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Case Studies in Patient Incentives

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Brand Going Off Patent

A Case Study for Using Predictive Modeling to Drive Better Decisions

Problem:

The brand team of a major pharmaceutical company had run a patient incentive card program for two years and wanted to continue, but they did not know how the card performed (outside of understanding the costs and redemption rate). The brand was just over a year from going off patent and they wanted to keep the offer in market to help maintain the persistency of their current patients as long as they could.

Our Solution:

  • We recommended that the brand go through our patient incentive optimal offer process to forecast what the impact of continuing the card might be.
  • We completed the analysis and provided the brand the estimates for several different types of offers and programs. Several offers showed that the estimated incremental volume would more than cover the cost of the program.
  • The offer was changed slightly based on the “optimal offer” which was designed to:
    • Stay within the budgeted amount given
    • Get the best $$$ return per $1 invested for the budget that was approved
    • Maintain the adherence rate for patients who were utilizing these co-pay cards

Result:

  • Based on the business case we provided, the brand received approval from senior management to continue their program for another year
  • A new vehicle type was chosen and the new program outperformed the old one by 41% on a profitability basis!
  • The brand team exceeded their goal of maintaining the adherence rate for patients who were utilizing these co-pay cards
  • Our patient incentive optimal offer process showed that by changing the offer only slightly they could reduce their overall costs and get a better return on their investment for their program.

Timing:

  • The entire process was completed in 3 weeks!
  • The new offer was put into market just 4 weeks after receiving the recommendation.