forxiga integrated marketing communication analysis and recommendations to increase brand awareness and brand association

MMCoM9 NGUYEN THI THANH PHUONG TRAN BOI DUNG FORXIGA- INTEGRATED MARKETING & COMMUNICATION ANALYSIS AND RECOMMENDATIONS TO INCREASE BRAND AWARENESS AND BRAND ASSOCIATION MASTER FI

MMCoM9

NGUYEN THI THANH PHUONG

TRAN BOI DUNG

FORXIGA- INTEGRATED MARKETING &

COMMUNICATION ANALYSIS AND

RECOMMENDATIONS TO INCREASE

BRAND AWARENESS AND BRAND

ASSOCIATION

MASTER FINAL PROJECT

MASTER IN MARKETING AND COMMUNICATION MANAGEMENT

Ho Chi Minh City (2016)

We, Tran Boi Dung and Nguyen Thi Thanh Phuong commit that we have done this project by ourselves based on the information collected from the public and ASTRAZENECA VIETNAM’s sources

This paper is designed only for the academic purpose of the completion of our Master in Marketing and Communication It is not expected for any other uses

We would like to express our deep gratitude to Mr Nguyen Le Thai Hoa for his first guideline of the structure of this project

Dr Van Thi Hong Loan deserves a special note of thanks for her comments, advices and approval on this paper

We are indebted to Mr Nguyen Tien Chau and his staffs in AstraZeneca Vietnam for their continued encouragements and useful documents

Finally, we must express our deep appreciation to all of my colleagues, friends, and our familys, who always give us their support throughout

APPROVAL SIGNATURE

STATEMENT OF AUTHENTICATION i

ACKNOWLEDGMENT ii

LIST OF CHART vii

LIST OF TABLE viii

LIST OF FIGURE .ix

LIST OF ABBREVIATION x

GROSSARY .xi

1 CHAPTER 1: INTRODUCTION 3

1.1 Over view about Vietnam pharmaceutical market & Oral Antidiabetic Medication market……… 3

1.1.1 Vietnam pharmaceutical growth and size 3

1.1.2 Vietnam Oral Antidiabetic Medication market growth and share 3

1.1.3 Key player in Vietnam ODA market 4

1.1.4 Diabetes epidemiology 5

1.1.5 The unmet needs in diabetic management 5

1.2 Overview about Astra Zeneca and Forxiga 6

1.2.1 Overview about Astra Zeneca 6

1.2.2 Overview about Forxiga 9

1.2.2.1 Product 9

1.2.2.2 Price 12

1.2.2.3 Place 12

1.2.2.4 Promotion 13

1.3 Problem statement 15

1.4 Project Objective 16

1.5 Methodology 16

1.5.1 Secondary research……… 16

1.5.2 Primary research……… 17

CHAPTER 2: LITERATURE REVIEW 19

2.1 Brand and Brand Equity 19

2.1.1 Definition of Brand 19

2.1.2 Brand Equity 19

2.1.2.1 Definition of brand equity 19

2.1.2.2 Conceptualizations of Consumer based brand equity 20

2.2 Brand awareness 20

2.2.1 Definition of brand awareness 20

2.3 Brand association 22

2.3.1 Definition of brand association 22

2.3.2 Aaker’s categorization of brand association 22

2.3.3 Brand association’s role in creating equity 23

2.3.4 Measuring brand association 25

2.4 Integrated Marketing communication 25

2.4.1 Definition of integrated marketing communication 25

2.4.2 The marketing Communication mix 27

2.4.3 The marketing communication process 27

2.4.3.1 The communication process Kotler 28

2.4.3.2 Steps in developing effective marketing communication 29

2 3 CHAPTER 3: RESEARCH RESULTS AND CRITICAL ANALYSIS 30

3.1 Problem identification 30

3.1.1 FORXIGA sale performance analysis 30

3.1.2 FORXIGA sale analysis conclusion 34

3.2 Problem analysis 35

3.2.1 FORXIGA brand awareness analysis 35

3.2.2 FORXIGA brand association analysis 37

3.2.3 FORXIGA communication process analysis 38

3.2.4 FORXIGA marketing and communication analysis 40

3.3 Conclusion from market research result analysis and analyses FORXIGA Marketing Communication 42

3.4 Macro analysis 43

3.5 FORXIGA’s competitors analysis 44

3.6 The unique selling point of FORXIGA 45

3.6.1 Compare to other medication in SGLT2i classes 45

3.6.2 Compare to medication in different class 45

3.7 FORXIGA SWOT analysis 45

3.7.1 Strengths 46

3.7.2 Weaknesses 46

3.7.3 Opportunities 46

3.7.4 Threats 47

4 CHAPTER 4: CONCLUSIONS AND RECOMMENDATIONS 48

4.1 Conclusion 48

4.2 Recommendations for FORXIGA 49

4.3 Integrated Marketing communication plan for FORXIGA in 2016 50

4.3.1 FORXIGA Target audience 50

4.3.2 FORXIGA Marketing Communication Objective 51

4.3.4 FORXIGA Marketing communication mix 52

4.3.4.1 Personal selling 52

4.3.4.2 Seminar, Scientific meeting 52

4.3.4.3 Advertising 55

4.3.4.4 Worth of month Marketing 56

4.3.4.5 Public relationship 57

4.3.5 Budget allocate 58

4.3.6 Timeline 59

4.3.7 Measurement and feedback 59

REFERENCE 60

APPENDIX 1 61

APPENDIX 2 69

APPENDIX 3 70

APPENDIX 4 71

APPENDIX 5 74

Chart 1.1: Market value of Brand-name drug vs Generic drug in antidiabetic market 4

Chart 1.2: Leading corporations in Vietnam pharmaceutical market 7

Chart 1.3: Leading corporations in Vietnam pharmaceutical market – Ethical sector 7

Chart 1.4: FORXIGA sale performance 5 months after launching .15

Chart 3.1: The sale performance of FORXIGA 5 month after launching Compare with Januvia 30

Chart 3.2: FORXIGA channel sale overview 32

Chart 3.4: FORXIGA Private hospital sale over view 5 month after 33

Chart 3.5: FORXIGA Government hospital sale over view 5 months 34

Chart 3.6: The brand awareness of FORXIGA and other DPP4i brands 35

Chart 3.7: The familiar of Doctor to type 2 diabetes drugs 36

Chart 3.8: The important of treatment objectives in type 2 diabetes management 37

Chart 3.9: The perceptions of Doctor toward FORXIGA advantage and disadvantage 38

Chart 3.10: The key messages that FOXIGA MR use to delivery to doctors 39

Chart 4.1: FORXIGA marketing communication budget allocate 58

Chart 6.1: Market value and market share of Vietnam OAD market 2011-2015 74

Chart 6.2: Vietnam OAD market overview in value 75

Chart 6.3: Vietnam OAD market overview in unit 75

Table 1.1: Total Market sales (2014 – 2019) 3 Table 3.1: Summary of FORXIGA marketing activities since 2014 – 2015 40 Table 4.1: Key messages for FORXIGA based on target patients 52

LIST OF FIGURE

Figure 1.1: Product image 10

Figure 1.2: Forxiga key visual image and logo 13

Figure 2.1 Types of Brand Association (Aaker 1991) 23

Figure 2.2: Brand Associations as value creators for a company (Aaker 1991) 24

Figure 2.3: 4C’s versus 4P’s of marketing (source: Integrated Marketing Communication by Schultz, Tannenbaum, and Lauterborn) 26

Figure 2.4: The communication process (source: Kotler 2003, P.565) 29

Figure 4.1: FORXIGA marketing communication timeline 59

Figure 6.1: Anti hyperglycemic therapy in type 2 diabetes: General recommendation 70

LIST OF ABBREVIATIONS

SGLT2i: Sodium glucose co-transporter inhibitor

GLOSSARY

Type II diabetes: Diabetes is a problem with your body that causes blood glucose (sugar) levels to rise higher than normal This is also called hyperglycemia Type 2 diabetes is the most common form of diabetes

If you have type 2 diabetes your body does not use insulin properly This is called insulin

resistance At first, your pancreas makes extra insulin to make up for it But, over time it isn't able to keep up and can't make enough insulin to keep your blood glucose at normal levels

Hyperglycemia: Hyperglycemia is the technical term for high blood glucose (blood sugar)

High blood glucose happens when the body has too little insulin or when the body cannot

use insulin properly

Hypoglycemia: Low blood sugar (glucose) Hypoglycemia may be associated with symptoms such as anxiety, sweating, tremor, palpitations, nausea, and pallor Hypoglycemia also starves the brain of glucose energy, which is essential for proper brain function Lack of glucose energy to the brain can cause symptoms ranging from headache, mild confusion, abnormal behavior, loss of consciousness, seizure, and coma Severe hypoglycemia can cause death

Insulin therapy: Medications, which contain insulin The two main categories of insulin

are human insulin and modern insulin Human insulin is made by recombinant biotechnology and is molecularly identical to endogenous human insulin Regular human insulin is a rapid acting insulin, whereas intermediate acting or premixed human insulins

have an extended pharmacokinetic profile due to formulation enhancements

Non insulin therapy: Medications, which do not contain insulin Non-insulin

antidiabetic drugs are mostly oral therapies and are typically prescribed as first line therapy when diet and exercise alone are insufficient to control elevated blood glucose Noninsulin therapeutics can be sub segmented into standard of care (SOC) therapies and add onto SOC

Brand name product: A drug that has a trade name and is protected by a patent (can be

produced and sold only by the company holding the patent)

protection for a brand-name drug expires) that have exactly the same dosage, intended use, effects, side effects, route of administration, risks, safety, and strength as the original drug In other words, their pharmacological effects are the same as those of their brand-name counterparts

Oral antidiabetic medication: is the group of antidiabetic medications, which are

administered orally

Rx: A medical prescription The symbol "Rx" is usually said to stand for the Latin word

"recipe" meaning "to take."

ABSTRACTS

Diabetes is one of the largest global health emergencies of the 21st century Each year more and more people live with this condition, which can result in life-changing complications In 2015, addition to the 415 million adults who are estimated to currently have diabetes, there are 318 million adults with impaired glucose tolerance, which puts them at high risk of developing the disease in the future According to IDF report in

2015, the number of patient will have to suffer from diabetes will be 642 million in 2040 which mean 1 in 10 adults will have diabetes

Diabetes problem is out of control Half of diabetes patients cannot achieve the treatment target Current medication have many side effects such as: hypoglycemia, weight gain, increasing cardiovascular risk…There is always a need for a new antidiabetic medication

to support doctors in the fight against diabetes

FORXIGA is the first oral antidiabetic of SGLT2i (Sodium Glucose co-transporter inhibiter) group which is launched in Vietnam in August 2015 SGLT2i has novel insulin-independence mechanism of action FORXIGA was considered one in ten medical revolutions in 2012 FORXIGA profile is outstanding to other competitors in the current market Therefore, AstraZeneca expects that after launching, FORXIGA will be the blockbuster in Vietnam Oral Antidiabetic Medication market

After launching FORXIGA for five months and running marketing activities for 1 year: actual sale is under expectation

The purpose of this project is to identify and analyze reasons lead to low performance

of FORXIGA as well as recommend a new marketing communication plan for FORXIGA in order to increase brand awareness and brand association

Some desk researches have been done We do a lot of secondary analysis on the macro environment, competitors and internal sale of FORXIGA Moreover we conduct a

small research on the internal FORXIGA Medical representatives (Med Rep) to reconfirm what we find from the secondary analysis Through some findings, the full evaluation of current marketing and communication activities has been made to show which ones are effective and which ones are not

As the result, we find out that low brand awareness and weak brand association are the reasons lead to the poor performance of FORXIGA The reasons lead to low brand awareness and weak brand association lay on the communication message and communication mix of FORXIGA

The project gives recommendations in order to help FORXIGA take advantage of the first player in market Building up a brand awareness and brand association for FORXIGA: an effective anti-diabetic medication in term of: control glycaemia, reduce cardiovascular risk factors and safety which a novel mechanism

1 CHAPTER 1: INTRODUCTION

1.1 Overview about Vietnam pharmaceutical market & Oral Antidiabetic

Medication market

1.1.1 Vietnam pharmaceutical market growth and size:

In Southeast Asia, Vietnam is one of the fastest growing pharmaceutical Market The Vietnamese pharmaceutical market is forecast to grow at a compound annual growth rate (CAGR) of 6.9% (±1.5%) between 2014 and 2019, reaching 3725 million USD by 2019

1.1.2 Vietnam Oral Antidiabetic Medication market growth and share

Vietnam Oral Antidiabetic Medication market is the dynamic market

Antidiabetic-market is one of the fastest growing market in Vietnam pharmaceutical market Base on the IMS report in quarter 4-2015, the total market value in 2015 is 88.13 million USD with the good growth rate 15% in compare to the growth of total Vietnam pharmaceutical market 6.8%

Even though in Vietnam Pharmaceutical market, generic drugs overwhelm branded drugs, in antidiabetic sector, brand drugs have bigger share comparing with generic drugs (See chart 1.1)

Table 1.1:

Chart 1.1: Market value of Brand-name drug vs Generic drug in antidiabetic

market

Source: IMS report December 2015

 In brief, pharmaceutical market in Vietnam is the dynamic market

Especially the OAD (oral antidiabetic medication) market is more dynamic with two-digit growth rate 15% comparing with total pharmaceutical market (growth rate 6.8%) Even though generic drugs dominate the Vietnam pharmaceutical market, in OAD market, brand name medications are still be preferred than generic medications

There are 372 antidiabetic medications in Vietnam market with both name medications and generic medications In general, they belong to two groups: Insulin therapy and Non-insulin therapy

brand-In this project, we just focus on the Non-insulin therapy and mostly it is the Oral Antidiabetic Medication market

Even though doctors have many medications to help patients to fight against Diabetes but they are not enough There are still around 50% of diabetes patients cannot reach the treatment target

1.1.4 Diabetes epidemiology

Diabetes is the “plague” in Vietnam with rapid development

Diabetes in Vietnam have tended to increase over time and according level of economic development and urbanization

The results announced by the "National Diabetes Prevention Project" of the National Endocrinology Hospital performed in 2012 on 11,000 people aged 30-

69 showed that the incidence of diabetes was 5.7% (the highest incidence is in the South West 7.2%, the lowest was 3.8% Central Highlands) The rate of glucose intolerance increased strongly from 7.7% in 2002 to nearly 12.8% in

2012

In conclusion, the incidence of diabetes in Vietnam has double within only 10 years This figure is alarmed because in the world, it took 15 years to double the number of diabetes patients Meanwhile, 75.5% Vietnamese, who are asked, have very low knowledge about diabetes and that make the Vietnam’s diabetes picture get worse

 In brief, there are many antidiabetic medications for doctors to

prescribe but the picture about diabetes in Vietnam is miserable The

incidence of diabetes has double only in 10 years In 2011, 5.7% of Vietnam population suffer from diabetes and this number has increased day by day The worse is only 50% of diabetes patients can meet the treatment target

1.1.5 The unmet needs in diabetic management

There are three unmet needs in diabetic management:

1 Half of diabetes patients cannot control blood glucose with current treatments

2 Overweight is a risk factor which leads to diabetes but most of antidiabetic medications’ side effect is gaining weight (especially insulin, SU…)

3 Most of current antidiabetic medications have insulin dependence mechanism such as: stimulate the beta cell in pancreas to secrete more insulin or increase insulin sensitive in muscle… while beta cell function in diabetes patients will get worse by time

 In brief, with these unmet needs, there is a need for a new medication

with insulin independence mechanism of action to help patients control blood glucose and other risks factors

1.2.1 Overview about AstraZeneca

AstraZeneca is the British Swedish multinational pharmaceutical and biology company The headquarter is in London, UK

In the world, AstraZeneca is the eighth largest pharmaceutical company In Vietnam, AstraZeneca come at the third place but in ethical sector AstraZeneca

in the leader in Vietnam Market (See chart 1.2 and chart 1.3)

Chart 1.2: Leading corporations in Vietnam pharmaceutical market

Source: IMS health report

Chart 1.3: Leading corporations in Vietnam pharmaceutical market – Ethical sector

Source: IMS health report Q2-2015

AstraZeneca Representative Office in Vietnam was established since 1995.The main mission of the Representative office is commercial operation in both sales and marketing activities Now, AstraZeneca Representative Office in Vietnam has covered in 34 cities and provinces with total 420 employees There are 18 brands in ethical sector The turnover of AstraZeneca Vietnam in 2015 was 76.8 millions USD In Ethical Market (prescription medication market), AstraZeneca

is the forth largest company with the good growth rate (22%) above the market

average (19%) (Source: PGI Scorecard Dec’2015)

AstraZeneca has a portfolio of product for major disease areas including: cancer, cardiovascular and metabolism, gastrointestinal, infection, neuroscience and respiratory

Product portfolio:

- Cardiovascular and metabolism disease: Crestor, Zestril, Plendil, Betaloc ZOK, Brilinta

- Diabetes and metabolism: Onglyza, Komboglyze XR, FORXIGA

- Respiratory: Pulmicort, Symbicort

- Gastrointestinal: Nexium

- Infection: Meronem

- Neuroscience: Seroquel XR, Anaropine, Marcaine

- Oncology: Irressa, Faxodex, Zoladex

Diabetes and metabolism medication in the new portfolio in AstraZeneca in compare with others brand Onglyza, Komboglyze XR and especially FORXIGA are put in the growth platform of company which will be received high investment than other mature brands

 In brief, FORXIGA is the product of AstraZeneca, which is one out of ten

biggest pharmaceutical company in the world as well as in Vietnam The product portfolio of AstraZeneca covers many treatment areas Diabetes in

general and FORXIGA in specific are in the growth platform, which means the budget for marketing is much higher than other mature brands

1.2.2 Overview about FORXIGA

We evaluate the product FORXIGA with 4Ps (Product, Price, Promotion and Place) to have a general view about FORXIGA in Vietnam

1.2.2.1 PRODUCT

FORXIGA is the brand name of DAPAGLIFLOZIN DAPAGLIFLOZIN is the first in a new class of oral selective sodium-glucose co-transporter 2 (SGLT2) inhibitors designed for treating type 2 diabetes

a Mode of action:

DAPAGLIFLOZIN improves hyperglycemia by inhibiting renal glucose reabsorption through SGLT2 SGLT2 is a sodium-solute cotransport protein located in the kidney proximal tubule that reabsorbs the majority of glomerular-filtered glucose As the result, glucose cannot be absorbed back to circulation system and will excrete through urine Therefore, DAPAGLIFLOZIN helps lower the glucose level in blood In short, DAPAGLIFLOZIN represents a paradigm shift in diabetes treatment because it reduces blood sugar in new way – by causing

it to be excreted during urination The mechanism of DAPAGLIFLOZIN is insulin independence

FORXIGA is approved to use in Europe and Australia in 2012 Until January,

2014 FDA finally approved for FORXIGA to be used in the American market Now FORXIGA is available in 66 countries around the world

Pattern expired day of DAPAGLIFLOZIN is 4 October 2020

Figure 1.1: Product image

o Add-on combination therapy

In combination with other glucose lowering medicinal products including insulin, when these, together with diet and exercise, do not provide adequate glycemic control

- Control HbA1c effectively.(HbA1c is an index using to monitor blood glucose Normal people have HbA1c <7%, in diabetes patient HbA1c>7% Therefore, diabetes patient need to use medication to reduce HbA1c lower than 7%) When comparing to other OAD medications the effect of FORXIGA in HbA1c reduction is just lower than SU (Sulfonyl Urea) and Metformin but higher than DPP4i But the glycaemia effect of FORXIGA is more sustainable than other medications (4 years clinical trial) (See table 1.1)

Table1.1: HbA1c reduction comparison among Oral Antidiabetic medications

FORXIGA (DAPAGLIFLOZIN) 0.7-1

Alpha Glucosidase Inhibitor 0.5-1

- Low risk of hypoglycemia: 10 time lower than SU

- Additional benefits: Weight loss (average 3-4 kg) and lower systolic blood pressure (average 4-5 mmHg) FORXIGA is the first OAD medication have these benefits

 In brief, FORXIGA is a good antidiabetic medication with insulin

independence mechanism of action Beside the good effect on reducing

HbA1c, Forxiga also has low risk of hypoglycemia (which is the dangerous side effect of many OADs) Moreover, FORXIGA has the additional benefits that are losing weight and reducing blood pressure

1.2.2.2 PRICE:

Forxiga has two doses Forxiga 5mg and Forxiga 10 mg, which have the same price: 22.800 VND/tablet, 6384.000 VND/box

AstraZenca Vietnam sets up the premium price for FORXIGA in the OAD market, which is 20 % higher than the average price of DPP4i (19,000 VND) and much higher than SU and Metformin

1.2.2.3 PLACE:

Firstly, FORXIGA focuses on two biggest cities of Vietnam, which are Hanoi and

Ho Chi Minh City because 90% big hospitals place in these cities

Due to the listing process to give a new medication into hospital is complex and depends on each hospital, each city Five months after launching, FORXIGA is available in 18/25 biggest hospitals and 85 pharmacies in Hanoi and HCMC focus

on the big pharmacies and pharmacies around the hospitals

Because FORXIGA has just launched therefore it is suitable for non-insurance patients and self-paid patients

 FORXIGA targets to type 2 diabetes patients with have sufficient renal function and self-paid patients who already fail in blood glucose control with Metformin

c Key message and key visual in communication:

 FORXIGA: the novel insulin independent mechanism in type II diabetes management

 FORXIGA: triple benefits for type II diabetes patients: control glucose blood, weight loss and blood pressure

d Key visual images:

Figure 1.2: Forxiga key visual image and logo

The 3 blocks color logo and key visual image express the mechanism and effective of FORXIGA

e Key Marketing activities:

Before running Marketing activities in Jan-2105 FORXIGA team had already run a clinical trial study names DAPA18 in order to evaluate the effect and safety profile of FORXIGA in Vietnamese patients since February 2012 Since 2014, FORXIGA medical team already collaborated with HCMC medical university and 8 biggest Hospitals (Bach Mai, National Endocrinology institute, Hanoi Heart, Cho Ray, HCMC Medical University Center, HCMC Heart Institute, Tam Duc Heart Hospital, 115 hospital) to run the CME (Continuous Medical Education) program to raise the awareness about SGLT2 class in general and FORXIGA in specific The CME program has 03 phases:

- Phase 1: Raising the unmet needs in diabetes management in Vietnam

- Phase 2: Introducing the role of kidney in diabetes

- Phase 3 (run by Marketing team): introducing a new group in diabetes treatment: SGLT2i

After a big launching symposium in August with the attendance of 500 Doctors

in Hanoi and HCMC, FORXIGA keeps running many marketing activities to increase doctor awareness as well as to accelerate the listing process to bring FORXIGA to hospital

 In general, Diabetes is under controlled in Vietnam It is necessary to have

a new medication to improve blood glucose control for diabetes patients Vietnam OAD is a dynamic market with the large change for brand name medication market because doctors still need a quality medication to treat diabetes: a dangerous disease Moreover, FORXIGA is the new medication, which has many advantages in comparison to other current competitors in Vietnam OAD market FORXIGA effectiveness can meet with the unmet needs of doctors in current practice Last but not least, FORXIGA is the first medication in SGLT2i class launched in Vietnam It took more than three years to prepare for the launching of FORXIGA in Vietnam After launching FORXIGA, team keeps running many activities

to increase the awareness of doctors about FORXIGA and increase their product adoption level to trials or users So far, FORXIGA has many advantages when entering Vietnam OAD market, that why AstraZeneca Vietnam expects FORXIGA can be a blockbuster in OAD market

FORXIGA’s marketing activities had run since January 2015 and in August 2015, FORXIGA was officially launched in Vietnam market with 2 big symposiums

with the attendance of more than 400 doctors in Hanoi and Ho Chi Minh City After launching FORXIGA team keeps running many activities but the sale performance is under expectation Five months after launching the sale performance archived 71.6% target

Chart 1.4: FORXIGA sale performance 5 month after launching

Source: AstraZeneca Internal Sale information

Moreover, the market research conveyed in February 2016 in order to evaluate FORXIGA Brand equity reveals that the FORXIGA’s brand awareness and association are lower than expectation

1.4 Project Objective:

The aim of this study is to evaluate the marketing communication of FORXIGA

to find out the main reason that leads to poor performance after 5 months launching while the product profile is good and many marketing activities are running

A C T U A L S A L E T A R G E T

FORXIGA YTD DEC'2015

Actual sale Target

Target achievement: 71.6%

WYE: 89000 USD

In this project we will find the answer for two following questions and give recommendations to improve the problems of FORXIGA:

1 Do the low brand awareness and brand association lead to poor FORXIGA’s

In order to find out the reasons behind FORXIGA problems and recommend a new marketing communication plan we base mostly on secondary researches and some informations from primary research

1.5.1 Secondary research:

We analyze the sale performance of FORXIGA compare to other competitors

We analyze the data from a quantitative market research of AstraZeneca The name of this research is MIMOSA AstraZeneca hired TNS to collect data for the research MIMOSA research was conducted on 180 doctors in Hanoi and HCMC (Ho Chi Minh City) from 15th December 2015 to 19th January 2016 Originally, MINOSA research objects to all diabetic portfolio of AstraZeneca, which contains of three brands: ONGLYZA, KOMBOGLYZE XR and FORXIGA Therefore, in the scope of this project, we just analyze on the data that relates to FORXIGA, SGLT2i and current practice of doctors in diabetes management, evaluations of doctors about FORXIGA Med Reps as well as expectations of doctors for a new medication

Research objective:

- Evaluate doctors’ awareness as well as perceptions toward new class SGLT2i (FORXIGA) for better understanding the Type II Diabetes treatments market

- Evaluate the perceptions of target doctors toward FORXIGA communicators (Medical Representatives) and the expectation of Doctor for a new launched Medicine

Research method

Mimosa is face-to-face quantitative market research conducted in 180 doctor in Hanoi and HCMC All doctors belong to the Master list of FORXIGA team which means they are visited weekly by FORXIGA’s Medical Representative

- The survey conducted from 15th December 2015 to 19th January 2016

- The length of each interview was 30 minutes maximum

- Detail questionnaire (Please look at Appendix 1)

- The survey was conducted in February 2016

- Hanoi interview was made from 15th February to 17th February, 2016 HCMC interview was made from 18th February to 19th February, 2016 The length of each interview was 30 minutes maximum

- Detail questionnaire (Please look at Appendix 2)

2 CHAPTER 2: LITERATURE REVIEW

This chapter reviews the effect among brand awareness and brand association on consumer’s choice and how to measure it Moreover, we learn more about the integration

of marketing communication and its process to solve the problem about the communication of our brand

2.1.1 Definition of brand

The primary element of any business nowadays is their brands The intangible value of brand lies above the business itself, it is in the mind of the consumers Many different definitions of brand have been proposed:

1 Traditional definition of the brand was “the name associated with one or more items in the product line, that is used to identify the source of character of the item(s)” (Kotler, 2000)

2 The American Marketing Association (AMA) defines a brand as “A name, term, design, symbol, or any other features that identifies the goods or services

of one seller or a group of sellers and to differentiate them from those of competitors

2.1.2 Brand equity

2.1.2.1 Definition of brand equity

In recent decades, Brand equity has become one of the most important marketing concept in both academic and practicing and be the attention to managers and marketing researchers for its important intangible value

In literature, we can see many different definitions for brand equity:

- A set of brand assets and liabilities linked to a brand, its name and symbol, that add to or subtract from the value provided by a product or service to a firm and/or

to that firm’s customers Aaker (1991, P.15)

- The added value that a brand endows a product with (Farquhar 1990, RC7; Farquhar – Herr – Fazio 1990, 856)

2.1.2.2 Principal Conceptualizations of Consumer-based Brand Equity

Brand equity is a multidimensional concept and the two most widely acceptable conceptualizations are Aaker’s and Keller’s Keller (2002) separated the brand equity into two components: awareness and association Aaker (1991) defines brand equity as “a set of brand assets and liabilities linked to a brand, its name and symbol, that add to or subtract from the value provided by a product or service

to a firm and/or to that firm’s consumers” (p.15) and groups it into five dimensions: Brand awareness, Brand Loyalty, Perceived Quality, Brand associations and other proprietary brand assets such as patents, trademarks, and channel relationships

Among these five brand equity dimensions, the first four can be readily understood by consumers (Barwise, 1993; Yoo and Donthu, 2001) and be widely achieved to measure customer-based brand equity

In this study, we focus on the Brand awareness and Brand Association

2.2.1 Definition of brand awareness

Aaker (1991) defines brand awareness as “the ability of a potential buyer to recognize or recall that a brand is a member of a certain product category”

Brand awareness reflects the consumer’s ability to identify the brand in different conditions Therefore, the first step in building brand equity is building brand awareness

2.2.2 Measuring Brand awareness

Brand awareness consists of brand recall and brand recognition

Brand recall means when consumers see a product category, they can recall a

brand name exactly It relates to consumers’ ability to retrieve the brand from their memory

Survey often uses various questions to measure not only the depth of recall (the percentage of people who know the brand) but also the width of recall (the cues

that lead to the brand recall For example: “Please name all the brands of

beverages/soft drinks/ carbonated soft drinks you can think of? Please name all the brands of beverages you can think of that you would bring to a party?”

A good start is to think about who, when, where and how the brand will be bought

or used)

Brand recognition means consumer has ability to identify a brand when there is

a brand cue That is, consumers can tell a brand correctly if they ever saw or heard

it

In a recognition task, consumers see a stimulus (an ad, a brand name) and must say whether they have seen it before It is important to make a task as realistic as possible by allowing only a realistic amount of time and by using realistic stimuli and context

The following questions could be asked:

- Do you remember having seen this brand?

- How often have you seen this brand in the past month?

- What makes this brand more recognizable than competing brands?

Brand awareness plays an important role on purchase intention because consumers tend to buy a familiar and well known product (Keller, 1993; Macdonald & Sharp, 2000) Brand awareness can help consumers to recognize a brand from a product category and make purchase decision (Percy & Rossiter, 1992) Brand awareness has a great influence on selections and can be a prior consideration base in a product category (Hoyer & Brown, 1990) Brand awareness also acts a critical factor in the consumer purchase intention, and certain brands will accumulate in consumers’ mind to influence consumer purchase decision A product with a high level of brand awareness will receive higher consumer preferences because it has higher market share and quality evaluation (Dodds at al., 1991; Grewal at al., 1998)

2.3.1 Definition of Brand associations

Brand associations are fundamental to brand equity According to Aaker, 1991, p.109, brand associations consist of “anything linked in memory to the brand” including thoughts, feelings, perceptions, images, experiences, beliefs, attitudes

2.3.2 Aaker’s Categorization of brand associations

Aaker suggests eleven types of brand association However, “not all types of associations may be of qual interest to the brand manager only those affecting buying behavior” (1991, p.113) Product attributes and consumer benefits are the most important classes of brand association whereas others may also be important depending on the specific situation

Figure 2.1: Types of Brand Association (Aaker 1991)

2.3.3 Brand association’s role in creating brand equity

Aaker suggests that brand associations are vital in creating value for the company since the host of different brand associations provide value to in different ways

He identifies five propositions that all feed into creating value for the company and thereby help generate strong brand equity Those are; helping to process/ retrieve information, differentiating the brand, generating a reason to buy,

creating positive attitudes/ feelings and providing a basis for brand extensions (1991, p 110)

Figure 2.2 : Brand Associations as value creators for a company (Aaker 1991)

 Help process and retrieve information

A brand association can serve as an information chunk that can help the decision maker to cope with the otherwise large amount of information that the consumer may have difficulties accessing and processing Associations can also help in the interpretation of facts

 Differentiate

Associations of a brand may play a critical role in differentiating brands from one another A specific brand association linked to a certain brand can become the key competitive advange

 Reason to buy

Plenty of brand associations include product attributes or consumer benefits that provide the decision maker with a reason to buy or consume the brand It is so important in influencing the purchase decision

 Create positive attitudes

Some brand associations are interlinked and can stimulate positive attitudes that are transferred to the brand Celebrity endorsers, symbols, and slogans can in the

right context elicit positive feelings towards the brand

 Basis for extension

An association can also serve as the basis for an extension by creating a sense of fit between the brand and the brand extention or by providing reason to buy the

extension

2.3.4 Measuring brand association

To optimize branding efforts that will create value, marketers are highly interested

in understanding the brand associations that are insides in consumers’ memory It

is believed to reveal how, when, where and why consumers think of and use brands Traditional marketing research with both quantitative and qualitative methods are deployed to obtain insights on consumer mindset

2.4.1 Integrated Marketing communication definition

Kotler and Keller (2009, Date of retrieval 19.3.2013) define marketing communications as follows: Marketing communications are the means by which firms attempt to inform, persuade, and remind consumers-directly or indirectly- about the products and brands they sell

Nowadays, marketing requires more than the 4P’s of the marketing mix (product, price, place, promotion) Instead of 4P’s, they propose 4C’s (Consumers, Cost, Convenience, Communication) Marketing also demands an answer not only to the question whether to communicate but also to the questions what, to whom and how (Kotler & Keller 2009, 509)

Figure 2.3: 4C’s versus 4P’s of marketing (source: Integrated Marketing Communication by Schultz, Tannenbaum, and Lauterborn)

Consumer (Instead of Product): What are the consumer's wants and needs? The

product characteristic have to match the specifics of what someone wants to buy And part of what the consumer is buying is the personal "buying experience.”

Cost (Instead of Price): Understand the consumer's cost to safety the want or need

The product price may be only one part of the consumer's cost structure Often it

is the cost of time to drive somewhere, the cost of conscience of what you buy

Convenience (Instead of Place): As above, turn the standard logic around Think

convenience of the buying experience and then relate that to a delivery mechanism Consider all possible definitions of "convenience" as it relates to satisfying the consumer's wants and needs

Communication (Instead of Promotion): Communicate many mediums working

together to present a unified message with a feedback mechanism to make the communication two-way / interactive Think of using non traditional mediums, such as word of mouth

Integrated marketing communication is defined as a management concept that

is designed to all aspects of marketing communication such as advertising, sales promotion, public relations and direct marketing work together as a unified force, rather than permitting each to work in isolation (Laura Lake)

2.4.2 The marketing communication mix

Marketing communication normally cover personal selling, media advertising, direct response marketing, sales promotion and public relation (Doyle, 1998) The range of activities/tools available to an organization to communicate with it target audience is called the marketing communication mix (Picton et al, 2000) According to Kotler (2003) the marketing communication mix consists of seven major models of communication:

1 Advertising: any paid form of non personal presentation and promotion of ideas, goods or services by an identified sponsor

2 Sales promotion: a variety of short term incentives to encourage trial or purchase of a product or service

3 Event and experiences: sports, entertainment, festivals, arts…

4 Public relations and publicity: A variety of programs designed to promote

or protect a company’s image or its individual products

5 Personal selling: Face-to-face interaction with one or more prospective purchasers for the purpose of making presentations, answering questions, and procuring orders

6 Direct and interactive marketing: use of mail, telephone, fax, emails or internet to communicate directly with or solicit response or dialogue from specific customers and prospects

7 Word –of-mouth Marketing: Person to person, chart rooms, blogs

2.4.3 The marketing communication process