Pharmaceutical Industry Analysis 2013

pharmaceutical industry

propanestudio.comsan francisco

[email protected]

private & confidentialjuly 10th 2013

agenda

industry overview two trends brands embracing digital

industry overview

statistics

industry overview

86% of physicians in the US use the

web to gather health, medical or prescription drug

info1

53% of consumers polled say

information found online led them to ask a doctor new

questions3

98% of physicians agree that their

use of the internet for medicine will increase over the

next 3 years2

1-3. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

types of pharmaceuticals

industry overview

brand name

marketed under a specific trade name by a pharmaceutical manufacturer and are still under patent protection

generic

made with the same active ingredients in the same dosage form as a brand name drug, but are sold to customers under their chemical name for 30-80% less

distribution channelsindustry overview

supplier manufacturer

hospitalwholesaler

doctorsales rep

patient

clinic

retailer

fundamental changes

industry overview

increasing demand for health care services and prescription medication to treat diseases

physicians are refusing to meet with sales reps in person new technology allowing doctors and patients to access

pharmaceutical information online

increasing threat of patent clis, litigation and legislation4

4. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

selling process

industry overview

sales calls - reps from top companies target high volume prescribing doctors over the phone

office visits - reps pass out free samples to physicians, this method is on the decline, statistics suggest out of 100 sales reps only 20 actually meet with a doctor5

online - reps engage online with doctors and patients through eDetailing

5."Pharmaceutical Sales Force Eectiveness Metrics." Eularis. N.p., n.d. Web. .

global digital strategy

industry overview

5 areas of focus

1. choosing the right digital operating model

2. integrating all channels

3. using analytics as a dierentiator

4. finding new approaches for developing content

5. focusing on flexible and responsive technology architecture6

6. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

step # 1

industry overview

creating the right digital operating model

agile and flexible model that allows for customization at the local level

move towards centralization for digital capabilities such as, website development, mobile apps and digital asset management in order to create a cohesive customer experience

focus on hiring the talent needed to meet the digital needs within the organization7

7. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

step # 2

industry overview

seamlessly integrating all channels

consistent interactions across all channels will drive meaningful customer interactions

need to gather information about customer interactions on all channels to create a holistic and realistic picture of their customers8

8. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

step # 3

industry overview

using analytics as a dierentiator

use data collected from all channels to assess the impact of digital campaigns and make real time adjustments based on customer engagement

use advanced marketing analytics to enable competitive dierentiation, companies will be able to spot trends faster and act on them more quickly9

9. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

step # 4industry overview

embracing new approaches for developing content

automating processes will allow the same number of employees to handle increased demand

creating content that can be used across multiple channels without modification will be crucial (optimized sites, videos etc.)10

10. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

step # 5

industry overview

using a flexible and responsive technology architecture

the right architecture will extend overall customer reach and increase promotional capacity across all channels

integrated channels allows for sharing customer information across channels and leads to a more cohesive customer experience11

11. Roman, Shawn, Donna Tuths, and Jason Wolenik. "Digital: The Connecter in Life Sciences." Accenture. N.p., n.d. Web. 2011.

trend 1:{mobility}

sales reps

trends

companies are arming their sales forces with tablets to enable sales, train sta and conduct administrative

result is a tailored approach to individual doctors with a clear marketing message relevant to doctor's individual practices and patients

doctors

trends

doctors are sharing patient information, recording diagnoses and billing codes across mobile devices to eliminate the need for patient cards

the mobile/iPad app costs $99 a month and provides a template for doctors to follow while dictating information

the audio files, transcripts and relevant images (ie. photo of a patients wristband) are encrypted and sent to a cloud based HIPAA compliant database12

12. Peterson, Stacey. "InformationWeek: The Business Value of Technology."InformationWeek. N.p., 05 July 2012. Web.

patients

trends

patients are information seekers when it comes to their health, many of them are actively searching for ways to independently educate themselves

they are posting health statuses on sites like PatientsLikeMe13

they are engaging with solutions like Emmi, which give them access to physician recommended info via their mobile devices

Emmi also allows patients to receive information from physicians after office visits regarding preventative treatment options and medical condition assistance14

13."Patientslikeme." Patientslikeme. N.p., n.d. Web. . 14. Peterson, Stacey. "InformationWeek: The Business Value of Technology."InformationWeek. N.p., 05 July 2012. Web.

patients

trends

VaxNation is a mobile app that allows patients to track vaccinations over the course of their lifetime

the system allows patients to enter information such as date of birth and prior vaccines with corresponding dates

the app then provides age appropriate recommendations based on the CDCs prevention guidelines as well as immunization reminders15

15. Peterson, Stacey. "InformationWeek: The Business Value of Technology."InformationWeek. N.p., 05 July 2012. Web.

trend 2:{edetailing}

pharmaceutical detailing

trends

detailing is a one-on-one marketing technique used by pharmaceutical companies to educate physicians about a vendors products in hope that the physician will prescribe the companys products more often. This traditional practice has evolved into edetailing, which utilizes technology to reach doctors16

16. Rouse, Margaret. "Pharmaceutical Detailing." SearchHealthIT. N.p., Feb. 2011. Web.

IQmercury2

trends

IQmercury2 is edetailing made simple

features include presentation capabilities, such as the ability to customize slides, track sentiments with + or - response tags

a remote control system, that gives HCPs the chance to control the presentation via an iPhone remote

a content management tool, that lets users integrate CRM solutions and review analytic data per each presentation17

17."Unique Features Build Successful Presentations." IQmercury Features Comments. N.p., n.d. Web.

brands embracing digital

merck

digital presence

merck invests 17 M in Physicians Interactive

PI is the leading provider of mobile and web based clinical resources and solutions for healthcare professionals

the funds will be used to fund the growth of 4 key products and initiatives18

one key product is the skyscape app, a mobile content publisher19

18."PI Press Release." Physicians Interactive RSS. N.p., 05 Jan. 2012. Web. 19. Arnold, Matthew. "Merck Adds to Its Digital Portfolio." MMM. N.p., 01 Feb. 2012. Web.

pzer

digital presence

pfizer targets boomers through GetOld microsite

the site is a place where consumers can share and get information about the changes that occur during the aging process

a survey gives boomers the opportunity to see how their feelings stack up with others their age20

20. Armstrong, Linda. "Pfizer Gets Digital Marketing to Boomers Right." No Green Bananas. N.p., n.d. Web.

astrazeneca

digital presence

astrazeneca invests in a comprehensive, interactive mobile application solution for use by its sales force developed by accenture

accenture developed a responsive application to meet the needs of pharma sales reps out in the field

the app has the ability to capture and store metrics even in oline mode21

21. "Helping AstraZeneca Achieve High Performance Through Digital Application Delivery." Accenture. N.p., n.d. Web.

novartis

digital presence

novartis invests $200 M in integrated ad campaign to promote heartburn drug

the campaign includes several digital elements, such as online ads that drive consumers to the prevacid24.com site

on the site users are prompted to join the prevacid 24HR action program

once users join they receive customized email newsletters, coupons and other money saving oers as well as members only tools and info22

22. Hurn, Mary E. "Novartis $200 Million Integrated Campaign Promotes Heartburn Drug."Direct Marketing News. N.p., 12 Nov. 2009. Web.

summary

pharmaceutical companies need to recognize the fundamental shift away from promoting individual products. Instead the focus is on making adjustments, both internally and externally that will revolutionize the ways companies attract and engage with customers to create lasting and profitable relationships.

opportunities for the future

online manufacturer sponsored support communities for patients

with similar diseases sites that allow online ordering and delivery of

prescriptions manufacturer sponsored sites to access reliable health

care information mobile apps that remind patients to take medicine, schedule

followup doctors visits apps for patients to use as tools to monitor their health

(pollen monitor app or heart rate monitor app)tablet customized interactive platforms with a focus on doctor

engagement for sales reps to utilize during office visits

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