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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
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SOURCE Novel Health Strategies LLC
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