Of the 399 senior executives in the life sciences industry surveyed by the Economist Intelligence Unit (EIU) recently, 64% of respondents said that demonstrating value is a key challenge facing their business. The major issue, most agree, is that stakeholders have different perceptions of what value is.
Of the 399 senior executives in the life sciences industry surveyed by the Economist Intelligence Unit (EIU) recently, 64% of respondents said that demonstrating value is a key challenge facing their business. The major issue, most agree, is that stakeholders have different perceptions of what value is.
The Quintiles-sponsored report, Reinventing Biopharma, found that most pharma companies have made at least one change to their business model, commercial and/or R&D strategy to meet this ‘value challenge’; many are accepting that the demand to provide value has had an important or significant impact on their business model and are “coordinating the response to the challenge across the company”.
Dr Adrian Thomas, VP for Market Access at Janssen, for example, said that the company’s R&D organization has developed a “fairly solid understanding of payer value”. He explained: “Clinical evidence and regulatory hurdles are still crucial, but equally important are commercial considerations that products will meet other thresholds of acceptability…We have the value question as a critical piece of decision making. That is a huge departure from three to five years ago.”
But there remains little convergence in dealing with the value question; no single strategy is emerging as a majority favourite. As Dr Ed Pezalla of Aetna comments, while many players are aware of the issue, “substantial change still has to take place”.
Until then, demonstrating value will very much remain a challenge for the industry.
Reinventing Biopharma: the value challenge, is available here.
Addressing Disparities in Psoriasis Trials: Takeda's Strategies for Inclusivity in Clinical Research
April 14th 2025LaShell Robinson, Head of Global Feasibility and Trial Equity at Takeda, speaks about the company's strategies to engage patients in underrepresented populations in its phase III psoriasis trials.
Beyond the Prescription: Pharma's Role in Digital Health Conversations
April 1st 2025Join us for an insightful conversation with Jennifer Harakal, Head of Regulatory Affairs at Canopy Life Sciences, as we unpack the evolving intersection of social media and healthcare decisions. Discover how pharmaceutical companies can navigate regulatory challenges while meaningfully engaging with consumers in digital spaces. Jennifer shares expert strategies for responsible marketing, working with influencers, and creating educational content that bridges the gap between patients and healthcare providers. A must-listen for pharma marketers looking to build trust and compliance in today's social media landscape.
Asembia 2025: Therapy Advancements Highlight Growing Cost and Access Concerns
April 30th 2025Fran Gregory, VP, emerging therapies, Cardinal Health, discusses the evolving cell and gene therapy landscape, highlighting pipeline growth, cost challenges, and emerging therapeutic areas beyond oncology and hematology.