Surprises may be good for birthday parties, but when it comes to pharma marketing, global companies with US headquarters need
to know what to expect from European markets. Whether they face stiff competition for blockbuster products; are involved in
acquisitions, mergers, or litigation; or are monitoring the European Commission's (EC) decision making process, global pharma
marketers must be aware of negative buzz that might affect their global brands. Otherwise, cases such as the following can
result:
- A multinational company with US headquarters was blindsided several months ago by an attack on its reputation that began as
a small article in a local German newspaper.
- A French affiliate thought it had mitigated a published attack on a global brand's safety profile, but the internet carried
the news to other markets. Now the US-based global brand manager faces a larger crisis.
- A global brand manager was never informed that Sweden excludes "lifestyle" products from its national formulary. Now several
other countries may follow suit, and brand managers marketing those treatments in other European countries must play catch-up
to protect their local brands.
Generally, European-based marketing and public affairs executives effectively monitor local policy, defend local market share,
and protect their local corporate image. However, they can't be expected to flag every issue brewing in the countries around
them. Systematic intelligence gathering can help executives from US-based corporate headquarters keep abreast of local issues
throughout Europe, assess them from a macro perspective, and mobilize strategies to deal with problems that may adversely
affect their products-before they escalate into crises.
This article describes how companies can gather timely intelligence by giving corporate executives and their public relations
agency partners the resources necessary for global surveillance.
First Signs of Trouble Global crises often germinate on the local level through the activities of competitors, national or local politicians, physician
thought leaders, and consumer and environmental advocacy groups that wield more power and prestige than their US counterparts.
The first signs of an emerging global problem usually appear-both off- and online-in local business, consumer, or medical
media.
In one case, the German press accused a global pharma company of wielding US political power to damage a popular German pharma
company. That not only created a hostile environment for new product launches there but also had the potential to malign the
global pharma player's reputation in an entire therapeutic category. By the time its US headquarters knew what was happening,
the damage was done.
That scenario can occur in multiple languages, so monitoring in English alone is insufficient. To avoid surprises, pharma
companies need intelligence experts with a grasp of politics and marketing in each key European market. Information gathered
across national boundaries and within specific markets enables global executives to take decisive action during the early
phases of a gathering storm. Superior political/marketing intelligence and analysis-on a local level-helps companies sniff
out whether lawsuits, discontent among third-party groups, seemingly harmless attacks from competitors, or new policies have
the potential to derail them globally.
According to Jeff Winton, Pharmacia's vice president of global public relations, intelligence gathering is important, but
only as a means to an end.
In his experience, many companies conduct surveillance but leave out critical analysis.
"The real endpoint must be global scenario planning and issues management based on all collected information," he says. "Planning
far in advance of any issue and anticipating any and all issues must be a key part of any program. To protect yourself against
crises, you need to have a global process in place that will successfully use the material gathered."
Managing Data Overload Pharma companies need a seamless intelligence gathering system that monitors discussions in every language at every level-local,
national, and Pan-European-and from various sources, including word-of-mouth and digital as well as traditional media. Yet,
managing intelligence gleaned from Europe is virtually impossible to do solely from the United States. To gather and analyze
the information in a timely fashion, US-based pharma companies and their public affairs leaders must work with agency partners
that have
- offices in all key markets-preferably wholly owned rather than loose affiliates-staffed by executives with political/marketing
intelligence and analysis capabilities, as well as access to the most up-to-date and comprehensive news sources. At a minimum,
those include the Observer in Germany, Argus Media in Switzerland, Knippsel Info in the Netherlands, and Auxipress in Belgium.
- a lead European office that collects individual country reports issued in different languages. It can provide a cogent overview
and develop an overall intelligence report assessing implications from business, corporate reputation, and political perspectives.
- a US-based headquarters that partners with the company's global public affairs executives to develop strategies focused on
protecting global brands.
- the ability to deliver timely information and analyses-as early as 9 a.m. US Eastern Standard Time-including an executive
summary describing how the day's events throughout Europe may affect a company's business. Ideally, it should be delivered
to senior management in an encrypted e-mail message that can be decoded and shared. Each document should include country-specific
breakdowns containing summaries of all news sources, including their political leanings, circulation, and reporters' tone
or bias-all in English.
"The agency partners closely with a seasoned issues management team at corporate headquarters, which manages all information
that may affect the company's brands or reputation," says Mari Mansfield, global public relations manager of psychiatric products
at GlaxoSmithKline. "Corporate PR executives not only create and oversee a well orchestrated plan of action, they ensure that
all communications reflect the company's long-term vision."