Marketing Mix of Lupin and 4Ps (Updated 2023)

The Marketing mix of Lupin analyses the 4Ps of Lupin, which includes the Product, Price, Place, and Promotion of Lupin. Lupin Limited is associated with the Pharmaceutical industry as it deals in Healthcare products. It is a public company of Indian origins. Lupin was founded in 1968 by its founder, Desh Bandhu Gupta. Regarding market capitalization, it is ranked seventh in the global market. As a generic pharmaceutical Company, it is ranked at 5th position in terms of prescription-led-market share in the United States. Some of its main competitors in this field are as follows-

• Cipla
• Reddy’s Lab
• Ranbaxy
• Sun Pharmaceuticals
• Ipca Laboratories Ltd
• Matrix Laboratories Ltd
• GlaxoSmithKline Pharmaceuticals

About Lupin

• Type: Multinational pharmaceutical company
• Industry: Pharmaceuticals
• Founded: 1968
• Founder: Dr. Desh Bandhu Gupta
• Headquarters: Mumbai, Maharashtra, India
• Area served: Worldwide
• Key people: Nilesh Gupta (Chairman) and Kamal Vinita D. Gupta (CEO)
• Number of employees: 15,000

Lupin Product Strategy

Lupin is an international company created to fight life-threatening diseases by manufacturing drugs and medicines of the highest priority. It gained recognition for the first time as the world’s largest manufacturer of tuberculosis drugs.

It occupies a prominent position in significant markets related to NSAID therapy, Anti-infectives, GI, CNS, Pediatrics, Asthma, Diabetology, and Cardiovascular problems. It has obtained leadership in the global market for Cephalosporin and anti-TB segments. Lupin has a highly developed R & D facility that has made qualitative progress in the New Chemical Entity or NCE Program field. Its entry into the target market of advanced-drug-delivery-system has led to improved platform technologies. Lupin’s business entity includes the entire value chain of the pharmaceutical sector and ranges from generic and branded formulations, advanced-drug-delivery-system, and APIs to biotechnology.

Lupin Limited is a multinational pharmaceutical company based in India. It is one of the largest generic pharmaceutical companies by revenue globally.

The product mix of Lupin in 2023 is as follows (Source)

1. Generic Drugs: Lupin is well-known for its generic drugs and affordable alternatives to brand-name medications. These drugs span a range of therapeutic areas, including cardiovascular, diabetes, asthma, gastrointestinal, CNS, anti-infectives, and more.
2. Branded Formulations: The company also manufactures branded formulations sold in various markets. These include specialty and super-specialty segments like pediatrics, cardiovascular, diabetology, asthma, anti-infective, and neurology.
3. Active Pharmaceutical Ingredients (APIs): Lupin is a significant player in the API market, producing high-quality APIs used to manufacture drugs. This segment is crucial for the pharmaceutical industry as it supplies essential ingredients for drug formulations.
4. Biosimilars: The company has invested in biosimilars, biologic medical products highly similar to already approved biological medicines. This includes products in oncology, rheumatology, diabetes, and ophthalmology.
5. Over-the-counter (OTC) Products: Lupin also has a range of OTC products that include vitamins, minerals, and supplements, along with personal care products.
6. Research and Development: While not a product, Lupin’s strong focus on R&D leads to developing new drugs and formulations, a critical part of its product mix strategy.
7. Specialty Products: In some markets, particularly the USA, Lupin focuses on specialty segments like women’s health, pediatrics, and complex generics.

It’s important to note that the specific products and their availability might vary by region and over time as Lupin continuously evolves its product portfolio in response to market needs, trends, and regulatory changes. One should refer to the company’s latest reports or official website for the most current and detailed information.

Lupin Place Strategy

As a generic pharmaceutical, Lupin is the fastest growing company in Japan and the United States, occupying 4th position in South Africa. Its headquarters are in Mumbai, Maharashtra. Its manufacturing plants in India are located at ten places like Nagpur, Aurangabad, and Tarapur in Maharashtra, Dabasa, and Ankaleswar in Gujarat, Indore and Mandideep in Madhya Pradesh, Jammu in Jammu and Kashmir, and Goa.

Its overseas manufacturing plants are located in Mexico and Japan. Its R&D facility houses nearly fourteen hundred scientists and is at Aurangabad and Pune in Maharashtra. Lupin has an international footprint, with its drugs reaching almost seventy countries of emerging markets such as South Africa, the Philippines, Australia, Japan, Europe, and the United States besides India. Lupin has a widespread distribution channel includes an efficient workforce of more than fifteen thousand employees.

Lupin’s place strategy is as follows:

1. Global Presence: Lupin has a significant global footprint, with a strong presence in over 100 countries, enabling it to reach a broad and diverse customer base across continents.
2. Manufacturing Facilities: The company has strategically located manufacturing facilities in India, the US, Brazil, Mexico, and Japan, ensuring efficient production and distribution to key markets worldwide.
3. Distribution Networks: Lupin utilizes robust distribution networks, including partnerships with local distributors, to ensure adequate supply chain management and timely delivery of products.
4. Research and Development Centers: With R&D centers in countries like India and the USA, Lupin strategically positions itself to leverage local talent and regulatory environments to foster innovation.
5. Digital and E-Commerce Platforms: Embracing digital transformation, Lupin has increasingly focused on using e-commerce and digital platforms for marketing and distribution, enhancing accessibility and customer engagement.

Lupin Pricing Strategy

Regarding revenue, Lupin is ranked 3rd in India and 10th in the global market. At the end of the 2014-15 financial year, it declared its estimated revenues at 2.06 billion dollars and profit at 393 million dollars. The government has set up price regulations, affecting different pharma companies’ pricing strategies and abilities to several degrees.

Indian Pharma sector has nearly 300 organized and 20,000 unorganized players, creating competition amongst local players and brands. Lupin had previously adopted a Cost-based pricing policy, but later, it changed it and adopted a new fair pricing policy for the betterment of Indian people. Now, individuals can easily buy essential medicines at inexpensive and cheaper rates. Lupin offers Generic drugs at a meager cost, thus reducing the consumer burden and helping with much-needed savings.

Lupin’s pricing strategy is as follows:

1. Value-Based Pricing: Lupin employs a value-based pricing strategy, particularly for its branded formulations. This approach focuses on the perceived value of the product to the customer rather than solely on the cost of production. This strategy is especially prevalent in specialty segments where the company offers unique or innovative products.
2. Competitive Pricing: In the highly competitive generic drugs market, Lupin adopts a competitive pricing strategy. This involves setting prices in line with or slightly lower than competitors’ prices to gain a competitive edge, particularly in markets crowded with generic drug manufacturers.
3. Tiered Pricing for Global Markets: Understanding the economic disparities in different countries, Lupin employs a tiered pricing strategy. This means adjusting drug prices according to the market’s purchasing power, which is particularly relevant in developing countries.
4. Penetration Pricing for New Launches: When entering new markets or launching new products, Lupin may use penetration pricing. This involves setting a lower price initially to attract customers and gain market share before gradually increasing the price to match the market norm.
5. Dynamic Pricing Based on Regulations and Healthcare Policies: Lupin’s pricing strategy is also dynamic and responsive to local regulations and healthcare policies. In markets with stringent price controls, Lupin adjusts its prices to comply with local laws while maintaining a sustainable business model.

This strategic approach to sales and pricing allows Lupin to navigate different market conditions, cater to a diverse customer base, and maintain a competitive edge in the global pharmaceutical industry.

Lupin Promotion Strategy

Lupin is a pharmaceutical company that is working towards the welfare of humanity. It recognizes its social responsibility and 1988 established the Lupin Human Welfare & Research Foundation. It covers 35 villages in Rajasthan and has undertaken projects related to rural developments. Lupin has worked towards the construction of school buildings in villages and towns for the development of children.

It encourages women’s empowerment via social development in education, health, and nutrition. Lupin has won several accolades and appreciation in recognition of its works. In a study by BlueBytes, it topped the list of India’s Most Reputed Brands. In the year 2009, it received International Excellence Award, in the year 2010 as Best Drug Development Company, Asia and in the year 2010 again The Most Promising Entrant into the Big League. Lupin has developed several programs to groom its talented workforce via education, exposure, and training. It encourages the concept of transparency to make improvements at every level.

Lupin’s promotion strategy is as follows:

1. Professional and Healthcare Provider Engagement: Lupin heavily invests in engaging healthcare professionals through medical representatives, conferences, and continuing medical education to promote their products directly to prescribers.
2. Digital Marketing and Online Presence: The company employs a robust digital marketing strategy, including a solid online presence, social media marketing, and digital advertising, to reach a broader and more tech-savvy audience.
3. Patient Awareness and Education Programs: Lupin also focuses on patient education and awareness programs, which help build brand trust and loyalty by informing patients about diseases, treatments, and medication adherence.

Some Recent Video ads and Print ads of Lupin are:

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