This Week in PharmaSim World

This week I looked at the Advertising reports generated in PharmaSim and compared how my company matched up with competition. This report is very helpful in showing how companies are spending their advertising and how they try to lure the customer to buy the product. Performing a little bit of competitive analysis, I noticed that my company was much different in its approach to advertising. I noticed that many competitors spent a much higher percentage of advertising on “reminder” and “primary. I tended to focus my advertising on the benefits and comparisons and my percentage of reminder advertising was much lower. Upon looking at the competition, I instinctively thought to increase my reminder advertising as to align with industry norms. I thought that it was important for my advertising to be in line with the competition.  I was also able to analyze the total advertising budget by comparing to sales. This gave me a good idea of how much my competition is spending advertising.

Population of PharmaSim world is approximately 263.9 million

Fellow Blogger

Kristen's blog from the previous week was a good read in how it described the idea of companies "painting themselves in the corner". I agree with her analysis that many companies out there fail to keep up with the ever changing customer and fail to please there needs. When a customer's needs change, so must the company's products and services. Constant innovation becomes a centerpoint to a changing customer. Kristen's example of Blockbuster focused on that idea of failing to change with the customer and failing to innovate. As many of us know, the company failed to successfully innovate and when it finnally did, it was likely too late. I also like her camparison of the railroad industry example discussed in the article to Blockbuster. Similarly, they both failed to focus on the broader industry instead of the product.