Last week, FrontierView’s Healthcare Director, Stephen Majors and Healthcare Practice Leader, Alec Lee had the pleasure of presenting at the 2019 Bay Area Pharma Market Research Conference. The Bay Area PMRC is the west coast’s premier gathering of senior-level biotech, pharmaceutical, medical devices and diagnostics executives in market research. This prestigious event celebrates the best in biotech by bringing together the industry’s top thought leaders and creates an environment of new ideas, networking opportunities and perspectives. This year’s event covered topics such as supercharging pharma with artificial intelligence, translating market research demand studies into forecasts, and more.
Majors and Lee’s presentation, titled “Reprioritizing Your Global Footprint and Succeeding in International Markets” evaluated how drug pricing uncertainty in the United States causes global pharmaceutical companies to reevaluate their global development and commercialization footprint. The presentation drew on connections between the global economy and healthcare spending across regions to conclude how pharma firms can maximize revenue in international markets through proper profitability segmentation, channel management, and customer understanding.
We see three consistent forces across healthcare systems in international markets that inhibit consistent profitability growth:
- Reimbursement uncertainty: underlying factors include lower rates of insurance coverage, greater macroeconomic instability, underdeveloped public finance management, and fragmented payer landscape
- Expensive channels caused by a fragmented provider landscape, often unsophisticated channel partners, a need for large geographic coverage, and changing regulations
- Misaligned value propositions due to lower per capita income and underdeveloped private and social insurance systems
Pharmaceutical companies looking to succeed in 2019 and beyond need to overcome these distinct challenges in order to maximize revenue in international markets.
FrontierView’s Healthcare team is at the forefront of key trends impacting the industry. Our goal is to help clients deliver growth solutions to support critical business decisions and growth strategies. How can we help you deliver better outcomes for your business? Contact us here to connect with a team member.