Optimal Pricing Model Identification
Case Study:
Identifying the Optimal Pricing Model for a New Oral Formulation
This case study demonstrates how a pharmaceutical company navigated the complexities of pricing a new oral formulation of an infused product, balancing payer expectations and market dynamics to ensure success.
Key takeaways include:
- Challenge: Introduce an oral formulation offering improved adherence and less waste while addressing uncertainties around payer and provider value perception.
- Approach: Magnolia Market Access conducted landscape assessments, payer and provider interviews, and formulated gross-to-net pricing models. Strategies included predictive flat pricing with rebates and tools to support pricing discussions.
- Outcome: A pricing strategy with a 25% premium and rebates aligned with payer preferences led to positive formulary uptake and ongoing revenue growth. Additional data collection aims to strengthen future value propositions.
Download the case study to explore how strategic pricing models can enhance product positioning and market adoption.