IMS: the most important BRICs country for new drugs to be launched

Source: e-medicine Facebook 2014-9-12 by 2018, it is expected that the sales of drugs in emerging pharmaceutical markets will account for 1 / 3 of the global market value (keep pace with the U.S market), and contribute nearly 60% to the growth of market value (excluding rebate and discount) By contrast, markets in all developed countries, including the United States, then contribute only 25% to market value growth The focus of global market growth potential has been significantly biased towards emerging pharmaceutical markets China and Brazil are still the most important BRICs countries for the launch of nce products A complete assessment by country and disease sector is an absolute prerequisite, but China and Brazil, the two largest emerging pharmaceutical markets, cannot be ignored, and nce products have the greatest market potential In terms of global sales of nce primary care products, the contribution rate of Brazil market is higher than that of China market In the past 10 years, Brazil's market contribution rate has been increasing, while China's contribution rate in the field of primary care products and specialty drugs has declined significantly, indicating the slow and unstable process of entering the national health insurance, which means that the uncertainty has further increased The biggest difference between China and Brazil in the field of primary care drugs and specialty drugs is the growth of primary care products - Brazil's sales curve is steep, which shows that the sales volume in the third year of the five-year period after the product is launched reaches a high point, and then tends to be stable By contrast, China's overall performance level is low and slow every year, only surging after the fourth year This reflects the slow progress of products entering the national health insurance catalog Medical insurance is an important factor in the popularization of primary care drugs in China Only after it is listed in the national medical insurance catalogue, can the sales of products rise sharply What are the main obstacles for emerging pharmaceutical market products to be listed? External barrier 1: affordability is undoubtedly an important factor for the success of product listing in emerging pharmaceutical markets In terms of increasing the contribution rate of emerging pharmaceutical markets to future products, more and more products listed in emerging pharmaceutical markets will focus on specialty drugs or high-value biological agents (for example, monoclonal antibody PCSK9) Lipid disorder inhibitors, or new asthma monoclonal antibodies), which are expensive and suitable for small patient segments, have made great success in the field of primary care treatment, but also face great challenges Pharmaceutical companies find it increasingly difficult to increase the contribution rate of current listed products to total sales in emerging pharmaceutical markets unless they can make bold investments to change the accessibility and affordability of drugs External barriers 2: market access barriers to emerging pharmaceutical markets exist in three aspects: inefficient regulatory process; slow state subsidy process; and backward medical infrastructure Pharmaceutical companies have found that market competition between Europe and highly developed countries such as the United States is increasing The challenge for emerging pharmaceutical markets is to build markets while launching products Therefore, market access has a broader significance in emerging markets than in developed markets, because it is closely related to the following factors: improving awareness of patients and prescribers, supporting health system infrastructure to improve diagnosis and treatment, and providing affordable treatment for patients In Europe and the United States, experts generally believe that companies that build markets can build brand effects first, while in emerging pharmaceutical markets, brands that enter the market later also need to build their own markets to succeed In China, the regulatory system of external barriers to launch new products, especially nce, is inefficient and lack of funds; it is difficult to enter the national medical insurance catalog; China has a vast territory and different market access policies, so it is very difficult to ensure that the products fully cover the Chinese market In addition to the national medical insurance catalog, the company can apply to join the provincial medical insurance catalog In addition to the national and provincial medical insurance directories, each hospital also has its own list of prescription drugs China's pharmaceutical market is hospital centered, and pharmaceutical companies must target 1500 top hospitals to ensure that primary care drugs enter the hospital's prescription list However, access to the national or regional medical reimbursement list is not a direct advantage for the successful launch of the product, because even for some drugs on such list, the amount of the patient's own expenses is very high Various cost containment measures sometimes lead companies to make strategic decisions to withdraw from the medical reimbursement list and target a smaller number of patients in the private sector at a higher price Lucentis' successful listing in China can be said to have overcome the obstacles of hospitals and successfully entered the market; Baraclude, through the establishment of the market, has achieved success in listing in China Solutions to achieve excellent listing in the Chinese market take longer to succeed in the products listed in China, and the six-month window observed in the developed markets is no doubt not applicable to China (or other emerging pharmaceutical markets) The window of opportunity to set a product's sales trajectory depends on a number of factors, including product subsidies, as well as driving brand development while driving market growth in the untapped treatment sector China's vast territory allows pharmaceutical companies to expand through cities and hospitals and change their development path after the products go public However, due to the short patent period, maximizing business opportunities early in the product life cycle is still an important means to ensure excellent listing The leading position of market share needs to cover the whole Chinese market at the beginning of product listing, and the scale and corresponding investment are quite huge Almost no product can match the sales performance of existing competitors in the market at the beginning of listing As a result, market share leadership, which marks long-term market leadership, may take longer to achieve We found that the products that can achieve market share leading position within 4 years after listing in China have the possibility of maintaining long-term market leading position to a large extent.