Downstream marketing Archives - Page 2 of 5

23Mar 2025 by cesare ferrari

Mastering the Product Life Cycle: Strategies for Medical Products

All medical products, devices, or pharmaceuticals go through their life cycle. The complete product life cycle is the period of time that begins with the development of a product or service to the withdrawal of that product from the market. There are several stages in the product life cycle and by understanding them, we can increase the profitability, demand, and interest for the product. This post covers the various stages involved in a product life cycle. It explains how we can increase profits and generate demand. There's also information on life cycle analysis and understanding the environmental impact of your product throughout the different stages of its lifecycle. Let’s get started. The product life cycle The theory of the product life cycle theory was developed by Raymond Vernon in 1966…

12Mar 2025 by cesare ferrari

Maximizing Profits with Value-Based Pricing in the Medical Devices Sector

Downstream marketing, Upstream marketing

This is the third article on strategic pricing. In the first, I discussed cost pricing and competitive pricing for medical devices. In the second, I examined skimming and penetration pricing. Today, I will cover value-based pricing. Value-based pricing strategy In value-based pricing, you price your product according to the value generated and perceived by the customer. I have already examined the concept of value for medical technologies; please refer to this post. Basically, the perceived value to the customer primarily depends on three dimensions: clinical, economic, and psychological. The use of value pricing brings some complexity related to the various stakeholders involved in the buying process of medical devices, such as the user, the payor, and the provider, who can have divergent value perspectives. To apply value pricing, first, you must…

23Feb 2025 by cesare ferrari

Maximizing Profit: The Art of Skimming and Penetration Pricing

Downstream marketing, Upstream marketing

This is the second article on strategic pricing, you can find the first article here. There I discussed cost pricing and competitive pricing for the medical device sector. Today, I will cover two other pricing strategies, skimming and penetration analyzing their pros and cons. It's an insightful read, so follow along. Skimming pricing strategy The decision between skimming or penetration pricing is based on several factors such as the level of competition, company characteristics, market dynamics, degree of innovation, etc. Medical device companies use skimming pricing when the objective is to serve a segment of the market that is relatively price-insensitive and thus willing to pay a premium price for the product or service received. For example, skimming is used if the supply of the product is limited in order…

07Feb 2025 by cesare ferrari

Cost vs. Competitive Pricing: What’s Best for Medical Device Companies

Downstream marketing, Upstream marketing

This is the first article about common pricing strategies for medical devices. I previously discussed the importance and impact of an effective pricing strategy here. I also highlighted the factors to consider in setting a pricing strategy here. In this and the next posts, I will cover some of the most common pricing strategies used in the medical device sector with their advantages and disadvantages. Most common pricing strategies In my experience, medical device companies frequently orient their pricing on a cost basis. However, companies that employ pricing as part of strategic marketing are aware of the different pricing strategies and tactics and use a combination of them. Together, let’s explore some of the most common pricing strategies. Cost pricing strategy Companies following the pricing strategy based on the cost,…

23Nov 2024 by cesare ferrari

What makes a good value proposition for Medical products?

Downstream marketing, Upstream marketing

At the heart of every strong medical product success is a good value proposition, here you’ll find out what makes a great one. The influential powers that determine customer preference may not always be initially evident. This is why we must understand what our customers are really looking for in terms of Jobs-to-be-Done, gains, and pains and consequently design products that will delight them and speak their language in our promotional material. What makes a good value proposition? Combining different sources, this is my personal list of factors to consider when building a good value proposition: Early start: To start developing a product with no clear objectives is too common a mistake. The value proposition design process is the basis for defining the product development plan and clinical development. Collaboration:…

30Jul 2024 by cesare ferrari

It’s Time for My Summer Break

Downstream marketing, Sales, Upstream marketing

As the summer season approaches, it's time for my usual break. For a few weeks, I will pause my postings and plan to return to my regular schedule of bi-weekly updates in September. Before I go, I'd like to share a summary of some series I've published over the years: Cultural Factors in International Medical Sales Selling medical products (devices or drugs) internationally involves understanding and managing cultural differences. Parts one and two of this series examine the importance of cultural sensitivity and the key elements of a country's culture, and their impact on sales. The Importance of Cross-Selling and Upselling In medical sales, upselling and cross-selling are often seen as unethical tactics, and sometimes this view is justified. However, in the first and second posts of this series, I…

13Apr 2024 by cesare ferrari

Are you launching, soft-launching or just releasing your new product?

Downstream marketing

Every year, new medical devices are introduced to the market by means of a “product launch”. As the market becomes saturated, it is increasingly difficult for the launch to make an impact on the market and the company's bottom line. Although the term used for market entry is always “product launch” the reality is that there are different sorts of product launches. I’ve already discussed the success factors of a new product launch and itemized the new product classification and its consequences. Today, I would like to cover the types of product launches and help you understand their differences. Different kinds of product launch The different types of product launches have strict ties to the various kinds of products the company developed and their characteristics. The strategic decisions taken at…

03Apr 2024 by cesare ferrari

Factors That Affect The Success Of A New Medical Device Launch

Downstream marketing

We can all agree that a successful product launch does not happen accidentally, as it is the direct result of understanding the measures and factors that influence a product's success. Since new product launches are a vital part of a medical device company, it's appropriate to know how to do it right, and that's what this article seeks to address. So please follow along. Factors that affect medical device product launch Let's start with the most highly regulated products (like high risk medical devices and drugs). Notice that they require a long and complex process to reach the market, and when the regulatory approval is obtained, the launch then begins. Particularly, pharmaceutical products need a very long time to reach the market making the launch critical. Having worked in…

19Jan 2024 by cesare ferrari

Value proposition design for medical products (Part 1)

Downstream marketing, Upstream marketing

Introduction The market success of a drug or medical device is strongly determined by its value proposition. It is why designing and communicating a compelling value proposition to all the stakeholders is one of the most vital medical marketing activities. The role of the product manager (whose responsibility is to lead a cross-functional team to develop the value proposition and ensure its communication at every interaction with the stakeholders) is a significant part of this process. Reason being that the different stakeholders, healthcare professionals, patients, providers, and payers can have different or even divergent value perspectives, increasing the complexity of developing an effective value proposition for all the stakeholders. This article is one of four series, and I'll start here with the definition of the value proposition of a drug…

16Dec 2023 by cesare ferrari

Holiday Season

Downstream marketing, Sales, Upstream marketing

The holiday season is a hectic time for many people. Between holiday shopping, holiday parties and holiday cooking, it can be difficult to find the time or energy to read during this busy time of the year. This is the reason I normally take a pause during the holyday season. This is my last article of 2023, and I would like to re-share a few posts on important topics for medical sales and marketing professionals. Business plans I have a pragmatic position on business plans and business cases. I do not consider realistic plans and planning useless. However, before starting to write a long and detailed business plan any entrepreneur or intrapreneur should focus on building and testing the product and the business model. I have analyzed in detail the…

Category: Downstream marketing