Navigation Links
Biotech Market Trends Study Shows New Competitive Dynamics and Increasing Reimbursement Hurdles
Date:12/9/2011

BETHESDA, Md., Dec. 9, 2011 /PRNewswire-iReach/ -- Novel Health Strategies, LLC, a leading life sciences consulting firm announces the publication of  2010-2011 market trends study called 'What's fueling the biotech engine-2010 to 2011', in Nature Biotechnology. The published article is an analysis of sales, pricing, reimbursement trends and competitive dynamics of more than hundred specialty biologic products. This study highlights several emerging trends in the biotech sector:

Overall market trends:

  • Biotech sector growth outperformed the overall pharmaceutical sector, driven by continued double digit growth in sales of monoclonal antibodies and insulin products. 
  • During the past 12 months, several highly anticipated products reached the market. While some have met expectations, others are facing an uphill battle in gaining acceptance from payers and providers, due to an increased emphasis on controlling healthcare spending and comparative effectiveness.
  • Reimbursement for many of the biologics products is tightening, as more payers are shifting branded products to the specialty tier, increasing the co-pay/co-insurance for patients.
  • New and existing products are facing competition from novel mechanism-of-action small molecules, newer biologics and cheaper products.
  • New challenge for novel therapies is determining the appropriate comparator for pricing of those products. Case studies highlight increasing use of combination and/or sequential therapies, leading to high cost burden for payers and patients.
  • More manufacturers are using cost effectiveness analysis to demonstrate cost savings with their products, however, it is also leading to debate about assumptions and methodologies for such analyses.

Selected sector specific trends:

  • For oncology products, a major setback was the withdrawal of Avastin for metastatic breast cancer indication. The debate and controversy related to Avastin has brought to surface the issue of the value of surrogate endpoints such as progression-free survival for oncology products. As payers remove Avastin's reimbursement, the 'Avastin effect' may be felt by other branded cancer drugs.
  • Prostate cancer market saw launch of four new products, which has significantly raised the drug related cost per patient. Analysis shows that if a patient is treated by all new drugs (in various stages of treatment)—the total drug-related cost per patient would be $200,000–220,000 over one to two years. 
  • Erythropoietin stimulating factors (ESAs), which were once the highest selling class of biologics, decreased in sales by double digit rates. This decline was due to new FDA guidelines and implementation of new reimbursement payment bundling rule for dialysis centers. Biosimilar and novel ESAs in the pipeline could face higher pricing, reimbursement and uptake hurdles in the future. 
  • Auto-inflammation market experienced growth of high-single to double digit rates during 2006-2011. However, in the future, this market is likely to face competition from Janus kinase inhibitors, which with similar efficacy, oral dosing and potentially discount pricing, could be positioned as a cost effective option. 
  • Ophthalmology market is seeing new players, as several new products are reaching the market and are offering significant discount to the established players.  
  • Rare disease market is also seeing the effect of crowding, leading to price discounts and shift of market share to new products. 

For press related queries contact at press@novelhealthstrategies.com. The press conference conference details are available upon request.

About What's Fueling the Biotech Engine Series

This article is an annual and recurring series published in Nature Biotechnology since 2007. The article provides strategy view on clinical, sales, pricing, reimbursement, regulatory trends and competitive dynamics for more than hundred specialty biologics. This study is the result of five years of cumulative research, analyses and interviews with various stakeholders. This series has been cited and quoted by more than hundred peer-reviewed publications and agencies (FDA, EMA and others). More details about this research are available upon request. URL for the article http://www.nature.com/nbt/journal/v29/n12/abs/nbt.2060.html.

About Novel Health Strategies LLC

Novel Health Strategies, LLC ("Novel Health") is a team of experienced professionals with expertise in healthcare strategy, research, policy, publications,  health economics and outcomes research, modeling, and pricing and market access strategy. Novel Health team has led strategy projects for majority of top 50 pharmaceutical, biotech and device companies. Novel Health has large network of internal and external stakeholders and has published several thought leading strategy perspectives. Novel Health has presented industry trends and perspectives at ISPOR, AMCP and BIO meetings. Webpage http://www.novelhealthstrategies.com/.

About The Author

Saurabh Aggarwal, PhD is a Principal at Novel Health Strategies. Mr. Aggarwal's expertise areas include pricing strategy, market access, HEOR, economic modeling and US/global strategy development. He has led strategy projects on several blockbuster oncology, infectious disease, inflammation, cardiovascular and rare disease products. Previously, he was at Sanford Bernstein, IMS Health and Parexel, where he led international and US based projects on drug and device products. Mr. Aggarwal has published several thought leading articles on healthcare market and is a frequent speaker at major conferences and meetings. He holds a PhD from The Johns Hopkins University, where he won multiple awards and patents for his work. 

Media Contact: Saurabh Aggarwal, PhD Novel Health Strategies, LLC, +1-6467174789, info@novelhealthstrategies.com

News distributed by PR Newswire iReach: https://ireach.prnewswire.com


'/>"/>
SOURCE Novel Health Strategies LLC
Copyright©2010 PR Newswire.
All rights reserved

Related medicine technology :

1. Clinical Trial Effectiveness: How Pharmas & Biotechs Save Cost with Savvy Investigator Management
2. TaiGen Biotechnology Successfully Completes Patient Recruitment for Phase II Trial of Nemonoxacin for Treatment of Adult Community Acquired Pneumonia (CAP)
3. Ortho Biotech Reiterates Confidence in PROCRIT(R) (Epoetin alfa) Safety and Efficacy When Used According to Label
4. CEL-SCI CEO to Present Tomorrow at the Biotech / Pharma / Healthcare On-Line Forum
5. Sangamo BioSciences and Sigma-Aldrich Announce Nature Biotechnology Study Demonstrating Zinc Finger Technology for Modification of Human Stem Cells
6. ASEAN News: Epeius Biotechnologies Gains Commercial Approval for Rexin-G(R), a Tumor-Targeted Gene-Based Medicine for Metastatic Cancer
7. Epeius Biotechnologies Applauds the Belated Scholarship of Their Academic Contemporaries in 2007, As Targeted Gene Therapy Comes of Age in Clinical Medicine
8. Lixte Biotechnology Holdings, Inc. Announces Completion of Private Placement
9. Hawaii Biotech Receives Allowance to Perform West Nile Vaccine Clinical Trials
10. Kibow Biotech Obtains Australian, Chinese and Indian Patents Protecting the Composition and Basic Technology Behind Its Oral Probiotic Formulation for Chronic Kidney Failure
11. Ortho Biotech Statement on U.S. Food and Drug Administration Oncologic Drugs Advisory Committee Vote
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/24/2016)... June 24, 2016 Research and Markets ... for Companion Diagnostic Tests" report to their offering. ... Companion Diagnostics The World Market for Companion ... medicine diagnostics. Market analysis in the report includes the following: ... (In Vitro Diagnostic Kits) by Region (N. America, EU, ROW), ...
(Date:6/23/2016)... HOUSTON , June 23, 2016  MedSource ... platform as its e-clinical software solution of choice.  ... the best possible value to their clients by ... nowEDC.  The preferred relationship establishes nowEDC as the ... pricing for MedSource,s full-service clients.  "nowEDC has long ...
(Date:6/23/2016)... Roche (SIX: RO, ROG; OTCQX: RHHBY) announced ... BRAHMS PCT (procalcitonin) assay as a dedicated testing solution ... this clearance, Roche is the first IVD company in ... sepsis risk assessment and management. PCT is ... levels in blood can aid clinicians in assessing the ...
Breaking Medicine Technology:
(Date:6/25/2016)... ... June 25, 2016 , ... On Friday, June 10, Van Mitchell, Secretary ... Work award to iHire in recognition of their exemplary accomplishments in worksite health promotion. ... Maryland Workplace Health & Wellness Symposium at the BWI Marriott in Linthicum Heights. iHire ...
(Date:6/24/2016)... ... June 24, 2016 , ... June 19, 2016 is World Sickle Cell Observance ... and the benefits of holistic treatments, Serenity Recovery Center of Marne, Michigan, ... Disease. , Sickle Cell Disease (SCD) is a disorder of the red blood cells, ...
(Date:6/24/2016)... ... June 24, 2016 , ... Dr. Amanda ... orthodontic treatment. Dr. Cheng has extensive experience with all areas of orthodontics, including ... accelerated osteogenic orthodontics. , Micro-osteoperforation is a revolutionary adjunct to orthodontic treatment. ...
(Date:6/24/2016)... Norcross, Georgia (PRWEB) , ... June 24, 2016 ... ... Year” awards today at the Clinical Decision Making in Emergency Medicine conference in ... who have authored journal articles published in Emergency Medicine Practice and ...
(Date:6/24/2016)... ... June 24, 2016 , ... National recruitment firm Slone Partners is ... sequencing and genomics experience, as Vice President of North American Capital Sales at ... for leading the sales team in the commercialization of the HTG EdgeSeq system and ...
Breaking Medicine News(10 mins):