Selecting an Alternative Sampling Provider: Considerations for Brand Managers

Written by Michael Milunec, Director of Operations, QPharma 

As the industry evolves, pharmaceutical and life science product managers find themselves increasingly having to consider alternative sampling as a component of their marketing plans. It's usually a good fit for controlled substances and products with special handling considerations, but there are other good reasons to consider alternative sampling. For some companies, it's a marketing strategy that offers another opportunity to get a healthcare provider's attention. For others, it's a way of avoiding the accountability and compliance issues associated with requiring sales representatives to carry physical samples. Whatever the reason, it's important for brand managers to look for an alternative sampling partner that can meet their needs in a cost-effective and compliant manner — and that means asking the right questions.

How large is your pharmacy network?
An affiliation with a robust, nationwide network is important, simply because it translates to a better experience for the patient. Remember that with an alternative sampling program, patients are not receiving actual product samples; rather, they are receiving vouchers or co‐pay cards that they must redeem at a pharmacy. Whether that pharmacy is a major chain or a local drugstore, you want to ensure that your patients are able to receive your product regardless of where they go.

What is your average drug reimbursement rate?
The industry standard for determining drug reimbursement rates is currently driven by what is known as “Wholesale Acquisition Cost” (WAC). Desirable reimbursement rates tend to be between WAC+9 percent to WAC+10 percent. Better reimbursement rates can translate into cost savings for both drug makers and patients.

How extensive are your reporting capabilities?
Most vendors provide some level of online reporting, but few clients actually take the time to log on and generate reports. My clients like to have their reports pushed to them by FTP or encrypted e-mail. It gives them peace of mind to know that an account manager is reviewing their data and is available to point out trends and potential pitfalls. Most clients also appreciate a partner who has the ability to provide activity reports based on individual sales territories, and can generate reports that comply with federal and state reporting guidelines.

Can you provide client references?
When evaluating a potential alternative sampling partner, don't be shy about requesting to be put in touch with some of their current clients. A reputable, world‐class vendor should be able to provide a few contacts with confidence. Ask these references whether they like working with the company you're considering. Ask whether the company meets deadlines, whether they're knowledgeable about the regulations, and whether they're proactive in support of their clients’ goals and objectives.

By doing their homework, product managers can ensure that their alternative sampling programs are capably and professionally handled — with outstanding benefits for the company and the consumers they serve.

Patient Assistance Programs are Consolidating

Written by Michael Milunec - Manager of Operations PDMA and Fulfillment Services, QPharma

Pharma’s Mergers & Acquisitions impact on Manufacturer provided Patient Assistances Programs

Looking back over the past decade, Pharma mergers and acquisitions (M&A) have been an ebb and flow relationship with 2009 being a tidal wave.  I am sure Pfizer /Wyeth, Merck/Schering-Plough and Roche/Genentech mergers were the number one contributing factors.   In a ten year M&A data review from DealSearchOnline.com, Pharma’s M&A hit a whopping 147.2 billion – translating into a 66% increase from the second highest M&A in that ten year span (2000-97.4 billion).[refer to chart below]

What does this mean for PAP?
Regardless of the reasons for companies consolidating with other companies (growing generic competition, shrinking drug pipeline, our Economy) the fact remains it is happening and that means a changing landscape for patient assistance programs.  As these mergers continue on patients, patient advocates, healthcare community will feel, to some extent, the pain before they feel the gain.  In this case the gain being greater program continuity.

When manufacturers merge together, many decisions relative to PAP programs need to be made.  Some of these considerations are if the program(s) will stay independent or if they will be consolidated?  Given the mega mergers mentioned above in all cases they consolidated all their support programs into and under one company with the exception of Roche keeping their ACCU-CHECK program in place.  Consolidating Patient Assistance programs is not an easy task.  here are many other considerations that need to be addressed such as standardizing enrollment rules, keeping the same medication(s) or even the same access points i.e. phone, IVR, web?  Furthermore, if these manufacturers outsource their programs (as most do) it now begs the question of which vendor to consolidate with and how comprehensive their program transition plan is so they do not leave patients behind or without medication.

As QPharma has been consolidating PAP programs for some time now, we have seen an increased need to ensure the client’s transition plan to address outdated access points, primarily on the web.  Furthermore not only should they address these avenues but there should be a monitoring program in place to ensure these points of access do not change or lead to a dead end, broken web-link or busy signal. 

To test my opinion, I applied our content site consolidation methodology as a hypothetical for the Pfizer/Wyeth PAP, a merger that happened over a year ago… and found that there were still some sites that think Wyeth exists as Wyeth as well as their assistance programs.  Furthermore, you can still get an outdated application form off them.  What is even more shocking to me is that one site in particular refers to themselves as a leading provider of online patient assistance. 

To conclude Companies are looking to acquire, consolidate and streamline their business and this will eventually lead to easier access points into those companies Patient Assistance Programs.  If I could be so bold as to make a future prediction regarding the Sanofi-Aventis/Genzyme consolidation I would say it could go one of two ways – Currently they are using 2 vendors between the both of them to run their programs, 18 all together.  One vendor provides services to both companies and the other vendor only provides services to Sanofi-Aventis.  I would implement an RFP proposal, engage other service providers not currently engaged, assess their price points, use these price points to negotiate new terms/pricing with the vendor who currently holds the most knowledge of both programs and establish service level agreements to ensure patients who utilize these programs are handled compassionately and receive their medication in a timely manner.