Pharmacoeconomics: a crushing reality in today’s industry
Times are tough in the healthcare industry today.
The increase in prevalence of chronic diseases, an aging population, rising drug prices, and the volume of new therapies coming to market are putting added pressure on already stretched healthcare budgets.
Stakeholders responsible for reimbursements are cracking down on pharma, demanding more evidence to quantify value in a product. The days are gone in which ‘non-inferiority’ or ‘incremental benefits’ in efficacy and safety are enough to secure robust market adoption.
The randomized controlled trial (RCT) paradigm now must be complemented with an aggregation of data from real-world settings to demonstrate a drug’s worth when weighed against its price.
Unfortunately for pharma, compiling this data takes money, time, and infrastructure.
Fueling the cost and complexity of clinical trials while trying to push the boundaries of innovation makes life in the industry difficult enough as it is. With payers demanding further value, in terms of outcomes data and real-world evidence, market access is now clouding the future of previously dubbed ‘blockbusters.’
If pharma is going to stand a chance in this evolving landscape, companies must begin to integrate market access insights into their clinical and commercial decision-making.
Early engagement and communication with payers is essential to understanding which clinical outcomes measure value, in order to place a drug in the ‘cost-effective’ bracket and secure market penetration.