Alembic Limited, in a business model restructuring drive, has identified co-marketing as a key strategy to optimize the performance of the extensive field force, which the company maintains now. The company, which is proposing to float an exclusive strategic business unit (SBU) to concentrate on franchise business, would take up co-marketing as one of the main areas through this SBU.
According to Atul Barman, vice president (formulations), it is a kind of reverse strategy of the company to utilize the existing resources at the optimum level instead of cutting down the same. The company, instead of further reducing the field force from the existing 1200 plus marketing personnel, would optimize the strength by floating joint marketing alliances with other companies.
Alembic is already in talk with a Mumbai-based company for co-marketing a very promising brand of the later. The deal would be finalized shortly, Barman informed.
"Co-marketing and the direct-to-customer drugs concepts are the two areas where Alembic is planning to step in with a clear objective of optimizing its current strength. The moves are already on. These two promising areas of the modern pharmaceutical market in the world would give us the best expected results" he said. Alembic has unbeatable strength as far as the marketing force is concerned. Therefore, the companies who do not have big marketing team at the same time better products can take advantage of this strength by having co-marketing arrangement with Alembic, he said.
The company, which has already started two separate SBUs for specialty products and OTC as part of the business restructuring, is proposing to set up two more apart from the Franchise SBU. The other proposed SBUs include Pharma and Generic with exclusive field and managerial attention.
Commenting on the new initiatives, Atul Barman, says, "We have already launched two of these SBUs to focus on speciality products in cardiology and OTC products currently including cough, cold and nutrition. Now, a clutch of products from the company's existing division will be shifted to the new speciality SBU. It includes the newly-launched diabetic drug Nataglinide and bunch of older products like combination of atenolol and amlodipine, diabetes drug pioglitazone etc.
The speciality SBU, which will have 125 medical representatives and 40 dedicated sales support and admin staff with additional first line managers who will be moved from the existing division, is targeted a sales turn over of Rs 25 crore in the first year.
While the SBU for OTC has a target of Rs 25 crore to 35 crore in the first year, the other proposed business units like pharma, franchise and generic would carry a business target of Rs 350 crore, Rs 40 crore and Rs 60 crore respectively.