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Pharma companies spend way more on marketing than R&D

Pharma companies spend way more on marketing than R&D

Big pharmaceutical companies spend a lot on sales and marketing: Nine out of 10 of the largest pharmaceutical companies spent more on this than on R&D in 2013. In a recent episode, John Oliver lampooned the pharma industry for spending tens of billions of dollars per year on marketing to physicians, and spending more on marketing than R&D. But how unusual is that really?

To put the data in context, Randy Olson charted spending on sales and marketing versus R&D for the pharma, technology and automotive industries. The graph is evidence that pharmaceutical companies do spend relatively more on marketing than other industries.

Graph republished courtesy of Randy Olson.

Ana Swanson | March 5, 2015 at 9:12 am
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