Propecia

Propecia Case Analysis

Question 1: Type of Ads 

Finding the right channel to reach the best buyers is crucial. Looking at how potential buyers are consuming information tells Tom Casola that only a limited amount of channels would be beneficial for Propecia given that the target market is men aged 18-41.

Tom Casola should run product claim ads because consumers are clearly aware of what Propecia is meant to do and where you can obtain it. Consumers recognize what Propecia is and can take steps to obtain the drug. Product claim ads allow a company to produce both a print and TV ad campaign. The print ads do not require FDA approval unlike the TV ads. The TV ads would include information about product benefits, asking a physician for a prescription, and potential side effects. Although Propecia’s side effects would be mentioned, mentioning effects in ads maintains Merck’s core values of being ethical and acting with integrity. In addition, physicians can remind patients that sexual side effects occur in 2% of men, and side effects subside as you continue to take the drug.

By airing the ads during prime time television and magazines such as Maxim, Propecia is reaching its target audience. Men between the ages of 18 and 41 tend to watch more specific shows at a certain time. Placing ads in magazines exposes consumers to the drug more than once resulting in repeated exposure. Knowing men’s viewing and reading behavior makes it simpler for Casola to determine the beneficial media channel.

Propecia should not run reminder or help-seeking ads because consumers would not understand what the ad’s true message is. In a reminder ad, Propecia’s benefits would not be mentioned according to FDA law. Merck would be running on the assumption that people know what Propecia is intended to treat. Although reminder ads generate brand awareness, Merck would have to run future ads that demonstrate Propecia’s purpose. Furthermore, consumers could easily confuse it for a Rogaine commercial, one of Propecia’s competitors, since Rogaine has over 95% brand awareness.

The third type of ad, help-seeking ad, does not allow the name Propecia to be mentioned. It urges people to seek help for hair loss; however, consumers would not know to ask for Propecia when talking to their physician. In addition, about 26,000 physicians currently prescribe Rogaine.

Question 2: Goals 

One of the goals of the campaign is to create a need for Propecia amongst younger men aged 18 to 41. Men generally wait to take action for hair loss thinking that they can correct it later. However, it becomes more difficult to remedy if people seek out alternatives years in the future. It becomes much more expensive because hair replacement surgery, mechanical solutions, and topical liquids require costly maintenance. By creating a sense of urgency, it drives people to take action now.

Another goal is to drive demand for the product, so people reach out to their physicians. Part of this means generating awareness for Propecia to clearly separate it from Rogaine, which currently has 95% brand awareness. Airing product claim ads aims to have consumers think of Propecia first when making a decision to treat hair loss.

Question 3: Message and Positioning 

One of the first things to avoid in advertising is setting unrealistic expectations. Customers cannot expect to experience full hair growth overnight. Taking Propecia regularly helps prevent a person from incurring significant investments in the future. Since the ads aim to create a need, it conveys that a person can fight it, and you can fight it early.