Phrmaceuticals companies are adopting multichannel marketing approaches, carefully identifying and measuring both leading and lagging indicators, to reach physicians and other health care providers and guide the process from awareness through purchase.

1. • Cognizant 20-20 Insights
Key Indicators: An Early Warning System
for Multichannel Campaign Management
For pharmaceuticals companies, a careful analysis of both leading and
lagging indicators for multichannel physician-contact efforts can result
in shortened cycle times, reduced costs and greater profitability.
Executive Summary optimal multichannel management framework.
This framework provides an “early warning
Even though pharmaceuticals sales force pro-
system,” delivering timely leading indicators
fessionals have less direct access to physicians,
to quickly adjust tactics, while its insights into
a wider range of channels for reaching these
lagging indicators measure cost-effectiveness
key targets is emerging. These include human,
and return. Leading pharma companies today are
multimedia and digital channels that enable
using this framework to achieve potent results
pharma companies to meet growing needs for
with multichannel marketing.
physician data, one important way of supporting
the industry’s emerging customer-centric
Successful Multichannel Management:
engagement model. Using an appropriate mix of
A New Game
channels for campaigns can reduce cycle time,
cut costs and enhance revenue flows from both Multichannel campaigns combine tradition-
new launches and mature brands. al channels with some of today’s emerging
channels. Almost all campaigns leverage a very
Engaging multiple marketing channels will strong digital component. The mix of channels
achieve such results only if the multichannel can include:
strategy is carefully planned, well executed and,
as necessary, adjusted midstream to fine-tune • Physical/human contact channels. These
tactics based on physician responses. Further, include sales force field representatives —
traditional commercial operations management increasingly equipped with tablet PC presenta-
and measuring tools are usually not well suited to tions, phone detailing, speaker programs and
managing these campaigns that span human and service representatives distributing samples.
digital channels. • Multimedia channels. These channels are
becoming more digitized and include WebEx/
Deploying new tactics with a minimal ability
Web presentations, sometimes with a live host,
to measure their effectiveness is a frightening
video/DVD-based detailing and e-sampling,
prospect to most pharmaceuticals management
using a company-owned Web site or portal or a
personnel. However, it is an all-too-common
third-party portal service for physician sample
occurrence in today’s business world. Fortunately,
orders.
cloud and mobile technologies combined offer an
cognizant 20-20 insights | september 2012

2. • Traditional digital channels. These include tactics or messaging might need to be adjusted
e-mail, digital media, social network sites, and whether spend should be reallocated
online physician communities, etc. midstream based on a tactic’s performance.
Successfully managing a campaign that mixes Lack of key performance indicators (KPIs) is not
physical and digital channels requires a deep an issue. The challenge is the industry’s strong
understanding of these points: focus on lagging indicators, evident in reviews
of channel and promotion reports. Lagging
• Cross-channel planning must increase. More indicators tell what happened in the past, with
planning about how data will be collected
limited correlation to what will happen in the
from new sources and then merged with tra-
future. Indicators such as impressions, calls,
ditional data sources is required
targets reached, samples and materials delivered
Companies often with multichannel campaigns.
Country and regional plans and provide insights about the efficiency of a channel.
allocate money measures are not adequate These measures, however, have only a vague
or even unknown correlation to how effective
to a brand; in for managing multichannel a channel is in moving targets toward desired
multichannel physician campaigns. Because
tactical execution occurs at the behaviors.
campaigns, it’s individual target level, planning
In contrast, leading indicators offer insights about
critical that spend and measurements must also a channel’s potential effectiveness. These KPIs
allocation is aligned be conducted at that level. That
raises the critical question of
are more behavioral and usually more complex to
on an individual how a tactic’s success against compute. They require multiple data sources and
more planning and coordination time to identify
physician basis. specific individuals will be and collect the desired data. Consumer goods
measured. and retail have used leading indicators to adjust
• Spend allocations must be realigned. marketing tactics to drive higher sales, a tactic
Companies often allocate money to a brand; in the pharma industry should adopt. Some of the
multichannel campaigns, it’s critical that spend most valuable leading indicators include:
allocation is aligned on an individual physician
basis. For example, what delivery tools does a • Engagement level of visitors by traffic source.
physician prefer, and how do these align with • Viral reach of marketing campaigns.
tactics the same physician responds to? The
answers to these questions have a direct impact • Cost per engaged visitor.
not only on where spend should be directed but • Percent of visitors accessing specific content.
on the metrics used to evaluate tactics.
The Multichannel Management Early
• Campaigns can yield richer data. Channels
Warning System in Action
directed to individuals can yield more data,
so the management team must be prepared Leading pharmaceuticals companies are making
to collect and interpret this data to quickly more sophisticated use of leading and lagging
adjust the campaign tactic mix. Types of data indicators in their multichannel campaigns. The
available include physician preferences about following cases demonstrate how careful identi-
contact channels and individual preferences, fication and monitoring of indicators continually
garnered by digital profiling of therapy and shape a multichannel campaign.
treatment areas.
Case One: From Awareness to
Purchase to Loyalty
The Early Warning System Channel
Indicators • Situation: A client with a diversified portfo-
lio encompassing medical devices, consumer
Increased planning, realigned spend allocations
products and pharmaceuticals products want-
and data collection abilities must be combined
ed to understand how key segments progressed
with the right metrics for each channel, and across
from awareness to actual purchase. With this
channels, to ensure a multichannel campaign
knowledge, the company could monitor and ad-
is unfolding efficiently and effectively. Tracking
just its promotional efforts more precisely.
metrics most appropriate for a particular channel
and its target segment enables the pharmaceu- Challenges included creating a monitoring and
ticals company to understand how channels are measurement framework flexible enough to
influencing and interacting with each other, what use with multiple business units and providing
cognizant 20-20 insights 2

3. relevant data for known targets as well as This reporting framework allowed the client to
diverse groups of anonymous consumers. recognize and adjust weak links in its campaigns.
Further issues included the extreme differenc- In one situation, the reporting showed that while
es in end-user purchase cycles and the relative awareness and interception were high, com-
lack of branding for some key products. munication and promotional efforts were insuf-
ficient to move the users
• Solution:The client collaborated with us on
to the engagement and A simplified Web
a framework that tracked individuals and
purchase cycle. Investiga-
groups as they moved along a pathway from
tion showed that while many
design, with key
awareness to interception and engagement on
targets clicked through to engagement activities
to purchase and eventually loyalty. We defined
the Web site for more infor- on the home page,
key leading and lagging metrics for each
mation, content organiza-
channel that gauged targets’ movement from
tion on the site itself was a
led to increased
one step to the next.
barrier to engaging targets. engagement and
These included: A simplified Web design, with intent to purchase
>> Awareness: KPIs included the number of key engagement activities
activities such
touch points in the marketplace and how on the home page, led to
target audiences reacted to those, indicat- increased engagement and as requests for
ing a move toward interception. Traditional intent to purchase activities information, use of
such as requests for informa-
metrics such as impressions and click-
tion, use of surgeon locator
surgeon locator tools
through rates were supplemented with
leading indicators of what users did once tools and CRM enrollment. and CRM enrollment.
they clicked through to content. This was
Case Two: Worldwide Multiple KPI Identification
considered interception.
and Tracking Solution
>> Interception: After a user interaction,
• Situation: A European client running a
which represented interception, the frame-
worldwide multichannel campaign required
work measured the types of online behav-
a means of identifying and then tracking and
ior exhibited by the user. This allowed us
reporting KPIs in each channel in a more
to show how many intercepted customers
efficient manner to provide insight to the
were moving toward true engagement, and
management team. The channels included
how many were merely “window shopping.”
service reps, tele-sales reps, a contractual sales
>> Engagement: Metrics were ordered to rep- force, congresses and digital channels.
resent likelihood to purchase. These met-
rics ranged from participation in games
• Solution: In partnership with us, the company
individually reviewed each channel and
and online events up to requests for in-
identified and grouped performance indicators
formation and downloads, which indicated
by type of promotion.
potential customers. By tracking the move-
ment through the types of engagement, For channels with any type of personal, rep-
the client was able to refine its marketing resentative interaction, the KPIs were the
information and Web site design to move number of customers reached, number of
targets to the purchase stage as quickly as targets reached, number of calls by target
possible. segment, number of days in the field, calls per
day, share of customers reached and number
>> Purchase/intent to purchase: Measure in- of sample drops. KPIs for Web-based channels
volvement of users in activities associated
include number of clicks per day, number
with imminent purchase.
of site registrations, time spent on site and
>> Loyalty: Track the perceptions and social requests for information. Those for symposia
participation/viral spread generated by and congresses included number of acceptanc-
current users to guide the development of es, attendees and requests for visits, samples
advocates. Spillover impact was calculated or information.
by accounting for the viral reach of users
Leading KPIs received special attention. Three
and social participants to gauge the wider
or four key messages were identified for the
reach of the brand, which would funnel po-
tele-sales reps to attempt to deliver; those
tential new customers into the initial aware-
actually delivered were tracked as a measure
ness stage.
of engagement in key conversations.
cognizant 20-20 insights 3

4. By focusing on these issues, the company was physician data and an analysis of return on
able to better identify a successful combination investment for use in crafting future campaigns.
of channels to improve its customer targeting.
As pharmaceuticals companies rethink their
Indicators as a Best Practice customer engagement models and reinvent
The right leading and lagging indicators for their operations, multichannel campaigns can
specific tactics and targets, monitored in near be powerful tools for enhancing revenues. Effec-
real-time and coupled with anytime, anywhere- tively measuring these campaigns while they are
accessible dashboards and reports, add up to an in progress as well as after completion is clearly
effective “early warning system” for multichan- an emerging best practice, one made possible by
nel campaigns. The system also provides detailed using a sophisticated key indicator early warning
system.
About the Authors
Tom Jirele is a Principal and Practice Leader within Cognizant’s Multichannel Marketing and Measurement
Center of Excellence, focusing on the measurement and interaction of marketing channels to optimize
client spend. He has over 30 years of experience in measurement and modeling across the life sciences,
retail, finance and education industries. For the past 15 years he has worked in the life sciences industry,
leading engagements related to promotional measurement, marketing strategy and multichannel optimi-
zation. He can be reached at Thomas.Jirele@cognizant.com.
Klas Eriksson is an Associate Principal in Cognizant’s Enterprise Analytics Practice. He focuses on mul-
tichannel marketing, dashboards and tools, segmentation and targeting and promotion response. Klas
has extensive international experience in consulting for major pharmaceuticals companies. He can be
reached at Klas.Eriksson@cognizant.com.
About Cognizant Enterprise Analytics Practice
Cognizant’s Enterprise Analytics Practice (EAP) combines business consulting, in-depth domain expertise,
predictive analytics and technology services to help clients gain actionable and measurable insights and
make smarter decisions that future-proof their businesses. The practice offers comprehensive solutions
and services in the areas of sales operations and management, product management and market
research. EAP’s expertise spans sales force and marketing effectiveness, incentives management, fore-
casting, segmentation, multichannel marketing and promotion, alignment, managed markets and digital
analytics. With its highly experienced group of consultants, statisticians and industry specialists, EAP
prepares companies for the future of analytics through its innovative “Plan, Build and Operate” model
and a mature “Global Partnership” model. The result: solutions that are delivered in a flexible, responsive
and cost-effective manner. www.cognizant.com/enterpriseanalytics.
About Cognizant’s Life Sciences Practice
Cognizant’s Life Sciences Practice partners with 27 of the top 30 global pharmaceuticals/biotech orga-
nizations in addition to serving companies in the medical devices, CRO and life sciences product sectors.
Whether it’s driving process improvements to your clinical operations, increasing sales and marketing
effectiveness, meeting regulatory requirements or enhancing drug safety, we are redefining the way
companies benefit from and experience global services. We enable business transformation by delivering
consulting, analytics, IT and business process support to fuel innovation and competitive advantage.
www.cognizant.com/life-sciences.
cognizant 20-20 insights 4

5. About Cognizant
Cognizant (NASDAQ: CTSH) is a leading provider of information technology, consulting, and business process out-
sourcing services, dedicated to helping the world’s leading companies build stronger businesses. Headquartered in
Teaneck, New Jersey (U.S.), Cognizant combines a passion for client satisfaction, technology innovation, deep industry
and business process expertise, and a global, collaborative workforce that embodies the future of work. With over 50
delivery centers worldwide and approximately 145,200 employees as of June 30, 2012, Cognizant is a member of the
NASDAQ-100, the S&P 500, the Forbes Global 2000, and the Fortune 500 and is ranked among the top performing
and fastest growing companies in the world. Visit us online at www.cognizant.com or follow us on Twitter: Cognizant.
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