Business, Management

Pfizer’s Marketing Mix (4P Analysis)

Updated on Updated on by Pauline Meyer
Pfizer marketing mix 4P 4Ps, product, price, promotion, place, pharmaceutical business analysis and case study
Pfizer-BioNTech COVID-19 vaccine. Pfizer’s marketing mix (4P) maximizes the distribution and promotion of the company’s biopharmaceutical products at optimal prices for business profitability. (Photo: Public Domain)

Pfizer’s marketing mix (4Ps) for biopharmaceutical products for distribution in the global market involves market-based and premium pricing and multiple tactics for promotion. Through its 4P, the company maintains profitable relations with partners and distributors to reach target sales figures for its medicines, vaccines, and other products. Pharmaceutical industry trends shape Pfizer’s business decisions for marketing strategy, tactics, and the elements of this marketing mix. This factor means that the 4Ps in this case change according to the current conditions and emerging trends affecting Pfizer’s target markets, with consideration for the unique characteristics of local, domestic, or regional markets that require the fine-tuning of marketing campaigns.

This marketing mix and its success rate for various products, markets, and market segments correlate with the achievement of the strategic objectives of Pfizer’s vision, mission, and business purpose. These objectives aim for industry leadership through breakthroughs in biopharmaceutical products. Through its marketing mix, Pfizer distributes its biopharmaceutical products to target markets at price points that ensure profitable operations despite competition with multinational, regional, and local pharmaceutical firms.

Pfizer’s Products

Pfizer’s products are based on business operations in the pharmaceutical and biotechnology industries. However, the company’s medicines and vaccines are the prominent products for target customers. The following are Pfizer’s products:

  1. Medicines
  2. Vaccines
  3. Test kits and others

Pfizer is known for its medicines and vaccines, although the company also develops kits for the detection of illnesses. This marketing mix reflects the company’s focus on its operations in the biopharmaceutical market despite operations involving business innovation endeavors with partner firms.

Pfizer’s growth strategies and competitive strategies influence the kinds and specifications of products in this marketing mix. For example, the competitive strategy of differentiation makes research and development focus on medicines and vaccines that are novel or breakthroughs, that have minimal or no direct competition.

Considering the influence of industry trends and external variables on Pfizer’s marketing mix, these products may change to suit business growth opportunities in target markets and market segments. For instance, the company adds new products, product lines, or product families, depending on market demand.

Price in Pfizer’s 4Ps

Pfizer applies pricing strategies that suit the value and market position of its brands and products. The price ranges and price points depend on the type of the biopharmaceutical product and the target market or market segment. The following strategies determine Pfizer’s prices:

  1. Premium pricing
  2. Value-based pricing

Pfizer’s premium pricing strategy capitalizes on patents for its medicines and vaccines. These patents ensure exclusivity for the company in manufacturing many of its current biopharmaceutical products. In this marketing mix, premium pricing is a major factor that contributes to Pfizer’s profitability.

Pfizer’s value-based pricing strategy links price points and price ranges to product value according to their benefit to customers. For example, high-demand medicines for certain diseases may come with value-based prices that puts more weight on their value to patients and the healthcare system. Value-based pricing in this marketing mix helps optimize profit margins for many of Pfizer’s medicines and vaccines.

Pfizer’s brand strength and other business competitive advantages help enable the premium pricing strategy and the value-based pricing strategy in this marketing mix. For example, the popularity of the Pfizer brand ensures revenues and profits despite the high premium prices of some of the company’s medicines.

Pfizer’s Promotion

Pfizer’s promotional tactics for effective marketing communications are designed to maximize brand strength and the sale of the company’s medicines and vaccines. The following are applied for Pfizer’s promotion:

  1. Advertising (various media and channels)
  2. Sales promotion (occasional/seasonal discounts)
  3. Direct marketing (hospitals, etc.)
  4. Public relations (The Pfizer Foundation, etc.)

Advertising is prominent in Pfizer’s marketing mix in the form of online ads and commercials on TV and print media. These advertisements typically promote certain products, such as medicines for specific diseases that are currently a major health concern in the target market.

Pfizer’s sales promotion involves special offers, such as reduced prices, to encourage the sale of certain products. Depending on specific arrangements and agreements, sales promotion in this marketing mix may be offered to distributors, wholesalers, hospitals and healthcare organizations, and retailers, who can then pass on the reduced prices to consumers or patients.

Direct marketing in Pfizer’s marketing mix applies to business relations with organizations, such as distributors, wholesalers, and hospitals and other healthcare organizations. Direct marketing promotes the company’s biopharmaceutical products to these organizations to prompt higher sales or improve distribution.

Pfizer’s public relations in this marketing mix focus on the company’s efforts to improve its contributions to society, such as better biopharmaceuticals and lower ecological impact. In this case, public relations sometimes reiterate the programs and outcomes of Pfizer’s strategy for CSR, ESG, and stakeholder management. This strategy and the activities of the Pfizer Foundation for communities and other stakeholders are designed to promote the company, its brands, and its biopharmaceutical products.

Effective promotion, especially advertising, can increase demand for Pfizer products compared to those of competitors, such as Eli Lilly and Johnson & Johnson. The competitive rivalry imposes challenges that determine Pfizer’s promotional tactics and marketing strategy. For example, competitors’ marketing campaigns may require the company to modify this marketing mix.

Place in Pfizer’s Marketing Mix

The distribution of Pfizer products depends on this 4P element involving the movement of such products from the company to target customers. The following are the places involved in Pfizer’s marketing mix:

  1. Distributors
  2. Pharmacies and retailers
  3. Hospitals and other healthcare organizations
  4. Others

Pfizer’s distribution reflected in this marketing mix involves various channels and places for reaching patients, who are the ultimate target customers. Business relations with distributors, pharmacies and retailers, and hospitals and other organizations are maintained to maximize the company’s market reach.

Pfizer’s company structure (corporate structure) includes divisions and offices that match the requirements of business operations for these places of the marketing mix. For example, the U.S. Commercial Division of the company’s Biopharma segment has teams for managing the distribution of products in the different regions of the U.S. market.

Pfizer’s operations management, especially in terms of location strategy, provides process and productivity support for the effectiveness of the distribution operations pertaining to this element of the marketing mix. Scheduling operations also support processes involved in the distribution of Pfizer products in the global market.

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