Y&R's healthcare unit to open shop in China

<p>Sudler & Hennessey, Y&R's healthcare unit, is setting up offices in </p><p>China amid an explosion in healthcare advertising. </p><p><BR><BR> </p><p>According to ACNielsen Media International, adspend in the tonic and </p><p>vitamin sector skyrocketed 221 per cent to RMB8.26 billion (about </p><p>USdollars 980 million) in the nine months to September, compared with </p><p>the same period in 1999. </p><p><BR><BR> </p><p>At the same time, the figure for OTC products and cold and cough </p><p>preparations soared 171 per cent and 109 per cent to RMB3.31 billion and </p><p>RMB1.18 billion respectively. </p><p><BR><BR> </p><p>The agency - founded some 60 years ago in the US - said the roll-out </p><p>coincided with growing indications that consumers are demanding more </p><p>detailed and accurate information about medicinal claims. </p><p><BR><BR> </p><p>"The growth in the standard of living of any country brings with it </p><p>demands for higher quality in virtually all areas of people's lives and </p><p>healthcare is one of them," said Mr David McLean, Sudler & Hennessey's </p><p>Sydney-based Asia-Pacific president. </p><p><BR><BR> </p><p>"Products and services include those which help people combat diseases </p><p>but they also consist of things that enhance long term health and </p><p>improve the quality of life through vitamins and fish oils and through </p><p>products that help people diet and restore their hair." </p><p><BR><BR> </p><p>The move into China - Shanghai first and followed by Beijing and </p><p>Guangzhou afterwards - is also due to more stringent controls on medical </p><p>and healthcare claims in advertising in the run-up to the country </p><p>becoming a WTO member. </p><p><BR><BR> </p><p>Mr Anthony Cheng, DY&R brand communications' business director who is to </p><p>head up the Sudler & Hennessey Greater China operation as executive </p><p>director, said that outrageous claims are on the way out. </p><p><BR><BR> </p><p>"Before there was just the Ministry of Health, but today there is also </p><p>the State Drug Administration, which means that regulations are more </p><p>strictly enforced," he said. </p><p><BR><BR> </p><p>Sudler & Hennessey's major Asia-Pacific clients include Pfizer, Glaxo </p><p>and Unilever, however, in China its offices are being launched without </p><p>clients at the ready. </p><p><BR><BR> </p><p>Mr McLean said that healthcare brands were unique in their own right </p><p>because local issues differ greatly from market to market and in China's </p><p>case province to province. </p><p><BR><BR> </p><p>"These brands are not like Coca-Cola or Sprite. With healthcare, we have </p><p>local issues which demand strong local autonomy and presence. </p><p><BR><BR> </p><p>"Some markets have government reimbursement systems, others are private; </p><p>in some markets medicines might still be in the process of being </p><p>registered; some countries have national health, while in others they </p><p>are run by provinces or states," he said. </p><p><BR><BR> </p>