E-DRUG: Pharma Execs Admit: ‘Our Model Is Broken’
[if you go to the webiste, you will also find comments to the article.
As if we didn’t already know this, yes? Still, a new survey finds that 68
percent of pharma execs agree that Humpty Dumpty has fallen off the wall.
To be specific, 44 percent agree that the pharma industry model is broken
and 24 percent strongly agree with this statement. Another 22 percent are
neutral and 6 percent disagree. We wonder where this 28 percent is working
And over the next two years, 76 percent believe the healthcare system
pricing and budget pressures will be the biggest challenge; followed by 70
percent who believe they will have to demonstrate cost effectiveness; 69
percent who cite more restrictive market access; 60 percent who fear
generic competition; 53 percent who worry about less access to docs and 50
percent who are concerned about the ability of patients to pay for their
The survey canvassed 156 pharma execs who either influence or have
responsibility for sales and marketing at big drugmakers in the US and
Europe. On average, they have held their jobs for five years and 52 percent
are directors, with 15 percent say they are vp’s and 20 percent identifying
as managers. Most are responsible for a product portfolio, 46 percent, or a
specific brand, 33 percent.
A few more nuggets: 43 percent believe face time with docs will decline and
26 percent think the reverse is true. Not surprisingly, spending will shift
away from docs - a 32 percent decrease - while more money will be directed
toward payers, hospitals and key accounts - with spending rising 47
percent, 30 percent and 47 percent, respectively.
More resources will also be devoted to: 59 percent will rely more on
pricing strategies; 56 percent on payer collaborations; 55 percent on
pharmacoeconomic studies; 48 percent on direct-to-consumer initiativves and
47 percent on patient adherence. In each case, less than 10 percent of the
respondents predict a decrease in spending on these activities.
Interestingly, only 21 percent say they meet with payers to discuss
evidence and medical needs before or during Phase II testing. And just 24
percent do so between Phase II and Phase III. Another 26 meet during Phase
IIIa and Phase IIIb and the remaining 29 percent wait to do so after Phase
III is complete.
Finally, lots more will be spent on social media and other forms of digital
interactions. A few examples: 58 percent cite physician-oriented social
media; 55 percent point to mobile technologies and 52 percent named
e-detailing (you can read the entire survey results
João L. Carapinha
Pharmaceutical Policy Analyst
*Join me on:*
Twitter:* * www.twitter.com/joaocarapinha<http://twitter.com/#!/joaocarapinha>