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Growth of marketing cos may lead to unhealthy competition: G Selvaraju
Peethaambaran Kunnathoor, Chennai | Wednesday, June 13, 2012, 08:00 Hrs  [IST]

Growth of pharmaceutical marketers will create chances for competition among marketing companies and the situation will lead to unethical business. Pharmaceutical industry must be aware of this grave possibility as the patients who are the consumers of drugs will be the victims of this unhealthy practice, said G Selvaraju, director of drugs control, Tamil Nadu.

The consumers have to be convinced of the products, but unlike other products, the details of the contents of the products (drugs) must be shared with the prescribers (doctors) first as they are the primary consumers. Patients are only secondary consumers. In case of consumption, the choice of the secondary consumers is not taken for granted and it is the decision or choice of the physicians what is considered. So the marketers of drugs have to convince the physicians first about their products. In this process, some marketing companies may resort to unethical practice in order to get more sale, he said.

The director was delivering the inaugural address at the 5th annual general body of the Consortium of Indian Pharmaceutical Manufacturers and Marketers Association (CIPMMA) in Chennai.

Regarding another aspect of the competition among marketers, Selvaraju said, the increase in the number of marketing companies will introduce a host of formulations in the market, and due to this there is possibility for the circulation of spurious drugs or misbranded drugs. Many marketers maintain office address, but often it does not reflect on the label, such drug is categorized as misbranded. Generally the marketing people are not concerned about the production and availability of raw materials or the investment or other risks in the manufacture. Even they are not sure about the quality of the products they market, he maintained.

According to him some doctors are also engaged in the marketing business which leads to unhealthy competitions. Likewise, large number of formulations in the same name will create confusion.

He advised the marketing people of Tamil Nadu to stick on with one manufacturer rather than going after different ones. Before going into market with the products, try to check with the manufacturer’s drug licence to know whether he has got valid endorsement/ permission. He reminded them of a recent incident happened in Andhra Pradesh where one marketing company did not check the endorsement. The product was seized in Kerala.

While delivering the key note address, J Jayaseelan, the managing director of Delvin Pharma, said the marketing people must update their knowledge with what is happening in the industry and in the regulatory side which will help them to become bigger entrepreneurs. He said India has a pharma market worth Rs.one lakh crore, so there is chance for any small entrepreneur to become bigger. To know the techniques of marketing he advised the members of CIPMMA to attend all workshops and seminars conducted in the state by IPA and other pharma associations.

Jayaseelan further said there are two types of marketing strategies namely product oriented approach and customer oriented approach. The big companies are following the first method. Customer oriented approach is suitable for small entrepreneurs like the members of CIPMMA. In the pharmaceutical business the customer knows about the composition of the product. Customer oriented strategy is also speciality oriented, he told the marketers.

S Nagaraju, the former president of CIPMMA presided over the session.

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