-- Unique market models backed by structured strategies have enabled the company to rapidly and robustly expand in emerging markets
CAPE TOWN, South Africa, Sept. 16, 2013 /PRNewswire/ -- Based on its recent research on the pharmaceuticals and healthcare market, Frost & Sullivan presents Adcock Ingram with the 2013 Emerging Market Innovation Award for reorienting its strategies, services and business models to cater to emerging markets. Adcock Ingram's resolute focus on growth through geographic expansion has contributed to its success within Africa and in international markets.
Specializing in the three main business areas of prescription pharmaceuticals, pharmaceutical over the counter (OTC) and hospital care in emerging markets, Adcock Ingram's success is underpinned by its localisation strategy - establishing a local presence and using local talent to overcome administrative inefficiencies. In India, for instance, the company deploys 1,200 representatives in 29 states and has introduced close to 130 products, which are being aggressively marketed.
"Adcock Ingram understands that a one-size-fits-all strategy is not viable for emerging markets," said Frost & Sullivan Research Analyst Anushree Warrier. "Implementing improvised strategies in tandem with the emerging market's requirements further acts to fortify the company's market acceptance."
"In South Africa, for instance," Warrier continues, "the company has undertaken innovative packaging, where packs of ones and twos are made to be sold at a very affordable price. In India, the company has chosen to prioritise the OTC market with prospects of gradually venturing into medical devices or ancillary healthcare offerings."
Similarly, Adcock Ingram meticulously plans to leverage the demographic profile of target countries, including them as a core to its emerging market strategy. Focusing on countries with similar demographic profiles and disease burdens speeds up market penetration. The company has made inroads in India, begun exporting to South East Asian markets such as Malaysia, and is making an initial foray into Pakistan, Thailand, Indonesia, Mongolia, and Vietnam.
Adcock Ingram has also earned the reputation of sound quality assurance, reliable quality control, and the ability to distribute its products effectively and safely. The company has a strong and effective cold chain and its R&D facility is one of the only four in the world that is pre-qualified to test and release products on behalf of the WHO.
"Pioneering self-reliant distribution facilities that connect regions and customers to its product base, Adcock Ingram has overcome challenges such as communication barriers, lack of infrastructure in transport and distribution facilities, and has continued its diligence in manufacturing, marketing, and distributing its products effectively," observes Warrier.
The backbone of this success is its innovative business model, Broad Based Black Economic Empowerment (B-BBEE) that aims at building a dedicated team trained to cater to more advanced world-class scientific based selling. The program consists of several schemes that support economic employment parity to make employees self-reliant and more dedicated; novel packaging initiatives that are convenient and patient compliant; and collaborative efforts with leading multinational companies.
"Adcock Ingram has let risk-aversion take a back seat in its business models by intelligently identifying, gauging, and deciding whether risks can be sufficiently mitigated," concludes Warrier. "This company has shown tactical superiority, utilising intelligent business models to manufacture and deliver medication across emerging markets, resulting in exemplary growth across emerging markets."
In recognition of its achievements, Adcock Ingram is being recognized with the 2013 Emerging Market Innovation Award in pharmaceuticals and healthcare. Each year, Frost & Sullivan presents this award to the company that that has demonstrated focus on growth through geographic expansion. The award recognizes the company's ability to localize for emerging market requirements, using an inclusive approach, customer service, and unique 'go-to-market' models.
Frost & Sullivan's Best Practices Awards recognize companies in a variety of regional and global markets for demonstrating outstanding achievement and superior performance in areas such as leadership, technological innovation, customer service, and strategic product development. Industry analysts compare market participants and measure performance through in-depth interviews, analysis, and extensive secondary research in order to identify best practices in the industry.
About Adcock Ingram
Adcock Ingram is a leading South African pharmaceutical company. The company provides an extensive portfolio of branded and generic medicines, has a strong presence in over-the-counter market, and is South Africa's largest supplier of hospital and critical care products.
Our Vision is to be recognised as a leading world–class branded healthcare company. Our mission is to 'Add Value to Life'.
About Frost & Sullivan
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