Value Pricing Research
Delivering evidence-based value pricing strategies to the pharmaceutical industry
Inpharmation's Pharma-Specific pricing research platform combines research approaches to maximize your insights
Inpharmation’s Pharma-Specific™ value pricing research platform has been developed to overcome the challenges faced when running traditional pharmaceutical pricing research:
- Running pharmaceutical pricing research when you have a limited number of respondents requires the most efficient survey techniques.
- Inpharmation’s validated pharmaceutical pricing research methods are subject to up to 79% less error than traditional pricing research methods.*
- Pharma-Specific value pricing research combines a number of validated pricing research approaches to maximize the insights from your research project.
*Independent comparison of two direct pricing methodologies
Reduction in error compared to traditional pricing methodologies.
Unstructured and semi-structured conversations with payers (or ex-payers) can provide you with useful pricing insights. However, they cannot be used as the basis of a pharmaceutical pricing strategy; this is because they do not represent valid assessments of your product’s pharmaceutical pricing and market access prospects:
- Payers are often ignorant of rare or under-treated disease areas and their responses in conventional interviews are sometimes literally indistinguishable from random noise.
- Payers may “game” with pharma companies indicating that they expect low prices in order to receive low prices in the future.
- Payers are often confused by the questions asked by unskilled researchers and provide answers to a different question than the one that the researcher thinks he or she has asked.
- Payers are simply not good at correctly indicating pricing prospects “off the top of their head” during a conversation. They will often jump to a readily available “analogue” and this may turn out to be very misleading.
Of the top-10 global pharma companies use Inpharmation’s pricing solutions.
Evidence-based value pricing research
The only solution to these – and other problems – is to use precise quantitative evidence-based pharmaceutical pricing research techniques. When a research technique is structured in a precise way, it can be compared rigorously against other structured techniques. In this way, the best techniques can be selected and deployed to help recommend a value-based pricing strategy.
Unstructured interviews cannot be scientifically tested as no two unstructured interviews are ever the same. (Although, we do know from a vast body of empirical research that unstructured judgments produce much worse predictions than structured techniques.)
Inpharmation deploys a range of evidence-based quantitative pharmaceutical pricing and market access research techniques and these can be used throughout the development of a pharmaceutical product. In fact, 80% of the top-10 global pharma companies already use Inpharmation’s pricing solutions.
The evidence behind Inpharmation’s fact-based approach to pricing is meticulously documented in the book Value Pricing for Market Access: Evidence-Based Pricing for Pharmaceuticals by Inpharmation’s founder and Chairman, Gary Johnson.