Drug United Group is a fast-growing pharmaceutical company. The company is aiming to be among the top 10 leaders in the pharmaceutical industry in Egypt within the upcoming 10 years with extensive focus on quality products which are currently being manufactured by their own facility. The company’s core businesses are primary care, CNS and CVS portfolios. CVS business unit offers unique solutions to hypertension & hyperlipidemia diseases. The company’s ultimate purpose is to properly understand the health-care problems and provide innovative and high-quality products that meet the unmet needs in managing & controlling the CV chronic diseases.
DUG pharma value propositions are; producing high quality, innovative products that are providing practical competitive solutions with premium price and create long term win-win partnership with CV-KOL’s. DUG pharma has a strong marketing team who can create effective marketing plans that combines creativity & innovation with marketing expertise as well as brand strategy to meet the patients and customers’ needs. Marketing team participate in all CVs conferences.
DUG pharma currently sells two products in CVs unit as follows:
- Normadex (Antihypertensive): ACCB / BP control
- Lipidex (Lipid-lowering agent): A Statin that significantly improve lipid profile.
DUG pharma is looking to diversify their offerings to ensure that they are able to meet the needs of their customers. DUG pharma believes that it is a key for them to maintain strong relationships with their existing customers to continue to survive and compete in challenging work environment.
The Egyptian pharmaceutical market is considered one of the key emerging markets. Egypt has a very huge population (100Mn) but very low purchasing power. The annual per capita pharmaceutical sales are less than US$50. Most of this spent is out of the pocket. Vast majority of citizens are not covered by health insurance.
Egypt remains the largest producer and consumer of pharmaceuticals units in the Middle East and Africa. It also maintains its position as the second largest pharmaceutical market in value, second only to Saudi Arabia. By 2022, the
market is forecasted to expand at a compound annual growth rate (CAGR) of 8.0% in local currency terms to reach a value of EGP 100 Bn.
Egypt pharmaceutical sales are divided into prescription drugs and over-the-counter (OTC) drugs. Egypt’s pharmaceutical sales are largely depends on prescription sales, which comprised 82.5% of total drug sales as compared to 17.5% over-the-counter products. Prescription sales are comprised of two types of drugs, generic and brand-named drugs. The market is divided into private sector account 70% of the market and intuitional sector account 30 %.
The Egyptian market is unique as it does not follow the global trends regarding the best-selling therapeutic areas. Statin and hypertensive have a positive trend. There are about 25% of population above 40 years, 15 % of population are hypertensive. Increase usage of fast food and obesity between Egyptians leads to increase risk of hyperlipidemia and coronary diseases.
Egyptian physicians are demanding effective and affordable products due to low socio economic of patients and plenty of them don’t implement guidelines. Cost pressure becomes very high especially from payers in MOH and tenders. Recently Egyptian physicians become highly sensitive to promotion both local and multinational companies spend a lot of money in services like gifts, conferences accommodation and travelling abroad. Some of physicians are oriented with medical education.
Competition is very tough from local companies which offer affordable drugs and penetrate MOH and peripheral areas. Egyptian patients lack of disease awareness and compliance.
You are working for DUG pharma. You’re newly appointed as a district manager in July 2020 CVs BU. You will be managing a group of medical representatives who are managing 4 territories and will be responsible for leading this group towards achieving the business and strategic objectives of your district in the CVs BU that will help achieving the company’s business objectives and revenues
District profile
You are responsible for managing a CVs portfolio at the district level that includes an antihypertensive and lipid lowering agent. The country is divided into 2 equal potential regions. Each region is represented by 2 districts. With equal potential. Your district is divided into 4 territories. The company’s, regions and districts current achievements are follows:
Normadex sales data:
Total Market of antihypertensive is (1,600,000) units in 2019
| Sales 2017 | Sales 2018 | Sales 2019 | Target 2020 | ||
| Market | 1,112,000 | 1,390,000 | 1,600,000 | 950,000 | |
| Company | 232,000 | 267,000 | 320,000 | 384,000 | 172,000 |
| Region | 110,000 | 130,000 | 144,000 | 192,000 | 85,000 |
| District | 50,000 | 58,000 | 66,000 | 96000 | 38,000 |
| T1 | 10,000 | 11,000 | 12,000 | 24000 | 7,000 |
| T2 | 15,000 | 18,000 | 21,000 | 24000 | 12,000 |
| T3 | 10,000 | 12,000 | 13,000 | 24000 | 8,000 |
| T4 | 15,000 | 17,000 | 20,000 | 24000 | 11,000 |
Lipidex sales Data:
Total Market of Statin is (800,000) units in 2019
| Sales 2017 | Sales 2018 | Sales 2019 | Target 2020 | YTD% July 2020 sales | |
| Market | 650,000 | 730,000 | 800,000 | 900,000 | |
| Company | 95,000 | 105,000 | 120,000 | 140,000 | 80,000 |
| Region | 48,000 | 56,000 | 68,000 | 75,000 | 35,000 |
| District | 24,000 | 29,000 | 34,000 | 35,000 | 15,000 |
| T1 | 5,500 | 6,000 | 6,000 | 8,500 | 3,500 |
| T2 | 6,000 | 8,000 | 10,000 | 9,000 | 4,000 |
| T3 | 6,500 | 7,000 | 7,500 | 8,500 | 3,500 |
| T4 | 6,000 | 8,000 | 10,500 | 9,000 | 4,000 |
More available data about your reps performance:
| Territory | 1 | 2 | 3 | 4 |
| Territory contribution | 27% | 23 % | 27% | 23% |
| Assigned Rep | Alaa | Fares | Peter | Mourad |
| Average Call Rate | 7 | 9 | 9 | 9 |
| COV. % | 70% | 90% | 90 | 90% |
Rep of territory 1 / Alaa
- Age 25
- Only 6 months experience
- Single, Not committed and the regional manager had many counseling sessions with him before you are assigned to the district.
- Lack of knowledge and skills
- High activity of Normadex main competitor in his territory
- Low No. of KOL advocacy in this territory
- Lipidex is listed in some tenders and MOH.
Rep of territory 2 / Fares
- Age 28
- 3 years’ experience
- Married with well-established personal life
- Excellent track of record in company and his ex- company
- Good leadership capabilities
- Demotivated because he did not pass last district manager’s assessment
- Willing to take more responsibilities
- Low activity of Normadex main competitor in this territory
- High No. of KOL advocacy in this territory
- Lipidex is listed in university hospital
Rep of Territory 3 / Peter
- Age 26
- 1-year experience
- Single, Honest, Do his best
- Good knowledge but lack of skills
- High activity of Normadex main competitor in his territory
- Moderate No. of KOL advocacy in this territory
- Lipidex is listed in some tenders and MOH.
Rep of Territory 4 / Mourad
- Age 27
- 2 years’ experience
- Motivated, enthusiastic
- Aggressive personality
- Single, can do better
- Low activity of Normadex main competitor in his territory
- High No. of KOL advocacy in this territory
- Lipidex is listed in some major tenders.
How to create an effective sales plan for the remaining quarters in 2020 and forecast for 2021 to improve your district performance and revenues?
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