ROI Implications for Pharmaceutical Promotional Expenditures: The Role of Marketing Mix Interactions

ROI Implications for Pharmaceutical Promotional Expenditures: The Role of Marketing Mix Interactions

By
Sridhar Narayanan, Ramarao Desiraju, Pradeep K. Chintagunta
Journal of Marketing.
2004, Vol. 68, Issue 4, Pages 90-105

The authors empirically explore the revenue impact of marketing-mix variables and their interactions. The findings include the following: pharmaceutical direct-to-consumer advertising and detailing (sales force) affect demand synergistically, detailing raises price elasticity, and detailing has a higher return on investment than does direct-to-consumer advertising. The authors also discuss other implications and provide future research directions.