Dendrite Launches Analytically Driven Interactive Marketing Business To Enhance Pharmaceutical Promotional Effectiveness

Appoints Rick Rose Vice President and General Manager of New Business

Morristown, NJ, December 11, 2003 - To meet the pharmaceutical industry's increasing demands for more effectively targeted promotional efforts, Dendrite International, Inc. (NASDAQ: DRTE), today announced the launch of its new analytically driven Interactive Marketing (IM) business, and the appointment of Rick Rose as head of this unit.

Mr. Rose previously served as Dendrite's Vice President of Corporate Sales and Marketing, as well as Vice President of CRM Solutions. He also managed all global sales and operational aspects of a major pharmaceutical client's sales force automation installation, including technical operations, product development, help desk, hardware services, and image management.

Analytically Driven Interactive Marketing Business Created

Dendrite's new IM business is dedicated to enhancing the effectiveness and efficiency of pharmaceutical industry direct-to-physician promotional activities. "In today's competitive environment, pharmaceutical companies are demanding much greater ROI and coordination from promotional activities to physician customers," said Paul Zaffaroni, Dendrite President and COO. "By combining our longitudinal prescription data and advanced analytics with our new IM capabilities, we can help clients better target and segment customers, select the proper combination of marketing channels, and precisely measure the impact and ROI of promotional programs."

Effective Targeting and Segmentation

Pharmaceutical direct-to-physician marketing efforts have typically been isolated from other customer-centric activities, including those conducted by field sales forces. "A disjointed relationship exists between pharmaceutical sales teams and direct-to-physician marketing," said Rick Rose, Dendrite IM Vice President and General Manager. "While the pharmaceutical industry has made significant investments in direct-to-physician promotions, the sales force is generally uninformed about their timing or end results. Dendrite's ability to link home office-conducted marketing campaigns with field force activities through our information, software, and service solutions makes these efforts more coordinated and therefore more effective."

Using its ScripMax™ longitudinal prescription data (LPD), Dendrite can help companies identify, segment, and target an audience through detailed analysis of physician prescribing patterns and patient populations. ScripMax includes over four billion HIPAA-compliant prescription records, with more than 150 million new government, cash, and third-party prescriptions added monthly from its pharmacy consortium partners. This group of demographically and geographically diverse retail pharmacies now represents well over half of all U.S. drugstores, including several major chains and over half of all independent retailers.

ROI Delivered Through Multi-Channel Marketing

Traditionally, pharmaceutical companies seeking to deploy multiple promotional channels have been forced to combine disjointed solutions from various providers, which ultimately cost more time, money, and resources to execute than utilizing those from a single company. By using Dendrite's unique "One-Source" programs, pharmaceutical companies can benefit from a single-provider approach and outsource all aspects of their marketing programs.

Dendrite IM provides targeted prospect identification and list development, leading-edge telecommunication services that include outbound programs encompassing dialogue between medical professionals, as well as inbound programs that support patients, healthcare professionals, and professional sales organizations.

IM services help pharmaceutical companies gain access and maximize their exposure to their audiences. For territories without a sales representative, Dendrite's Vacant Territory Management service helps customers maintain contact with practitioners and secure market share from otherwise unopposed competitive messages. Sampling services ensure that prescribers have adequate supplies of samples of clients' products to distribute with prescriptions to patients, protecting clients' mind share within their customer base.

Program Impact Measurement

Using traditional prescription-based data, which typically only provides information on market share and volume, pharmaceutical companies have had difficulty accurately measuring the impact of direct-to-physician promotional activity on subsequent prescriber behavior. Using ScripMax, Dendrite IM can conduct detailed promotional-response analyses on resulting patterns of key prescribing or therapy activity down to the individual prescriber level. Pharmaceutical companies can then make informed decisions based on this market intelligence in order to fine-tune ongoing programs and launch highly targeted future activities.

With more than 140 employees, Dendrite IM is based in Totowa, N.J., the site of its fully dedicated, state-of-the-art fulfillment center that distributes pharmaceutical products, literature, and other promotional materials. Compliant with government regulations, it can ship 12,000 packages per day, and features an onsite pharmacy licensed to provide mail order and direct-to-patient product distribution.

About Dendrite

Dendrite develops and delivers solutions that increase the productivity of sales, marketing, and clinical research for pharmaceutical and other life science clients. For more information, visit www.dendrite.com.

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Note: Dendrite is a registered trademark of Dendrite International, Inc.

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