In this system, doctors are the core customers and the major thrust is given to build and retain these customer because they are pulling the demand for products hence companies also give main emphasis in building and retaining these customers. All efforts are being put for generating secondary sales i.e. from stockist to retailer. Ensuring of auto demand with limited availability and maximum liquidation of the products is the main characteristic of this approach.
For retaining and developing customers, the companies normally provide gifts like sponsorship for various conferences like RSSDI, FOGSI, APICON, UPCON etc. For example Dabur having PASS (Professional Academic and Scientific Services) activities for promoting its chronic therapy range.
Also it is interesting to note that since this is a pull system demand is being pulled in to the market so generally representatives calculate product orders i.e. primary sales from their stockist on the basis of following formula:
SECONDARY SALES * 2 – OPENING STOCK= ORDER
Normally there are absolutely no chances of dumping of goods at stockist and retailer level is yet reported also payment recovery of companies is also very good.
3.2 Marketing approaches of Core Model
In present scenario companies are focusing more and more on the availability of products so as to enjoy good image in their customer’s (doctors) chamber. Many companies such as Glaxo, Pfizer, Dabur, FDC, Aventies, and Cipla etc. are known for their availability of products.
For marketing of these types of products companies require more and more field force to remind their products on daily basis to their direct customer (doctor). Moreover field force should have good knowledge of product schemes and offers. Also field force is required to have a good rapport with retailers. Field force also required to ensure good availability of their products to convince doctors and PUSH their products i.e. from to Stockist to Retailer to Doctor.
It has been observed that sometimes there are more than fifteen or sixteen representatives in a day are meeting with their customer and requesting for same type of products. Although field force visits are important for an update on drugs and their use. The doctors are, in general, sneaking away, trying to hide from sales representatives, since there are too many and they are too pushy and there is too little time, and the representatives probably have noticed that the reluctant doctors have always less time for short meetings and less interest and tend to reduce the time of the visit.