Pharmaceutical advertising as a consumer empowerment device.
Pharmaceutical companies have greatly increased their level of "direct-to-consumer" (DTC) advertising in recent years. For 1998, estimates are that over $1.1 billion was spent on this form of advertising, increased from $850 million in 1997 and $600 million in 1996. In 1998, 84 separate drugs were advertised to consumers. The impetus was a decision in August of 1997 by the Food and Drug Administration to reduce the restrictions on DTC advertising on television. As a result, such ads have become very common on TV, and 32 products were advertised on TV in 1998. Pharmaceutical companies advertise because they think that advertising will make money for them. But how will this make money? It will make money by providing consumers with the information they need to make proper decisions about medication. That is, DTC advertising is profitable exactly because it empowers consumers and enables them to purchase useful drugs. The goals of advertising companies and consumers are both for consumers to have information about the most beneficial drug for particular conditions, and so advertising is beneficial both to manufacturers and to consumers. This article describes emerging trends in DTC within the context of the life sciences sector.
Deparment of Economics and School of Law, Emory University, Atlanta, Georgia, USA.
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D000329:Advertising; D004345:Drug Industry; D006279:Health Maintenance Organizations / Q000191:economics; D006801:Humans; D020407:Internet; D010353:Patient Education as Topic; D004364:Pharmaceutical Preparations / Q000191:economics
D004364:Pharmaceutical Preparations