The Three A’s of Launch Readiness – Strategizing for success
It can take years to develop a drug – a launch can fail in a matter of weeks
Getting a drug from bench to launch takes an average of 12 years and $1.5 billion.1 Given responsible guardianship and the careful promotion to be expected at that level of investment, it should come as a surprise when any drug falls flat at launch.
But it doesn’t – drug launch failures happen more frequently than pharma companies care to admit. From 2009-2017, approximately 50% of drug launches failed to meet prelaunch sales expectations. Over 25% didn’t meet half their forecasted revenues.2 Of the 0.02% of candidate drugs (I in 5000) that successfully reach the market, only a third meet first-year financial expectation.3
And when launches fail, the rationalizations begin: Bad luck. Bad timetables. Unforeseen complications. Unforeseeable competition. The messaging underwhelmed the target audiences. The drug costs overwhelmed the messaging. The drug overpromised, the drug underperformed.
Any and all of these may be true. But, when each case is scrutinized individually, the evidence usually points to one of three problems: the pharma brand managers and their teams did not anticipate their own overconfidence or the moves of their competitors, they did not adapt their strategies to new market conditions as they arose, or they did not align their strategy and implementation plans across functions and geographies.
Anticipate, Adapt and Align – the three A’s of successful launch strategy. To understand and implement them require more than sending out an email meeting request and marking off a block of squares on a Gantt chart. It takes strategic vision, a holistic understanding of every vagary of the marketplace, and a forthright and ruthlessly honest assessment of both the product being launched and the competitive space it is meant to occupy.
Jesper Nissen, PhD
Jesper is a Deallus Senior Principal who has led a wide range of projects over his 6+ years at Deallus. He offers extensive experience in competitive landscape monitoring, manufacturing and diagnostics technology assessments, and global positioning and brand planning projects. His expertise covers several therapy areas including oncology, respiratory, rheumatology and rare diseases. Additionally, Jesper is leading internal and external training activities including engagements on competitive readiness best practices within the pharmaceutical industry.
As the impact of COVID-19 pandemic continues to expand globally, pharmaceutical and biotech players are beginning to feel the disruptive effects of the outbreak. New clinical trials will be significantly delayed as companies continue to face challenges arising from COVID-19, from potential patient quarantines, to site closures, travel limitations or interruptions to the supply chain for new investigational products.
Deallus is excited to announce that Jenny Cummins will be partnering with Deallus as a Strategic Advisor. Jenny’s experience in formulating strategic direction within and outside of pharmaceutical companies is something we are excited to add to our panel of strategic advisors. Our clients will benefit from her expertise in the healthcare sector as well as her impressive leadership, communication, and facilitation skills.
We are excited to announce that Gloria Kwon has joined our Deallus team as a Senior Principal based out of our Los Angeles office. Gloria comes to Deallus with significant experience in business strategy, product commercialization and operational excellence for pharmaceutical and biotechnology companies. Prior to joining Deallus, Gloria spent over 8 years at Navigant Consulting.
Deallus is pleased to announce that Peter Barschdorff is joining the organization as Vice President, leading its U.S. consulting business, with offices in Los Angeles and New York. Peter has held leadership positions in a number of management consulting organizations and has built innovative enterprise capabilities in commercial pharma.