OTC Bulletin PDF
OTC Bulletin PDF
OTC Bulletin PDF
COMPANY NEWS
Investors question
Nestlé CHC move
3 T he US Food and Drug Administration
(FDA) is set to limit the number of doses
of loperamide per pack in OTC versions of the
dose could “cause serious heart problems that
can lead to death”.
Despite the additional warning label, the FDA
Sanofi remains 5 drug, following continued reports of the anti- said it had continued to “receive reports of serious
open to deals diarrhoea medication being misused by people heart problems and deaths with loperamide”,
GSK silent on link with Pfizer 6 addicted to opioids. particularly among people “who are intention-
International growth 7 Noting that loperamide – the active ingredi- ally misusing or abusing high doses”.
boosts Pfizer sales ent in Johnson & Johnson’s (J&J’s) Imodium
A-D brand and numerous OTC store-brand and Bulk online sales
Japan sales slide at Taisho 8
generic anti-diarrhoea products – was safe and In addition to working with manufacturers,
Bigger brands 9 effective when taken at the correct dosage, the the regulatory body said it was reaching out to
key for Prestige FDA said that it had requested that packs con- e-commerce providers of Imodium by explaining
China’s By-Health 10 tained only a “limited amount of loperamide the risks of selling loperamide in bulk quantities.
grabs Life-Space appropriate for the treatment of short-term diar- The agency noted that consumers often pur-
rhoea according to the product label”. chased large quantities of OTC medicines online
GENERAL NEWS Explaining the reason for the clamp down, for convenience, and that loperamide was com-
BAH slams attack by 11 the FDA said loperamide was “seen by those monly sold over the internet in “large bottles”.
consumer watchdog suffering from opioid addiction as a potential Moreover, the FDA said it was engaging with
alternative to manage withdrawal symptoms” healthcare professionals to explain the risks of
Green scrips 14
growing steadily or to achieve euphoric effects. loperamide abuse and to advise prescribing
In June 2016, the FDA added a warning to the medication for much shorter periods.
MARKETING NEWS OTC and prescription loperamide products stat- The FDA has requested feedback on the issue
ing that taking a higher than recommended by 16 March 2018. OTC
NAD questions Xyzal claims 16
Femibion backs 17
working mums
P&G takes ZzzQuil 18
Australia keeps ibuprofen access
into supplements
BioGaia expands 18 A n Australian scheduling delegate has issued
an interim decision recommending that
ibuprofen remain available to buy through gro-
The delegate’s recommendations came after
an application was made to the Therapeutic Goods
Administration (TGA) to reduce pack sizes and
Swedish portfolio
cery stores due to the drug’s good safety profile. remove them from general sale.
REGULARS Ibuprofen is currently the only unscheduled Explaining its reasoning for the changes, the
oral non-steroidal anti-inflammatory drug (NSAID) applicant pointed to a number of recent studies
Events – Our regular listing 19 available in Australia. The delegate also recom- linking ibuprofen to various health problems, as
People – Goldschmidt joins 23 mended maintaining the 100-dosage unit pack well as to the recently implemented ban on OTC
Stada as new chief size for 200mg ibuprofen available in pharmacies. Continued on page 23
S
ing a new wholly-owned subsidiary in Hong
Kong, in a move the firm says will “strengthen”
wiss food and drinks giant Nestlé should
“better explain to shareholders the ration-
Nestlé’s core business and like a costly mistake
which should be unwound,” Third Point insists.
its OTC business in the Chinese territory. ale behind expanding further into consumer “Nestlé defines itself as a company focused
Describing Hong Kong as an “important mar- healthcare”, says major shareholder Third Point. on ‘nutrition, health and wellness’, but many of
ket”, Hisamitsu said it had invested ¥10 million Investment firm Third Point, which holds its assets do not align with that vision,” the inves-
(C0.08 million) to set up Hisamitsu Hong Kong, a 1.3% stake in Nestlé worth around US$3.5 tor argues. “We believe Schneider has an oppor-
which would be based in the Kowloon area of billion (C2.9 billion), claims that the recent ac- tunity to better align the company’s strategy
the territory. quisition of Canadian dietary supplements spe- with its stated objective by addressing these and
Explaining the rationale for establishing the cialist Atrium Innovations, combined with “rum- other inconsistencies.”
subsidiary, Hisamitsu said that having a direct ours the company is bidding on larger assets” Skin Health, by Schneider’s own admission,
presence in Hong Kong would help to grow its in the consumer healthcare market, has “left some has “underperformed” in recent years. The firm
OTC business in the territory and specifically shareholders confused”. is now working to “aggressively right-size” the
drive up sales of its Salonpas and Mohrus OTC Nestlé is set to pay US$2.3 billion to acquire operation, according to Schneider, as the business
analgesic patches. Atrium – and its leading Garden of Life organic is suffering from a host of self-inflicted issues,
The topical analgesic specialist made the an- supplements range – in a move the firm says including an “over aggressive expansion” into
nouncement shortly after reporting the results supports its “pursuit of growth opportunities in OTC skin-care products (OTC bulletin, 6 Octo-
of its third-quarter ended 30 November 2017. consumer healthcare” (OTC bulletin, 15 Decem- ber 2017, page 5).
Hisamitsu reported turnover at its OTC busi- ber 2017, page 3). Rather than continuing to invest in the OTC
ness up by 13% to ¥35.8 billion in the three Following the deal for Atrium, and com- market, Third Point believes that Nestlé should
months, thanks to the performance of Salonpas. ments from chief executive Mark Schneider last “move faster to increase its exposure to the
The analgesic patch posted sales up by 23% year that Nestlé was committed to expanding high-growth categories of coffee, pet care, water
to ¥21.4 billion, due primarily to a double- its presence in consumer healthcare (OTC bul- and nutrition”.
digit increase in turnover in overseas markets. letin, 21 July 2017, page 7), rumours have swirled Despite questioning areas of Schneider’s strat-
Hisamitsu noted it had expanded its OTC that the firm is set to make a serious play in egy, Third Point says that he has “begun to take
offering in the third quarter with the launches the market by snapping up the for sale Merck the needed steps to move the firm forward”.
of the NobiNobi Salonsip analgesic patches and KGaA Consumer Health business (OTC bul- This is not the first time Third Point has called
Allegra FX Junior allergic rhinitis product in letin, 12 January 2018, page 3). into question Nestlé’s strategic direction. In June
its domestic market. While Third Point does not directly criticise last year, the company insisted that “reshaping
Despite strong growth in its OTC segment, the Atrium deal, it questions Nestlé’s ongoing the portfolio” was among the changes needed
total group sales fell by 18% to ¥135.9 billion, investment in its Skin Health unit, which houses at Nestlé to reverse a “recent history of mean-
as turnover fell at its dominant prescription phar- prescription and OTC skin-care products. ingful underperformance versus peers” (OTC
maceuticals business. OTC “Forays into skin health seem unrelated to bulletin, 30 June 2017, page 6). OTC
Editor: Matt Stewart Assistant Editor: Rachael Walker Advertising Controller: Debi Robinson
Deputy Editor: Tom Gallen Production Editor: Jenna Meredith Director of Subscriptions: Val Davis
Associate Editor: David Ridley Editor-in-Chief: Aidan Fry Group Sales Manager: Rob Coulson
Contributing Editor: David Wallace Managing Director: Phil Jarvis Awards Manager: Natalie Cornwell
C
ening existing brands, German pharma-
ceutical manufacturer Dr Pfleger Arzneimittel’s
hinese conglomerate Ping An Insurance is
seeking to take a larger slice of China’s
our users with access to a wide spectrum of med-
ical and wellness product offerings, as well as
recently-appointed managing director Günter healthcare market by launching an initial pub- personalised wellness contents and programmes
Auerbach said he would lead the company “suc- lic offering (IPO) for its Ping An Good Doc- for maintaining a healthy lifestyle.”
cessfully” forward. tor subsidiary. The company organises its business in four
Alongside Ralf Will – who joined Dr Pfleger Ping An Good Doctor operates an online doc- distinct segments: Family Doctor Services; Con-
as chief operating officer in 2016 – Auerbach tor consultation service for Chinese consumers, sumer Healthcare; Health Mall; and Health Man-
revealed the new leadership team had “concrete plus an e-commerce platform selling a range agement and Wellness Interaction.
plans” to further advance the charity-run firm by of healthcare products, including OTC medi- Family Doctor Services, Ping An explains,
implementing a “modern orientation” strategy. cines. A health check-up service is also offered consists “primarily of online consultation, hos-
Change at the top management level was key by the company, through which consumers can pital referral and appointment, inpatient arrange-
to its modernisation strategy, the company said, receive self-care advice. ment and second opinion services” delivered
with Auerbach – previously chief executive of- By operating Ping An Good Doctor as an in- by the firm’s in-house medical team and exter-
ficer at Germany-based OTC specialist bene- dependent company and listing on the Hong nal doctors. The team’s work is supported by
Arzneimittel – bringing “extensive leadership Kong Stock Exchange, Ping An Insurance said Ping An’s AI-Assistant, the firm notes, which
and industry experience” to the firm. it hoped to unleash the business’ “growth poten- “enhances the efficiency and accuracy” of care
Auerbach will be supported in the role by tial”. While the firm has not disclosed the pric- to the users of the service.
industry veteran Will, who joined Dr Pfleger in ing for the IPO, it is expected to generate up The AI Assistant can also “standardise and
September 2016, after heading up supply-chain to US$1.0 billion (C810 million). automate care in a common clinical scenario”,
operations for seven years at German herbal The funds from the IPO, Ping An Insurance PingAn points out, as well as “record and transmit
medicines manufacturer Bionorica. says, will be used to expand the reach of Ping a user’s history, condition and/or responses”.
An Good Doctor in China, and into neighbour- Distinct from, but complementary to, the
Introduce new brands ing markets – through acquisitions and strategic Family Doctor Services operation, the Health
“Part of the new strategy is to further in- alliances – and for research and development Mall segment operates an e-commerce platform
crease our innovation power,” Auerbach noted. purposes to improve its information technology providing consumers with “diversified and evolv-
“We want to strengthen our existing prescription- and artificial intelligence (AI) capabilities. ing product offerings, including healthcare prod-
only and OTC indication areas, while expanding According to Ping An Insurance, Ping An ucts, such as OTC medicines, dietary supplements
our offering through new, strong brands.” Good Doctor is the “world’s leading health- and medical devices”.
Dr Pfleger pointed to its “most successful” care portal in terms of traffic”, with over 190 As well as direct sales to consumers, Ping
OTC brands as those with the greatest potential million registered users and more than 30 mil- An’s e-commerce platform also facilitates trans-
for development, including the Neuralgin and lion monthly active users. In 2016, Ping An Good actions between third-party vendors and consum-
Godamed analgesics, Bio-H-Tin range of hair Doctor generated sales of CNY602 million (C77.8 ers. These vendors consist primarily of pharmacy
and nail supplements and Ipalat cold remedy. million), up from CNY279 million in the prior chains – such as Beijing Guotaiyongkang Big
At the heart of its product development plan year. Total sales reached CNY1.02 billion in the Pharmacy and Guangdong Jianke Pharmaceuti-
was the recently built “state-of-the-art” produc- opening nine months of 2017. cal – and overseas shopping service providers.
tion facility in Bamberg, the firm commented, In its IPO prospectus, Ping An Good Doc- In addition to its Health Mall and Family
where the company has been based since its found- tor describes itself as a “one-stop healthcare plat- Doctor businesses, Ping An offers through its
ing in 1945 by namesake Dr Robert Pfleger. form that delivers an integrated suite of services”. Consumer Healthcare segment “standardised
While the appointments of Auerbach and Will “We are cultivating a network nationwide packages of healthcare services” – provided by
marked a “generational change” in the company and globally that connects our users with our third-parties – such as health check-ups and
and a shift in strategy, Dr Pfleger insisted that online healthcare platform, as well as third-party genetic testing. Meanwhile, the Health Manage-
it would continue to perate as a not-for-profit, healthcare service providers, such as hospitals, ment and Wellness Interaction segment curates
with 100% of its C78.6 million “record sales” health check-up centres, pharmacies and physio- “wellness programmes, tools and activities to help
in 2017 going to its charitable owner, the Robert therapy centres,” the firm points out. “We provide consumers maintain a healthy lifestyle”. OTC
Pfleger Foundation.
As a charity-owned company, this meant that,
alongside the “entrepreneurial” goals of its new IN BRIEF
strategy, the firm was also committed to address-
ing “current issues of healthcare in Germany”. AMAZON, Berkshire Hathaway and JP would “bring their scale and complementary
One important move it said it could make Morgan Chase & Co are “partnering on ways expertise to this long-term effort”, which would
was protecting the role of traditional pharmacies to address healthcare for their US employees, be conducted through an “independent com-
in securing the comprehensive supply of medi- with the aim of improving employee satisfac- pany that is free from profit-making incentives
cines in the country, especially in rural areas. OTC tion and reducing costs”. The firms said they and constraints”. OTC
Emerging Markets
Annual sales
(C millions)
1,616
Change (%)
CER*
+31.3
Change
CER/CS** (%)
+3.0
firm’s chief executive officer Olivier Brandicourt. Europe 1,422 +62.0 +2.0
Asked by analysts if the France-based phar-
US 1,133 +22.5 +1.3
maceuticals giant had an “interest” in further
OTC deals, Brandicourt said he remained open Rest of World 661 >100 –
to opportunities to add to Consumer Healthcare, Total Consumer Healthcare 4,832 +46.3 +2.1
which was a “very important business” for Sanofi. * CER is constant exchange rates
** CER/CS compares sales in 2017 to sales in 2016 adjusted to include turnover from Boehringer Consumer Health
While he declined to comment on the types Care and sales from the terminated Sanofi Pasteur MSD joint venture
of assets Sanofi was interested in, Brandicourt Figure 1: Sanofi’s Consumer Healthcare sales in 2017 by region (Source – Sanofi)
pointed out that the firm had only recently sig-
nificantly expanded Consumer Healthcare by ness operating income margin at Consumer Consumer Healthcare’s sales had grown by 2.1%,
acquiring Boehringer Ingelheim Consumer Healthcare in 2018 “and beyond”. the company noted, thanks to a better perform-
Health Care, in a deal which had added more Meanwhile, Sanofi Consumer Healthcare ance in Europe and the US.
than C1.0 billion in sales to its OTC operation reported sales up by 46.3% at constant exchange The addition of the Boehringer brands pushed
(OTC bulletin, 13 January 2017, page 1). rates to C4.83 billion in 2017, thanks primarily to up sales in Europe by 62.0% at constant ex-
Commenting on the integration of Boehring- the addition of Boehringer Consumer Health change rates to C1.42 billion (see Figure 1). At
er Consumer Health Care, Alan Main, head Care to the portfolio. constant exchange rates and constant structure,
of Sanofi Consumer Healthcare, said the firm At constant exchange rates and constant sales had improved by 2.0%, the firm noted,
was “right on track” to deliver the cost synergies structure – comparing sales in 2017 including thanks to the performance of its Pain brands.
it expected from the deal. The firm remained Consumer Health Care with 2016 sales adjusted In the US, turnover increased by 22.5% at
committed, Main said, to achieving a 30% busi- to also include Consumer Health Care – Sanofi constant exchange rates to C1.13 billion. Better
sales of allergy brands and the Gold Bond skin-
Business Annual sales Change Change care line lifted turnover at constant exchange
(C millions) CER*(%) CER/CS** (%)
rates and constant structure by 1.3%, Sanofi said.
Doliprane 323 +5.5 +5.5
Turning to Emerging Markets, Sanofi report-
Buscopan 191 – – ed sales up by 31.3% at constant exchange
Pain 1,258 +45.9 +5.7 rates – 3.0% at constant exchange rates and
Allegra 423 +2.4 +2.4 constant structure – to C1.62 billion, as turno-
Mucosolvan 125 – –
ver improved at a double-digit rate in its Pain
and Nutritionals categories.
Xyzal 65 – –
Rest of World sales more than doubled to
Allergy, Cough and Cold 1,226 +56.6 +3.2 C661 million at constant exchange rates in the
Dulcolax 211 – – 12 months. Sanofi did not comment on the re-
Enterogermina 168 +6.9 +6.9 gion’s performance at constant exchange rates
Essentiale 150 +0.7 +0.7 and constant structure.
On Consumer Healthcare’s category perform-
Zantac 117 – –
ance, the addition of Buscopan helped to lift
Digestive 930 +79.5 -0.8
turnover in the Pain category by 45.9% at con-
Pharmaton 100 – – stant currencies to C1.26 billion (see Figure
Nutritionals 652 +44.9 -2.7 2). At constant structure and constant curren-
Gold Bond 201 +5.6 +5.6 cies, Pain sales advanced by 5.7%, Sanofi pointed
Other 766 +11.2 +2.5
out, reflecting increased demand for Doliprane.
Allergy, Cough and Cold turnover had grown
Total Consumer Healthcare 4,832 +46.3 +2.1
by 56.6% at constant currencies to C1.23 bil-
General Medicines and Emerging Markets 14,048 -1.0 -3.1 lion, Sanofi noted, thanks to Boehringer’s Muco-
Diabetes & Cardiovascular 5,400 -14.3 -15.6 solvan and better sales of Allegra.
Genzyme/Specialty Care 5,674 +15.1 +13.1 Digestive sales had improved by 79.5% at
Total Pharmaceuticals 29,954 +4.2 +2.4 constant currencies to C930 million, due to the
Vaccines 5,101 +14.5 +11.4
addition of Dulcolax, the firm noted, while Nu-
tritionals sales had risen by 44.9% at constant
Total Sanofi 35,055 +5.6 +3.6 currencies to C652 million, thanks to Pharmaton.
* CER is constant exchange rates
** CER/CS compares sales in 2017 to sales in 2016 adjusted to include turnover from Boehringer Consumer Health
Consumer Healthcare accounted for 13.8%
Care and sales from the terminated Sanofi Pasteur MSD joint venture of Sanofi’s total sales in 2017, which rose by 5.6%
Figure 2: Sanofi’s sales in 2017 broken down by business (Source – Sanofi) at constant exchange rates to C35.1 billion. OTC
Wellness
Annual sales
(£ millions)
4,001
£
+7
Change (%)
CER*
+2
is one of only two remaining bidders – along Oral health 2,466 +11 +6
with Reckitt Benckiser (RB) – for Pfizer’s Con- Nutrition 680 +1 -5
sumer Healthcare unit.
Skin health 603 +6 –
Asked by analysts if the company had sub-
mitted a non-binding bid for Pfizer’s OTC busi- Total Consumer Healthcare 7,750 +8 +2
* Constant exchange rates
ness, Walmsley said she would not “comment
specifically” on whether GSK was involved in Figure 1: GSK Consumer Healthcare’s sales in 2017 by business unit (Source – GSK)
the bidding process “and certainly not on the something that we need to do.” GSK reported Consumer Healthcare turnover
media commentary either”. Bloomberg reported this month that GSK up by 8% to £7.75 billion (C8.86 billion) in 2017,
Reiterating comments made at the JP Mor- and RB were the only companies to have sub- thanks to higher sales in its Wellness and Oral
gan Healthcare Conference last month (OTC mitted non-binding bids for Pfizer Consumer health categories, and positive currency effects.
bulletin, 2 February 2018, page 4), Walmsley Healthcare after rival candidates walked away, At constant currencies, sales advanced at the
described Pfizer Consumer Healthcare as an citing people familiar with the matter. slower rate of 2%.
“attractive business”, adding: “You would ex- Johnson & Johnson (J&J) confirmed it was “Strong growth above market levels” by its
pect us to take a serious look at any major assets out of the running earlier this month, telling ‘power brands’ had been partially offset by a
that come up in the market.” Reuters it refuted “assertions” that it was “in weak cough and cold season and “competitive
“We are a world leader in consumer health- negotiations for Pfizer’s consumer business” pressures” in the allergy category, GSK noted.
care and we have a good track record of inte- (OTC bulletin, 2 February 2018, page 1). Expanding on the performance of Consumer
grating businesses effectively,” Walmsley in- Pfizer announced in October last year that Healthcare’s individual categories, GSK reported
sisted, “but our first priority remains Pharma- it was reviewing “strategic alternatives” for Wellness sales up by 7% to £4.0 billion (see
ceuticals. We will not do anything that cuts across Consumer Healthcare, including the potential Figure 1). Adjusted for currency effects, sales
that priority.” sale of the unit, as part of the firm’s “continuing improved by 2%.
“Most importantly, we’re very happy with efforts to allocate resources and capital to best “Strong broad-based growth” from Otrivin
our Consumer Healthcare business and it’s pro- serve patients and maximise value for sharehold- and Theraflu, particularly in Europe, had driven
gress and momentum,” Walmsley stated, “so ers” (OTC bulletin, 20 October 2017, page 1). up sales in Wellness’ respiratory segment, GSK
[acquiring Pfizer Consumer Healthcare] is not Walmsley made her comments on Pfizer as reported. This had been partially offset by lower
sales of Flonase, the firm added, with the brand
Region Annual sales Change (%)
(£ millions) £ CER* hit by competitive pressures from private-label
International 3,564 +9 +4
products in the US allergy category.
Pain-relief brands had recorded double-digit
Europe 2,360 +9 +3
growth in the 12 months, GSK said, “driven
US 1,826 +4 -1 significantly” by Voltarol, which had performed
Total Consumer Healthcare 7,750 +8 +2 well “across all regions”. The brand had ben-
* Constant exchange rates efitted from “strong momentum” behind its 12-
Figure 2: GSK Consumer Healthcare’s sales in 2017 by region (Source – GSK)
hour product, as well as “strong in-store mar-
keting activation”.
Annual sales Change 2016/2017 Proportion Away from Wellness, Oral health turnover
(£ millions) £ CER* of total (%) advanced by 11% – 6% at constant currencies –
Core sales to £2.47 billion, with Sensodyne recording
Pharmaceuticals 17,276 +7 +3 57 double-digit growth globally.
Consumer Healthcare 7,750 +8 +2 26 Sales of Paradontax had also “continued to
Vaccines 5,160 +12 +6 17
grow strongly”, GSK explained, thanks to a
“brand reset”, increases in dentist recommen-
Total core sales 30,186 +8 +3 100
dations, and its launch in the US during the open-
Core operating profit ing three months of the year.
Pharmaceuticals 5,927 +8 +1 66 Meanwhile, sales in the Nutrition category
Vaccines 1,644 +15 +11 18 edged up by 1% to £680 million, due entirely
Consumer Healthcare 1,373 +23 +11 15 to positive currency effects. At constant cur-
rencies, Nutrition sales slipped back by 5%.
Total core operating profit** 8,944 +11 +4 100
* Constant exchange rates
“Continued competitive pressures” on Hor-
** Excluding corporate and other unallocated costs of £376 million licks in India, combined with the implementation
Figure 3: GSK’s ‘core’ sales and operating profit in 2017. Core results exclude amortisation, goodwill, of the Goods and Services Tax (GST) in the
restructuring costs, legal charges and other items (Source – GSK) country during the year, had been to blame for the
International growth
This had been compounded, the firm added, by
the sale of GSK’s Nigerian drinks business to
Japan’s Suntory Beverage & Food in 2016 (OTC
Nine-Month Results
Lipovitan D
Nine-month
sales (¥ billions)
28.7
Change Forecast sales Change
(%)
-5.8
(¥ billions) (%)
35.2 -5.3
31 December 2017, as sales of the Japanese Other Lipovitan 15.4 -9.0 19.8 -6.7
company’s core Lipovitan brand and Livita food Total Lipovitan 44.1 -6.9 55.1 -5.8
products declined.
Cold remedies (Pabron brand) 20.9 +10.9 28.0 +6.5
“Lackluster” demand for energy drinks in
Japan during the period had caused sales of Hair treatments (RiUP brand) 12.3 +0.3 16.2 +1.1
Lipovitan to drop by 6.9% to ¥44.1 billion, Biofermin 6.5 -2.8 8.7 -2.2
Taisho reported. Livita series 2.6 -9.3 3.5 -9.0
Turnover from Lipovitan D fell back by 5.8% Gastrointestinal treatments 3.0 -0.5 3.9 -0.6
to ¥28.7 billion, while sales of other Lipovitan
Laxatives (Colac brand) 2.5 -2.5 3.3 +1.2
products slumped by 9.0% to ¥15.4 billion
Analgesics (Naron brand) 2.4 -8.7 3.1 -8.6
(see Figure 1).
Sales of Livita tumbled by 9.3% to ¥2.6 bil- Cold remedies (Vicks brand) 3.1 +7.9 4.1 +12.2
lion, while turnover from Naron analgesics de- Other Self-Medication products 2.1 +0.4 2.7 -1.9
clined by 8.7% to ¥2.4 billion. Total Domestic Self-Medication 115.3 -0.4 149.9 +0.1
On a more positive note, domestic sales of
Figure 1: Breakdown of Taisho Pharmaceutical’s Self-Medication sales in Japan in the nine months
Pabron cold remedies advanced by 10.9% to ended 31 December 2017. Forecasted sales are for the year ending 31 March 2018 compared with
¥20.9 billion in the nine months, Taisho pointed actual sales in the financial year ended 31 March 2017 (Source – Taisho Pharmaceutical)
out, thanks to new product launches.
At the start of its financial year, Japan’s demand”, the company explained. would work to “strengthen” its product develop-
largest OTC player said it was crucial for the Meanwhile, overall turnover at Taisho’s Self- ment capabilities and invest to bolster newly-
firm to “further strengthen” its domestic business Medication division edged up by 1.9% to ¥140.9 acquired brands.
in the face of “intensified” competition (OTC billion in the nine-month period, as a notable Furthermore, the company would strive to
bulletin, 26 May 2017, page 4). rise in international turnover offset the fall in expand further the footprint of the internation-
Enhancing consumer communications, dev- domestic sales. al business across South-East Asia, Taisho com-
eloping new products and introducing innova- Total international sales jumped by 15.4% mented, and into other regions where it iden-
tive line extensions to key ranges would help to ¥23.5 billion, with Other sales generating tified “high growth potential”.
Taisho to drive growth in Japan, the firm noted. ¥2.1 billion (see Figure 2). To that end, Taisho in 2016 acquired a
Following the release of its nine-month re- International sales of the division’s OTC 24.5% stake in Vietnamese OTC and prescrip-
sults, the company reiterated it was “focusing on drugs improved by 9.6% to ¥13.8 billion. In- tion medicines manufacturer Duoc Hau Giang
enhancing direct communication with consum- ternational turnover from energy drinks advanced Pharmaceutical (DHG).
ers by expanding into new channels, such as by 18.3% to ¥8.5 billion, while other sales gen- Describing DHG as the “largest Vietnamese
mail order”. erated ¥1.2 billion. domestic-invested pharmaceutical company”,
In addition, Taisho was working hard to re- Taisho noted that during the nine months Taisho said at the time that its investment was in
spond to growing “health consciousness” among the firm had continued to “actively develop” its line with its strategy of “enhancing” its business
the Japanese population by “stepping up prod- international business, particularly in Asia. in the “continuously expanding” Asian market
uct development to create new products that Commenting last year on its plans to grow (OTC bulletin, 22 July 2016, page 5). OTC
satisfy consumer needs and also generate new the business further, the Japanese firm said it
Business Strategy
O
At The Awards That Really Matter
OTC COMPANY OF THE YEAR
Sponsored by IRI
OTC BRAND OF THE YEAR
Sponsored by C+D Data
OTC LAUNCH OF THE YEAR
Sponsored by Four Health Media
OTC BRAND REVITALISATION OF THE YEAR
Presented by PAGB
BEST OTC MARKETING CAMPAIGN ON A BIG BUDGET
Sponsored by Skills in Healthcare
BEST OTC MARKETING CAMPAIGN ON A SMALL BUDGET
Sponsored by James Dudley Management
BEST OTC AUDIO-VISUAL ADVERTISING
Sponsored by IRI
BEST OTC SOCIAL MEDIA CAMPAIGN
Sponsored by Boomerang Media
BEST OTC DIGITAL & MOBILE MARKETING CAMPAIGN
Sponsored by The Pharmacy Network
MOST INNOVATIVE NEW OTC PRODUCT
Sponsored by Spink
BEST OTC CONSUMER ADVERTISING IN THE PRESS OR OUT-OF-HOME
Sponsored by Hamell
BEST OTC PUBLIC RELATIONS CAMPAIGN FOR A MEDICINE
Presented by Pharmacy Magazine
BEST OTC PUBLIC RELATIONS CAMPAIGN FOR A NON-MEDICINE
Presented by Training Matters
BEST OTC PACKAGING DESIGN
Sponsored by Hearst Magazines UK
BEST OTC TRADE ADVERTISING & SUPPORT PACKAGE
Sponsored by Communications International Group
BEST OTC PERFORMER OUTSIDE PHARMACY
Sponsored by Asda Pharmacy
BEST OTC MULTIPLE RETAILER OF THE YEAR
Sponsored by GlaxoSmithKline
BEST OTC PHARMACY SALESFORCE
BEST OTC PHARMACY TRAINING
Presented by Sponsored by
In association with
Presented by In association with
OTC
Tickets selling fast
Book your place at the OTC Marketing Awards.
Visit: OTC-bulletin.com/Awards, email [email protected]
or call Natalie Cornwell on +44 1564 777550 for more information.
OTC
MARKETING AWARDS
Recognising the best of the British OTC Industry
2018
GALA DINNER & AWARDS PRESENTATION
SHERATON GRAND PARK LANE HOTEL,
PICCADILLY, LONDON
THURSDAY 8TH MARCH
Supported by
OTC GENERAL NEWS
Market Research
Market Research
However, there remained legislative and regu- part to educating Romanians about the benefits of 13.4%
latory challenges that needed to be addressed, self-care, Mereu said, by launching a “long-term
the association told OTC bulletin, and that was educational campaign” targeting consumers,
what RASCI was geared up to do. called ‘Despre sănătate, cu responsabilitate’ –
Established in July 2016, RASCI – a member or ‘About Health, With Responsibility’.
Cough, cold,
of the Association of the European Self-Med- Launched with a debate between representa- Gastrointestinals and allergy
ication Industry, the AESGP – had brought a tives of healthcare authorities, institutions and 19.8% 21.5%
“powerful, competent and unitary voice” to the professionals, and joined by the pharmaceutical Figure 1: Breakdown of the Romanian self-care
self-care sector in Romania, commented its chief industry and media representatives, the ongoing market – worth €680 million – in 2017 by
category (Source – Cegedim)
executive officer Diana Mereu. campaign, Mereu explained, had been widened
Formed by local and international companies to include a website featuring advice on self-care, Furthermore, RASCI would continue to keep
– including Bayer, GlaxoSmithKline (GSK) along with television advertising and promo- an “open dialogue” with competent authorities
Consumer Healthcare, Johnson & Johnson (J&J), tional materials distributed to pharmacies and at both a national and regional level, she said, to
Reckitt Benckiser (RB) and Sanofi – RASCI clinics across the country. ensure that consumer advertising and commu-
was founded in response to a bill which passed nications were fair and not misleading.
through Romania’s lower house of parliament in Consumer campaign in 2018 In terms of the Romanian self-care market
2015 that would have banned advertising for The campaign would continue throughout – which was worth around C680 million in
OTC medicines on television and radio. 2018 with activity on “all relevant communica- 2017 – OTC drugs accounted for around two
Industry players pulled together and – aided tion channels”, she added, noting that the initi- thirds of sales, with supplements (including
by the AESGP – lobbied for the bill to be vot- ative had garnered support from the Ministry medical devices) making up the remainder.
ed down. In late 2016, the country’s Senate over- of Health, the National Agency for Medicines So-called ‘lifestyle’ OTC products account-
and Medical Devices, the Romanian National ed for 22.2% of the market, RASCI revealed,
Society of Family Medicine, the Romanian Col- followed by cough, cold and allergy products
lege of Pharmacists and the Romanian Adver- with 21.5% (see Figure 1).
tising Council. Gastrointestinal products, together with an-
On the industry front, Mereu pointed out algesics, accounted for a further 33.2%, the
that there were still challenges, primarily the association said, while vitamins, minerals and
need for the “development, adoption and imple- supplements (VMS) took a 12.6% share and
mentation of a transparent and predictable legisla- dermatologicals another 8%.
tive framework” that was in line with European Looking ahead, Mereu said that RASCI’s
and international regulations and best practices. efforts to educate consumers about self-care while
One step in this direction, she explained, was at the same time developing stronger regula-
a bill that was currently being discussed by tory frameworks, meant that the “rapidly” devel-
committees within the Romanian parliament to oping Romanian OTC market was well posi-
RASCI is educating Romanians on self-care regulate food supplements. tioned for a sustainable future. OTC
Advertising Complaints
Marketing Campaigns
Product Launches
Product Launches
An “effortless way” to consume probiotics is
how Otsuka Pharmaceuticals is positioning its
BioGaia expands Swedish portfolio
P
Body Mainté Drink liquid supplement in Japan. robiotics specialist BioGaia has grown its company said, but also to help tackle the prob-
Sitting alongside Otsuka’s existing Body Mainté
Jelly nutritional food, Body Mainté Drink was presence in Swedish pharmacies by introduc- lem of vitamin D deficiency in Sweden.
a “physical conditioning beverage”, the firm ing chewable tablets containing the company’s Axel Sjöblad, BioGaia’s managing director,
claimed, targeted at those consumers who made patented lactobacillius reuteri Protectis pro- pointed out that vitamin D deficiency was a
an effort to maintain “optimum physical condition
among the routine risks of every day life”. biotic with vitamin D. common problem in Sweden, especially during
Both Body Mainté Drink and jelly contained Available now in three Swedish pharmacy the winter, so it was logical to bring to the mar-
Otsuka’s proprietary lactic acid bacteria B240, chains – Apoteket AB, Apotek Hjärtat and ket a product which combined vitamin D with
the firm pointed out, which supported the “main-
tenance of physical condition”. Apotea – BioGaia Protectis with vitamin D was the firm’s patented probiotic formulation.
The Body Mainté liquid supplement also designed to not only maintain a healthy gut, the Launched in association with sales and mar-
comprised electrolytes for hydration, had a keting services company MedHouse, BioGaia
“pleasant green citrus flavour”, and was a
low-calorie option, Otsula explained. Protectis with vitamin D is available in two
The beverage has a recommended retail price strengths, one containing 10µg of vitamin D
of ¥154 (€1.12). OTC per chewable tablet – the recommended daily
dose in Sweden for people under 75 years –
and a higher strength version which contains
IN BRIEF 20µg of vitamin D for those aged over 75 years,
KLOSTERFRAU has launched the D-man- for adults with limited exposure to sunlight,
nose food supplement for cystitis in pharma- or in other circumstances that prevent natural
cies across Germany. OTC BioGaia Protectis with vitamin D vitamin D absorption. OTC
and 2014, as consumers shifted towards more Category Annual sales Change
natural methods of health improvement, in- (US$ millions) (%)
cluding meditation and healthy eating habits,” Combination products – cough, cold and allergy remedies 11,362.6 +3.2
Roberts explained. “Nationally, retail sales of
Cough remedies 5,798.8 +2.7
cough, cold and allergy remedies dropped back
from US$1.8 billion (C1.5 billion) in 2013 to Medicated confectionery 5,403.5 +2.0
US$1.7 billion in 2014.” Antihistamines/allergy remedies (systemic) 4,414.0 +7.7
However, the flu season of 2014/2015 re-
Decongestants 4,314.8 +4.2
versed this trend, she pointed out, as consumers
again turned to OTC cough, cold and allergy Sore-throat treatments 3,192.8 +4.0
products to combat a flu outbreak, resulting in Paediatric cough, cold and allergy remedies 2,220.4 +3.1
sales increases of Germany’s most popular cough,
cold and allergy products. Worldwide cough, cold and allergy market 36,706.9 +3.6
“Retail sales of Dr Willmar Schwabe’s gerani- Figure 1: Breakdown of the cough, cold and allergy market worldwide in 2017 (Source – Euromonitor)
um-based cough syrup Umckaloabo increased Category Annual sales Change
by US$4 million from 2014 to 2015,” Roberts (US$ millions) (%)
revealed, “while sales of Stada Arzneimittel’s
Combination products – cough, cold and allergy remedies 3,477.4 +1.7
Grippostad grew by US$9 million and Procter
& Gamble’s (P&G’s) Wick by US$10 million Antihistamines/allergy remedies (systemic) 2,659.6 +10.8
over the same period.” Decongestants 1,256.0 +4.8
JAMES DUDLEY
Download executive summary & order online at www.james-dudley.co.uk E E T
PEOPLE OTC
CHOICE OF FORMATS
OTC bulletin newsletters are available:
■ EITHER as the digital OTC bulletin-i
n for online access by
desktop and laptop computers AND Apple and Android
tablets and smartphones
■ OR in traditional hard-copy print format
INDIVIDUAL SUBSCRIPTIONS
An annual subscription comprises:
■ 20 OTC bulletin newsletters
■ AND at least 45 weekly news@OTCbulletin electronic
newsflashes containing the week’s top news stories,
delivered by email