The Digital

Metamorphosis of
the Pharma Industry
Len Starnes Len Starnes Marketing & Sales Head of Digital Digital healthcare consultant General Medicine

Pharma Digital Marketing Istanbul 8 February 2012

1996 fantasy: digital sales rep

Change & culture

Agenda
2
Doctors

Trust

3 4

Sales forces

Patients

Influence of E7 countries

Ageing populations

Soaring cost Patent cliff of healthcare

Personalized medicine

Influence of payers
R&D not delivering

Patient empowerment
New business models

Fewer blockbusters
Catastrophic image of pharma

Impact of technology

More is different, faster is different

Philip W. Anderson
PW Anderson, More is Different, Science, 4 August 1972

Different means unpredictable changes resulting from extraordinary increases in scale

Adapted from: PW Anderson, More is Different, Science, 4 August 1972

Speed and scale

50m users, 88 days

Graphic: Leon Haland, Time to reach 50m users http://plus.google.com

We are living in the middle of the largest increase in expressive capability in the history of the human race
Clay Shirkey, Here Comes Everybody, 2008

Pharma culture
Risk averse Authoritative sources Privacy & security regulated Long lead times Controlled access to data & information IP

clash

Risk taking Crowd wisdom Open to all Rapid deployment Anyone may contribute/distribute Open source

Adapted from: Web 2.0 in Healthcare, John Sharp, Cleveland Clinic, USA

Faster in some countries

than in others

Doctors

Emerging

digital doctors

Were changing as a result of social and technological innovation. Were evolving from analogue to digital
Dr Bryan Vartabedian 33 Charts October 2011

Analogue Digital
Info via books & journals Info via web

Uses paper charts Rarely uses pen

Little or no SM presence Connected on SM

Physician centric E-patient centric

Smartphone use minimal Uses smartphone Core inputs are snail mail Uses digital tools & email to control inputs
Adapted from The Digital Physician, Bryan Vartabedian, 33 Charts http://33charts.com/2011/10/digital-physician.html

Next 5 years
Digital doctors predominate Using digital tools & processes Routine use of professional social networks

Expecting e-self service options

Expecting pharma to be digitally savvy

Unwilling to see sales reps

Huge growth in doctors

social networks
3m Membership of physicians social networks

2m

1m

Today > 70 networks > 3 m members

2008 2009 2010 2011 2012

2007

US, Europe and E7

markets
Asia Pacific inc China & India

2.0 m members

Europe & Americas inc Mexico, Brazil, Russia

1 m members

Influence on Rx decisions high

100

Influence % online HCPs Offline journals Consulting with colleagues in person

80

Online journals
60

40

Physicians social networks

20

Sales reps Pharma websites

40 60

Weekly/daily use % online HCPs

80 100

20 Manhattan Research, Taking the Pulse v11.0, 2011

Global network Aug 2011

11k doctors

2m visitors per month

1m patients

Market research

eDetailing

Doctors-only community

New

opportunities
Meded & promotion
CME, eDetailing

Market research
Tracking trends & opinions

Virtual advisory boards

KOLs, clinical trials support

Engagement
Peer-to-peer dialogue

Specialist communities
Community, content & services

Pharma must learn to fish where the fish are

Sales forces

We need to give doctors more than the

same old detail

Dream machine

Big Pharma

stockpilling.*
All 35 pharma clients using 6000 iPads
* Eric Newmark, IDC Health Insights Community, May 17, 2011

Its a tsunami
Morten Hjelmo, CEO Agnitio

Emerging applications
CLM
Detailing

CRM

SFA

Enabling

Enriching Motivating

Mobile corporate structure & culture iPad + iPhone for all employees Reinventing customer relationships

Smaller mobile-enabled SF SF more targeted, more in touch

Pharma must keep pace with doctors evolving expectations of detailing

e Patients

How many patients are out there?

By 2024 patients will lead healthcare

Lucien Engelen
Director REshape & Innovation Centre, Radboud University Nijmegen Medical Centre, The Netherlands

Founder, The Future of Health

How?

ePatient

power shift
Rating doctors & hospitals

Expect relationship of equals with doctors

Rating health Patients working as insurers

empowered drugs Rating synchronized groups & pharmas

Helping one another, sharing personal health data

Data-driven communities

Sharing structured information about their disease to help themselves and others

Real world data

3341 Copaxone patients
Aggregate SEs

Individual evaluations
Status 2.2.12

Partnerships to capture

real-world insights

may help UCB better understand how patients live with epilepsy and help advance epilepsy care
Peter Verdu, VP Clinical Research, UCB, 2009

Most active worldwide

4,437 patients

236,201 posts

53 posts/patient

5x more active
than German MS patients

12,209 patients 120,504 posts 10 posts/patient

Status: 25 January 2012

China also wants patients

to be more

proactive*

*http://www.pharmachinaonline.com/Archives/index_1_news.asp?id=435&sortid=28

Major pharma challenges

Developing trusted partnerships with ePatients Embracing future ePatient leadership

Trust

Mistrust
between industry & consumers

Broken trust
between industry & medical profession

Questionable
industry ethos

Time to start building trust again

Putting a human face

of J&J on the internet
Marc Monseau Social media

evangelist

Empowered to blog and get JnJ back into The Conversation

Empowered to engage in whats happening now conversations

Hardest challenge will be for pharma to metamorphose to become more

Len Starnes
lenstarnes@googlemail.com T: + 49 30 781 5513 M: + 49 172 1788253 Skype: lenstarnes www.linkedin.com/in/lenstarnes www.twitter.com/lenstarnes www.slideshare.net/lenstarnes