As new dynamics challenge the traditional Consumer Health model, opportunities are emerging! Customer-focused innovation and a strong commercial strategy are key to staying ahead.
At our after-work event on March 21, we asked our Consumer Health clients the same question. But in today’s ever-changing and complex environment, what information do you actually need to know?
During the event, which followed up and expanded on our “Innovation for the Future” White Paper, we gave our audience the opportunity to discover what’s happening in Consumer Health. And, given that, why it’s imperative to build and implement integrated sales and marketing approaches across stakeholder groups and channels to stay strong and successful. You missed it? No worries, here’s the essence of the trends that we shared…
New stakeholders and a growing opportunity to engage with HCPs
Today, in managing their health and wellness, consumers are more frequently turning to healthcare professionals (HCPs) for advice. This change in demand coincides with indications that traditional pharma has begun to focus more on visiting specialists, creating space for consumer health players to engage in marketing to GPs. In the past, the GPs occupied 60% of the total healthcare market’s value share and the specialist 40%. However, in 2018 we noticed that this percentage distribution has completely inversed.
Together with growing interest in the sector from the FMCG industry and nimble, ambitious start-ups, these new dynamics have exposed a need to shake up the traditional innovation structures that have served the industry so well for so long.
The most innovative companies are constantly undergoing self-disruption. With their ability to react and adapt quickly, they can successfully recapture market share and outgrow their competition. But being innovative is not easy. It means understanding and anticipating the actions of other parties and finding solutions to problems before they are recognized. But this, in itself, presents a challenge: as the target group has not yet faced the problem, the purpose of the solution is more likely to be questioned. This is the reason why consumer centricity, understanding behaviors and experiences, is so important.
Increasing consumer preference for scientifically-substantiated products
One key example of behavioral change in this market is the growing demand for evidence. The internet, for instance, plays a vital role in today’s growing access to information and answers. As consumers are becoming more educated, products that are scientifically substantiated are viewed as healthier and more reliable options. In recent years, the use of “health claims” by Consumer Health companies has become a popular and powerful marketing tool for commercial innovation. Therefore, a strong commercial strategy and closer cooperation with Health Care Professionals is crucial to truly benefit from product superiority.
Proof alone is not enough
As a recent client case clearly showed, it is not only about proof but also about reach and building trusted relationships with strategic partners. Having developed a product in collaboration with dermatologists, the company launched it on the “Body Moisturizers and Emollients” market, selling it only at pharmacies. However, the investment stayed at specialist level, leaving the company struggling to extend its impact to GP level. IQVIA was contracted for our expertise within the GP universe to boost sales performance through the targeted strategy of promoting the OTC brand to engaging GPs. This solution-oriented approach saw a 27% increase in the number of prescriptions for the brand from 2017 to 2018 (compared to only a 6% increase in prescriptions overall in the Belgian market). The company also achieved a 5% rise in market share through addressing GPs.
Every situation is different
At IQVIA, we understand the complexity of the Consumer Health market. More importantly, we also recognize that every case is different. We tailor our analyses and assessments to your unique challenges to create specific solutions that give you the support you need to address them. For more information about our services to achieve ongoing success, please contact us.