_Private sector coverage of the fandly planning marker_ _27_

# sales. In these cases, there will be a continuing need to subsidize both commodities and promotion.

Creating informed consuner demand. The objective of any marketing effort is create consumer demand, in this case, for modem contraceptives. This requires market research to track consumer attitudes and behaviors. Because awareness is the easiest component of behavior change to address, there is a tendency to respond to any marketing situation by increasing advertising, and many projects continue advertising long after their brand has high recognition. In Sri Lanka, for example, advertising to raise awareness was continuing although Preethi condoms had about 95 percent awareness and had practically become the vernacular term for condom. Resources should have been redirected to satisfying other informational needs.

Once awareness is established, marketing should shift to creating interest in the new product; providing knowledge about its benefits, how to use it properly, and its source of supply; or encouraging trial. This strategy was adopted in Turkey, where many women already had previous but unfavorable experiences with modern methods. Over half of current pill users used higher dose pills which caused niany side effects. Consumers and doctors were not aware of low-dose brands. A mass media campaign will promote low-dose pills, and the project plans to train physicians and pharmacists to inform clients about product use and side effects.

A similar information problem was found in Haiti. Acceptance of oral contraceptives was high, but continuation was low. Women had limited knowledge of the pill and how it worked; at the slightest problem or side effect they would drop or switch brands, creating even worse side effects. A 15minute educational 'soap opera' was produced, to discredit rumors and explain how to use pills correctly.

Setting prices. CSM products must be priced low enough to be accessible to low-income consumers without being so low that consumers question product quality or that adequate profit levels are no longer possible. The ability of the consumer to pay is the first consideration. A common product purchased by low income consumers-a beer, a bus ticket, a bar of soap or cigarettes-may be used to establish a price by analogy. Income levels may also be used to set prices; a month's worth of contraceptives should not exceed two percent of the minimum monthly wage.

The next consideration is cost-recovery. Prices should aim to cover product costs and marketing expenses, to ensure that the project will have adequate resources to continue to obtain and market contraceptives once markets are established. Cost-recovery pricing usually does not include the costs of initial advertising and market research, which are not intended to be recouped from sales.

Pricing decisions are refined through break-even analyses to determine sales volume levels where costs will equal revenues at various prices. If low-income consumers can not afford full costrecovery prices, projects may need to subsidize prices. At the least, distribution costs should be included in the price margins and fully covered by sales revenues.

Evaluation of CSM impact. During 1988-89, SOMARC funded CSM projects in 29 countries. Table _5_ lists the countries and products which participated. Condoms were sold in 25 countries; with the exception of India and Indonesia, all condom brands were donated. Oral contraceptives were sold in 19 countries; 11 countries relied solely on donated commodities, six countries solely on locally available commodities, and two countries sold both donated and locally available brands. Spermicides were sold in 11 countries; with the exception of Colombia and Peru, all spermicides were donated. IUDs and injectables were sold in five and two countries, respectively.

Evaluation of the output and impact of CSM has relied heavily on sales data, as the commercial sector is driven by volume and profit margins. Consumer intercept studies are used to assess the degree to which CSM either attracts users of other brands or users new to the contraceptive method.