Cough and Throat Remedies - US - May 2008

SCOPE AND THEMES
What you need to know
Definition
Data sources
Sales data
Consumer survey data
Abbreviations and terms
Abbreviations
Terms
EXECUTIVE SUMMARY
A fluctuating market
Natural/alternative remedies likely to surge
Lozenges sell most, sidestepping restrictions
Drug stores will continue to lead retail market
Incidence of cold/flu, population factors, sales restrictions dictate sales
Cadbury leads market, many other players face restrictions
The people
INSIGHTS AND OPPORTUNITIES
The fear factor as competitive advantage
The pitch
The support
Cough remedies as social cause
The pitch
The story
FAST FORWARD TRENDS
Premium and Cutthroat
Science goes pop
MARKET SIZE AND FORECAST
Key points
Seasonal severity drove fluctuating sales during 2002-07
Bans, restrictions, legislation present future challenges
Figure 1: FDMx and c-store sales and forecast of cough and throat remedies, 2002-12
Figure 2: FDMx and c-store sales and forecast of cough and throat remedies at 2007 inflation adjusted prices, 2002-12
COMPETITIVE CONTEXT
Homeopathic/natural alternatives to OTC medicines
Cadbury’s Halls transcends restrictions, outsells all other OTCs
SEGMENT PERFORMANCE
Key points
Drops outsell syrups and sore throat remedies
Sales by segment
Figure 3: U.S. FDMx sales and forecast of cough and throat remedies at current prices, by segment, 2002-12
Figure 4: U.S. FDMx sales of cough and throat remedies, by segment, 2005 and 2007
SEGMENT PERFORMANCE—COUGH DROPS
Key points
Convenience, utility drive sales of cough drops
Figure 5: U.S. FDMx sales and forecast of cough drops, 2002-12
SEGMENT PERFORMANCE—COUGH SYRUP
Key point
Syrups face the biggest hurdle
Figure 6: U.S. FDMx sales and forecast of cough syrup, 2002-12
SEGMENT PERFORMANCE—SORE THROAT LIQUID
Key points
Spray anesthetic properties undercut by strip technology
Figure 7: U.S. FDMx sales and forecast of sore throat liquid, 2002-12
RETAIL CHANNELS
Key points
Drug stores remain preferred cough and throat remedy retailer
Figure 8: U.S. sales of cough and throat remedies, by retail channel, 2005 and 2007
RETAIL CHANNELS—DRUG STORES
Key points
Pharmacies will play larger role in OTC sales
Store brands represent opportunity for drug chains
Figure 9: U.S. sales of cough and throat remedies through drug stores, 2002-07
RETAIL CHANNELS—OTHER CHANNELS
Key points
Other retailers face similar challenges
Figure 10: U.S. sales of and throat remedies at other* retail channels, 2002-07
MARKET DRIVERS
Incidence of cold and flu
Key points
Details
Figure 11: U.S. seasonal flu severity, 2002-07
Women, children, and older populations impact market
Key points
Key demographics
Figure 12: Female population by age, 2003-13
Figure 13: Population by age, 2003-13
Restrictions on children’s formulations hamper sales
Key points
Details
Figure 14: Usage of children’s cough and cold products, 2000-07
Figure 15: Opinions on safety of children’s remedies, by parents of children <6 years, 2007
LEADING COMPANIES
Key points
FDMx market dominated by Cadbury and Wyeth
Smaller players
Figure 16: Sales of leading cough and cold remedy manufacturers, 2005 and 2007
BRAND SHARE—COUGH DROPS
Key points
Halls leads; other brands benefit from similar non-medicated positioning
Figure 17: FDMx brand sales of cough drops in the U.S., 2005 and 2007
BRAND SHARE—COUGH SYRUP
Key points
Syrup manufacturers face uphill battle in recalls and restrictions
Figure 18: FDMx brand sales of cough syrup in the U.S., 2005 and 2007
BRAND SHARE—SORE THROAT LIQUID
Key points
Recall, pending FDA decision negatively affect throat liquids
Figure 19: FDMx brand sales of sore throat liquid in the U.S., 2005 and 2007
BRAND QUALITIES
Halls fends off lozenge competition with strong branding
The battle to claim long-lasting cough relief
INNOVATION AND INNOVATORS
Cepacol unveils one-shot relief
Figure 20: Cepacol Dual Relief Spray television ad, 2008
Mucinex targets parents with new melts in children’s flavors
Reformulations
Natural/homeopathic/drug-free
Multi-symptom
Children’s formulations
Product claims
Figure 21: Number of cough and throat remedy product claims, by type, 2003-08
Product launches by company
Figure 22: Number of cough and throat remedy product launches, by company, 2003-08
ADVERTISING AND PROMOTION
 OVERVIEW
 TV ADS—ADULT REMEDIES
Figure 23: Cepacol Maximum Numbing lozenges television ad, 2008
Figure 24: Chloraseptic liquid lozenges television ad, 2008
 TV ADS—CHILDREN’S REMEDIES
Figure 25: Delsym Children’s cough suppressant television ad, 2008
Figure 26: Mucinex Cough Mini-melts television ad, 2008
Figure 27: Nighttime Triaminic Thin Strips television ad, 2008
USAGE
Cough syrup
Figure 28: Usage of cough syrup, by gender and age, May 2006-June 2007
Figure 29: Preferred types of cough syrup, by gender and age, May 2006-June 2007
Sore throat products
Figure 30: Usage of sore throat products, by gender and age, May 2006-June 2007
Figure 31: Preferred kinds of sore throat products, by gender and age, May 2006-June 2007
Children’s products
Figure 32: Usage of sore throat products, by gender and age, May 2006-June 2007
ATTITUDES AND MOTIVATIONS
Attitudes towards cough and throat remedy purchases
Figure 33: Attitudes towards cough and throat remedy purchases, by gender and age, March 2008
Figure 34: Attitudes towards cough and throat remedies, by gender and age, March 2008
Source of cough and throat remedy purchases
Figure 35: Preferred purchase locations of cough and throat remedies, by gender and age, March 2008
Interest in natural/organic cough and throat remedies
Figure 36: Usage of natural/organic cough and throat remedies, by gender and age, March 2008
Forms of cough and throat remedies that would be considered
Figure 37: Preferred types of natural/organic cough and throat remedies, by gender and age, March 2008
RACE AND ETHNICITY
Usage of cough/sore throat
Figure 38: Purchase incidence of, by race/ethnicity, December 2007
Figure 39: Preferred types of cough syrup, by race/ethnicity, May 2006-June 2007
Figure 40: Usage of sore throat products, by race/ethnicity, May 2006-June 2007
Figure 41: Preferred types of sore throat products, by race/ethnicity, May 2006-June 2007
Figure 42: Preferred kinds of sore throat products, by race/ethnicity, May 2006-June 2007
Preferred delivery format for throat remedies
Figure 43: Preferred kinds of sore throat products, by race/ethnicity, March 2008
Figure 44: Usage of sore throat products, by race/ethnicity, May 2006-June 2007
Figure 45: Preferred types of children’s cough/cold products, by race/ethnicity, May 2006-June 2007
Figure 46: Forms of sore throat remedies that would be considered, March 2008
Attitudes toward cough and throat remedies
Figure 47: Attitudes towards cough and throat remedy purchases, by race/ethnicity, March 2008
Figure 48: Attitudes towards cough and throat remedies, by race/ethnicity, March 2008
Place of purchase
Figure 49: Preferred retail locations for purchases of cough and throat remedies, by race/ethnicity, March 2008
Natural/organic preferences
Figure 50: Usage of natural/organic cough and throat remedies, by race/ethnicity, March 2008
CLUSTER ANALYSIS—OPEN-MINDED, MULTI-WEAPONEERS; DILIGENT DROPPERS; AND UNPREPARED REACTORS
Introducing the groups
Insights and actions
Figure 51: Cough or throat remedy user clusters, March 2008
Figure 52: Throat remedies purchased in the past six months, by user clusters, March 2008
Figure 53: Purchasing behavior, by user clusters, March 2008
Figure 54: Attitudes towards the category, by user clusters, March 2008
Figure 55: Purchase places for cough or throat remedies, by user clusters, March 2008
Figure 56: Usage of a natural or organic cough or throat remedy in the past 12 months, by user clusters, March 2008
Figure 57: Cough or throat remedy user clusters, by gender, March 2008
Figure 58: Cough or throat remedy user clusters, by age, March 2008
Figure 59: Cough or throat remedy user clusters, by income, March 2008
Figure 60: Cough or throat remedy user clusters, by race/ethnicity, March 2008
Figure 61: Cough or throat remedy user clusters, by Hispanic origin, March 2008
Methodology
CUSTOM CONSUMER GROUPS
The impact of motherhood on cough and cold remedy use
Product type
Figure 62: Kinds of sore throat products bought in past six months, by motherhood status, March 2008
Attitudes to cough and throat remedies
Figure 63: Attitudes towards cough and throat remedy purchases, by motherhood status, March 2008
Figure 64: Attitudes towards cough and throat remedies, by motherhood status, March 2008
Source of cough and throat remedies
Figure 65: Preferred retail locations for purchases of cough and throat remedies, by motherhood status, March 2008
Forms of cough and throat remedies would consider using
APPENDIX: OTHER USEFUL CONSUMER TABLES
 USAGE
Figure 66: Preferred types of sore throat products, by gender and age, May 2006-June 2007
Figure 67: Preferred kinds of sore throat products, by gender and age, March 2008
Figure 68: Preferred types of children’s cough/cold products, by gender and age, May 2006-June 2007
Usage frequency
Figure 69: Usage frequency of cough syrup, by gender and age, May 2006-June 2007
Figure 70: Usage frequency of sore throat products, by gender and age, May 2006-June 2007
 BRANDS
Popularity of brands
Figure 71: Preferred types of cough syrup, by gender and age, June 2007
Figure 72: Preferred types of sore throat products, by gender and age, June 2007
APPENDIX: TRADE ASSOCIATIONS