Consumer Response to Generic/Chemically Equivalent Drugs

Abstract

This paper addresses the prescription drug market and three fundamental public policy questions concerning the marketing of generic drugs: (1) What factors influence the acceptance of generic substitutes for prescription drugs by consumers? (2) What factors influence consumers’ satisfaction with generic drugs? (3) For consumers who have been given a generic substitute by the pharmacist, what factors influence their intention to obtain a generic drug again? These questions were addressed in a field experimental study. Results indicated that there was greater actual acceptance of generic drug substitution than was predicted from the literature on attitudes toward acceptance. Satisfaction was lowest for those patients who received a generic substitute without choice, and higher for patients who were required to pay for all or a portion of the drug. The strongest predictors of intentions were having accepted the generic substitute, perceiving the savings to be high, satisfaction with the generic substitute, and being required to pay part or all of the prescription costs. Public policy issues are discussed in light of the findings.