The advent of new digital channels for promoting a product or service inevitably begs a range of questions: do they provide a more effective way of engaging our target customers; are they simply a cheaper way of covering the waterfront; are they replacements for traditional customer engagement, or are they a useful complement to access tech-savvy customers who don’t respond well to traditional channels, thus representing a blended approach. Despite the availability of Google stats and similar data sources the fact is that most companies don’t know how much impact each of the many digital activities they pursue are having on the eventual purchase decision. This is nothing new; the same could be said of the many traditional activities, from direct sales to mail shots, meetings and journal ads, that are still carried out. What is the impact of each activity, alone or in combination, on eventual sales? “Digital” provides another series of promotional opportunities but it also muddies the waters for those trying to analyse the ROI of each promotional budget item.
If you can’t prove the worth of digital activities how do you justify its expenditure to the board? Following on from that if you are looking to supplement or replace traditional 1:1 calls then you really need to measure all things together in a carefully constructed analysis that allows you to specifically test the following propositions:
a) that digital calls reduce the required call frequency of 1:1 calls
b) that the market addressed by digital is the same as that addressed by traditional calls and hence one can reliably replace the other.
Leading edge statistical methodologies can test these propositions and help your company reduce wastage and allocate resources to the activities that work. If you are trying to address these issues in your company, then answer the 6 simple questions in the attached survey. We can feedback the results in a subsequent blog and perhaps begin to help your company address not only the qualitative challenge of proving whether digital activities result in greater sales or not but also the quantitative one of just how cost effective they are vs traditional 1:1 calls.
Click on the link to complete the 2 minute survey on digital marketing within the pharmaceutical industry. Digital Pharma Marketing Survey
The author was a Pharmaceutical Analyst at Lehman Brothers for 23 years as well as being involved with the PharmaFutures projects www.pharmafutures.org but is now writing independently. Stewart Adkins is a Director of Pharmaforensic Limited www.pharmaforensic.co.uk
Stewart Adkins was a Pharmaceutical Analyst at Lehman Brothers for 23 years and was involved with the Pharmafutures projects.