The Digital
Metamorphosis of
the Pharma Industry
                                Pharma Digital Marketing
 Len Starnes
Len Starnes Marketing & Sales
 Head of Digital                                Istanbul
Digital healthcare consultant
 General Medicine                      8 February 2012
1996 fantasy: digital sales rep
Change                     Agenda
    1    & culture

                     2   Doctors


                                     Sales
5       Trust                   3
                                     forces

                4    Patients
Ageing
                     populations
      Influence of
     E7 countries         Soaring cost
             Patent cliff of healthcare
        Influence of payers
R&D not       Personalized        Patient
delivering    medicine       empowerment
  Fewer blockbusters          New business
      Catastrophic            models
  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                                                         clash
         Risk averse                                             Risk taking
Authoritative sources                                            Crowd wisdom
   Privacy & security                                            Open to all
            regulated
     Long lead times                                             Rapid deployment
Controlled access to                                             Anyone may
  data & information                                             contribute/distribute
                   IP                                            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
‘We’re changing as
a result of social and
technological innovation.

…We’re 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          Using digital     Routine use of
doctors          tools &           professional
predominate      processes         social networks




Expecting        Expecting         Unwilling to see
e-self service   pharma to be      sales reps
options          digitally savvy
Huge growth in doctors’
                              social networks
     Membership of
     physicians’
     social networks
3m


2m
                                               Today
1m
                                       > 70 networks
                                     > 3 m members

 2007      2008        2009   2010      2011   2012
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
                                                        Consulting with
    80                                                  colleagues in person
                                    Offline journals
                                   Online journals
    60                                                      Physicians’
                                                            social
                                                            networks
    40

                                               Sales
    20                                         reps
                                  Pharma
                                  websites                         Weekly/daily use
                                                                    % online HCPs

Manhattan Research,          20           40           60          80          100
Taking the Pulse v11.0, 2011
Global network Aug 2011
11k        2m visitors       1m
doctors    per month         patients




Market                   Doctors-only
research    eDetailing    community
New    opportunities
Market research
Tracking trends & opinions
                 Meded & promotion
                 CME, eDetailing

                     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
‘It’s 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
Expect relationship of
equals with doctors
                           Rating doctors
                           & hospitals
                           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
‘what’s 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

The Digital Metamorphosis of the Pharma Industry

  • 1.
    The Digital Metamorphosis of thePharma Industry Pharma Digital Marketing Len Starnes Len Starnes Marketing & Sales Head of Digital Istanbul Digital healthcare consultant General Medicine 8 February 2012
  • 2.
  • 3.
    Change Agenda 1 & culture 2 Doctors Sales 5 Trust 3 forces 4 Patients
  • 4.
    Ageing populations Influence of E7 countries Soaring cost Patent cliff of healthcare Influence of payers R&D not Personalized Patient delivering medicine empowerment Fewer blockbusters New business Catastrophic models image of pharma Impact of technology
  • 5.
    More is different, faster is different Philip W. Anderson PW Anderson, More is Different, Science, 4 August 1972
  • 6.
    Different means unpredictable changes resulting fromextraordinary increases in scale Adapted from: PW Anderson, More is Different, Science, 4 August 1972
  • 7.
    Speed and scale 50m users, 88 days Graphic: Leon Haland, Time to reach 50m users http://plus.google.com
  • 8.
    ‘We are living inthe middle of the largest increase in expressive capability in the history of the human race’ Clay Shirkey, Here Comes Everybody, 2008
  • 9.
    Pharma culture clash Risk averse Risk taking Authoritative sources Crowd wisdom Privacy & security Open to all regulated Long lead times Rapid deployment Controlled access to Anyone may data & information contribute/distribute IP Open source Adapted from: Web 2.0 in Healthcare, John Sharp, Cleveland Clinic, USA
  • 10.
    Faster in somecountries… …than in others
  • 11.
  • 12.
    Emerging digital doctors ‘We’re changing as a result of social and technological innovation. …We’re evolving from analogue to digital’ Dr Bryan Vartabedian 33 Charts October 2011
  • 13.
    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
  • 14.
    Next 5 years Digital Using digital Routine use of doctors tools & professional predominate processes social networks Expecting Expecting Unwilling to see e-self service pharma to be sales reps options digitally savvy
  • 15.
    Huge growth indoctors’ social networks Membership of physicians’ social networks 3m 2m Today 1m > 70 networks > 3 m members 2007 2008 2009 2010 2011 2012
  • 16.
    US, Europe andE7 markets Asia Pacific inc China & India 2.0 m members Europe & Americas inc Mexico, Brazil, Russia 1 m members
  • 17.
    Influence on Rxdecisions high 100 Influence % online HCPs Consulting with 80 colleagues in person Offline journals Online journals 60 Physicians’ social networks 40 Sales 20 reps Pharma websites Weekly/daily use % online HCPs Manhattan Research, 20 40 60 80 100 Taking the Pulse v11.0, 2011
  • 18.
  • 19.
    11k 2m visitors 1m doctors per month patients Market Doctors-only research eDetailing community
  • 20.
    New opportunities Market research Tracking trends & opinions Meded & promotion CME, eDetailing Virtual advisory boards KOLs, clinical trials support Engagement Peer-to-peer dialogue Specialist communities Community, content & services
  • 21.
    Pharma must learnto fish where the fish are
  • 22.
  • 23.
    We need to givedoctors more than the same old detail
  • 24.
  • 25.
    ‘Big Pharma stockpilling….’* All 35 pharma clients using 6000 iPads * Eric Newmark, IDC Health Insights Community, May 17, 2011
  • 26.
    ‘It’s a tsunami’ MortenHjelmo, CEO Agnitio
  • 27.
    Emerging applications CLM Detailing CRM SFA Enabling Enriching Motivating
  • 28.
    Mobile corporate structure& culture iPad + iPhone for all employees Reinventing customer relationships Smaller mobile-enabled SF SF more targeted, more in touch
  • 29.
    Pharma must keeppace with doctors’ evolving expectations of ‘detailing’
  • 30.
  • 31.
    How many patients are out there?
  • 32.
    ‘By 2024 patients willlead healthcare’ Lucien Engelen Director REshape & Innovation Centre, Radboud University Nijmegen Medical Centre, The Netherlands Founder, ‘The Future of Health’
  • 33.
  • 34.
    ePatient power shift Expect relationship of equals with doctors Rating doctors & hospitals Rating health Patients working as insurers empowered drugs Rating synchronized groups & pharmas Helping one another, sharing personal health data
  • 35.
    Data-driven communities Sharing structuredinformation about their disease to help themselves and others
  • 36.
    Real world data 3341 Copaxone patients Aggregate SEs Individual evaluations Status 2.2.12
  • 37.
    Partnerships to capture real-worldinsights ‘…may help UCB better understand how patients live with epilepsy and help advance epilepsy care’ Peter Verdu, VP Clinical Research, UCB, 2009
  • 38.
    Most active worldwide 4,437patients 236,201 posts 53 posts/patient
  • 39.
    5x more active than German MS patients 12,209 patients 120,504 posts 10 posts/patient Status: 25 January 2012
  • 40.
    China also wantspatients to be more proactive* *http://www.pharmachinaonline.com/Archives/index_1_news.asp?id=435&sortid=28
  • 41.
    Major pharma challenges Developingtrusted partnerships with ePatients Embracing future ePatient leadership
  • 42.
  • 43.
    Mistrust between industry & consumers Brokentrust between industry & medical profession Questionable industry ethos
  • 44.
    Time to startbuilding trust again
  • 45.
    Putting a human face of J&J on the internet Marc Monseau Social media evangelist
  • 46.
    Empowered to blogand get JnJ back into ‘The Conversation’
  • 47.
    Empowered to engagein ‘what’s happening now’ conversations
  • 48.
    Hardest challenge willbe for pharma to metamorphose to become more
  • 49.
    Len Starnes [email protected] T: +49 30 781 5513 M: + 49 172 1788253 Skype: lenstarnes www.linkedin.com/in/lenstarnes www.twitter.com/lenstarnes www.slideshare.net/lenstarnes