Prioritizing the Trends

Given the multitude of payer, competitor and government/policy trends, it is instructive to analyze them in context of how much control a manufacturer has over the trend and the degree of potential impact each trend may have on a new product launch. This helps manufacturers plan and prioritize efforts to address the most important trends to their operations. The framework below plots each trend described above across these two variables to represent Herspiegel Consulting’s assessment of the most important trends that impact product launches across manufacturer types. It is important to note that the span of control and degree of impact for some trends may shift when considering a manufacturer’s unique situation. For example, launching a product for a chronic, high cost disease area like type 2 diabetes would be a good candidate for a VBC (competitor trend #1) whereas a Parkinson’s disease product may not be a good VBC candidate given the small patient population. Similarly, large manufacturers with significant financial resources may be better equipped than start-ups to offer competitive contracting offers in response to the increase leverage payers hold today (payer trend #3). Therefore, developing an understanding of the internal capabilities required for launch excellence in the midst of a highly dynamic Market Access environment is critical to a manufacturer’s success.