Navigation Links
Study links improved consumer welfare to increased prescription drug advertising efforts
Date:11/26/2012

Athens, Ga. More people are better off thanks to the impact of an influx of direct-to-consumer advertising spending than they would be without those marketing efforts, according to a study recently published by Jayani Jayawardhana, an assistant professor in the University of Georgia College of Public Health.

The multi-year study focused on advertising efforts surrounding cholesterol-reducing prescription medications. Jayawardhana found increased levels of consumer welfare due to direct-to-consumer advertising than when compared to situations without this type of marketing. Her research, which was published in the International Journal of Industrial Organization, concludes that such efforts also spurred under-diagnosed patients to seek medical treatment.

Federal deregulation of prescription drug marketing in 1997 lowered cost barriers and enabled manufacturers to advertise prescription drugs without including a detailed summary of the product. Since the relaxation of those rules, advertising spending from pharmaceutical companies has increased by more than 200 percent.

Jayawardhana, a health economist in the college's department of health policy and management, said her study was the first to provide an analysis of consumer welfare that demonstrated a connection to the increased marketing expenditures. It also adds further support to existing academic research suggesting that direct-to-consumer advertising efforts lead to a more informed and more inquisitive consumer, which could lead to better health outcomes.

"Let's say you see a commercial for Lipitor, and you suspect that you have high cholesterol, so you come and ask for that drug from the physician," Jayawardhana said. "For whatever reason, the doctor may assume that isn't the best drug for you, and you get prescribed Zocor instead. The point isn't that you didn't get the drug you saw on the commercial but rather that you came to the doctor and got treatment for your condition, which leads to welfare improvement."

Because of the role of physician in the decision-making process, pharmaceutical companies have to market their drugs to the two purchasing agents involvedthe consumer and the physician.

"When you see an advertisement for something like Coke, the intent is to give you an incentive to go buy the product," she said. "But with the prescription drug market, the consumer is not the final decision maker. You have to go through a gatekeeper in the physician."

Jayawardhana's research indicates those advertising effortsto both consumers and physiciansare paying off. In addition to heightened consumer awareness, targeted advertising toward physicians has both an informative and persuasive effect on the selection of the drug.

Jayawardhana, who holds master's and doctoral degrees in economics from the University of Virginia, said critics of the federal deregulation have suggested the marketing spending boom could lead to a myriad of harmful resultssuch as patients requesting and receiving inappropriate drugs or higher dosages than necessary from their physician.

While such incidences may be possible, it is difficult to recognize such outcomes in the data. However, because physicians act as gatekeepers for prescription drugs and consumers have limited access to advertised products, such negative outcomes may be scarce, she said.


'/>"/>

Contact: Jayani Jayawardhana
jayaward@uga.edu
706-369-5963
University of Georgia
Source:Eurekalert  

Related medicine news :

1. More New Drugs a Bad Fit With Grapefruit, Study Finds
2. Grove Professor receives $1.5MM to study breast cancer therapies
3. Injuries Skyrocket From Inflatable Bounce Houses: Study
4. Study finds alarming 15-fold increase in inflatable bouncer-related injuries among children
5. Neuroimaging study: Negative messages less effective on those who are substance dependent
6. Mammograms Do Not Prevent Advanced Breast Cancer, Study Suggests
7. Websites Touting Designer Vagina Surgeries Often Inaccurate, Study Finds
8. Secondhand Smoke Very Unhealthy for Kids in Cars: Study
9. Continued Use of ADHD Drugs May Reduce Criminal Behavior, Study Says
10. Number of U.S. Kids With Diabetes Could Skyrocket: Study
11. Spinal Fluid Substance May Help Drive Sleep Disorder: Study
Post Your Comments:
*Name:
*Comment:
*Email:
Related Image:
Study links improved consumer welfare to increased prescription drug advertising efforts
(Date:4/30/2017)... (PRWEB) , ... April 30, 2017 , ... PracticeMatch, a ... increase in projected attendance for this year’s physician career fairs, with this year’s RSVPs ... complete schedule for the 2017 calendar year of national physician career fairs is located ...
(Date:4/29/2017)... S.C. (PRWEB) , ... April ... ... Southeast’s leading software and web development company, today announced the launch of ... DonorBridge is a solution combining decades of software innovation and industry expertise ...
(Date:4/29/2017)... ... April 29, 2017 , ... TransDark is a set of dynamic transitions ... the next without having to set a single keyframe in Final Cut Pro ... video production. , TransDark features dynamic transitions that momentarily splits the RGB layers of ...
(Date:4/29/2017)... ... April 29, 2017 , ... Sterling Global Products ... fine retailers selling biodegradable, hanging flushable wipes dispensers and/or 42 count refill packs ... in San Antonio, Texas, operates more than 350 stores throughout Texas and expanding ...
(Date:4/29/2017)... ... April 29, 2017 , ... ... and recognize the positive impact veterinarians have on animal health and welfare as ... Organization for Animal Health (OIE) choose a theme each year and this year ...
Breaking Medicine News(10 mins):
(Date:4/21/2017)... Halo Labs announces the launch of a ... called the Horizon at PEGS 2017 in ... analyzes sub visible particulate matter in biopharmaceutical samples to ... early as candidate selection and pre-formulation. Halo ... organization Elion Labs for system validation. "We ...
(Date:4/20/2017)... -- Research and Markets has announced the ... Prospects: Addressing Production Complexities Through Risk Management and Quality ... ... and Market Prospects: Overcoming Production Complexities Through Risk Management ... the current trends in the global biosimilars market, with ...
(Date:4/20/2017)... 2017   ZappRx, Inc ., a digital health company ... today announced it closed $25 million in Series B funding ... based in Seattle that is part ... The Series B round included participation from SR One ... GV (formerly Google Ventures). As part of the ...
Breaking Medicine Technology: