February 8, 2007
Weight-Loss Drug That Works to Go OTC
Sales of unproven weight-loss remedies practically fly off store shelves as millions of Americans are looking for a simple fix to shed pounds. Imagine, for a moment, if a product that was scientifically proven to work was suddenly available for everyone to buy?
That is the scenario that will begin to play out in stores as the Food and Drug Administration (FDA) has given its approval for the weight-loss drug Alli to be sold over-the-counter (OTC).
The medication, which has been available for use with a doctor’s prescription since it was first introduced in 1999, will be on store shelves this summer.
Dr. Arthur Frank, an obesity specialist, told The New York Times that the FDA approved Alli for OTC sale because it has a safe track record. The drug, along with proper diet and exercise, Dr. Frank said, can help patients lose five to 10 percent of their weight.
While effective, Alli, known as Xenical in its prescription drug form, has side effects such as causing diarrhea that have kept those who could benefit from the medicine from using it.
Dr. Frank said most side effects experienced by patients are the result of continuing to have too much fat in their diets. The use of Alli/Xenical requires those who take it to limit their intake of fats.
GlaxoSmithKline Consumer Healthcare, the manufacturer of the drug, will produce seven different pocket reference guides on meal-planning, fat and calorie counting and other subjects to help consumers succeed with Alli.
The company will also have a website called myalli.com to help keep consumers using the drug on track.
Steven L. Burton, vice president for weight control products at Glaxo, said the company has taken the steps necessary to help consumers lose weight safely.
“The FDA wanted us to reinforce education about the behavioral role in weight loss. They asked for more emphasis on what really are the keys to successful weight loss, steady gradual weight loss. You need to be getting more physical activity. We worked on strengthening those in the label.”
GlaxoSmithKline Consumer Healthcare expects up to six million people a year will use Alli.
Discussion Questions: Rx to OTC switches have been great sales generators for health and beauty care in the past. What are you looking for with Alli going OTC? Are there “best practice” strategies and tactics that will maximize the sales of Alli and complementary products/foods when the medicine no longer requires a prescription for use?
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This is horrible! Can you imagine the implications to our society!
Chocolate consumption along with soft drinks will explode as consumers no longer have any reason to worry about their weight.
Doctors offices will be empty as all the problems induced by excessive weight will be halved.
Glaxo will own the world as I am sure their profits will explode.
Grave diggers will have to look for part time work as everyone will be living so much longer.
Social Security and Medicare will go bankrupt 15 years earlier than projected due to the increase in longevity in a fat free world.
Can we afford this? ? ? ? ? ? ? ? ? ?
The gastrointestinal problems associated with this drug can impact up to 50 percent (that’s right 5-0)of all users. Ask yourself the question: “Are people with weight problems likely to eat according to the handy dandy pocket guidelines? And, if they are, do they really need the drug in the first place?” Let’s think back to the early days of Olestra and all those pithy “explanations” of anal leakage. Now, with this picture firmly in mind, let’s think about Alli (good timing for a product with an Arabic sounding name by the way). How will retailers answer those distressed consumers? My bet is that–despite the drug’s proven promise–this one is going to have to be marketed very, very carefully. Otherwise, you’re going to end up with a “Do exactly as we say or really, really bad things are going to happen to you,” marketing campaign–and these don’t ever seem to work out well in the long run.
“Best practice” strategies for selling drugs to American consumers???!!! I don’t think there is much more the drug companies can learn. After all the television ads I saw in the mere six weeks I was in the country, with all those soothing voiceovers comforting people who might suffer serious side effects (even death), they seem to have figured out how to reassure people desperate to find pills to solve any and all of their problems. Leaflets won’t make much difference; too difficult to persuade people to read them. The odd bout of diarrhea that can possibly be avoided by eating less fat? Might just as well stick to the diet and not bother about the pills. On the other hand, the diarrhea will probably increase the rate of weight loss. The biggest downside I can see is when they realise that it will cost $2-$3/day PLUS the cost of vitamins.
Although the ethical perspective is to educate the consumer demand for this drug, the demand for this will outstrip supply rapidly. This drug will be a super hit! The general public has been waiting for a proven, effective weight-loss pill for years. Now that it is here, and FDA approved, it will be a tremendous sales success. There will be the inevitable abuse, but overweight Americans will rush to their stores to demand this drug and others like it in droves. Managing expectations and educational materials are already in place for the launch. Now, controlling the flow of product: that will be the next greatest concern.
I’m wondering if Alli consumers will come up with their own solutions. Take one Alli with 2 Lomotil? Take Alli with a low-fat diet? Double the OTC Alli dose to lose weight faster? People are desperate to lose weight. Word of mouth will make or break this product.
I actually can’t believe that this drug got OTC approval, especially for those who take public transportation!
I’d suggest that this drug needs a lot of signage so people understand what they’re getting themselves into. Either that, or it should be kept behind the counter as if we had a third class of drugs like they do in Europe.
To the question of best practices for Rx to OTC switches;
– maintain all the Rx aura that you can for as long as you can,
– don’t run out of stock at the launch, and
– don’t over promise Year One volume to retailers.
I will keep my skepticism on Alli out of my response, given the history of other “miracle” weight loss, no fat, and exercise in a jar type products.
Assuming that Alli is safe, that consumers don’t experience horrible side effects, and Glaxo is able to properly market and educate consumers on the proper usage (which in itself is questionable), then it will obviously “fly” with millions of weight conscious consumers in North America. And because there are no other products like its kind available, it will be incremental sales for retailers.
“First to market” will be key for retailers on a product like this, given the high publicity of it months ahead of launch date. Displays, brochures and product information should be readily available in stores. Cross merchandising of products tied in to the menu plans provided by Glaxo will further drive incremental sales.
For retailers who want to develop a more loyal consumer, they should consider informational sessions on the product; having pharmacists (where pharmacies are on-site) available to discuss the benefits with consumers; providing a safe and educated approach to weight loss for consumers. The “we care about your health and safety” approach goes a long way with products that require proper usage to work.
Weight loss in a bottle? If it works, this will be a launch worth watching.
Smart merchants will see the great opportunity for cross merchandising with products like Depends.
This creates a whole new category of problem/solution merchandising 🙂
This drug (under the Xenical brand) has been available for retail sale in New Zealand for more than 2 years. The distributor here (Roche) has spent a lot of money on kits for pharmacists to use during the sales consultation, and had previously built a strong brand awareness with TV and print campaigns extolling the drug’s virtues.
The result of its move to retail?…. Small numbers of sales to the motivated few (price here is $180 per month) – and very few repeat sales.
The drug just doesn’t deliver on its promise – apart from a very few motivated users who eliminate fat from their diet – the side effects far outweigh the benefits.
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This is horrible! Can you imagine the implications to our society!
Chocolate consumption along with soft drinks will explode as consumers no longer have any reason to worry about their weight.
Doctors offices will be empty as all the problems induced by excessive weight will be halved.
Glaxo will own the world as I am sure their profits will explode.
Grave diggers will have to look for part time work as everyone will be living so much longer.
Social Security and Medicare will go bankrupt 15 years earlier than projected due to the increase in longevity in a fat free world.
Can we afford this? ? ? ? ? ? ? ? ? ?
The gastrointestinal problems associated with this drug can impact up to 50 percent (that’s right 5-0)of all users. Ask yourself the question: “Are people with weight problems likely to eat according to the handy dandy pocket guidelines? And, if they are, do they really need the drug in the first place?” Let’s think back to the early days of Olestra and all those pithy “explanations” of anal leakage. Now, with this picture firmly in mind, let’s think about Alli (good timing for a product with an Arabic sounding name by the way). How will retailers answer those distressed consumers? My bet is that–despite the drug’s proven promise–this one is going to have to be marketed very, very carefully. Otherwise, you’re going to end up with a “Do exactly as we say or really, really bad things are going to happen to you,” marketing campaign–and these don’t ever seem to work out well in the long run.
“Best practice” strategies for selling drugs to American consumers???!!! I don’t think there is much more the drug companies can learn. After all the television ads I saw in the mere six weeks I was in the country, with all those soothing voiceovers comforting people who might suffer serious side effects (even death), they seem to have figured out how to reassure people desperate to find pills to solve any and all of their problems. Leaflets won’t make much difference; too difficult to persuade people to read them. The odd bout of diarrhea that can possibly be avoided by eating less fat? Might just as well stick to the diet and not bother about the pills. On the other hand, the diarrhea will probably increase the rate of weight loss. The biggest downside I can see is when they realise that it will cost $2-$3/day PLUS the cost of vitamins.
Although the ethical perspective is to educate the consumer demand for this drug, the demand for this will outstrip supply rapidly. This drug will be a super hit! The general public has been waiting for a proven, effective weight-loss pill for years. Now that it is here, and FDA approved, it will be a tremendous sales success. There will be the inevitable abuse, but overweight Americans will rush to their stores to demand this drug and others like it in droves. Managing expectations and educational materials are already in place for the launch. Now, controlling the flow of product: that will be the next greatest concern.
I’m wondering if Alli consumers will come up with their own solutions. Take one Alli with 2 Lomotil? Take Alli with a low-fat diet? Double the OTC Alli dose to lose weight faster? People are desperate to lose weight. Word of mouth will make or break this product.
I actually can’t believe that this drug got OTC approval, especially for those who take public transportation!
I’d suggest that this drug needs a lot of signage so people understand what they’re getting themselves into. Either that, or it should be kept behind the counter as if we had a third class of drugs like they do in Europe.
To the question of best practices for Rx to OTC switches;
– maintain all the Rx aura that you can for as long as you can,
– don’t run out of stock at the launch, and
– don’t over promise Year One volume to retailers.
I will keep my skepticism on Alli out of my response, given the history of other “miracle” weight loss, no fat, and exercise in a jar type products.
Assuming that Alli is safe, that consumers don’t experience horrible side effects, and Glaxo is able to properly market and educate consumers on the proper usage (which in itself is questionable), then it will obviously “fly” with millions of weight conscious consumers in North America. And because there are no other products like its kind available, it will be incremental sales for retailers.
“First to market” will be key for retailers on a product like this, given the high publicity of it months ahead of launch date. Displays, brochures and product information should be readily available in stores. Cross merchandising of products tied in to the menu plans provided by Glaxo will further drive incremental sales.
For retailers who want to develop a more loyal consumer, they should consider informational sessions on the product; having pharmacists (where pharmacies are on-site) available to discuss the benefits with consumers; providing a safe and educated approach to weight loss for consumers. The “we care about your health and safety” approach goes a long way with products that require proper usage to work.
Weight loss in a bottle? If it works, this will be a launch worth watching.
Smart merchants will see the great opportunity for cross merchandising with products like Depends.
This creates a whole new category of problem/solution merchandising 🙂
This drug (under the Xenical brand) has been available for retail sale in New Zealand for more than 2 years. The distributor here (Roche) has spent a lot of money on kits for pharmacists to use during the sales consultation, and had previously built a strong brand awareness with TV and print campaigns extolling the drug’s virtues.
The result of its move to retail?…. Small numbers of sales to the motivated few (price here is $180 per month) – and very few repeat sales.
The drug just doesn’t deliver on its promise – apart from a very few motivated users who eliminate fat from their diet – the side effects far outweigh the benefits.