRAND Product X Famous Brand

Total Subtotal Weighted Average X Effectiveness

Total Subtotal Weighted Average X

1 2 Not important at Slightly all important 2 8 2 16

3

4

Moderately important 16 48

Very important 15 60

3

4

Moderately important 0 0

Very important 3 12

5

Total

Extremely important 11 52 55 181

3.481 1 2 Not important at Slightly all important 0 0 0 0 4.942

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5

Total

Extremely important 49 52 245 257

1 2 Not important at Slightly all important 0 0 0 0

Long shelf life

Total Subtotal Weighted Average X Imported

Total Subtotal Weighted Average X

4

Moderately important 0 0

Very important 0 0

3

4

Moderately important 11 33

Very important 2 8

3

4

Moderately important 1 3

Very important 2 8

3

4

Moderately important 1 3

Very important 3 12

5

Total

Extremely important 52 52 260 260

5.000 1 2 Not important at Slightly all important 22 15 22 30

Total Subtotal Weighted Average X All-natural ingredients

Total Subtotal Weighted Average X Approved BFAD

3

5

Total

Extremely important 1 51 5 98

1.922

1 2 Not important at Slightly all important 1 0 1 0

5

Total

Extremely important 48 52 240 252

4.846 by 1 2 Not important at Slightly all important 0 0 0 0 4.904

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5

Total

Extremely important 48 52 240 255

Can be bought by single piece

Total Subtotal Weighted Average X Fastest-relief

Total Subtotal Weighted Average X Place

Total

3

4

Moderately important 1 3

Very important 5 20

3

4

Moderately important 0 0

Very important 0 0

3

4

Moderately important 1 3

Very important 0 0

3

4

Moderately important 0

Very important 1

5

Total

Extremely important 46 52 230 253

4.865

Total Subtotal Weighted 5.000 Average X Can physically feel effect

Availability outlets

1 2 Not important at Slightly all important 0 0 0 0

1 2 Not important at Slightly all important 0 0 0 0

1 2 Not important at Slightly all important 0 0 0 0

5

Total

Extremely important 52 52 260 260

5

Total

Extremely important 51 52 255 258

4.962

in 1 2 Not important at Slightly all important 0 0

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5

Total

Extremely important 51 52

Subtotal Weighted 4.981 Average X Excellent service of outlet employees

Total Subtotal Weighted 3.462 Average X High visibility of product

Total Subtotal Weighted Average X Promotions

0

1 2 Not important at Slightly all important 7 8 7 16

1 2 Not important at Slightly all important 0 0 0 0

0

4

255

259

3

4

5

Total

Moderately important 8 24

Very important 12 48

3

4

Moderately important 0 0

Very important 4 16

3

4

Moderately important 19 57

Very important 12 48

Extremely important 17 52 85 180

5

Total

Extremely important 48 52 240 256

4.923

Attractive advertisements

Total Subtotal Weighted Average X

0

1 2 Not important at Slightly all important 5 7 5 14 3.250

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5

Total

Extremely important 9 52 45 169

Recommended by doctor/pharmacist

Total Subtotal Weighted Average 3.692 X Recommended by others

1 Not important at all 1 1

2

3

4

5

Slightly important 5 10

Moderately important 13 39

Very important 23 92

Extremely important 10 52 50 192

1 2 Not important at Slightly all important 2 6 2 12

Total Subtotal Weighted Average X

3

4

Moderately important 15 45

Very important 20 80

5

Total

Total

Extremely important 9 52 45 184

3.538

Price Value money

Total Subtotal Weighted Average x

for 1 2 Not important atSlightly all important 0 0 0 0 4.942

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3

4

5

Total

Moderately important 1 3

Very important 1 4

Extremely important 50 52 250 257

Ideal Brand PRODUCT Famous brand Effectiveness Long shelf life Imported All-natural ingredients Approved by BFAD Can be bought by single piece Fastest-relief Can physically feel effect PLACE Availability in outlets Exc. service of outlet employees High visibilty of product PROMOTIONS Attractive advertisements Recommended by doctor/pharmacist Recommended by others PRICE Value for money WEIGHTED AVERAGE

Alaxan Advil Omega Salonpas Restolax

3.48 4.94 5.00 1.92 4.85 4.90

4.33 4.04 4.02 3.41 3.86 4.50

3.51 3.51 3.80 3.60 3.51 4.44

4.00 3.82 3.90 2.65 3.77 4.41

3.86 3.60 3.78 2.94 3.46 4.37

2.91 3.27 3.27 3.09 3.36 4.18

4.87 5.00 4.96

4.33 3.78 3.87

4.31 3.33 3.31

3.08 3.70 3.82

3.12 3.24 3.29

4.00 2.91 3.09

4.98

3.75

2.53

3.62

3.32

1.91

3.46 4.92

3.27 3.94

3.08 3.10

3.25 3.75

3.08 3.61

3.09 2.18

3.25

4.10

3.94

3.06

2.66

2.60

3.69 3.54

4.02 3.75

3.94 3.14

2.67 3.65

2.98 3.35

3.55 2.18

4.94 4.29

3.69 3.92

3.29 3.52

3.76 3.56

3.25 3.37

2.64 3.01

Based on the Table above, Alaxan is the brand that is nearest to the ideal brand gaining a weighted average of 3.92 among the listed important features compared to the benchmark of 4.29 Omega Pain Killer, on the other hand received 3.56. Efficascent oil may have gotten a higher weighted average, but unfortunately it was not included in the line-up.

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Restolax, however, ranked last among the 5 benchmark brands receiving only 3.01.

Question 41. What radio station do you usually tune in to? (SA)

The leading radio station among respondents is Love Radio (62%) and thus should be prioritized should ad campaigns include radio plugs.

PREFERRED RADIO STATION Qty % Love Radio 32 62% YES! FM 7 13% Energy FM 4 8% DZRH 3 6% WRR 3 6% DZMM 2 4% None 1 2% 52 100% Total

Question 42. What TV programs do you watch? What else? (MA) PREFERRED TV PROGRAMS Qty % Eat Bulaga 29 56% Wowowee 12 23% Sis 4 8% Maalaala Mo 3 6%

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Kaya Balita/News Game KNB? None Total

2 1 1 52

4% 2% 2% 100%

Most respondents (52%) watch Eat Bulaga more than other TV programs. This is followed by Wowowee with only 12%. This indicates that most of the users are indeed belonging to the C and D class which is also the main target market of the abovementioned shows.

Question 43. What magazine do you usually read? (SA)

PREFERRED MAGAZINE Qty % None 32 62% FHM 9 17% Woman Today 7 13% Panorama 3 6% None 1 2% 52 100% Total

Most respondents do not read magazines (62%). In fact, the country’s leading magazine, FHM, only garnered 12% readership among respondents. This means that should print ads be utilized for promotions,

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magazine placements should not be prioritized unless the product aims to be a premium product.

Question 44. What newspaper do you usually read? (SA)

Majority of the respondents do not read newspapers *56%) although 25% read Manila Bulletin. This means should print ads be utilized, ad placements in newspapers, specially Manila Bulletin should be prioritized.

PREFERRED NEWSPAPER Qty % None 29 56% Manila Bulletin 13 25% Philippine Daily Inquirer 6 12% Balita 3 6% Philippine Star 1 2% 52 100% Total

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Question 45. What is your highest educational attainment? (SA)

41% of the respondents have not graduated from college while only 30% are actual graduates. The difference may be significant, but as a market, having a respondent based with a total 71% reaching college show an audience that is both mature in decision especially in consumption.

x\\

SEC EDUCATIONAL BACKGROUND Qty Some college 42 College graduate 31 High school graduate 14 Some high school 14 Masteral 1 102 Total

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% 41% 30% 14% 14% 1% 100%

Appendix C 2008 Costing of Marketing Strategies and Action Plans

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Appendix D Selected Pages from April - June 2006 Philippine Pharmacopeia

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Appendix E Raw Data from Eurohealthcare and SEC

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