Europe
U.K.—A Need for Creativity and Innovation
Aurora
Report
In the United Kingdom, the market seems fairly buoyant considering the current economic climate, though even in the U.K. PR firms are feeling a pinch in the pocketbook. “The challenge and opportunity is to do more with less budget,” says Neil Crump of the Aurora public relations agency in the U.K. “This means we need to be more innovative and creative than ever before.” While this is a good thing, public relations firms of the U.K. are also seeing notable problems due the economic crisis. “We are seeing headcounts cut on the client side,” explains Crump. “Obviously it’s a real shame for the individuals and a frustration for us when we lose a contact or an advocate.”
Forecast
For agencies that can offer innovative services in key pharmaceutical markets in the U.K., there will be good opportunities to help local and global marketers execute well-thought out communications programs for their brands. However, this work is unlikely to come in the long-standing retainers to which public relations agencies have been accustomed. “Project work is becoming more common,” says Claire Eldridge of Aurora. “I think there is also a growing market for reputation management -- helping companies to communicate restructuring plans internally and to successfully manage corporate issues and crises externally.”
Spain—Assuming More Risk
Berbés Asociados
Report
The pharmaceutical industry in Spain is decreasing
not only public relations outreach, but also general communication
efforts and other activities, such as conferences. With less money to
work with, the cutting-edge public relations agencies in Spain are
looking to design new strategies to reach their target audiences.
“Although difficult, this is an opportunity for innovative and
specialized public relations agencies. If we can develop new tools, we
can offer new services to our clients,” says Juan Luís Recio of the
Berbés Asociados firm in Spain. “The challenge is that we have to use
communications tools that have not been previously tested, so we have
to assume some risk.”
Forecast
Many of the public relations agencies working in
Spain’s pharmaceutical sphere are promoting large multinational
companies. So their projections depend heavily on the global economic
state. However, like many parts of the world, independent public
relations agencies in Spain are taking steps to consolidate their
clients and enhanced value. Recio notes that his firm is having to take
innovative steps for clients and to some degree, “we are offering our
clients more for less.”
Germany—Pharma Represents Economic Stability
fischerAppelt Kommunikation
Report
The pharmaceutical industry in Germany has not been
hit by the economic crisis as strongly as other sectors. German
companies like Bayer AG or Merck KGaA, which over the last few years
have enjoyed profits from their chemical divisions, are now feeling the
stability from their pharmaceutical divisions. But the current economic
and political climate will not go unnoticed in Germany. “Pharma has
already had a harder time in Germany for the last couple of years,
finding it more difficult to justify high prices companies in some
cases are being forced to lower prices for patented drugs,” says Sabine
Seifert, of the fischerAppelt Kommunikation firm in Germany.
“Accordingly, pharmaceutical companies are more cautious today than
they used to be.”
Forecast
The German pharmaceutical industry is now seen as
an important stabilizer in the currently declining economy and these
companies will be looking to agencies to help them develop marketing
activities that have measurable and quick benefits. The challenge for
public relations firms, according to Seifert, will be to get more
involved in the strategic process, to be a part of the market access
strategy and to build strong contacts with stakeholders.
France—Public Relations Must Rise to the Challenge
MHC Communication
Report
The cost of everything is weighing heavily on
everyone’s mind in France and the pharmaceutical industry is no
exception. Advertising costs have been considerably reduced, the
medical press is in bad shape and for the first time, huge groups such
as Pfizer and Sanofi-Aventis have had to cut staff. “But in spite of
these challenges, the public relations space is doing relatively well,”
says Marie-Hélène Coste of MHC Communication in France.
Forecast
Because PR is more cost effective than
advertising, public relations agencies in France will be given the
chance to shine. In the coming year, these firms will need to be more
focused on local, targeted methods that yield tangible benefits. In
addition, budget conscious outreach, such as online activities will be
paramount to success. “Web communication campaigns, such as prevention
programs and disease management outreach, will become popular among
clients,” predicts Coste.
Italy—Shifting Marketing Trends
Noesis Communicazione
Report
Pharmaceutical companies in Italy have tended to
rely heavily on marketing investments in their sales force over the
last few years, even more so than in many other countries. “That trend
is changing slowly as companies are slowly becoming aware that having
sales people sit in doctors’ offices and hospital waiting rooms for
hours is not very productive,” says Martin Slater of the Noesis PR
agency in Italy. “This new marketing paradigm is opening opportunities
for small public relations agencies that are often more innovative and
more flexible.”
Forecast
In Italy, the prospects for public relations
agencies in the pharmaceutical sector look promising, partly because
Italy has traditionally seen underdeveloped public relations budgets,
with the majority of marketing money going towards the sales force. So
there should be plenty of opportunities for increased public relations
efforts. In addition, the pharma industry is anti-cyclical meaning that
budgets should hold up,” notes Slater.
