2015 Pharmaceutical Market Trend Vol. II

Raising the bar on Performance:  Pharmaceutical Reports Volume IIRaising the Bar on performance

  • So as to force companies to get lean, activist investors employ the use of shareholder arbitrage.
  • There is increasing selection in licensing and partnering opportunities, and a reduced margin for error.
  • Market-authorization for one-time results in periodic reevaluation throughout the life cycle of the product.
  • There is relentlessness in the compliance scrutiny, and globally, it has expanded beyond the illegal US off-label marketing going toward the penalty for multi-billion $ for corrupt practices which are foreign.
  • The industry has been pressurized to respond to a customer base which is more diverse, with the engagement points being more.
  • Country markets with a high potential are prone to operational challenges.
  • In 2015, there have been a bump up in big selling drugs’ expirations.
  • Although there is generalized budget austerity in Europe, there are also greater marketing pressures.
  • Bottom line for pricing’s: profits for future are dependent on how the US freedom for pricing is maintained.
  • Increased complexity in the requirements for clinical trial.
  • New threats for competition from adjacent industries, CROS and Generics.
  • Therapeutic categories have been crowded, campaigns increase the bill for marketing.
  • Disruptive effect of the social media on physician/patient relationship, also the clinical trials’ accuracy.
  • Engagement of patient groups formally while developing drugs, market access and regulatory approval.

What’s Hot

  • Out-licensing and Biotech IPOs to big pharma: This year, the volume of the deal is higher. It has involved commercialization rights and asset swaps in multiple markets.
  • Reliance on body’s own immune system to treat cancer.
  • Use of chemotherapies to attack the growth of tumors.
  • New drug combinations which is hot in Oncology.
  • An understanding of how the complex procedures of the US ACA will make future drug utilization patterns effective.
  • Ensuring patient-adherence to drugs using new IT technologies.
  • The virtual sales pitch.
  • Finding cost effective and efficient ways to manage the new reporting requirements for medicine promotions.
  • Pressure on the “c-suit” to address tighter governance oversight.

What’s not

  • Follow-on medicines in primary care.
  • Deploying the field force using the blitzkrieg approach.
  • Funding for pre-competitive, basic research.
  • Broad-scope patent protection backslash that can be enforced across geographies.
  • Big data without the applied analytics that can furnish useful insights on commercial strategy.