#FutureReadyHealthcare
Optimizing Omnichannel Engagement through Better Measurement and Strategy
Digital acceleration is transforming HCP engagement
Pharma’s continued shift from multichannel to omnichannel has evolved significantly, gaining the most momentum during the accelerated digital transformation spurred by COVID-19. During the sales reps’ temporary absence, various digital channels played a pivotal role in sustaining engagement virtually. The Ipsos Health Surveillance Research report highlights an 86% decrease in in-person detailing interactions, juxtaposed with a 200% surge in e-detailing during the mid-pandemic period compared to pre-pandemic in the United States.1 Now, healthcare professionals (HCPs) are anticipated to engage in more virtual interactions than ever before. With new advancements and the pervasive influence of digital technology in society, digital channels have assumed a business-critical role beyond being mere additions to traditional models.
The perception of omnichannel as “digital only” hinders organizational coordination and weakens the combination of traditional approaches and next-generation digital techniques involved in true omnichannel architecture.2 Leading with a digitalfirst strategy that uses both sales reps and digital methods together, pharmaceutical companies can effectively reach more healthcare providers and efficiently offer personalized and impactful experiences.3 Precise marketing ROI (return on investment) measurement has become imperative, not only for justifying marketing allocation but also for assessing the long-term strengthening of brand equity and customer relationships.4 The ability to precisely measure marketing ROI and optimize budget allocation ensures a strategic and effective omnichannel presence.
Difficulties in measuring omnichannel effectiveness
Accurately measuring the impact of omnichannel execution has become a challenge due to the collaboration of multiple online and offline channels throughout various stages of the product lifecycle. For instance, some channels are specifically designed for building brand awareness without having a direct impact on prescriptions, making it hard to quantify their influence. The inherent interactivity among digital channels makes measuring results more difficult. For example, if one digital channel works well for a HCP, it can positively affect the responsiveness to the other digital channels. The problem gets even trickier when measurements are done separately at different frequencies, along with the continued use of old measurement methods.
A holistic approach to omnichannel measurement and optimization
After careful examination of these issues, we suggest a detailed three-step plan to improve how we measure and optimize omnichannel marketing that is aligned with the needs of today’s pharmaceutical industry
1. Advance HCP-focused segmentation for precise measurement
Organizations can boost focus on customers by dividing HCPs into segments based on their channel and content preferences and enhance their efforts by measuring and improving approaches for each segment. Utilizing predictive scoring through machine learning is instrumental in anticipating crucial characteristics such as content and channel preferences.
This process involves leveraging extensive datasets and employing advanced scoring models that consider multiple factors, resulting in a focused single score, such as Digital Affinity at the HCP or account level.5 Quantifiable scores from features such as CLTV (customer lifetime value), market potential, product potential, market access, prior engagement, and Digital Affinity are then harnessed to create distinct HCP segments within the target universe.
Optimal clustering techniques are then applied to ensure the precision of segment formation. By directing precise measurement and optimization efforts toward these segmented HCPs, the strategy transcends conventional approaches, moving beyond the limitations of national, subnational, or target universe-level strategies.
Digital behavior, CLTV, and prescription behavior are used to create optimal segments for HCPs.
2. Measurement through Marketing Mix modeling with Frequentist and Bayesian approaches
Marketing Mix (MMx) modeling is an established method typically used to measure the impact of promotion over sales and return on marketing investments. Two prominent methodologies are used in MMx modeling: Frequentist and Bayesian. Choosing which method will be most effective is dependent on several aspects such as the availability of prior information, statistical outcomes, measurement context, and other factors.
Thorough MMx modeling involves mathematically addressing carryover effects and diminishing returns across all channels. Employing meticulous data transformations tailored to the model specifications becomes imperative for model input.
Incorporating proper regularization techniques is necessary to counteract the challenges posed by multicollinearity, which is especially prevalent in digital channels. Iterations of the modeling process is necessary to refine and extract the most optimal results.
Incorporating proper regularization techniques in MMx modeling to counteract the challenges posed by multicollinearity.
3. Methodical budget optimization using maximization models
Achieving an optimized budget involves strategic integration of various modeling techniques. Maximization models are employed with the primary objective of realizing the desired sales scenario while adhering to budget constraints. The incorporation of a prior budget, if available, serves as a valuable prior, and specific bound on channel budgets are considered when applicable.
The optimization process is further refined by leveraging multi-touch attribution models, such as the Shapley value method and response curves from MMx modeling. Operational constraints and collaborative inputs from stakeholders are included to ensure a realistic and executable budget allocation. This approach aligns the campaign with sales objectives while refining budget allocation through a comprehensive consideration of various influencing factors.
Operational constraints and inputs from stakeholders are used along with model results to ensure a realistic and executable
Conclusion
By integrating these approaches into a unified framework, pharmaceutical companies can expect to achieve a successful omnichannel strategy through prompt recommendations while gaining better insight into the current channel landscape, optimal channel mix, key customer segments, and new ways to measure success. As pharmaceutical companies adopt new technologies to leverage emerging promotion tactics, so does the necessity for modern measurement methodologies. By transforming existing approaches and incorporating long-term optimization alongside short-term strategies from frameworks such as the NBA (Next Best Action) are critical. Life sciences organizations that focus on an orchestrated omnichannel strategy that is grounded in customer-centric culture and data intelligence, are well-positioned to enhance access to HCP engagements, maximize interaction value, and optimize ROI. This comprehensive approach will allow pharmaceutical companies to lead with data-driven decision-making, deployed at the correct cadence, to create a dynamic and adaptive omnichannel marketing environment.
References
1.
Appleton J, Gogolina S. Maximizing omnichannel customer engagement - an Ipsos point of view. Ipsos. Published on July 2020. Accessed January 17, 2024. https://www.ipsos.com/sites/default/files/ct/publication/documents/2020-07/maximizing-omnichannel-customerengagement.pdf
2.
Dispelling common myths in omnichannel engagement. ZoomRx. Published on October 4, 2021. Accessed January 19, 2024. https:// zoomrx.com/reports/omnichannel-engagement-myths/ZoomRx_Whitepaper_2021_4th_Oct.pdf
3.
Hinderberger M, Phelan N, Anderson B, Schwartz J, Marchesini P. A fresh perspective with Markus Hinderberger - redefining organizational processes to drive customer-centric omnichannel experiences. Indegene. Published on March 2023. Accessed January 21, 2024. https://resources.indegene.com/indegene/articles/redefining-organizational-processes-to-drive-customer-centric-omnichannelexperiences/pdf/redefining-organizational-processes-to-drive-customer-centric-omnichannel-experiences.pdf
4.
Gallo A. A refresher on marketing ROI. Harvard Business Review. Published on July 25, 2017. Accessed January 23, 2024. https://hbr. org/2017/07/a-refresher-on-marketing-roi
5.
Kovilakath N. What does it take to achieve the same impact as field reps with digital rep equivalents? Indegene. Published on March 16, 2022. Accessed January 27, 2024. https://www.indegene.com/what-we-think/blogs/what-does-it-take-achieve-same-impact-fieldreps-digital-rep-equivalents
Authors
Ankesh Kumar
Shailendra Tripathi
Subodh Singh
Contact
Gurpinder Singh
Jay Schwartz
Nancy Phelan