Umbrella Branding for Non- Prescription Medicines October 2015 1 - - PowerPoint PPT Presentation

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The Role and Value of Umbrella Branding for Non- Prescription Medicines

October 2015

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Summary of current landscape

• Umbrella branding is well established and accepted

in many countries

• Names are not evaluated in isolation as packaging

information and pack design can both link and differentiate products

• Many regulatory agencies review packaging and

naming together and risk minimization is agreed between the company and the regulator

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Definitions

• Brands are not ingredients. Brands are a collection of images and

ideas, often including a name, logo, slogan, packaging and design scheme.

• Branding is defined as all activities that increase awareness of a firm’s
• fferings and shape how consumers perceive those offerings.
• The terms trademark and brand name are closely linked. Trademark

tends to be used in a legal context and brand name used in relation to marketing and advertising.

• Umbrella branding is a marketing term for the practice of using the same

brand name across a range of products in the same or related therapeutic areas. An umbrella brand can help reduce the uncertainty that consumers face when making new purchases. The packaging and advertising for a product within an umbrella brand range will highlight its particular qualities guiding the consumer and helping them make a choice that might best meet their needs.

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How does branding work for consumers?

• Brands guide consumers to the appropriate, safe

and effective self-care treatment they need to care for themselves and their families.

• A brand name can be the first piece of information

that consumers have on a product, and can be a first step in a consumer’s information gathering prior to purchase.

• Brands can help consumers distinguish products

from one another to help inform choice.

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WSMI key messages

• It is important to the industry to be able to use the same

brand name for products with different ingredients in the same or related therapeutic categories

• If it is not allowed for OTC medicines then some new

products will simply not be marketed

• Familiarity with brand names builds consumer confidence

and helps them identify products that will treat their symptoms

• Regulatory and legal decisions about brand names must be

made on a case by case basis

• Clear differentiation between the products in an umbrella

range is essential and pack design can deliver that

• Umbrella branding is a driver of innovation for companies of

all sizes, a key intellectual property right and a normal part

• f commercial life

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WSMI key message

• It is important to the industry to be able to use the

same brand name for products with different ingredients in the same or related therapeutic categories

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Why are brands important?

• Brands are an

indispensable guide for consumers

• Brands allow companies to

build reputation and image in the marketplace

• Companies rely on brands

when communicating their goods and services

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Why are brands important for consumers?

• Brands communicate the benefit,

quality, and promised experience a consumer can expect from a product

• Through their advertising brands

provide a reputation for functionality, reliability and other attributes that inform consumers about the availability of a product

• This awareness plays a key role in

decision making for consumers

If a brand fails to deliver on its promises consumers are likely to withhold future purchases

• r criticise the

brand which can damage the product’s reputation

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Brand owners innovate

• Successful brand
• wners are usually

the most innovative companies setting quality standards that are then followed by

• thers in the market

A company focussed on building a strong brand takes note of what the consumer wants and places great emphasis on research and development to meet their needs and remain relevant. Such innovation is the stimulus of a living, dynamic market in which companies constantly strive for improvement. The result is stronger and more diverse competition, based upon quality as well as price. British Brand Group

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WSMI key message

• If umbrella branding is not allowed for OTC

medicines then some new products will simply not be marketed

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Umbrella branding reduces the costs of bringing a product to market

• Fixed marketing costs are high whether the product is high
• r low value, or high or low volume.
• Umbrella branding allows the development of products

whose sales could not support the fixed marketing costs if they had to be marketed as standalone products – it gives economies of scale.

• If the economies of scale offered by umbrella branding are

not available to non-prescription medicine manufacturers then some new products will not be developed and made available to consumers

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WSMI key message

• Familiarity with brand names builds consumer

confidence and helps them identify products that will treat their symptoms

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The importance to consumers of trust and confidence in a brand

Survey conducted by Neilsen/IM for Consumer Health Products Association of United States 2013

• Q. Why do you choose a particular OTC

product

Is something I know will work every time 9.1 Is something I know will be as effective as a prescription 8.3 Is something that does not have many side effects 8.3 Is recommended by my doctor 7.7 Is made with ingredients that I know to be safe 7.6 Is backed by clinical research that it is safe to use 6.7 Is a brand I trust 6.5 Is backed by clinical research that it will effectively relieve… 6.5 Is recommended by my pharmacist or in-store healthcare… 6.4 Is something I would use before seeing a doctor 5.5 Is made by a company I trust 4.8 Is made with ingredients I recognize 4.4 Is available as a store brand 3.5 Has easy to understand instructions 3.3 Is safe to give to children under 18 2.9 Is something I would recommend to friends or family 2.6 Has been endorsed by a person, group or information source 2.1 Is recommended by friends or family members 2.1 Is something my mother used to use or give to me 1.2 Is something I've seen advertised 0.3

Consumers place trust and confidence in a brand high on their list of reasons for choosing an OTC product

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WSMI key message

• Regulatory and legal decisions about brand names

must be made on a case by case basis

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Umbrella branding is widely accepted by regulatory bodies

Names must be assessed on case by case basis and in conjunction with the packaging Products containing the same active and for the same or related indications are generally accepted It is harder to get approvals when the actives are different and when the indications are different Recent case law indicates that the courts will tolerate the use of different actives when they are for the same indication and when the pharmacological profiles are similar

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WSMI key message

• Clear differentiation between the products in an

umbrella range is essential and pack design can deliver that

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Names need to be reviewed in the context of the full packaging information

• Different products in an

umbrella range can treat different symptoms, have different formulation types, have different strengths and be suitable for different age groups

• The packaging helps

consumers choose the right product and allows the same brand name to be used across the range

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Packaging signals help consumers identify a product

• Brands assist consumer

purchasing decisions by identifying different products as familiar and trusted

• The different products within

an umbrella brand range need to share similar packaging and design attributes…

• …however, it is a fundamental principle of branding that

brand names should not cause consumer confusion and/or

• harm. This is not in the interest of consumers or the

company.

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Differentiation within umbrella brands helps consumers choose

• For consumers the brand

name is the start of their decision to choose a product

• Other signals also matter

when they choose a product and they help people pick the right one

• If consumers are confused

about the individual products in a range the company has failed in its marketing

• bjectives

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WSMI key message

• Umbrella branding is a driver of innovation for

companies of all sizes, a key intellectual property right and a normal part of commercial life

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Innovation in OTC medicines

Branded manufacturers were the developers of technologies we now take for granted such as:

• tablets and capsules, sustained

release formulations, patches, dissolving strips,

• blister packaging and sachets,
• combination products which

treat multiple symptoms in a single product,

• and new ingredients and new

indications brought to the market by switching from Rx to OTC

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Branded advertising creates awareness of innovation

• Advertising spend on OTCs is

low in comparison to other product categories because sales of individual products are far lower than other consumer goods

• But branded products do

advertise and they create awareness of new categories and treatments

• This is an aid to innovation

and the development of new OTC products and categories

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Brands are also intellectual property

• Trademarks and brand

names are important intellectual property assets for a company.

• Patents expire but successful

brands go on for ever if they continue to meet consumer needs

• This allows companies to

invest and innovate even if they cannot patent their product improvements

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WSMI key messages

• It is important to the industry to be able to use the same

brand name for products with different ingredients in the same or related therapeutic categories

• If it is not allowed for OTC medicines then some new

products will simply not be marketed

• Familiarity with brand names builds consumer confidence

and helps them identify products that will treat their symptoms

• Regulatory and legal decisions about brand names must be

made on a case by case basis

• Clear differentiation between the products in an umbrella

range is essential and pack design can deliver that

• Umbrella branding is a driver of innovation for companies of

all sizes, a key intellectual property right and a normal part

• f commercial life