Archive for January, 2010

Comparing Social Media to Pharma Sales Reps

January 25th, 2010

Relationship marketing is really nothing new in the world of pharmaceutical companies.  For decades, the industry has relied on the ability of its sales reps to form lasting relationships that pay off in the form of increased prescriptions.  Say what you will about how the reps cultivated those relationships, but the fact is, they were able to tailor their information delivery to what doctors were seeking.

In recent years, the pharmaceutical industry has sought to regulate how those relationships are formed by cutting back on tchotchkes, expensive lunches and other ethically questionable practices that influence prescription writing.  Just today, the news circulated that New York Governor, David Patterson, was seeking to eliminate the practice of providing gifts to doctors after an office visit.  In some ways, this mirrors the voluntary code of ethics adopted by Big Pharma a little over a year ago.  However, others argue that the new limitations that Governor Patterson seeks to impose are too rigid and eliminate the ability of the sales rep to deliver his key value—education.  It’s an interesting conundrum: how do you allow the free flow of information to ensure access to the best sources available while at the same time curtailing the types of seedy relationships that place undue pressure on doctors?

Before you answer, ask yourself an additional question: is this problem all that different from what pharmaceutical marketers face when entering the world of social media?  To be an active participant in social networks, the key skill you need to possess is the ability to form relationships.  For a pharma company, the biggest value they can provide patients and doctors online is information.  In much the same way that sales reps face regulations on their relationship-building practices, pharma marketers will inevitably be faced with the same ethical questions.  But you knew that already. That is the primary reason why the FDA has started to pay attention and is certainly the reason why many pharma companies are skittish about launching a social media initiative.  The more pressing question is: how do you establish boundaries that govern a pharmaceutical company’s ability to provide information without crossing regulatory guidelines?  Can impending guidance from the FDA actually make it more difficult for pharma companies to get information it the hands of patients as a result of strict regulations?

There is no easy answer.  On the one hand, as a social media advocate, I believe that the primary value a pharmaceutical company can provide is information.  Impending regulation that prohibits the company’s ability to do that may ultimately harm the patient in the long run.  On the flip side, I also realize the importance of governing this industry given what is at stake and by no means would advocate a wild west atmosphere of lawlessness.

Yet still I struggle, how far is too far when it comes to restrictions on pharmaceutical companies?  In the offline world, there are hordes of honest, hard-working sales reps that feel they are providing a service in the form of information.  Regulations such as those proposed by Governor Patterson make it far more difficult to provide that service.  Online, we strive to provide that same service while at the same time thumbing our nose at the tactics of sales reps.  Where is the line between providing information and breaking an ethical code of conduct?  In some cases, the line is not always clear.

We often trumpet the arrival of social media as the newest tool in a marketer’s bag of tricks.  But it’s merely an extension of what has been taking place for decades at pharmaceutical companies—building relationships based on providing value to the target audience.

I have my own thoughts on why social media is different from the relationship marketing of years past, but would be curious to hear your feedback in the meantime.  I’ll post my ideas tomorrow on why social media is a new form of relationship marketing and how the ethically questionable tactics—regardless of guidance—will be rooted out.

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Why Do Pharma Companies Fire Their Social Media Agency?

January 21st, 2010

Working in the agency world is a little bit like the dating scene—if you are around it long enough, you are bound to get your heart broken (or wallet as the case may be) once or twice.

It’s no secret that agencies are let go for a variety of reasons that range from the completely justifiable to the head scratchers.  The average retention rate of clients in the PR business is something in the neighborhood of 12-16 months depending on which reports you choose to believe (I am happy to report SHIFT’s is much longer!).  With such a revolving door, one must wonder: what drives a pharmaceutical company to fire its social media agency?

There is no definitive list of reasons that leads to an agency getting the boot.  It can be a result of missed metrics, poor strategy outlines, faulty execution, budget constraints, etc…And while the list is long, I’d venture to guess that there are two primary buckets that cause a pharma company to fire its social media agency—false promises made by the agency and unreasonable expectations of the pharmaceutical company (sometimes one causes the other).  We’ll take these one at a time.

False Promises Made by the Agency

I touched on this one a bit in yesterday’s post.  Too often, agencies walk into a pitch eager to win business and selling whatever they think the company at the other side of the table wants to buy.  They do this without regard for whether or not they believe they can deliver on those lofty promises.  Why?  They don’t care.  The goal is to win the business and earn a quick buck—not create sustained value.  This breeds the thinking that social media is a silver bullet.  With people out there selling it as such, it is no wonder that some marketers think that social media has the ability to mask existing problems.  It does not.  Because agencies are selling false hope, when they can’t deliver on that hope, they get the axe—justifiably.

A good social media agency will outline challenging goals, but not make promises of a brand remake over night.  A good agency will highlight the risks of engaging in social media and have a plan in place to mitigate those risks and deal with them when they arise.  Most importantly, a good social media agency will say “no”.  They won’t be afraid to tell you if your strategy is off base, or if your line of thinking will fall down when engaging with a community online.  If your social media agency is afraid to tell you “no” I can almost assure you the program will fail.  False promises are a quick way to the unemployment line and only makes the job of legitimate agencies that much more difficult.

Unreasonable Expectations of the Pharmaceutical Company

The message I have been trumpeting recently, along with others, is that social media does not shovel problems under the rug—it rips the rug off the floor.  If a company walks into a social media engagement thinking that it can distance itself from product problems or damaging messaging it is sorely mistaken.  The more likely result is the social media community will expose that problem quicker than you ever thought was possible.  And not only will it be exposed, it will run rampant until you step up and offer a solution.  The thing people often forget about social media is that it acts as one giant neighborhood watch.  Phonies are uncovered, bad products are rooted out and shifty salesmen are pinpointed.  It’s not a comfortable place to be if you have skeletons in the closet.

Unfortunately, some pharmaceutical companies are willing to throw caution to the wind and hope social media can work miracles.  When those miracles fail to materialize, the social media takes the fall.  Sure, it is the job of the agency to steer the client in the right direction and set appropriate expectations, but sometimes it is not enough.  In those cases, the pharma company is bound to fail because it simply demands too much.

The Lesson?

The new marketing model increases accountability on both the vendor and client side.  The days of arm’s length relationships are coming to a screeching halt.  In order to truly succeed in social media, you better have a true partnership.  Afterall, if you can’t master that relationship, you can forget about the new ones you will be forming through social media.

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Social Media: Pharma’s Sandbox

January 20th, 2010

The portion of conversation dedicated to social media among pharmaceutical marketers has recently reached a fever pitch.  The constant analysis, banter and coverage has resulted in a disproportionate amount of attention being paid to social media—despite the fact that it represents only one small piece of the marketing mix.

Why is that?  It’s due in part to the fact that social media represents the new shiny object on the block.  It’s something different that is a far cry from the marketing techniques that are beginning to fail pharmaceutical companies.  With this understanding, pharmaceutical companies are showing a greater sense of urgency to engage in social media.  Of course, wherever pharma goes, the FDA is sure to follow and social media is no different.  The recent public hearing on pharma has raised the profile of social media for pharmaceutical companies. Add all of these industry dynamics with the fact that social media advocates tend to be vocal and passionate evangelists (I’m exhibit A) and it’s not difficult to understand why social media is dominating the conversation.

And while I am all for raising the profile of social media among pharmaceutical marketers; we need to be sure it is done in an appropriate manner.  The problem that is beginning to develop is some people selling social media services are selling pharma companies on a bag of goods they can’t deliver.  Namely, these companies are making empty promises that social media can reverse a poor brand image, evangelize brand advocates over night and drive people to buy a product in droves.  While these are all worthy goals, the fact is that social media cannot accomplish these goals operating in a vacuum.  It has to be part of an integrated marketing communications plan.

The mistaken belief that social media should be isolated from other marketing functions is damaging.  Many agencies selling social media services are driving this belief.  If you are selling such lofty promises, what happens when an engagement goes awry?  What happens when the community unites in backlash against a company?  If you have sold a pharmaceutical company on grand promises, you are likely going to be looking at the business side of a door on your way to the curb.  This type of relationship only damages the industry’s chances of successful, authentic social media engagement and is fueled by people chasing the quick buck rather than creating sustained value.

Instead, as agencies, we should be selling pharmaceutical companies on the real value provided by social media—a chance at authentic, transparent and meaningful engagements with key stakeholders.  This is a marketing vehicle that has never before been available on this scale.  However, there is no guarantee that those engagements will be one hundred positive.  Any agency that promises you otherwise is blowing smoke up your ass in an attempt to win your business.  If your product is bad, social media will expose it.  If your brand is damaged, the community will further poke holes.  If your outreach strategy is broken, social media will tell you why.

Scared yet?  You shouldn’t be. One positive about social media is that it is a sandbox of sorts.  It has the ability to weed out, expose and provide feedback on areas you may never have considered.  It’s a real-time feedback loop.  The trick is how you react to that feedback.  A pharmaceutical company that has been set up on empty promises has been set up to fail.  It has not been prepared for the possibility that a social media engagement will not consist purely of positive feedback.  The negative interactions can be just as valuable, if not more so, if a pharmaceutical company has been counseled on how to respond.

Pharmaceutical marketers: social media is your sandbox—are you ready for that?

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Don’t Write Off Traditional PR Entirely for Social Media

January 14th, 2010

It’s no secret that social media is the trend of the day in pharmaceutical marketing.  A combination of constant evangelism on the part of social media wingnuts (I mean advocates), an uptick in real-world examples from pharma companies and the FDA public hearing has vaulted social media into the limelight.  Since attaining such prominence, social media seems to have a stranglehold on the marketing discussion (or maybe it’s that whole echo chamber thing I posted about).  But the limelight can be so bright that it causes you to miss other things right before your eyes.

If you haven’t picked up on my thinly veiled metaphor just yet, social media is the bright light in this case.  In recent months, social media has been relegated to shiny object duty.  It’s the marketing tactic of the day being waived before pharma executives at every strategy session to increase patient engagement, raise brand awareness and break into new markets.  That’s a good thing.  The level of conversations that are occurring regarding social media is encouraging.  It indicates that pharmaceutical companies are slowly but surely buying into its potential.  But there is a fine line to walk between realistic potential and hype—we are getting dangerously close to the edge.

Social media enters into the hype zone when it causes otherwise level-headed marketers to write off alternative, viable marketing tactics.  And if they are not written off, they are certainly placed on the backburner.  As an aforementioned wingnut, I believe in the value of social media as much as the next guy.  But social media CANNOT exist in isolation.  It has to be conducted in the context of a larger marketing strategy that includes a broad range of tactics.  I’m a PR guy.  In fact, while I tout the benefits of social media on a regular basis, a large chunk of my work is dedicated to so-called traditional PR.  That’s right, writing press releases, reaching out to editors and forming relationships with the main-stream media.  Can you imagine?

(Warning, here comes a small commercial, bear with me, I think it is relevant).

At my agency, SHIFT Communications, we describe ourselves as a hybrid agency in the sense that we do both traditional PR and social media.  I think that’s crucial.  We do this not so we can sell both services, but because we firmly believe that social media, and traditional PR should happen in concert, not in isolation.

Social media is important.  It will only grow in importance as companies become better at engaging with relevant communities.  But remember, social media should not happen at the expense of the remaining parts of the marketing mix—even traditional PR.

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Pharma Social Media Echo Chamber

January 12th, 2010

One of the many smart people I follow on Twitter today Tweeted (the link to which I cannot find for the life of me) a question to the masses: “when is the last time you have read anything useful about pharma social media?”

While I do think there is a group of people putting out valuable content in this area, it is a question that warrants closer consideration.  One of the issues I constantly struggle with is the idea of a pharma social media echo chamber.

While I am thrilled to have any and all readers to this blog, my hope is that the content ultimately gets into the hands of pharma marketers.  Agency people, social media advocates and consultants are valuable resources because they contribute to the “think tank” we have created—but at the end of the day—we are trying to demonstrate the value of social media to pharmaceutical marketers.

Without question, the community that has started to form has moved the social media cause forward in the pharmaceutical industry.  But is that progress stifled by our echo chamber?  Are we often just convincing ourselves on the value of social media rather than tailoring our messages to the audience that matters most—the pharmaceutical companies?

There is evidence that suggests the pharma social media bandwagon is not confined to an echo chamber.  Jon Rich of Does of Digital has chronicled the slew of pharmaceutical companies that have engaged in social media.  Some examples are better than others, but the point is, people are taking notice and demonstrating varying degrees of success.  The recent FDA hearing on social media is another prime example of the grasp social media is beginning to hold on the industry.  Some may argue that the hearing was dominated by social media wonks and agency fat cats. They would be right in the sense that agency people dominated the podium, but the impact of that hearing was far more widespread then the four corners of the dingy D.C. conference room.  Anecdotally, recent conversations I’ve had with pharma marketers and projects I have completed lead me to believe that the pendulum is swinging in the right direction.  The pharma industry is showing an interest (we could argue the genuine nature of that interest in another post) in social media and its ability to enhance marketing efforts.

Returning to my original thesis: are pharma social media advocates part of an exclusive echo chamber?  I don’t think so.  But, I do believe that we need to do a better job of educating all stakeholders, focusing on the patients in our engagement strategies and demonstrating the real-world success that has been achieved through social media.  Echo chamber…no.  Need to press forward?  You bet.

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Pharma Social Media: There is No Easy Road

January 7th, 2010

Let’s get this out of the way: social media for pharmaceutical companies is hard work.  There I said it.

Far too many people suffer from the misconception that social media is simple and merely a question of value.  “How hard can Twitter really be—it’s only 140 characters?” “My daughter can master Facebook; surely I can make it work.”  Or worse still, “All I need to do is come up with a few good corporate messages and then proliferate social networks with them—think of how many people will see it!”

The latter statement is the one that keeps me up at night.  When engaging in social media, pharmaceutical marketers are faced with a choice—take the easy route or the longer, more difficult road.  As I mentioned in my previous post, the easy route in social media is tempting.  Instead of taking the time to form relationships, learn the landscape and provide meaningful commentary, pharmaceutical marketers can simply broadcast a canned message to the masses.  Of course, this isn’t really social media but that may not matter.

We’ve reached an important, dare I say, tipping point in social media for pharmaceutical companies.  We’ve moved passed the evangelism stage to a point where many pharmaceutical companies are actively weighing and pursuing some form of social media engagement.  As they do, will they be tempted by the lure of the easy route in search of quick hits?  Or will they take the methodical, strategic approach?

The answer to the question depends on how the social media marketer approaches the medium in the first place.  It is important to remember that social media is not a silver bullet.  It cannot cure all the ills of the checkered marketing past of pharmaceutical companies.  Social media is not a quick fix.  Relationships in the real world are hard work (just ask my wife who has to deal with me).  All relationships take commitments, dedications and honesty.

Social media is no different.  And like any meaningful relationship—when it works—boy is it rewarding.

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Does Shouting Amount to Pharmaceutical Social Media?

January 5th, 2010

The always thought-provoking John Mack of Pharma Marketing Blog fame wrote a post today about the idea of “shouting” as a legitimate social media technique.  Head over to John’s blog for the full context but to sum it up here, John was referring to the practice of broadcasting a slew of messages via social media channels.  The hope would be to bombard the networks with so much positive company information that it buries any negative information that may appear.  “Shouting” amounts to gaming the almighty Google and moving positive commentary up in the rankings.

John contends that left to their own devices, pharma marketers may be tempted to fill the social media void with self-promotional messages with the goal of driving down negative search engine results.  He may be right.  It’s no secret that SEO techniques have changed the face of marketing and any savvy marketer should consider how it can highlight positive results and mitigate the negative.  This is a core function of marketing in today’s new media landscape.  But is “shouting” an acceptable means to this end?

The short answer is no.  The goal of pushing negative search results down is certainly a worthy goal, particularly if that negative result contains misinformation.  But simply broadcasting company infomercial is not the best way to achieve that result.  In fact, by simply following a social media strategy that abides by the principles of honesty and transparency, a marketer can achieve the same result without resorting to questionable tactics.  Borrowing from the comment I left on John’s blog, take for example a case where a ticked off patient writes a post called, “Big Pharma Company A Sucks.”  The post is likely to appear prominently in search results. But instead of “shouting” (i.e. broadcasting a rebuttal), what if a pharma company was present in the discussion happening on that post in an attempt to address some of the patient’s concerns? What if that participation spurred a follow-up post praising the company for its proactive outreach, which would help to balance out the negative view? That has to count for something right? The point is: pharma marketers should be encouraged to partake in and spur conversation. This will inevitably help their brand and also achieve the same outcome as the “shouting” mentioned above.

Even if we are in agreement that social media can serve the purpose of increasing positive search results in an ethical manner, the obvious lingering concern is if pharmaceutical marketers can stick to the straight and narrow.  What few people realize when they embark on social media engagement strategies is that it not only takes an abundance of planning, but dogged commitment and significant time resources.  It’s not easy.  “Shouting” is a far easier and quicker solution—but at what price?

In order to avoid the temptation of the easy route, pharma marketers need to be engaged in social media for the right reasons.  Before hitting send on the keyboard, ask yourself: “why am I here?”  If your first answer is “to post corporate information because there was a negative post about our company” then step away from the keyboard.  Go no further.  That line of thinking fails miserably in the world of social media—particularly pharmaceutical social media.  But if you are focused on the Return on Health of your patients and generally engaged in that goal, proceed at will.  Your engagement will be welcome, thoughtful and informative.

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