Harvard Case - Cancer Screening in Japan: Market Research and Segmentation
"Cancer Screening in Japan: Market Research and Segmentation" Harvard business case study is written by John A. Quelch, Margaret Rodriguez. It deals with the challenges in the field of Marketing. The case study is 27 page(s) long and it was first published on : Jan 29, 2014
At Fern Fort University, we recommend a multi-pronged marketing strategy for the introduction of new cancer screening technologies in Japan. This strategy focuses on creating awareness, building trust, and addressing specific concerns within the target market segments. It leverages a combination of digital marketing, targeted advertising, and strategic partnerships to drive adoption and ultimately improve public health outcomes.
2. Background
The case study focuses on the challenges faced by a company introducing new cancer screening technologies in Japan. The Japanese market is characterized by:
- High healthcare costs: The Japanese population is aging, and healthcare costs are rising.
- Low cancer screening rates: Despite the high prevalence of cancer, screening rates remain low due to cultural factors, cost, and limited access.
- Strong cultural values: Japanese society emphasizes collectivism and trust in medical professionals.
The main protagonist is a company developing innovative cancer screening technologies, seeking to gain market share in this challenging environment.
3. Analysis of the Case Study
Market Segmentation:
- Age: Target segments should include individuals aged 40 and above, considering the increased risk of cancer with age.
- Gender: Target segments should include both men and women, as different cancers affect each gender differently.
- Income: Target segments should include individuals with varying income levels, considering the cost of screening.
- Health awareness: Target segments should include individuals with varying levels of health awareness, considering the need to educate and motivate them.
Consumer Behavior Analysis:
- Fear of diagnosis: Many Japanese individuals are hesitant to undergo screening due to fear of a positive diagnosis.
- Trust in medical professionals: Japanese individuals highly value the opinions of their doctors and are likely to follow their recommendations.
- Cost concerns: The cost of screening can be a barrier for some individuals.
- Limited awareness: Many individuals are not aware of the benefits of early cancer detection.
Competitive Analysis:
- Existing screening methods: The company needs to differentiate its technologies from existing screening methods by highlighting their advantages, such as accuracy, speed, and affordability.
- Competition from established players: The company needs to compete with established players in the Japanese market by offering a unique value proposition and building strong brand recognition.
SWOT Analysis:
Strengths:
- Innovative technology: The company possesses advanced cancer screening technologies.
- Strong research and development capabilities: The company has a strong track record of innovation.
- Potential for cost reduction: The company's technologies could potentially reduce the cost of screening.
Weaknesses:
- Limited brand awareness: The company is relatively new to the Japanese market.
- Lack of established distribution channels: The company needs to develop a strong distribution network.
- Potential cultural barriers: The company needs to overcome cultural barriers to adoption.
Opportunities:
- Growing demand for cancer screening: The aging population and increasing awareness of cancer are driving demand for screening.
- Government initiatives: The Japanese government is promoting cancer screening through various initiatives.
- Potential for partnerships: The company can partner with healthcare providers and insurance companies to expand its reach.
Threats:
- Competition from established players: The company faces competition from established players with strong brand recognition.
- Economic downturn: An economic downturn could reduce consumer spending on healthcare.
- Regulatory hurdles: The company needs to navigate regulatory hurdles to obtain approval for its technologies.
4. Recommendations
Marketing Strategy:
- Target Market Segmentation: Focus on specific segments based on age, gender, income, and health awareness.
- Brand Positioning: Position the company as a leader in innovative cancer screening technologies, emphasizing accuracy, affordability, and convenience.
- Value Proposition Development: Clearly communicate the benefits of early cancer detection and the unique value proposition of the company's technologies.
- Marketing Mix (4Ps):
- Product: Offer a range of screening technologies tailored to different needs and risk profiles.
- Price: Develop a competitive pricing strategy, considering the target market and the value proposition.
- Place: Establish a strong distribution network through hospitals, clinics, and pharmacies.
- Promotion: Leverage a mix of digital marketing, targeted advertising, and public relations to raise awareness and build trust.
Digital Marketing Strategies:
- Website Optimization: Develop a user-friendly website with comprehensive information about the company's technologies and services.
- Search Engine Optimization (SEO): Optimize the website for relevant keywords to improve search engine rankings.
- Social Media Marketing: Engage with target audiences on social media platforms, sharing educational content and promoting the benefits of early cancer detection.
- Content Marketing: Create valuable and informative content, such as blog posts, articles, and videos, to educate and engage potential customers.
Strategic Partnerships:
- Healthcare Providers: Partner with hospitals, clinics, and other healthcare providers to offer screening services.
- Insurance Companies: Collaborate with insurance companies to offer coverage for screening services.
- Government Agencies: Work with government agencies to promote cancer screening and raise awareness.
Public Relations:
- Media Outreach: Engage with media outlets to generate positive coverage of the company and its technologies.
- Public Speaking Events: Organize public speaking events to educate the public about cancer screening.
- Community Engagement: Participate in community events to raise awareness and build trust.
Customer Relationship Management (CRM):
- Data Collection and Analysis: Collect data on customer interactions to understand their needs and preferences.
- Personalized Communication: Develop personalized communication strategies to engage with customers.
- Customer Loyalty Programs: Implement loyalty programs to incentivize repeat business.
5. Basis of Recommendations
These recommendations are based on a thorough understanding of the Japanese market, consumer behavior, and the competitive landscape. They consider the following factors:
- Core competencies and consistency with mission: The recommendations align with the company's core competencies in technology and innovation, and its mission to improve public health outcomes.
- External customers and internal clients: The recommendations address the needs of both external customers and internal clients, including healthcare providers and insurance companies.
- Competitors: The recommendations aim to differentiate the company from its competitors by focusing on innovation, value proposition, and customer experience.
- Attractiveness ' quantitative measures if applicable (e.g., NPV, ROI, break-even, payback): The recommendations are expected to generate a positive return on investment through increased market share, brand awareness, and customer loyalty.
- Assumptions: The recommendations are based on the assumption that the company's technologies are effective and safe, and that the Japanese market is receptive to new cancer screening solutions.
6. Conclusion
By implementing a comprehensive marketing strategy that leverages digital marketing, strategic partnerships, and public relations, the company can effectively introduce its innovative cancer screening technologies to the Japanese market. This strategy will help to build brand awareness, educate consumers, and drive adoption, ultimately contributing to improved public health outcomes.
7. Discussion
Other Alternatives:
- Focus solely on digital marketing: While digital marketing is crucial, relying solely on it may not be sufficient to overcome cultural barriers and build trust.
- Aggressive pricing strategy: Offering extremely low prices could undermine the perceived value of the technologies.
- Ignoring the importance of partnerships: Building partnerships with key stakeholders is essential for reaching the target market and gaining credibility.
Risks:
- Technological advancements: Rapid technological advancements could make the company's technologies obsolete.
- Regulatory changes: Changes in regulations could impact the company's ability to operate in the Japanese market.
- Economic downturn: An economic downturn could reduce consumer spending on healthcare.
Key Assumptions:
- The company's technologies are effective and safe.
- The Japanese market is receptive to new cancer screening solutions.
- The company can successfully navigate regulatory hurdles.
8. Next Steps
Timeline:
- Month 1-3: Develop a comprehensive marketing plan and secure necessary resources.
- Month 4-6: Launch digital marketing campaigns and build partnerships with key stakeholders.
- Month 7-9: Begin product launches and monitor market response.
- Month 10-12: Refine marketing strategies based on market feedback and continue to expand reach.
Key Milestones:
- Develop a comprehensive marketing plan.
- Launch a user-friendly website and social media channels.
- Secure partnerships with key stakeholders.
- Launch product introductions in target market segments.
- Monitor market response and adjust marketing strategies accordingly.
By taking these steps, the company can effectively introduce its innovative cancer screening technologies to the Japanese market and achieve its strategic goals.
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Case Description
Since founding CancerScan in 2008, Jun Fukuyoshi and Yoshiki Ishikawa had helped to improve cancer screening rates in Japan. Between 2005 and 2007, awareness of breast cancer in Japan rose from 55% to 70%, but the incidence of breast cancer screenings remained constant. Jun and Yoshiki applied marketing research techniques to increase the screening rate for breast cancer, a disease which killed over 12,000 Japanese women in 2011. Cancer screening initiatives accounted for 60% of the company's 2013 sales of $2.5 million.
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