Cough and Throat Remedies - US - May 2012

SCOPE AND THEMES
What you need to know
Definition
Data sources
Sales data
Consumer survey data
Advertising creative
Abbreviations and terms
Abbreviations
Terms
EXECUTIVE SUMMARY
The market
Figure 1: Fan chart of market value for sales of cough and throat remedies, at current prices, 2006-16
Market factors
Trends in flu
Figure 2: Google flu trends, 2006-11
Shifts in population
Figure 3: U.S. population change, by age, 2011-16
Market segmentation
Figure 4: Total U.S. retail sales of cough and throat remedies, by segment, 2010 and 2011
Retail channels
Figure 5: Total U.S. retail sales of cough and throat remedies, by channel, 2010 and 2011
Innovation
Figure 6: Trends in product launch types of decongestive, cough, cold, and flu relief product, 2006-11
The consumer
OTC remedies most popular treatment method
Figure 7: Treating a cough, cold, or sore throat, January 2012
Consumers are prepared to fight cough and sore throat ailments…
Figure 8: Cough and throat preparedness, January 2012
…but many shop for products best suited for current symptoms
Figure 9: Factors impacting remedy choice, January 2012
Product specifications
Figure 10: Product specifications—specific vs. general purpose, January 2012
On-the-go and fast-acting features are important to consumers
Figure 11: Important product attributes, January 2012
Consumer attitudes and concerns
Figure 12: Concerns about cough/sore throat remedies, January 2012
What we think
INSIGHTS AND OPPORTUNITIES
Target young adults
Attracting the 18-24 adult consumer
In-store clinics
INSPIRE INSIGHTS
Trend: Access All Areas
Trend: Mood to Order
MARKET SIZE
Key points
Growth largely depends on the severity of cold and flu seasons
Uptick in usage of retail medical clinics benefits market
Immediate market outlook weak
Sales and forecast of cough and throat remedies
Figure 13: Total U.S. retail sales of cough and throat remedies, at current prices, 2006-16
Figure 14: Total U.S. retail sales of cough and throat remedies, at inflation-adjusted prices, 2006-16
Walmart sales
Fan chart forecast
Figure 15: Fan chart of market value for sales of cough and throat remedies, at current prices, 2006-16
MARKET DRIVERS
Fluctuations in severity of flu seasons impact market sales
Figure 16: U.S. seasonal flu severity, 2001-11
Figure 17: Google flu trends, 2006-11
Children, seniors, and women most susceptible to cold/flu
Child population set to increase
Figure 18: U.S. child population, by age, 2006-16
Senior population is a fast-growing demographic
Figure 19: U.S. adult population, by age, 2006-16
Slow growth in population of women in prime child-rearing years
Figure 20: U.S. adult female population, by age, 2006-16
Race and Hispanic origin impact usage of cough and throat remedies
Figure 21: U.S. population, by race and Hispanic origin, 2006-16
Self-diagnosis and treatment habits favor OTC remedy sales
Percentage of uninsured Americans continues to rise
Figure 22: Percentage of uninsured Americans, 2008-11
Figure 23: Number of uninsured in U.S., 2006-10
High unemployment rate persists
Figure 24: Unemployment and underemployment rates, January 2007-February 2012
COMPETITIVE CONTEXT
Competition from homeopathic and herbal remedies is mounting
OTC remedy recalls open the door for homeopathic remedies
Opportunity: incorporate a more natural approach to cough and sore throat remedies
SEGMENT PERFORMANCE
Key points
Cough/sore throat drops account for majority of market sales
Sales of cough and throat remedies, by segment
Figure 25: Total U.S. retail sales of cough and throat remedies, by segment, 2010 and 2011
SEGMENT PERFORMANCE—COUGH AND SORE THROAT DROPS
Key points
Drops meet demands for convenience, palatability, and affordability
Marketers leverage “other” usage opportunities for drops
Sales and forecast of cough and sore throat drops
Figure 26: Total U.S. retail sales of cough and sore throat drops, at current prices, 2006-16
SEGMENT PERFORMANCE—COUGH SYRUP
Key points
Steady growth in sales of cough syrup
Sales and forecast of cough syrup
Figure 27: Total U.S. retail sales of cough syrup, at current prices, 2006-16
SEGMENT PERFORMANCE—LIQUID SORE THROAT REMEDIES
Key points
Sore throat remedies underperform
Sales and forecast of liquid sore throat remedies
Figure 28: Total U.S. retail sales of liquid sore throat remedies, at current prices, 2006-16
RETAIL CHANNELS
Key points
Drug store channel succeeds with healthcare expertise
Sales of cough and throat remedies, by channel
Figure 29: Total U.S. retail sales of cough and throat remedies, by channel, 2010 and 2011
RETAIL CHANNELS—DRUG STORES
Key points
Drug stores maintain role as top OTC healthcare destination
Drug store sales of cough and throat remedies
Figure 30: U.S. drug store sales of cough and throat remedies, at current prices, 2006-11
RETAIL CHANNELS—SUPERMARKETS
Key points
Lackluster sales of cough and throat remedies at supermarkets
Supermarket sales of cough and throat remedies
Figure 31: U.S. supermarket sales of cough and throat remedies, at current prices, 2006-11
RETAIL CHANNELS—OTHER CHANNELS
Key points
Other channels post little growth over time
Other channel sales of cough and throat remedies
Figure 32: U.S. sales of cough and throat remedies through other channels, at current prices, 2006-11
LEADING COMPANIES
Key points
Top two companies are segment leaders
Ricola finds growth while Pfizer and P&G experience losses
Manufacturer sales of cough and throat remedies
Figure 33: Top FDMx manufacturer sales of cough and throat remedies in the U.S., 2010-11
BRAND SHARE—COUGH AND SORE THROAT DROPS
Key points
Halls far outsells all other brands
Ricola continues to grow while attracting more competition
Manufacturer and brand sales of cough and sore throat drops
Figure 34: Top FDMx manufacturer and brand sales of cough and sore throat drops in the U.S., 2011-12
BRAND SHARE—COUGH SYRUP
Key points
Delysm brand sales growth can’t offset declines in Robitussin and Vicks
Private label sales outpace segment performance
Manufacturer and brand sales of cough syrup
Figure 35: Top FDMx manufacturer and brand sales of cough syrup in the U.S., 2011-12
BRAND SHARE—LIQUID SORE THROAT REMEDIES
Key points
Chloraseptic dominates brand share of liquid sore throat remedies
Manufacturer and brand sales of liquid sore throat remedies
Figure 36: Top FDMx manufacturer and brand sales of liquid sore throat remedies in the U.S., 2011-12
INNOVATION AND INNOVATORS
Decline in new product launch activity
Figure 37: Trends in product launch types of decongestive, cough, cold, and flu relief product, 2006-11
Downshift in private label innovation
Figure 38: Private label trends in decongestive, cough, cold, and flu relief products, 2006-11
Marketers leverage functional claims in product launches
Figure 39: Claim category trends in decongestive, cough, cold, and flu relief products, 2006-11
Figure 40: Claim trends in decongestive, cough, cold, and flu relief products, 2006-11
MARKETING STRATEGIES
Overview
Brand analysis: Alka-Seltzer Plus
Figure 41: Alka-Seltzer Plus, Truth Helps ad, October 2011-January 2012
Figure 42: Brand analysis of Alka-Seltzer, 2012
Brand analysis: Cepacol
Figure 43: Cepacol, Tame the Pain ad, October 2011-November 2011
Figure 44: Cepacol.com monthly people, April 2011-February 2012
Figure 45: Cepacol printable coupon, April 2012
Figure 46: Brand analysis of Cepacol, 2012
Brand analysis: Mucinex
Figure 47: Mucinex, Mucus Gone ad, November 2011
Figure 48: Brand analysis of Mucinex, 2012
Brand analysis: Ricola
Figure 49: Ricola, Resume the Talking ad, September 2011-March 2012
Figure 50: Brand analysis of Ricola, 2012
Brand analysis: Robitussin
Figure 51: Robitussin, Cold Aisle Simplified ad, September 2011-February 2012
Figure 52: Robitussin home page, April 2012
Figure 53: Brand analysis of Robitussin, 2012
Brand analysis: Vicks DayQuil
Figure 54: Vicks DayQuil, Relieves it All ad, September 2011-January 2012
Figure 55: Brand analysis of Vicks, 2012
AILMENTS EXPERIENCED
Key points
The majority of adults have experienced cough or sore throat symptoms
Figure 56: Ailments experienced, January 2012
Women are more likely to have had cough, cold, or sore throat symptoms
Figure 57: Ailments experienced, by gender, January 2012
Younger age groups more likely to have cough, cold, sore throat ailments
Figure 58: Ailments experienced, by age, January 2012
Symptoms more common among larger households
Figure 59: Ailments experienced, by household size, January 2012
Part- and full-time workers more likely to experience ailments
Figure 60: Ailments experienced, by employment, January 2012
TREATING COUGHS, COLDS, AND SORE THROATS
Key points
Over-the-counter remedies are the go-to solution in treatment
Figure 61: Treating a cough, cold, or sore throat, January 2012
Treating a cough and sore throat
Figure 62: Treating a cough and sore throat, by gender, January 2012
Rest is a typical treatment among young respondents
Figure 63: Treating a cough and sore throat, by age, January 2012
Part-time/self-employed workers opt for rest as treatment for cough or sore throat
Figure 64: Treating a cough, by employment, January 2012
Figure 65: Treating a sore throat, by employment, January 2012
PRODUCTS USED TO TREAT COUGH AND SORE THROAT
Key points
The majority of cough/sore throat sufferers choose cough remedies
Figure 66: Products used to soothe a cough/sore throat, January 2012
Women more likely to choose cough/sore throat drops
Figure 67: Products used to soothe a cough/sore throat, by gender, January 2012
25-44 year olds more likely to choose cold medicines
Figure 68: Products used to soothe a cough/sore throat, by age, January 2012
PRODUCT TYPES AND BRANDS PURCHASED
Key points
Cough syrup
Figure 69: Types of cough syrup used, July 2010-September 2011
Older respondents are less likely to use cough syrups
Figure 70: Types of cough syrup used, by age, July 2010-September 2011
Robitussin most widely used brand of cough syrup
Figure 71: Brands of cough syrup used, by age, July 2010-September 2011
Sore throat remedies
Figure 72: Types of sore throat product used, July 2010-September 2011
Young respondents more likely to use all types of sore throat remedy
Figure 73: Types of sore throat product used, by age, July 2010-September 2011
Halls is the most widely used brand of sore throat products
Figure 74: Brands of sore throat products used, by age, July 2010-September 2011
COUGH AND SORE THROAT PREPAREDNESS
Key points
Most adults have cough/throat remedies on hand
Figure 75: Cough and throat preparedness, January 2012
Younger adults less likely to be prepared
Figure 76: Cough and throat preparedness, by age, January 2012
Affluent consumers tend to be prepared with products on hand
Figure 77: Cough and throat preparedness, by household income, January 2012
Full-time workers prepared for cough/throat ailments
Figure 78: Cough and throat preparedness, by employment, January 2012
Less prepared tend to buy products that fit symptoms they have at the moment
Figure 79: Factors impacting remedy choice, by cough and throat preparedness, January 2012
FACTORS IMPACTING REMEDY CHOICE
Key points
Two out of five users want a product recommendation
Figure 80: Factors impacting remedy choice, January 2012
Women more likely to pick a product based on symptoms
Figure 81: Factors impacting remedy choice, by gender, January 2012
Older adults stick with what they know; young users rely on friend recommendations
Figure 82: Factors impacting remedy choice, by age, January 2012
PRODUCT SPECIFICATIONS
Key points
Types of cough and throat remedy used or sought out
Figure 83: Product specifications, January 2012
Young consumers tend to use general-purpose remedies
Figure 84: Product specifications, by age, January 2012
IMPORTANT PRODUCT ATTRIBUTES
Key points
Fast-acting is a very important factor in driving product purchase
Figure 85: Important product attributes, January 2012
Women prefer products that are gentle on their stomach
Figure 86: Important product attributes, by gender, January 2012
Older adults more likely to need a product that’s gentle on stomach
Figure 87: Important product attributes, by age, January 2012
Self-employed look for fast-acting remedies
Figure 88: Important product attributes, by employment, January 2012
COUGH AND THROAT REMEDIES ATTITUDES AND CONCERNS
Key points
On-the-go remedies helpful
Figure 89: Attitudes toward cough/sore throat remedies, January 2012
Young users are concerned about developing immunities and prefer on-the-go packaging
Figure 90: Attitudes toward cough/sore throat remedies, by age, January 2012
Larger households prefer on-the-go medicine and are open to trying new products
Figure 91: Attitudes toward cough/sore throat remedies, by household size, January 2012
Self-employed prefer medicines for on-the-go use
Figure 92: Attitudes toward cough/sore throat remedies, by employment, January 2012
KIDS AND COUGH/SORE THROAT REMEDIES
Key points
Safety top concern
Figure 93: Kids and cough/sore throat remedies, by gender, January 2012
Younger parents tend to be more worried about safety
Figure 94: Kids and cough/sore throat remedies, by age, January 2012
IMPACT OF RACE/HISPANIC ORIGIN
Key points
Asians and Hispanics prone to cough, cold, and sore throat ailments
Figure 95: Ailments experienced, by race/Hispanic origin, January 2012
Blacks use home remedies to treat a cough and sore throat
Figure 96: Treating a cough and sore throat, by race/Hispanic origin, January 2012
Hispanics more likely to turn to cold medicines to treat cough/sore throat
Figure 97: Products used to soothe a cough/sore throat, by race/Hispanic origin, January 2012
Blacks are less prepared with on-hand remedies
Figure 98: Cough and throat preparedness, by race/Hispanic origin, January 2012
Blacks and Asians more likely to seek recommendations
Figure 99: Factors impacting remedy choice, by race/Hispanic origin, January 2012
Blacks use products suited for their cough
Figure 100: Product specifications, by race/Hispanic origin, January 2012
Blacks and Asians show concern for side effects and drug interactions
Figure 101: Attitudes toward cough/sore throat remedies, by race/Hispanic origin, January 2012
Black parents are concerned about kids’ use of cough/sore throat products
Figure 102: Kids and cough/sore throat remedies, by race/Hispanic origin, January 2012
Blacks more likely to find all product attributes very important
Figure 103: Important product attributes, by race/Hispanic origin, January 2012
KEY HOUSEHOLD PURCHASE MEASURES—SYMPHONYIRI BUILDERS PANEL
 OVERVIEW
 COUGH DROPS
Consumer insights on key purchase measures
Brand map
Figure 104: Brand map, selected brands of cough drops buying rate, by household penetration, 52 weeks ending June 26, 2011
Brand leader characteristics
Key purchase measures
Figure 105: Key purchase measures for the top brands of cough drops, by household penetration, 52 weeks ending June 26, 2011
 COUGH SYRUP
Cough syrup category overview
Consumer insights on key purchase measures
Brand map
Figure 106: Brand map, selected brands of cough syrup buying rate, by household penetration, 52 weeks ending June 26, 2011
Brand leader characteristics
Key purchase measures
Figure 107: Key purchase measures for the top brands of cough syrup, by household penetration, 52 weeks ending June 26, 2011
APPENDIX—SYMPHONYIRI BUILDERS PANEL DATA DEFINITIONS
APPENDIX: TRADE ASSOCIATIONS