Channel Control: Breaking The “market Order” Curse


Editor’s Note

Many brand pharmaceutical companies in the course of rapid development have experienced the “curse of the market order”: disordered competition, price confusion, or even upside down prices; paste point of sale, malicious FALSIFYING … … On the one hand, “magic market order Curse “wide impact, it is a business for many brand managers head of OTC issues; other hand, the” curse of the market order, “a profound impact on enterprises, a serious impediment to corporate brand building, business development. So, brand OTC source of disorder in the enterprise market, where? How can we effectively solve it?

Source of confusion in the market order

Early stages of development, companies are often ignored in order to survive long-term interests of one-sided pursuit of short-term interests of this understandable, but some enterprises to a certain scale, due to marketing, customer love the relationship between policy and the continuation of the market is still not effective sort, creating a market disorder, mainly in the following areas:

Market distribution market is not unreasonable for different scientific analysis and effective layout, not to take differentiated channel strategy, no scientific resources. For example, for a circulation-type market, if sales policy for unnecessary and excessive promotional resources, it is very easy to changing commodity into the capital.

Not strictly business customers to choose the dealer who arrive early stage of development, which led to speculators flooded, the normal distribution behavior becomes purely speculation, dealers are forced to regulate the pursuit of short-term benefits. In this policy, the flow of business rush, pure marketing business to avoid any cause “run all over the goods, the terminal can not see” and “move library” phenomenon. Since only two years of valid general medicines, “moving bank” must force the downstream distributor cheap Paohuo.

Unreasonable sales targets because of market failures and distributors choose the layout of the summary, no serious analysis of each enterprise market liquidity and net sales situation, the annual sales targets for the development of new, often simply in the previous year based on sales all increase of 30% to 50%, resulting in flow-based market sales of bigger and bigger, more and more targets, more and more serious phenomena of changing commodity.

Market delivery does not manage because the pressure of competition, the enterprise knows the market in the large number of changing commodity circulation type, but not control the delivery, to how to how much fuel the flow of changing commodity-based market conduct.

Rebate policy too many companies for promotional purposes, is still “38”, “51”, “11” sensitive stage during the launch of the rebate policy and further intensify efforts rebate. However, dealer profit on the space requirements for different products, a huge profit margins, leading some dealers cheap Paohuo or FALSIFYING.

Rebate mismanagement early stage of development, on the one hand the management of enterprises do not understand the scientific content of the rebate, while dealers do not want too much interference in their business enterprises, which led to a simple business management sales rebate management, that is, determined based solely on the sales dealer rebates size. Thus, the greater the more FALSIFYING dealer sales, take the rebate is also more and more a more conditional rebate changing commodity, so a vicious circle.