Be Proud of
BioMAb indian origin medicine
1
Envirnmental Analysis
Government
The government-sponsored public sector, which provided free health care to
consumers, accounted for 20% of overall health care expenditures in India
Economy
Growth
Indian economy was growing by almost 9% annually . A single major illness
or hospitalization could consume, on average, 60% of a family’s annual
income.
Economy
Market Analysis
Among all cancers, the incidence rate for head and
Size neck cancer, the target market for BIOMAb, was
highest in India. Nearly 21% of cases.
Growth
Economy
Market Analysis
Among all cancers, the incidence rate for head and
Size neck cancer, the target market for BIOMAb, was
highest in India. Nearly 21% of cases.
India’s annual population growth rate of 1.4% could
Growth also increase the market potential in the future
Economy
Market Analysis
Among all cancers, the incidence rate for head and
Size neck cancer, the target market for BIOMAb, was
highest in India. Nearly 21% of cases.
India’s annual population growth rate of 1.4% could
Growth also increase the market potential in the future
EconomyPotential market size could also be improved by
educating end-customers, targeting government
and insurance companies
Competitors Analysis
Surgery
Competitors Analysis
Surgery
Biological
Competitors Analysis
Surgery Radiotherapy
Biological
Competitors Analysis
Surgery Radiotherapy
Chemotherapy Biological
Competitors Analysis
Surgery Radiotherapy
Secondary
Competitors
Chemotherapy Biological
Competitor Analysis
Primary
Erbitux
Competitor Analysis
Primary
Erbitux
Strength
- Three years of market usage
experience for colorectal cancer.
- Strong evidence from its clinical trials of
efficacy for head and neck cancer.
- Already available in 53 countries.
- Total worldwide sales of the drug in
2006 exceeded $1 billion.
Competitor Analysis
Primary
Erbitux
Strength Weakness
- Three years of market usage - Erbitux’s trials were based on an
experience for colorectal cancer. ongoing (and indefinite) treatment plan.
- Strong evidence from its clinical trials of - High price cost (4000$ - 5000$) which
efficacy for head and neck cancer. not consistent with family’s annual
- Already available in 53 countries. income.
- Total worldwide sales of the drug in - Produce Skin Rash.
2006 exceeded $1 billion. - Erbitux + Radiotherapy = 60%
response (median survival from 29.3
months to 49 months)
Competitor Analysis
Primary
Erbitux
Strength Weakness
- Three years of market usage - Erbitux’s trials were based on an
experience for colorectal cancer. ongoing (and indefinite) treatment plan.
- Strong evidence from its clinical trials of - High price cost (4000$ - 5000$) which
efficacy for head and neck cancer. not consistent with family’s annual
- Already available in 53 countries. income.
- Total worldwide sales of the drug in - Produce Skin Rash.
2006 exceeded $1 billion. - Erbitux + Radiotherapy = 60%
response (median survival from 29.3
months to 49 months)
While BiomAb gained 100% Response in combination with Radiotherapy
BiomAb vs Erbitux
POD POP
100% Response of
BiomAb with Radio
&Chemo-Therapy
BiomAb vs Erbitux
POD POP
100% Response of
BiomAb with Radio
&Chemo-Therapy
Did not product Skin Rash
BiomAb vs Erbitux
POD POP
100% Response of
BiomAb with Radio
&Chemo-Therapy
Did not product Skin Rash
Specific ttt Cycle “6-Dose”
BiomAb vs Erbitux
POD POP
100% Response of
BiomAb with Radio
&Chemo-Therapy
Did not product Skin Rash
Specific ttt Cycle “6-Dose”
INDIAN ORIGIN
BiomAb vs Erbitux
POD POP
100% Response of
BiomAb with Radio
&Chemo-Therapy Both are for Head and
Neck Cancer
Did not product Skin Rash
Specific ttt Cycle “6-Dose”
INDIAN ORIGIN
SWOT Analysis
Strength Weakness
- The first Indian company launch a - Biocon had not yet initiated phase-3
proprietary drug targeted to Head and testing for BIOMAb
Neck cancer in India. - Lack of experience in marketing of
- Targeted therapy drug, and not affected oncology drugs
normal cell, while most targeted cancer
therpaies were in early stage
development.
Opportunity Threats
- New market, and growing. - Erbitux; the main threat, which is an
- Physician generally employed this TTT established product and has proven
In various combination . phase-3 results
- The Cuban company would license - Both Biocon and Clinigene are new to
Biocon to develop and market the the industry and strong reputations have
molecule on the Indian subcontinent yet to be developed
- long-term success of the company
among competitors.
Strategy
Strategy
BiomAb is a new drug for a new market so based on Ansoff matrix our product depending on:
Diversification Strategy
Pricing Strategy
Cost Customer Competitor
Pricing Strategy
Cost Customer Competitor
Biocon Intends to put
BIOMAb’s list price at
$1,000 per dose. A low
price on BIOMAb can
very easily be used by
doctors to rationalize a
low quality image
Pricing Strategy
Cost Customer Competitor
Biocon Intends to put 95% of BIOMAb patients
BIOMAb’s list price at would be self-paying.
$1,000 per dose. A low Given the high cost of
price on BIOMAb can cancer drugs ,just a few
very easily be used by percent of patients could
doctors to rationalize a potentially afford the
low quality image drug
Pricing Strategy
Cost Customer Competitor
Biocon Intends to put 95% of BIOMAb patients
BIOMAb’s list price at would be self-paying. Erbitux will be priced at
$1,000 per dose. A low Given the high cost of or near international
price on BIOMAb can cancer drugs ,just a few price levels of
very easily be used by percent of patients could approximately $4,000-
doctors to rationalize a potentially afford the $5,000 per dose
low quality image drug
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Fixed Cost
Break Even
Price - Variable
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Price/Unit 1000 $
Fixed Cost
Break Even Break Even/unit 76,923
Price - Variable Break
12821
Even/Patient
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Price/Unit 1000 $ 2000 $
Fixed Cost
Break Even Break Even/unit 76,923 38,462
Price - Variable Break
12821 6410
Even/Patient
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Price/Unit 1000 $ 2000 $ 3000 $
Fixed Cost
Break Even Break Even/unit 76,923 38,462 25641
Price - Variable Break
12821 6410 4274
Even/Patient
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Price/Unit 1000 $ 2000 $ 3000 $
Fixed Cost
Break Even Break Even/unit 76,923 38,462 25641
Price - Variable Break
12821 6410 4274
Even/Patient
Achieve Achieve
Target Break-even
Faster Faster
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Price/Unit 1000 $ 2000 $ 3000 $
Fixed Cost
Break Even Break Even/unit 76,923 38,462 25641
Price - Variable Break
12821 6410 4274
Even/Patient
Achieve Achieve
Extra time – Extra Effort – Extra Expenses Target Break-even
Faster Faster
Pricing Strategy
Cost of Goods 25 %
R&D% 15 %
Marketing % 25-30; 27.5%
Investment 25.000.000$
Incidence 190.000 P
Target 20.000 P/Year
Dose/Patient 6
Price/Unit 1000 $ 2000 $ 3000 $
Fixed Cost
Break Even Break Even/unit 76,923 38,462 25641
Price - Variable Break
12821 6410 4274
Even/Patient
Achieve Achieve
Extra time – Extra Effort – Extra Expenses Target Break-even
Faster Faster
Place
BIOMAb has to be refrigerated all the
time and handled carefully.
Most physicians and oncologists had close,
long-term relationships with channels
It was common for pharmacists to deliver drugs
24/7 to doctors’ offices or patients’ homes.
Going direct also cuts out the channel margins and
has a significant economic benefit to the customer
Place
Strategy
Assume risks, so working by
BIOMAb has to be refrigerated all the two strategies Pull & Push,
time and handled carefully. aiming in Long-Term to be
owned its distributor
Most physicians and oncologists had close,
long-term relationships with channels Channel Decisions
1- Select Channel Member
It was common for pharmacists to deliver drugs 2- Training Channel Member
24/7 to doctors’ offices or patients’ homes. 3- Evaluating Channel
4- Modifying Channel
Member; periodically review
Going direct also cuts out the channel margins and by sales rep and supervisors.
has a significant economic benefit to the customer
Product
Recommendation
Biocon should wait for the results of the phase 3 trials
and accelerate it to time not exceed 3 months so it
could provide credibility to the product. Meanwhile,
company should launch some generic products in
order to strengthen its position as a proprietary
drug.
Throughout this period!
Do
Promotion
Build Disease/
The Fulfilling Field
Treatment
New TTT Force Gap
Awareness
Perception
Community
Thanks !