Every pharma sales/marketing forecast highlights the fact that sales reps’ access to physicians will continue to decline over the foreseeable future. For the most part, pharma has adapted to this shift and has been apportioning an ever-growing pool of marketing funds towards non-personal promotion (NPP) and eMarketing. As the portfolio of multi-channel NPP & eMarketing tactics grows and collides with the explosion of emerging media & technology (social media, mobile, tablets, etc), so swells the challenge of measuring performance. The good news: most of pharma has built and fostered in-house analytics capabilities that are capable of capturing and analyzing growing volumes of clickstream & digital data. The bad news: most of pharma struggles to separate the wheat from the chaff and build a cross-functional, harmonized measurement strategy that equally caters to operational and executive stakeholders. Most analytics departments can quickly tell you that the number of people downloading the safety management checklist is declining month-over-month, but fewer analytics departments are capable of moving up the intelligence chain to diagnose the root cause behind poor performance. So how do you overcome this burden? It comes down to a data- and insights-driven measurement framework.
Data is truly a paradox: too little and you’re starved to make complete decisions, and yet too much of it leads to data overload and analytics groups struggle to glean out actionable insights. Finding the data equilibrium point is critical to giving the analytics team the impetus they need to fulfilltactical and strategic demands. For pharma, one of the more effective means of bridgingthe data chasm is building a robust measurement framework. A best of breed measurement framework would encompass:
- analytics brief
- common KPI and supporting metrics library
- clearly defined process for the deployment of analytics capabilities for any business group
- common reporting & analytics tools
- measurement best practices
The measurement framework is particularly nifty because it helps gain alignment across multiple brands/franchises (who define the objectives, priorities, key business questions, and target audience), the analytics group/vendor, and IT. Moreover, the fact that analytics is a mixed bag of offline (eg, mailed letters, print journal ads. etc.) and online (digital ads, paid behavioral targeting, organic search, etc.) tactics – necessitates a focused and disciplined approach to critically thinking through which key performance indicators offer sufficient stand-alone (effectiveness lens) and comparative (efficiency lens) insights across multiple brands or [ideally] franchises. The level of clarity provided by a fully vetted measurement framework gives the agility needed to better respond to competitive challenges, industry shifts, and regulatory updates.
The next logical question then is: how do you build this framework?
1. Start by getting your agency (as they could be an objective party acting in favor of the greatest good, rather than allowing subjectivity or lobbying to thwart efforts) to work with the various stakeholder groups in order to build out an analytics brief. The brief should take a top-down approach to deconstructthe purpose, target audience, primary goals, objectives, key business questions, and prioritized set of intended behavior of the marketing tactics.
2. Cross-analyze the brief against existing brand/franchise initiatives to build a library of KPIs and supporting metrics. Turn to industry best practices and experts to determine the optimal blend of KPIs and supporting metrics. Two key points to keep in mind:
- Build a rich, but carefully vetted set of operational KPIs and supporting metrics library that allows brands to measure the sole effectiveness of tactics; marketing initiatives shouldn’t be restricted by a shortage of metrics, but just a carefully selected set that is focused on intelligence (eg, conversion) over volume (number of clicks)
- Build a focused and thin set of strategic KPIs and supporting metrics library that are intended to measure the efficiency of tactics; these KPIs are always viewed comparatively across logically grouped tactics (eg, organic search, search engine marketing, etc). Remember that certain KPIs should account for online and
offline measurement (eg, direct mail open conversion rate compared to CRM email open conversion rate).
3. Define the reports and analytic presentation tools to provide top-line and bottom-line results to various stakeholder groups. This is not a one-size-fits-all model. More often, operational KPIs are reported upon through canned reports (automated weekly/bi-weekly delivery) and strategic KPIs are delivered through a versatile dashboard. From our experience, dashboards without a solid measurement framework end up being glorified reports that don’t easily allow for tactic-to-tactic and brand-to-brand comparison; executives mostly care about the relative, and less about the absolute.
LBi Health recently helped orchestrate a full-blown measurement strategy for the launch of a revolutionary oncology drug. The measurement framework, the lynchpin of the effort, helped gain alignment in what could have otherwise been an extensive process. The disciplined methodology by which we guided the client allowed them to mobilize analytical reporting within just a matter of a couple of months. Speed, flexibility, and discipline are critical to an effective pharma analytics effort.
Remaining competitive today is about taking swift action where opportunities call. If your analytics capabilities are not providing you with actionable intelligence you need to stop and reboot to get your marketing message out to the right people, at the right time, and at the right place.












