I pointed out several months ago that Takeda is spending more money on its quirky Rozerem direct to consumer (DTC) ad campaign than it is making in sales of the beleaguered sleep aid product (see “Rozerem DTC Emperor (Still) Has No Clothes” and previous posts found referenced there).

While some DTC experts questioned whether this was true (see “What is a Marketer’s Goal: Legacy or Sales Today!?“), I now have independent verification that Rozerem DTC return on investment is definitely in NEGATIVE territory!

As reported today in the Chicago Tribune (“Takeda dreams of waking slumbering pill’s sales“):

“In the first quarter of this year Takeda spent more than $40 million on Rozerem ads, TNS Media Intelligence figures show, and the company reported $26 million in sales during the same period.”

ROI = ($0.35)

I think that’s right.

If not, here’s another way to put it: for every dollar Takeda is spending on its Rozerem DTC campaign, it is only making $0.65 in sales!

How long can this lunacy continue? You tell me!

BTW, here’s Takeda’s defense:

“We are patient and we know it takes time,” said Andy Hull, senior vice president of marketing at Takeda. “We think it is important to educate patients about a safer insomnia product.”

Education, smeducation! Andy, baby, you’re drinking your own Kool-Aid! DTC educates? — NOT!

Does anyone agree with me that this guy should be fired?!