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Case Study

Late Life Cycle Management Strategies: Developing Long-Range Plans to Retain and Grow Market Share

Posted on 04/11/2018

Our global pharmaceutical client’s mature product was two years away from patent expiry in its key regulated markets and faced imminent generic competition. The company engaged Prescient to understand the likely impact of changes in the competitive landscape, market dynamics and stakeholder behavior.

The engagement was expected to prepare the client for generic entry by:

  • Identifying opportunities to enhance the product’s value proposition before loss of exclusivity
  • Developing mature-brand-savvy long-range plans
  • Enabling affiliates to develop a generic mindset

The engagement also focused on ensuring that the flow of information between the global and affiliate teams was seamless to drive brand decisions.

Shaping Decisions | Driving Value

Prescient began by identifying and analyzing potential generic threats and delivered a dynamic Excel-based threat assessment model at the global and affiliate levels, market and stakeholder maps, and a generic threat matrix and impact analysis. The threat assessment model allowed the teams to predict the degree of market share erosion as each generic entered the market and the stakeholder map helped target the key decision makers and influencers. Prescient also developed COGS models to calculate the margins that enabled the generics companies to compete more effectively in a tender-based environment.

Regular workshops were then conducted with the global and affiliate teams to develop strategies to compete effectively in the evolving market. Whereas the global workshops focused on the strategic plan for the product, the affiliate workshops were more tactical and focused on developing local action plans that allowed the affiliates to expand and retain their markets despite working in resource-constrained environments.

The Prescient Advantage

The global and affiliate teams had limited knowledge of generic business models and the threat they posed. Prescient educated the teams and instilled the belief that their product was defendable. The affiliates, especially the teams in Russia and China, immediately implemented the workshop outputs to great effect. They continue to run semi-annual cross-functional workshops to ensure their strategies remain innovative and dynamic.

Now that the client understands the value of its brand, it has built a more robust value proposition for its product and is able to better communicate it to stakeholders. Prescient helped change the mindset and focus of the affiliates – much more attention is now paid to the evolution in the market environment, government affairs, tendering and contracting. In addition, we brought the brand community together, ensuring that affiliates learn from each other.

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