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The paper is the culmination of research on corrective advertising undertaken for the birth control Yaz.
Citation preview
1
In 2009, the FDA ordered the drug company Bayer to run corrective advertising for its
oral contraceptive Yaz. The FDA charged that the television commercials were misleading about
what conditions besides pregnancy prevention Yaz could help. Bayer agreed to the settlement
and started running the new commercials. However, the company’s lack of corporate
responsibility, its history of running misleading advertising, and the legal repercussions from
women who were injured taking the pill for conditions it could not control will make it difficult
for Yaz, and its sister drugs Yasmin and Ocella, to regain its position in the birth control market.
Yaz commercials falsely claimed to cure “pimples or facial acne” and “get rid of PMS
symptoms” (“Yaz Birth Control,” 2010). “Reguators say the ads overstated the drug’s ability to
improve women’s moods and clear up acne, while playing down its potential health risks”
(Singer, 2009). The Food and Drug Administration approved the drug as effective for “moderate
to severe” acne (“Yaz: Popular Birth Control,” 2010). However, it was not approved to
completely treat acne, unlike what the advertising claimed (Bremner, 2009). The drug also
claimed to help users lose weight (Bremner, 2009). However, the lost weight was just water
weight, and the drug did that by potassium retention, which can cause heart problems (Bremner,
2009). The FDA, which sent warning letters to Bayer about the “Balloons” and “We’re Not
Gonna Take It” ads (Myers, 2008), said the ads were misleading because they “encourage use of
YAZ in circumstances other than those in which the drug has been approved,” “over-promise the
benefits” and “minimize the risks associated with Yaz” (Zoll, 2009).
Yaz advertising made more false claims and insinuations, such as suggesting that the pill
could help control pre-menstrual syndrome (“Premenstrual Syndrome,” 2008). The FDA
approved Yaz to counter the effects of PMDD, or premenstrual dysphoric disorder (Bremner,
2009). PMDD is not the same as PMS On the Yaz Web site, Bayer said that “YAZ is the ONLY
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birth control proven to treat premenstrual dysphoric disorder” (“PMS or PMDD”), and defines it
as “a condition with emotional and physical premenstrual symptoms severe enough to impact
your life” (“Go Beyond Birth Control”). PMDD differs from PMS in that it “occurs when
premenstrual symptoms are severe enough to impact your life,” while PMS is “a less serious
cluster of symptoms occurring before your period” (“PMS or PMDD”). PMDD symptoms
include bloating, change in appetite, headaches, muscle aches, anxiety and irritability (“Go
Beyond Birth Control”), all of which are listed as PMS symptoms by the Mayo Clinic
(“Premenstrual Syndrome,” 2008). The clinic also recognizes PMDD as similar to PMS,
seconding Bayer’s definition of PMDD as similar to PMS except for the “severity of its
symptoms and its impact on relationships and daily activities” (“Premenstrual Dysphoric
Disorder,” 2008). The clinic also notes that “the cause of PMDD isn’t clear” (“Premenstrual
Dysphoric Disorder,” 2008).
There can be a lot of confusion over whether a woman has PMS or PMDD, especially
because the symptoms for both are similar. In fact, even though PMDD is more severe and more
rare than PMS, many women have “physical pain and emotional distress” that is “severe enough
to affect their daily routines and activities,” but is still classified as PMS rather than PMDD
(“Premenstrual Syndrome,” 2008). Only up to 10 percent of women suffer from PMDD
(“Premenstrual Dysphoric Disorder,” 2008), while “at least 85 percent of menstruating women
have at least one PMS symptom as part of their monthly cycle” (“Premenstrual Syndrome,”
2007).
This confusion plays a large part in why the television ads suggesting that Yaz could
control PMS were misleading. The ads, playing empowering songs like “We’re Not Going to
Take It” and “Goodbye to You,” showed women kicking away balloons that had symptoms such
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as “muscle aches,” “irritability” and “bloating” written on them (Bremner, 2009). These are
symptoms of PMDD and PMS, but the distinction was not made. This lack of information made
it seem like the birth control would help control PMS, which it was not authorized to do.
However, birth control, among other medications, can help PMDD. “Oral contraceptives stop
ovulation and stabilize hormone fluctuations, which reduces mood swings” (“Premenstrual
Dysphoric Disorder,” 2008). Yaz can help with PMDD (Carver, 2010), and was approved by the
FDA to do so (“Yaz Gallbladder Disease,” 2010); the claims on Yaz’s Web site that it can treat
the PMDD are correct (“Go Beyond Birth Control”). However, it is not meant to improve regular
PMS, nor is Yaz approved for PMS treatment (“Yaz Birth Control,” 2010).
The FDA issued Bayer a warning letter in October 2008 (Myers, 2008). Since then, the
FDA and 27 state attorneys general have ordered Bayer to run corrective advertising (Singer,
2009). The drug company complied, and in February 2010, it “agreed to spend $20 million on
the campaign and for the next six years to submit all Yaz ads for federal screening” (Singer,
2009). However, as part of the settlement, Bayer has not admitted that it “engaged in deceptive
advertising or committed any wrongdoing (Singer, 2009).
Other drug companies have had advertising scandals as well. In 2009, the drug company
Pfizer pleaded guilty to a criminal charge for “misbranding [its drug] Bextra with the intent to
defraud or mislead” (Adams, 2009). Mike Adams, the editor of NatutralNews.com, summarized
the Department of Justice documents by saying, “Essentially, Pfizer asked the FDA to approve
Bextra for a variety of diseases and conditions, and when the FDA refused those approvals,
Pfizer decided to go ahead and market the drugs for those diseases and conditions anyway (Off-
label marketing)” (Adams, 2009). Pfizer is also in trouble for “illegally promoting” three other
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drugs: Geodon, Zyvox and Lyrica (Adams, 2009). Pfizer is paying over $2 billion in fines, and
the “multi-billion dollar settlement is the largest in the history of the DOJ” (Adams, 2009).
Pfizer and its rival Merck were also involved in a scandal with their drugs Celebrex and
Vioxx, respectively. Critics said there was “lax drug safety regulation coupled with over-
advertising that caused consumers to take pricey drugs they didn’t need” (Herper, 2007). Both
companies underplayed the heart risks associated with the drugs. The FDA refused to let Vioxx
return to the market after its recall (Herper, 2007). Mike Rea, the managing director of
IdeaPharma, a pharmaceutical drug marketing firm, said, “From a pharmaceutical marketing
perspective it was beautiful. “This was a market waiting for a brand. The audience was sold
something they didn’t need but definitely really wanted” (Colyer, 2010). Rea said the companies,
though they talked about some of the side effects, underplayed others (Colyer, 2010).
In fact, Yasmin, Yaz’s sister drug, was also involved in an advertising issue. In 2003,
when the drug was owned by Berlex Labratories, the FDA sent a letter warning against the pill’s
marketing (Singer, 2009). It contended that Berlex’s ads were “implying the pills were superior
to other oral contraceptives and for minimizing risks specific to the drug” (Singer, 2009).
These were not the only scandals that have rocked the pharmaceutical world. In 2007, the
FDA ordered Novartis to pull its Zelnorm advertising (Herper, 2007). Novartis also got in
trouble in 1996, and the FTC ordered the company to run advertising on Doan’s, the first
corrective advertising campaign it had ordered in 25 years (Mazis, 2001). Pfizer’s Lipitor
commercials featuring Dr. Robert Jarvik came under fire in 2008 by a congressional committee
for showing the scientist in a misleading manner (“Lipitor Commercials,” 2008). Yaz is
definitely not the first drug to be in trouble because of its advertising methods since the FDA
allowed direct-to-consumer advertising in 1985 (Sheehan, 2004). Often, scandals involve
5
consumers not receiving information about health risks. The FDA’s DDMAC division “has
voiced concerns that marketers overemphasize drug efficacy while downplaying the major
statement” (Sheehan, 2004). Yaz is just one of many drugs that has gotten into trouble for its
advertising.
Bayer does not have a good track record with deceptive advertising, including claiming
medicines do things that they do not. In 2008, the FDA sent a warning letter to the company for
marketing two products, Bayer Women's Low Dose Aspirin + Calcium (Bayer Women's) and
Bayer Aspirin with Heart Advantage (Bayer Heart Advantage), the FDA had not approved
(“FDA Issues Warning,” 2008). Not only had the two drugs not been reviewed, they were also
claiming that they reduce the risk of heart disease, and Bayer Women’s claimed to help with
osteoporosis (“FDA Issues Warning,” 2008). Neither of those claims had been reviewed or
approved for those issues, and without approval, they were not supposed to be sold over the
counter (“FDA Issues Warning,” 2008).
In 2007, Bayer ran up against the FTC with its ads for One-A-Day weight Smart, which
claimed to increase metabolism and prevent weight gain (“Federal Trade Commission,” 2007).
The FTC said that Bayer was making unsubstantiated claims, which violated a 1991 Commission
order that “all claims about the benefits of One-A-Day brand products to be substantiated by
competent and reliable scientific evidence” (Federal Trade Commission,” 2007). It was forced to
pay a $3.2 million penalty (Federal Trade Commission,” 2007). The National Advertising
Division has also caught Bayer making false claims several times. The NAD said that Bayer’s
All-Day Energy multivitamin does not actually last all day, Bayer was lying about Aleve being
the No. 1 medicine among orthopedic surgeons, and it was making “unsubstantiated claims about
rivals to its Ascencia diabetes blood glucose monitor” (Edwards, 2009).
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Bayer has several factors working against it in the crisis. One such factor is its bad track
record with false advertising and unsubstantiated claims. Because the company has a history of
smudging the facts about its products, and has been fined for past false claims, it does not have a
leg to stand on. In fact, it did not even admit guilt to running deceptive advertising (Singer,
2009). This will make it harder for Bayer to give a sincere and believable apology. The company
cannot claim that it has a history of being careful with its drug advertising and that this is a one-
time error that it will quickly correct. Bayer’s track record of advertising issues could lead to
further mistrust among the general public, and hurt Yaz’s chances of regaining its standing
among oral contraceptives.
Another problem for the company is that Yaz and Yasmin, another fourth-generation
birth control with drospirenone, a “synthetic form of progestin” (“Yaz Birth Control Recall,”
2010), are also the subject of new lawsuits (“Yaz Injuries,” 2010). The injury lawsuits “all allege
serious injuries and in some severe cases death” caused by the drugs (“Yaz Injuries,” 2010).
Because of the high number of suits being filed across the country, lawyers are beginning to call
this the “newest mass tort” (“Yaz Injuries” 2010). Even though Bayer is running corrective
advertising, many attorneys expect the number of lawsuits to rise. According to David Zoll of
Zoll, Kranz & Borgess in Toledo, Ohio, “Even with the new ads, the warnings are still grossly
inadequate” (“Yaz Injuries,” 2010). Zoll’s law firm is one among many offering services for
those injured by the drug after the advertising “minimized the risks” of the pill (Zoll, 2009), and
ended up killing 50 people and severely injuring others (“Yaz and Yasmin,” 2010). Many
women were deceived by it and have even had severe health issues because of it (“Yaz Injuries,”
2010). The lawsuits are pouring in (“Yaz Injuries,” 2010), and with each new suit, along with
evidence of the harm the oral contraceptive pill caused, Bayer’s standing decreases.
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One problem the drug company is facing is its own success: Yaz was “the most popular
birth control pill in the United States” (Singer, 2009). In fact, Yasmin is Bayer’s “best-selling
pharmaceutical product group” (Edwards, 2009). Bayer saw an overall decline in sales
throughout 2009, with a 20.9 percent decrease (“Yaz, Yasmin, Ocella,” 2009). It has also had
losses overseas because of the “global crisis” (“Yaz, Yasmin, Ocella,” 2009). In light of both the
advertising issues and the lawsuits about the drug’s safety, Yaz will have a hard time regaining
its position in the market. In fact, in all likelihood it will never again be in the top position.
Yaz’s success can also help the company. Though the pill had a marked decrease in
consumer consumption, not everyone has stopped taking it. Bayer’s biggest-selling drug is still
Yaz, despite the over 1,100 lawsuits the company is facing from women who claim the drug
causes blood clots (Edwards, 2009). The internet is full of positive comments about Yaz and
Yasmin (Cornforth, 2003). Though some comments are from a couple years ago, the fact that
they’re still very visible in internet searches means that women might, after seeing the positive
reviews from other women, be inclined to try it.
Bayer’s showing of corporate social responsibility is another thing in Yaz’s favor. The
company is cooperating with the FDA and running corrective advertising as ordered. In addition,
it is being careful about adding warning labels to the product. On April 9, 2010, Bayer
announced that it was adding warning about potential blood clots to the Yaz and Yasmin
packaging (“New Safety Label,” 2010). “In cooperation with the Food and Drug Administration,
the company said it added new labeling stating that the risks of blood clots with Yaz and Yasmin
are similar to those with other oral contraceptives” (“New Safety Label,” 2010). This shows
consumers that Yaz is taking the crisis seriously and is doing what it can to prevent further
misunderstandings.
8
Bayer’s threats to any continued success of Yaz, besides the scandal, are its competition
from other oral contraceptives. Seasonique, currently produced by Teva (“Bayer reports,” 2010),
is marketed as a birth control that decreases women’s menstrual periods from 12 to four a year
(“Seasonique,” 2010). If fewer women are willing to take Yaz – and Yasmin and Ocella, its
sister pills – then Seasonique’s market share, as well as that of other oral contraceptives, could
rise and eclipse Yaz.
Though Bayer is attempting to keep Yaz on the market and comply with the FDA rather
than remove the pill, its status has been damaged. The company is facing over 1,100 lawsuits
over the drug (Edwards, 2009), and the internet is flooded with sites offering legal services to
anyone wishing to sue Bayer. Because it is a popular oral contraceptive and because many
women have reported good experiences, it is unlikely that the pill will disappear entirely from
the market. However, Yaz’s downfall is very public, especially with the repeated reminders of
what happened flashing across the screen in the form of corrective advertisement. Every time the
woman in the new commercial talks about Yaz’s previously “unclear” messages (Singer, 2009),
people will be reminded of the previous deceptive advertising and Yaz’s ongoing struggle to
remain afloat. Though the drug will likely remain on the market for the foreseeable future, it will
probably not retain its position as the best-selling oral contraceptive (Singer, 2009).
Advertising is a major component of the of Bayer’s response to the crisis. The FDA
ordered the drug company to spend $20 million on a corrective advertising campaign, as well as
submit all Yaz advertising for review for the next six years. The advertising is intended to more
clearly define what Yaz is approved for, and the risks associated with it. According to the New
York Times, a Bayer spokesperson said, “The ad for Yaz was revised to more clearly state the
indications for Yaz” (Singer, 2009). The new ads show an actress looking directly into the
9
camera as she says, “You may have seen some Yaz commercials recently that were not clear.
The F.D.A. wants us to correct a few points in those ads” (Singer, 2009). The ad goes on to
address the differences between PMDD and regular PMS, and also that Yaz is approved to treat
serious, not moderate, acne (Unquid, 2009).
The advertisement is a major part of the brand’s communications strategy, but Bayer
cannot be applauded for choosing the advertisement as a way of warning current and potential
consumers. As the commercial states, the FDA ordered Bayer to run the ad, and spend a required
amount of money on the campaign. The company also began running magazine ads about the
product. “New print ads, in national magazines like Lucky and Elle, give detailed information
about Yaz, but do not indicate they are meant to correct earlier television ads” (Singer, 2009).
Though other companies, as noted above, have faced advertising controversy, the FDA
does not always come down on them like it did on Bayer and Yaz. In fact, it is “unusual” for the
FDA to require any sort of corrective advertising (Singer, 2009). According to the New York
Times,
‘They rarely require these corrective campaigns,’ said Judy Norsigian, the executive director of Our Bodies Ourselves, a health education and women’s advocacy group in Cambridge, Mass. But she said the popularity of the Yaz brand and the misleading ads had demanded a rare punishment. “These ads should never have been out there,” Ms. Norsigian said (Singer, 2009).
Many approve of the FDA’s ruling, including Professor of pharmacy administration
Bruce L. Lambert. However, Lambert believes the ads won’t really hurt Bayer. “He referred to
the corrective $20 million ad campaign for Yaz as ‘chump change’ and ‘just the cost of doing
business’” (Singer, 2009). Nor does he feel that the ads will have a long-term effect. “I don’t
think [misleading advertising] is likely to stop unless there are more significant consequences”
(Singer, 2009).
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Beyond the corrective advertising, Bayer does not appear to have done much to stem the
crisis. In fact, it appears to be relying solely on the advertising, and perhaps Yaz’s standing and
market share, to do the job. The Yaz Web site is careful to outline potential risks and define the
difference between PMDD and PMS (“Going Beyond Birth Control”), since that has caused
quite a bit of controversy. In fact, a link to information about PMDD is prominently displayed on
the Yaz homepage (“Going Beyond Birth Control”). The other major component of the crisis
management is that Bayer put out an announcement that it recently updated its labels about the
risks of taking Yaz (“Going Beyond Birth Control”). Bayer’s press release indicates that the
updated labels were also mandated by the FDA. The statement begins by saying, “In full
agreement with the U.S. Food and Drug Administration . . .” (“Going Beyond Birth Control”).
Kemal Malik, MD, the chief medical officer at Bayer, said,
The FDA’s thoughtful and balanced analysis will provide helpful information for healthcare professionals to use when they are providing guidance and counsel to patients. In weighing the evidence on the relative risk of combination oral contraceptives, the FDA has underscored the importance of protocol methodology on the outcomes and findings of scientific studies and we appreciate the rigor they have applied to their analysis. (“Going Beyond Birth Control”)
The press release also contains warning information about the drug, and urges those
with health-related problems to contact the FDA. Malik said, “At Bayer, our
unwavering commitment to our customers’ health and well-being is always our first
priority and we will continue to provide information which will support health care
providers and their patients in making informed decisions about appropriate treatment
choices” (“Going Beyond Birth Control”).
Bayer does not ask customers to take many actions regarding the product. The
company included the standard “talk to your doctor about Yaz” (Unquid, 2009) that is
11
in many drug commercials. The line seems to have two uses: to get women to consider
getting on the pill, and to secure their lack of liability since they urge women to talk to
doctors about the birth control before they start taking it. Another major call to action
is that Bayer urges women who have Yaz-related health problems to contact the FDA.
The press release said, “You are encouraged to report negative side effects of
prescription drugs to the FDA. Visit www.fda.gov/medwatch, or call 1-800-FDA-
1088” (Yaz). The only other major call to action is directed toward women who are
interested in taking the pill. “Women who would like to learn more about YAZ should
call the toll-free number 1-888-84-BAYER or visit www.yaz-us.com” (“Going
Beyond Birth Control”). Two of the three major calls to action urge women to get
information about Yaz so they can consider taking it and Bayer can gain more profits.
Only one, urging women to contact the FDA if they have problems with the pill, is
related to crisis management, and is quite possibly ordered by the FDA like the
corrective advertising.
Corporate social responsibility has become an important asset for companies.
“CSR is a citizenship function for ‘mutually beneficial exchange’ between an
organization and the public” (Lee, 2010). Companies are responsible to the public for
the content of their products and should act on that responsibility to deliver safe items
to and be honest with consumers.
Yaz has not been socially responsible. It distorted its message, in the form of
advertising, to make consumers believe the product did one thing – that is, that Yaz
could control PMS – when it could not control it and was not approved for it. Yaz was
also not honest about the kind of acne it could help with; the messages made it seem
12
like anyone with acne could use the oral contraception to control it, when it fact they
cannot. Yaz has since corrected the message, but only because it was ordered to by the
FDA. The company did not take the step of realizing it was distributing a misleading
message and fix it.
The corrective advertising seems to have done little to fix the public opinion
about the company. In fact, things for the company are not looking good; Bayer has
reported that 1,100 lawsuits have been filed against the company because of the harm
Yaz has caused women (“Bayer Reports,” 2010). The advertising corrects previous
misconceptions, but the rumors and facts about the detrimental effects the birth control
has had on women seem to be given greater weight. Yaz has gotten a very negative
reputation. This, coupled with the fact that the new advertising is ordered, not
distributed by Bayer as an act of apology and an attempt to sincerely help women
know the facts about the drug, mean that the advertising does not appear to strike a
strong chord with women. The new advertising was truthful, since it was reviewed by
the FDA (Singer, 2009), but it was a disciplinary action, not an attempt to respect
customers.
Yaz is not the first drug to get in trouble with the FDA or FTC, and it will
probably not be the last. Bayer is running $20 million in corrective advertising, as
ordered, because of the misconceptions presented in its previous ads. Yaz still has
some things going for it, including its previous reputation, sales and market share.
However, because of the multitude of lawsuits resulting from injuries and deaths
caused by Yaz, it is unlikely that the company will completely recover from the crisis.
The corrective advertising clears up misconceptions about what the birth control can
13
do, and the new warning labels and continued compliance with the FDA act in the
company’s favor, but the horror stories and offers of legal assistance to women injured
by Yaz overpower the positive messages. In light of the constant stream of lawsuits
and negative messages from non-company sources, Yaz, and its sister drugs Yasmin
and Ocella, is probably not going to recover from this crisis, even with the help of
advertising.
14
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