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New Report Details Launch Investment Levels for Pharmaceutical Industry
Date:10/5/2011

CHAPEL HILL, N.C., Oct. 5, 2011 /PRNewswire/ -- When facing a new product launch, pharmaceutical organizations must balance the dueling goals of containing costs and producing a successful launch. To handle these twin pressures, launch leaders need to know two things: What are adequate investment levels for the various launch activities and how much should they spend on each activity at key points pre-launch and at launch.

To shed light on these elusive, yet critical, questions, Best Practices, LLC has published a new study on launch spend that delivers benchmarks on investment frequency and levels across 12 key marketing, education and payer activities during and prior to launch. The study also includes overall investment benchmarks by different product types for launch year and each of the three years prior to launch.

"New Product Launch Spend: What it Takes to Win in the U.S. Market" will help leaders in the pharmaceutical industry develop competitive launch and pre-launch activity budgets to ensure successful U.S. market entry for new products. The study provides benchmarks that will help companies chart effective budget strategies and allocate funds for new brands.

According to the study, brands tend to allocate about half of their total four-year launch budget to activities carried out in the final launch year. Specialty products invest 58 percent during the three years leading up to launch year and 42 percent in the final launch year. This contrasts with primary care products, where 44 percent of the total launch budget was spent before launch and 55 percent in the launch year.

Key topics covered in the Launch Spend study include:

  • Average Cost: Industry average cost for new pharmaceutical product launch
  • Primary/Specialty Comparison: Cost comparison for specialty vs. primary products
  • Budget Allocation: Percentage o
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SOURCE Best Practices, LLC
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