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Generalizations on the effectiveness of pharmaceutical promotional expenditures

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  • Kremer, Sara T.M.
  • Bijmolt, Tammo H.A.
  • Leeflang, Peter S.H.
  • Wieringa, Jaap E.

Abstract

We perform a meta-analysis to formulate generalizations on the effectiveness of pharmaceutical promotional instruments. A literature search on this topic yields 58 usable (published and unpublished) sources documenting 781 effects. We investigate different direct-to-physician (DTP) and direct-to-consumer (DTC) instruments and study whether and how moderator variables influence promotional effectiveness. Pharmaceutical promotional elasticities are modest in size and differ among marketing instruments. In general, DTP elasticities are higher than DTC elasticities, but the relative effectiveness of DTP instruments depends on the disease category. Higher elasticities appear in studies that include price as an independent variable in the models. Studies that account for endogeneity find lower elasticities.

Suggested Citation

  • Kremer, Sara T.M. & Bijmolt, Tammo H.A. & Leeflang, Peter S.H. & Wieringa, Jaap E., 2008. "Generalizations on the effectiveness of pharmaceutical promotional expenditures," International Journal of Research in Marketing, Elsevier, vol. 25(4), pages 234-246.
    • Handle: RePEc:eee:ijrema:v:25:y:2008:i:4:p:234-246
    DOI: 10.1016/j.ijresmar.2008.08.001
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    5. Anusua Datta & Dhaval Dave, 2017. "Effects of Physician‐directed Pharmaceutical Promotion on Prescription Behaviors: Longitudinal Evidence," Health Economics, John Wiley & Sons, Ltd., vol. 26(4), pages 450-468, April.
    6. Eisend, Martin & Tarrahi, Farid, 2014. "Meta-analysis selection bias in marketing research," International Journal of Research in Marketing, Elsevier, vol. 31(3), pages 317-326.
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    13. Andrew J. Epstein & Jonathan D. Ketcham, 2014. "Information technology and agency in physicians' prescribing decisions," RAND Journal of Economics, RAND Corporation, vol. 45(2), pages 422-448, June.
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    15. Holtrop, Niels & Wieringa, Jakob & Gijsenberg, Maarten & Stern, P., 2016. "Competitive reactions to personal selling," Research Report 16004-MARK, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
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    20. Tor Iversen & Ching‐to Albert Ma, 2022. "Technology adoption by primary care physicians," Health Economics, John Wiley & Sons, Ltd., vol. 31(3), pages 443-465, March.
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    22. Greffion, Jérôme & Breda, Thomas, 2015. "Façonner la prescription, influencer les médecins," Revue de la Régulation - Capitalisme, institutions, pouvoirs, Association Recherche et Régulation, vol. 17.
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    24. Marie Doumic & Mathieu Mezache & Benoît Perthame & Edouard Ribes & Delphine Salort, 2017. "Strategic Workforce Planning and sales force : a demographic approach to productivity," Working Papers hal-01449812, HAL.
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