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Yaz Is Bayer's Top Seller Despite Blood Clot Suits, Ad Woes

By Jim Edwards | Jun 23, 2009

Bayer’s Yaz and Yasmin contraceptives appear to be recession- and scandal-resistant superbrands, if recent reports are to be believed. Bayer hit back at a German newspaper that reported the company was cutting back on pill production due to decreased demand. The original report, per Reuters, said:

… Bayer Schering Pharma, plans to cut production by a quarter this year to 180 million packing units, the newspaper said in a report which will be published in its June 21 edition.

But Bayer said the report was wrong:

“Revenue from our Yasmin product family continues to rise as planned,” a Bayer spokesman told Reuters on Sunday.

Yasmin is Bayer’s best-selling pharmaceutical product group. In the first quarter of 2009, Bayer reported sales of 319 million euros ($443.2 million) for the Yasmin range, a 7.4 percent year-on-year gain.

Those sales gains came despite the FDA forcing Bayer to spend an extra $20 million on “corrective” advertising to rebuff claims the company previously made that Yaz cures acne and PMS (it doesn’t).

And they come after some attorneys have linked Yaz’s unusual formula to fatal blood clots, the exact same condition that prematurely killed Johnson & Johnson’s Ortho Evra birth control patch.

A glance at the books of J&J and Novartis – whose Sandoz unit is a big maker of contraceptives — shows that J&J’s pill portfolio is now too small to be broken out in its financial releases and sales at Sandoz are in decline (although not for specifically pill-related reasons).

Bayer has thus achieved the impossible: a brand with increasing sales despite mistakes and scandals in a category riddled with generics.

Pictured: 1980’s synth-pop duo Yaz.

Jim Edwards, a former managing editor of Adweek, has covered drug marketing at Brandweek for four years, and is a former Knight-Bagehot fellow at Columbia University's business and journalism schools. Follow him on Twitter or send him an email.

BNET User Analysis

Web Buzz:
  • Why did Bayer cut Yasmin plant shifts?

    Fierce Pharma - 154 days 12 hours 45 minutes ago

    Is Bayer's Yasmin line in trouble? A German newspaper over the weekend quoted sources saying that the company's pharma unit planned to cut contraceptive pill production by one-fourth this year. The production facilities would work in three shifts instead of five and produce 180 million packing units instead of 240 million, the paper said. But a...

  • New safety probe for Bayer contraceptive

    Fierce Pharma - 56 days 12 hours 12 minutes ago

    Swiss officials are jumping into the debate over the safety of Bayer's (BAYRY) contraceptives, investigating a possible link between the deal of a woman from a blood clot 10 months after she was prescribed the low-dose pill Yaz. Both Swissmedic and an investigative judge are probing the death. The case comes at a time when Yaz and its sister...

  • Swissmedic to investigate safety of Bayer's contraceptive Yaz

    Scrip News - 53 days 12 hours 28 minutes ago

    Swissmedic, Switzerland's medicines regulator, is to further investigate Bayer's oral contraceptive pill Yaz (drospirenone plus ethinylestradiol) following the sudden death of a young woman there in mid-September. The woman died of a

  • Suits Claim Bayer's Yaz Caused 50 Deaths; Novel Theory of Blood Clot Causation

    BNET Pharma - 132 days 12 hours 26 minutes ago

    Bayer has been hit with four federal suits claiming its Yaz and Yasmin birth control pills caused 50 deaths, according to the National Law Journal. The cases were brought by Janet G. Abaray (pictured) and others, the same lawyers who won $68 million to settle hundreds of cases brought by women who suffered blood clots while using Johnson &...

  • Bayer's Advertising for Contraceptive Yaz Was "Misleading"

    BNET Pharma - 286 days 1 hour 35 minutes ago

    Bayer will run a $20 million corrective ad campaign for its contraceptive brand Yaz to settle a case where it was accused of deceptive advertising. The news cements Bayer's reputation as the most ethically challenged pharma company in the business -- it is only the latest in an increasingly long string of citations and settlements in which Bayer...

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    1

    etoczko

    06/23/09 | Report as spam

    YAZ has amazing marketing

    They do amazing marketing, don't they, these big pharma companies. Even when there are generics with the exact same makeup still still create an attitude of exclusivity. I think the name YAZ just gets girls excited about not having a period. But not having acne and curing PMS, must be a wonder drug right? Wrong.

    Eric @ JAZD Life Sciences

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