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on detailing, house organs, other direct mail and the medical journal as advertising media; attitudes of physicians toward Council Acceptance; JAMA as an advertising medium; the Pfizer Spectrum insert; physician ratings of the nine AMA special journals; and attitudes of physicians toward some JAMA editorial and advertising policies. Designed as it was, it was necessarily more broad than deep.

Deciding on Another Study

Throughout 1954, discussions were held on the advisability of designing another study to serve as the basis for a second series of mailingpieces by the AMA to the pharmaceutical industry. The most promising topic for intensive and thorough exploration was the pay-off question of "How Physicians Learn About New Products."

This question is a vital one, since the pharmaceutical industry annually spends around $130,000,000 a year with almost no factual knowledge on which to base the allocation of this huge expenditure.

The Proposal on the Fond du Lac Study

In September 1954 we submitted a "Preliminary Proposal" for an
Intensive Study of the Marketing of Some Pharmaceutical Products in
a Single Marketing Area" to Mr. Gardiner and Mr. Lyon of the AMA
Business Office.

The Objectives As We Started Out

The objectives of the study, as far as the pharmaceutical advertisers was concerned, were given as follows:

"To uncover, in as much detail as possible, all relant
facts which have a bearing on the sale of a particular
brand of the selected new and established products over
competitive products, in this specific market. In other
words, we will study the factors which have motivated the
physicians to prescribe the specific drugs they prescribe;
the factors which have motivated the pharmacist to stock
the particular drug and competitive ones; the factors which
have influenced the hospital in selections of specific
drugs to use; and how much each of these three groups
influence each other; and the relative weight of the
influence of each upon each other.

"Among the specific influences upon the doctor, the pharmacist, and the hospital, we will attempt to study the part played by the commercial communications channels; detailing, direct mail, and medical journal advertising; and the relative influence of the professional channels; journal articles, medical society papers, hospital news, word of mouth, etc. pps. 1 and 2

by Ben Gaffin & Associates, Inc., Chicago, Illinois

"As in any sound research project, we will attempt to uncover
general principles from the study of this particular local
situation which may be applied in the future in such a way
as to increase the desired results following from the
application of this new knowledge."

The proposal then went into the reasons for the selection of this particular area of knowledge to study:

"To our knowledge, no previous study of this type and scope
has ever been undertaken. The area covered is a most
fundamental one on which all major marketing decisions are
based. It is, moreover, our impression that less is known
about this particular area than in any of the less important
areas, though there are more divergent theories, 'seat of the
pants' decisions, and pet hunches, followed in this area
than in any other.

"If this study reveals a tenth of what we have reasonable hopes
of learning, it will enable the American Medical Association
to perform a service for the industry of such magnitude that
the industry will be very mindful of AMA publications when
setting up advertising media allocations."

P. 2

by Ben Gaffin & Associates, Inc., Chicago, Illinois

EXHIBIT 9

A STUDY OF MEDICAL ADVERTISING AND THE AMERICAN PHYSICIAN PART II. THE PHYSICIANS' VIEWPOINT An Opinion Survey Made for the American

Medical Association

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CHAPTER VII. ATTITUDES OF PHYSICIANS TOWARD COUNCIL ACCEPTANCE

From the survey of advertisers, we learned that the majority of medical advertisers believe that physicians attach little or no importance to the Council Seal of Acceptance in the case of a product which is not dangerous, especially if the manufacturer is well-known and of good reputation.

Medical advertisers generally believe that the Council's Seal has considerable value in the case of a new, potentially dangerous drug; or any drug put out by an unknown firm.

To learn the facts about the attitudes of physicians toward Council
Acceptance, we asked them three questions:

"When learning about a new product which is not particularly
dangerous, do you usually have any special interest in whether
or not it is 'Council Accepted,' or doesn't it make any
difference?"

"In the case of a drug which is not particularly dangerous,
would you feel safer in prescribing it if it had the Council
Seal of Acceptance, or wouldn't it make any difference?"

"Which do you think is usually of greater importance to you
in connection with a new drug the name of the manufacturer,

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or the fact that the drug has the Council Seal?"

On the first question (see Table 48), the answers of physicians as a whole broke down as follows:

71% have special interest,

27% makes no difference,
2% qualified or other.

There are some interesting variations on the part of special groups from this national average. The physicians who write over 100

prescriptions per week were considerably more inclined to be interested in Council Acceptance (85%) than those who write fewer prescriptions.

The full-time G.P. is more interested (77%) than the full-time specialist (68%).

The physicians of 40 and over were more interested (73%) than those under 40 (65%).

Geographically, physicians living in the East were the least interested (67%), while those in the South expressed a considerably higher interest (average, 79%). Physicians living in cities under 100,000 were considerably more interested (76%), than those living in cities of a million and over (62%).

p. 117, by Ben Gaffin & Associates, Chicago 4, Illinois, August 31, 1953

A STUDY OF MEDICAL ADVERTISING AND THE AMERICAN PHYSICIAN ART II.
THE PHYSICIANS' VIEWPOINT
An Opinion Survey Made For the American
Medical Association

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There seem to be no pronounced or consistent differences on the basis of variations in exposure to commercial advertising channels.

On the second question (see Table 49), the breakdown was as follows:

79% would feel safer,
20% makes no difference,
1% qualified or other.

The same relative differences between various groups holds true on the answers to this question as on the preceding.

The third question (see Table 50), produced the following overall breakdown:

55% Council Seal is more important than the name

of manufacturer,

33% name of manufacturer is more important than

Council Seal,

5% they are both equally important,

3% other factors are more important than either, and
4% undecided.

There are some differences between the national average and the averages for special groups which one would not expect from the answers to the two previous questions.

Twice as many physicians who wrote the largest number of prescriptions consider the Council's Seal as of greater importance than the manufacturer (60% vs. 30%); among those who wrote the fewest prescriptions, this difference dropped to 48% vs. 39%.

Full-time G.P.'s were highest by type of practice (57% for the Council Seal vs. 34% for the manufacturer), and Internists attached most importance to the Council Seal (66% vs. 28% manufacturer) of any of the specialities.

Most surprising, the physicians under 40 attached relatively more
importance to the Council's Seal (56% vs. 35%), than did the
physicians 60 and over (53% for Council Seal vs. 31% for manufacturer).

As in the preceding questions, the small town physician living in towns under 10,000 population was relatively more impressed by the Council's Seal (62%) than by the name of the manufacturer (31%).

pps. 117-118, by Ben Gaffin & Associates, Chicago 4, Illinois, August 31, 195:

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68.943
70,461 73.795 84,195 89,063
$ 72,150 11.957 18.587 19.591 19.951
5,026
$102,116 209,212 285,048 385.461 397.791 425,692 399,519 499,906 494,358
$158,160 180,483 175,643 185.743 210.701 207,227 226,817 249.278 245,010
$206,916 143,234 154,820 257.336 313.885 338,893 325,948 458.379 605.551
A.M.A. STATEMENT FOR 1959 and 1960

88,493

93,865 103,882

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