STADA's Branded Products are products for the health care market that are sold under a product-specific brand name with emphasis on specific product characteristics. The goal is to set these aside from competitive products and other Group products. Our branded products – like our generics – also contain one or more active ingredients generally with expired patent rights.
Our most well-known Branded Products include the cold medicine Grippostad® and Ladival®sun protection products.
Since branded products are generally exposed to less regulatory intervention and have more attractive margins than the generics area, STADA has been pursuing the strategy of driving the expansion of this area for several years. In doing so, the Group, which celebrated its 120-year anniversary in 2015, focuses increasingly on its original business activities, having expanded its portfolio by generics only in 1975.
The Group increasingly leverages synergies for the international positioning of its branded products. At the same time, STADA takes account of the growing Group-wide importance of this segment in relying on the advantages of a centralized portfolio management structure and a decentralized marketing structure. On the one hand, STADA has been introducing existing branded products into new markets in order to accelerate the expansion and the internationalization of this segment. On the other hand, the Group has been expanding its portfolio by new branded products.
The marketing and development expertise of the British STADA subsidiary Thornton & Ross, one of the most important health companies in the United Kingdom and the number four company in the British OTC market, plays an important role in the support of the STADA “Center of OTC Excellence”. In this context, the Group makes use of Thornton & Ross’ competence, infrastructure and the technical possibilities in the areas of OTC, consumer marketing and dermatology. In principle, “Center of OTC Excellence” was conceived as a think tank for the entire Group for the cooperation of an interdisciplinary team from the areas of market research, marketing, research & development, production and business development. The main focus is the long-term pipeline and portfolio development in the areas of OTC and dermatology.
Among the leading OTC companies in the STADA market regions, STADA occupied position 91) in 2015.
Sales of the international OTC market in 2015 increased by approx. 7.8%2) to approx. € 69.03 billion2) as compared to the previous year. The market share of OTC products in the global pharmaceutical market amounted to approx. 7.7%2).
In the reporting year, STADA was able to further strengthen the Branded Products segment through various acquisitions. In the first quarter of 2015, the Russian STADA subsidiary AO Nizhpharm completed the acquisition of the two branded products AndroDoz® and NeroDoz®, which are positioned in the area of men’s health.3) In the second and third quarter of 2015, the German subsidiary STADAvita expanded its branded product portfolio by the nutritional supplement RYDEX375 IMMUN-POWER4) and the premium sun protection line SWYZZ SUN5). In the third quarter of 2015, STADA acquired the Austrian company SCIOTEC Diagnostic Technologies, which is primarily focused on the development and marketing of prescription-free (OTC) products against enzymatic food intolerances (histamine, fructose and lactose intolerance).6) With the goal of expanding its business activities in the area of dermatological treatments, STADA Arzneimittel AG started a cooperation with the Austrian company CROMA-PHARMA GmbH through its subsidiary STADA Aesthetics AG.7)
Please see our Annual and Interim Reports for more information on Branded Products.
Top 5 branded products in the Group in 2015
1) IMS Health MIDAS – EU28+RU+CH+NO+RS – Panel: Retail + Hospital – MAT/12/2015, without cosmetics and RX branded products.
2) IMS Market Prognosis, September 2015; IMS Market Prognosis Global, September 2015; IMS Syndicated Analytics Service (September) 2015; prepared for STADA February 2016. IMS MIDAS (September) 2015.
3) See the Company’s press release of February 4, 2015.
4) See STADAvita’s press release of April 15, 2015.
5) See STADAvita’s press release of September 17, 2015.
6) See the Company’s press release of August 26, 2015.
7) See the Company’s press release of December 17, 2015.