The New Weight Loss Pill

1892 Words Nov 9th, 2015 8 Pages
1. Problem Statement: CSP is faced with a decision to come up with the best pricing strategy for the launch of their new weight loss pill named Metabical in order to better address the needs and wants of their targeted consumers and optimize profit.

2. Situation Analysis:


• 400 million in Research and Development for the new diet pill Metabical
• Highly experienced marketing manager (20years in the pharmaceutical field)
• Metabical is FDA approved
• Metabical is the first prescription drug approved specifically for overweight individuals.
• Metabical has less side effects than other diet pills on the market
• Not compatible for individual having a BMI of 30 and over
• Metabical is designed only for moderate weight loss goals (10-30 lbs.) with BMI less than or equal to 25
• Overweight consumers are dissatisfied with current offering on the market due to strong side effects
• Consumers had bad experience with previous dietary drugs
• Weight lost drugs are not covered by insurance companies
• Competition comes from Alli, OTC and herbal supplements, Weight Watchers, Jenny Craig, Gym Membership
• For safety concerns with OTC weight-loss drugs, many overweight individuals shifted to other options such as diet plans and healthy eating habit and exercise.
• Competitors product has more side effects than Metabical

• Weight loss is a high concern for the U.S society
• 35% of overweight Americans are looking to lose weight
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