Pfizer Enters New Product Cycle With Strong Potential

Pfizer is one of those companies whose competitors quietly admit toadmiring, as it seems consistently to make the good decisions needed to keep its pipeline lean and yet full of solid-potential products.

In its results statement for the second quarter and first half of 1997 (Marketletter July 21), Pfizer says it is planning to spend $2 billion on R&D during the year (around 16% of anticipated group sales), which is a rise of 16% over last year's figure and represents one of the highest spending levels in the industry. The company also says it is set to embark on a new round of product introductions which will drive growth at the group as some of its older products start to plateau or decline.

Mainstay Products Pfizer has been able to minimize the effects of competition on some of its mainstay products, eg the calcium antagonist Procardia XL (nifedipine; sales down 14% to $168 million) and antifungal Diflucan (fluconazole; sales down 4% to $216 million), by growing some of its other lines and entering into strategic copromotion alliances, leveraging the potential of some rising star products with Pfizer's marketing muscle.