Vertical & Horizontal Marketing: Pharma Marketing Management
Vertical and horizontal marketing are two different approaches to marketing that businesses can use to target their customers.
Vertical marketing involves targeting a specific industry or market segment. This approach involves creating products, services, and marketing strategies that are tailored to the needs and preferences of a specific group of customers. For example, a company that specializes in providing software solutions for healthcare providers would be using a vertical marketing approach.
On the other hand, horizontal marketing involves targeting a broader range of customers across different industries or market segments. This approach involves creating products, services, and marketing strategies that appeal to a wider range of customers. For example, a company that sells office supplies would be using a horizontal marketing approach.
Both vertical and horizontal marketing have their own advantages and disadvantages, and the choice of approach depends on a variety of factors such as the company’s goals, resources, and target market. Vertical marketing can be more effective in generating targeted leads and building expertise in a specific industry, but it may limit the company’s potential customer base. Horizontal marketing, on the other hand, can help companies reach a wider audience and generate more sales, but may not be as effective in establishing a strong brand identity or building customer loyalty.
Pharmaceutical examples
In the pharmaceutical industry, vertical and horizontal marketing can be used in different ways to reach different target audiences.
Vertical marketing in the pharmaceutical industry involves targeting specific therapeutic areas or disease states. Companies may develop and market products that are tailored to the needs of a particular patient population, such as drugs for cancer treatment or rare diseases. For example, Roche’s Genentech division specializes in developing drugs for cancer treatment, including Herceptin for breast cancer and Avastin for colon cancer. By focusing on specific therapeutic areas, companies can establish themselves as experts in that field and build strong relationships with healthcare providers who treat patients with those conditions.
Horizontal marketing in the pharmaceutical industry involves targeting a broader range of healthcare providers or patient populations. Companies may develop and market products that can be used across different therapeutic areas, such as pain management drugs or antibiotics. For example, Pfizer’s Lyrica is used to treat nerve pain associated with conditions such as diabetes and fibromyalgia. By targeting a wider range of customers, companies can increase their market share and revenue potential.
It’s important to note that pharmaceutical companies are heavily regulated and must follow strict guidelines for marketing their products. They must adhere to rules regarding the promotion of prescription drugs to healthcare providers and consumers, and must disclose information about potential side effects and risks associated with their products.
Overall, both vertical and horizontal marketing can be effective strategies for pharmaceutical companies, depending on their goals and target market. By developing products and marketing strategies that meet the specific needs of patients and healthcare providers, companies can establish themselves as leaders in their field and build long-term relationships with their customers.
Final Year B Pharm Notes, Syllabus, Books, PDF Subjectwise/Topicwise
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