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Strong Rx-to-OTC Switch Performance and Holistic Marketing Drive Solid OTC Drug Market Growth in 2011, According to Kline
Date:3/29/2012

perienced strong growth from its Pediacare, Little Remedies and Little Tummy's lines of children's OTCs in addition to gains from the recently acquired cough drop brand, Luden's. 

Underperformers in the OTC market in 2011 include the weight loss medications category, where steep declines were recorded as consumer receptivity to Alli (GlaxoSmithKline) continues to wane. The antidiarrheal preparations category suffered from sales declines of the market leading brand, Johnson & Johnson's Imodium. The arthritis pain relievers category also declined in 2011 affected by manufacturing problems for Johnson & Johnson's Tylenol Arthritis brand, which had been the market leader. 

OTC marketers are using holistic marketing approaches and promotions to drive sales of their brands. Smart advertising, coupons, social media, and in-store displays are growing in importance to drive consumer sales. For example, Pfizer markets its re-staged Robitussin line of cough syrups and cold medications in 2011 with integrated TV, digital and in store campaign, social networking, coupons and FSIs, and even smartphone apps to help consumers chose the best Robitussin brand for their symptoms.

Rx-to-OTC switch brands continue to be major game changers on the OTC market, whether promoting strong gains or causing steep declines. Traditional OTC lines are delivering growth as they have expanded to meet consumer needs with the Centrum (Pfizer) and One-A-Day (Bayer) vitamin lines. Both of these lines using broad reaching marketing campaigns have had success with new product launches.

With Johnson & Johnson relaunching Tylenol accompanied by rigorous marketing efforts, the larger analgesic brands including Advil (Pfizer), Bayer Aspirin (Bayer), Aleve (Bayer), and Excedrin (Novartis), are not expected to continue accruing high gains year over year, once Tylenol marketing resumes.

Drawing upon a near 40-year heritage, Kline & Company's authorit
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SOURCE Kline & Company
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