Cough-cold marketer opts for app
MOUNT KISCO, N.Y. — Prestige Brands became one of the first cough-cold marketers to develop a branded smart-phone app to help moms hone in on the most appropriate PediaCare remedy for their sick children. It’s not a bad play; a recent Millennial Media report indicated that in 2010, 32% of moms owned a smart phone, versus 20% in 2009.
The new PediaCare iPhone app coincides with the launch of PediaCare’s new, safe and effective cold-flu-fever medicines — with and without acetaminophen — that match the formulations of children’s Tylenol products that were recalled.
First half of cold season ends with H1N1 hangover
All the hype around H1N1 that was so prevalent in 2009 is gone, leaving only the tough comparisons a year later. That makes the first half of the 2010-2011 cough-cold season an H1N1 hangover with overall sales of $4.6 billion, representing a slight decline of 1.8%, for the 52 weeks ended Dec. 26, 2010, according to SymphonyIRI Group. What was missing in 2010 was the 2009 summer of sickness that reached a crescendo in September.
For the coming year, the introduction of Allegra to over-the-counter aisles will bring a whole new once-prescription-only allergy consumer to OTC. And though Allegra is not expected to reach the sales heights of more than $200 million like its two second-generation antihistamine predecessors, an incremental $100 million to OTC allergy sales is not out of the question.
Second is the growing number of states considering a reverse-switch and pushing pseudoephedrine-containing products back to prescription-only status. If successful, that may create a snowball effect among neighboring state legislators and threaten the “D” business that generated $263.7 million in sales on growth of 1% across the top three brands — Claritin-D, Mucinex D and Zyrtec-D.
The article above is part of the DSN Category Review Series. For the complete Cough-Cold Buy-In Report, including extensive charts, data and more analysis, click here.
Tennessee latest to fight PSE status
NASHVILLE, Tenn. — Tennessee makes the third state this year, joining Kentucky and Nevada, that is considering state legislation to mandate the sale of pseudoephedrine as prescription-only. That could prove a big concern for the legitimate market for PSE products on account of the potential snowball effect such legislation could have on neighboring states. According to a government review staff in Kentucky, at least 97.8% of all PSE sales are bought for legitimate use.
However, another bill in Tennessee proposed to adopt the National Precursor Log Exchange, an electronic logbook system that enables law enforcement to track illicit PSE sales in real time. “In the four states that have fully implemented e-tracking technology, nearly 40,000 g of illegal PSE sales per month are blocked,” stated Carlos Gutierrez, a state government relations consultant at the Consumer Healthcare Products Association. The system also helps law enforcement find meth labs.
But proponents of the prescription-only solution may not be interested in finding more meth labs, even if they do exist. Many identify with the significant reduction in meth lab busts in Oregon and Mississippi, two states that currently require prescriptions for PSE purchases. And that’s part of what makes a prescription mandate an attractive proposition for state lawmakers: Decontaminating meth labs is an expensive proposition.