Publication Date: September 2014
Top Reasons to Buy This Report on Pharmaceutical Lifecycle Management
Reinforce the Need for Cross-Functional Communications: As a new patent cliff nears and pipelines empty, drug companies need to develop or strengthen team structure to better manage their existing portfolios. Executives interviewed for this study are all in agreement that pharmaceutical lifecycle management warrants a dedicated team. Companies that are on the right track to managing drug lifecycles have also begun to add cross-functional or ad hoc committees to assist these dedicated teams. In total, 86% of life science companies have both a dedicated LCM team and a cross-functional LCM committee. This report examines the communication strategies that pharmaceutical lifecycle management teams use and shows which functions are involved in committee decisions and at what points during the product’s lifecycle they contribute to the LCM strategy.
Mix Market Enhancement and Line Extension Tactics to Maximize Product Value: Within lifecycle management planning, companies deal with patent expiry mainly in two ways: either maximize a product’s market impact before patent expiry (market enhancement) or delay a product’s patent expiry altogether (line extension). The traditional LCM method is to delay a product’s patent expiry by creating more products and indications that carry on the brand name; however, this strategy may not actually delay the initial product’s patent. Market enhancement strategies enable companies to increase their customer base and add value to their existing products by developing relationships with patients and healthcare providers. As a result, market enhancement tactics help companies to earn consumer trust and maximize profits before patent expiry. Learn from this study how superior pharmaceutical lifecycle management teams choose one set of strategies over another. Additionally, use this study’s ROI benchmarks to determine an ideal mix of tactics that create a robust LCM strategy.
Excerpt from Pharmaceutical Lifecycle Management
Pharma companies and their drugs face numerous challenges in the brief window between launch and patent expiration. These challenges include earlier generic threats, increasing branded drug competition and payers’ demands to see real and meaningful value. Companies are forced to reevaluate their lifecycle management (LCM) strategies to maximize products still under patent protection. Paired with declining pipelines, LCM becomes even more essential. The patent cliff of 2012 saw major blockbuster drugs lose patent protection, and the upcoming patent cliff of 2015 will prove almost as painful.
With seven blockbuster drugs above the $1 billion mark, hopefully these companies have long been planning their LCM strategies. A natural barrier will protect Sanofi’s Lantus because of the difficulty in duplicating biologics. However, other drugs stand to lose sales almost immediately. An increased focus on LCM will help companies maximize product sales now and better prepare a counter-generic strategy in the future. Proactive planning is a key element to any LCM strategy, as timing during exclusivity windows is crucial. An extra day of patent protection could mean millions of dollars for a blockbuster drug.