Cialis Market Launch strategy Case Solution

INTRODUCTION

Thiscase illustrates and examines the rising issues of health which are male oriented like Erectile dysfunctional, which is an eminent issue prevailing in the market but no one talks about it clearly.

Pfizer, an early entrant in the industry of ED, has made tremendous revenues and success by the launch of Viagra,which is synonym with ED.In2002, Viagra positioned itself as a remedial solution for ED in older people by putting an old politician in the advertisement, however, after 3 years, it repositioned itself as a remedial solution for the young people who sufferedfrom ED naturally.

Analyzing the whole situation, the marketing head and global director, Mark Barbato, has to launch Cialis a male impotence medicine in competitionwith the well-established market leader,Viagra. The product Cialishas been developed by the joint venture of Lilly ICOS LLC, who after careful consideration named the medicationCialis so it maynot directly produce connotation with Impotency disease, in orderto gauge and analyze the effect and acceptability of new product in the market against Viagra.

Cialis has dug very deep into the market and analyzed the strategy and positioning of Viagra, in order to find the gap for its successful launch andthen sustainablegrowth. Thefindingsincludethe side effects that Viagra produces like blue-vision sight, dissatisfaction and less than 6 hoursof effectiveness. Moreover, in recent years the medication had been associated with the scandal of deaths due to the use of Viagra. However, after the incident, the company re-branded itselfand made the use of product clear.

Cialis recognized the trend in the market and found the gap that about 6-7million people have left or never used Viagra even with the disease of ED, while the growth has been only 3 billion. This is the key indicator for the success andacceptability of Cialis only if it successfullylaunches, positions and differentiates itself from Viagra.

The Unique selling proposition identified in the case aboutCialis is that it offers greater time of erectionafter the first intakefor around72 hours which makes it convenientand satisfying for the customer to get sexually intimated when he actually wants to, without the obligation of getting intimated within the 6 hours of first intake-(Viagra case).The other unique selling proposition is its rarity of initiating or encouraging heart attacks, which is an excellent feature, as most of the population of the US suffers from Heart issues at age of 40-50 years.

The issues identified in the case are how to position the product, which meansshould be used, which marketshould be applied and which business strategyshall be pursued. Furthermore, a key differentiation strategy has to be set and a new set of value proposition has to be offered in order to sustainand cut the market share of Viagra who have strong hold inmarket throughits strong brand recognition positioning and distribution strategy.

Problem Statement

Lilly-ICOS LLC is planning to launch a new medication to derive the patients of ED, after 10 years. The problem is in determiningwhich positioning and marketing strategy shall be pursuedin order to attain the alignment with the business strategy set by the top management for Cialis. Thecompany has to devise such strategy which could differentiate from Viagra.Moreover, a strong positioning and distribution strategy has also to be devised in order to compete and sustain in the market.

The issue is Viagra has first mover advantage, which has made a strong position in the customer mind, even with the scandal of death cases. The main reason is it synonym with the Male impotency disease. However, there is still a room and a market to tap which can guarantee the sustainability of Cialis in the industry.

Situational Analysis

Lilly-ICOS LLC established a joint venture in order to develop a new medicine to counter the impotency disease found in Man. The major markets identified were UK, USA, France, Spain and Germany; however, among them the largest market constituted USpopulation with market includingmales ofage 50-80 years of age who were the quick and current users of Viagra.

According to the research set by Cialis, majority of the population at the age of 40 started facing problem of ED, while about 35% of the younggenerating countered the disease. Among them, the majority of the customers used Viagra as aneasy solution to the problem. About 3 million people increased the market share of Viagra every year, while the gap was found in the rising number off drop out which was 7 million.............................

This is just a sample partial case solution. Please place the order on the website to order your own originally done case solution.

 

Share This