ZUO LI YAO YE(SZ:300181)2022-12-08 07:54Group 1: OTC Development and Marketing Strategy - The company is considering developing OTC products, with Wuling capsules already classified as OTC. However, the current scale is insufficient for large-scale advertising investments, leading to a strategy focused on academic marketing to promote OTC growth [1][2] - Since 2007, the company has established an OTC team in Zhejiang and is exploring distribution through large chain pharmacies in other regions. The market share of OTC products is expected to increase as brand awareness grows and online purchasing habits develop [2] Group 2: Sales Performance and Market Challenges - The slowdown in sales growth for Wuling capsules in the first half of the year is attributed to several factors: increased sales base, delayed effects from entering the Guangdong basic drug list, and personnel changes in the West China region affecting targets [3] - The company emphasizes that market marketing breakthroughs are a priority for future development, and the acquisition of a company producing Bailing tablets is expected to enhance marketing efforts and market expansion [3] Group 3: Product Information and Regulatory Aspects - Bailing tablets began production in 2011, with the production license obtained in 2008 and raw material production license in 2010. The company has established a wholly-owned subsidiary for Bailing tablets, which is GMP certified [5] - The company holds 51% of Qinghai Zhu Feng Cordyceps Pharmaceutical Co. and is currently focused on business integration rather than further share acquisition [7] Group 4: Pricing and Insurance Coverage - Product price fluctuations are expected due to provincial drug bidding processes. However, factors such as Wuling capsules being a national class new drug and relatively low daily usage costs contribute to price stability [6] - The company hopes to include Lingze tablets and Linglianhua granules in the national insurance scheme, which would aid market development. Wuling capsules have been added to the basic drug lists in Zhejiang, Shanghai, Guangdong, and Xinjiang [7] Group 5: Internet Marketing Opportunities - The company currently lacks the necessary permits for online drug sales, and licensed online pharmacies can purchase products directly from pharmaceutical companies without authorization. However, the company is monitoring the impact of internet development on product sales [8]