This paper applied a psychological perspective, initiated from placebo research, on medication physical properties and related perceptions, expectations, and preferences. The purpose was to identify expectations of drug indications related to medication color and to identify any preferences for oral medication form. A census-based (age, race, gender) sample of 102, screened for color vision, classified 29 different colored capsules as to physiological system@) expected to be influenced. Medication form preferences were verbally obtained. Nonrandom distributions were found for 18 capsules, with 10 related to specific physiological indications to include "Unknown." Capsules were clearly favored over pills and caplets. Age, gender, and race effects were minimal in sortings and preferences. Related research on perceptions of medications was reviewed and integrated with present data. Findings should have implications for drug development, drug effectiveness, and patient compliance. A theoretical framework was offered for understanding possible effects of preparation perceptual properties.