Less than Half of Americans Treat New Conditions with Prescription

Uniondale, NY - Among Americans who visit a doctor for a new condition, 54% do not treat it with a prescription drug within a year, according to new data from the market research firm Ipsos-Insight.

The results are from PharmTrends, Ipsos-Insight's ongoing panel of drug consumers, which shows that 4.4 million individuals see a doctor in an average week for a new diagnosis. This represents around one-third of all visits for a specific condition. To understand how consumers act after seeing a doctor, Ipsos-Insight reviewed visits that occurred during the first week of 2004 and the purchasing behavior of these same patients for the entire year

Among those with a newly diagnosed condition, 46% filled at least one Rx to treat that condition and 21% bought one or more OTC remedies. Forty-four percent did not make a purchase in the category during the year. Prescriptions are filled 98% of the time, indicating that the 54% of patients not making a prescription drug purchase have most likely never received a script.

Sampling is a critical part of many drug companies' efforts to generate trial. However, patients with new conditions receive samples from the doctor less than 10% of the time. Instead, samples are often distributed to those who already have the drug. On average, among the 10 brands sampled most often in the fourth quarter of 2004, 35% of recipients had received a previous sample or filled a prior prescription for the same brand.

Physicians appear to be directing patients to over-the-counter (OTC) alternatives more often. A doctor's recommendation influenced the purchase of an OTC product 22% of the time in 2003; this increased to 25% in 2004.

"Managed care pressure, increasing competition from OTC and inefficient sampling contribute to a high proportion of new patients leaving the doctor's office without a script," said Barbara Bertner, Vice President, Ipsos-Insight Behavioral Tracking. "Companies that understand the consumer are in the best position to drive their business with compelling DTC advertising and marketing."

For more information on this press release, please contact: Barbara Bertner Vice President Ipsos-Insight Behavioral Tracking Practice [email protected] 516.507.3357

Ipsos PharmTrends Ipsos PharmTrends174 has been tracking prescription and over-the-counter drug purchasing behavior from a national sample of consumers since 1997. A year ago, participants began reporting information about their doctor visits, making PharmTrends a complete source to analyze the progression of therapy.

Each month, through a longitudinal and continuous consumer panel of 16,000 households representative of the U.S. census, panelists report their prescription and over-the-counter purchases for the treatment of a full spectrum of conditions (general and specific).

To learn more about Ipsos PharmTrends174 please visit http://www.ipsos-insight.com/KnowledgeCenter/SyndicatedReports/PharmTrends.aspx.

About Ipsos Ipsos is a leading global survey-based market research company, owned and managed by research professionals. Ipsos helps interpret, simulate, and anticipate the needs and responses of consumers, customers, and citizens around the world.

Member companies assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media. They measure public opinion around the globe.

Ipsos member companies offer expertise in advertising, customer loyalty, marketing, media, and public affairs research, as well as forecasting, modeling, and consulting. Ipsos has a full line of custom, syndicated, omnibus, panel, and online research products and services, guided by industry experts and bolstered by advanced analytics and methodologies. The company was founded in 1975 and has been publicly traded since 1999. In 2004, Ipsos generated global revenues of e 605.6 million ($752.8 million U.S.). Visit www.ipsos.com to learn more about Ipsos' offerings and capabilities.

The Ipsos Health Practice provides custom and syndicated research to prescription and non-prescription drug manufacturers as well as biotech and healthcare providers. Visit www.ipsos-insight.com/health to learn more about the Ipsos Health Practice.