PhRMA pushes to penetrate Japan market

The Pharmaceutical Research and Manufacturers of America (PhRMA) appointed the agency as its public relations AOR in Japan after a competitive pitch believed to have included incumbent Golin Harris and six other agencies.

A senior source at Edelman said as one of the world’s most influential lobbying organisations, PhRMA was seeking an approach that would emphasise the work of pharmaceutical research and biotechnology companies as being in the interests of the Japanese public and not simply driven by financial profit.

The source added that in view of Japan’s aging, wealthy population with a willingness to invest heavily in health maintenance, now was an opportune time for PhRMA to take steps to solidify its operation in the market.

Although traditionally highly protective of domestic pharmaceutical producers, Japan is becoming increasingly attractive to multi-national corporations following a loosening of restrictions governing foreign manufacturers, including the introduction in 2005 of the Pharmaceutical Affairs Law (PAL), designed to streamline the processes for product registration and classification, preclinical studies and clinical trials.

“MNCs are improving their ability to gain and make profitable business in Japan,” said John Cahill, president and representative director of McCann Healthcare Worldwide Japan, adding that demand for drugs had increased in line with a growth in chronic diseases. In contrast to domestic manufacturers who reduced commitment to research and development in the mid-1990s, and are consequently now dependent upon more mature, heavily price-controlled portfolios, Cahill said, global companies were now fueling growth with a “series of innovative new products” and a more aggressive approach to sales and marketing.

Cahill noted that while slow registration continued to present a hurdle to the introduction of new products to the market, the new acceptance of overseas clinical trial data had helped facilitate matters for international drug companies. Public perception had also improved, he said, with international products widely viewed as more effective, if somewhat less safe, than those from better-known domestic manufacturers.