We’re excited to launch “3 Things About Market Access”, the first video in our ‘3 Things About’ series designed to simplify complex healthcare topics. In this video, Frederick Thielen dives into the crucial concept of market access — a vital process for making new drugs and treatments available to patients.
Transcript of the video
3 THINGS ABOUT MARKET ACCESS
When we talk about healthcare, the concept of market access is often less understood, yet it is vital for bringing new drugs and treatments to patients. Market access refers to the process by which healthcare products are made available to the patients who need them. It includes taking into account regulatory approvals, reimbursement, pricing, and distribution. Here are three important things you might not know about market access.
Going beyond regulatory approval
Although it might seem so, drugs approved by regulatory authorities like the European Medicines Agency are not immediately available for patients. After a drug receives approval for safety and efficacy, it must still go through pricing and reimbursement negotiations in each country to determine whether the healthcare system will cover it and at what cost.
This negotiation process can be lengthy and varies by country, with each country having its own criteria for deciding which drugs are included in public or insurance-funded healthcare. For example, some countries may have national health technology assessment agencies that evaluate whether the drug is worth its price before allowing it on the market. In other words, whether the drug is cost-effective.
Value demonstration is key
To gain market access, pharmaceutical companies must not only prove that their product is safe and effective but also provides good value. This means they need to prove that their product is worth the money, not just for each patient but for the whole healthcare system. They do this by using data and statistical models to show how their treatment can help patients get healthier, lower other healthcare costs, and make a positive difference overall.
The ability to demonstrate value is important – particularly for highly priced modern treatments, where healthcare systems need to be assured that the benefits justify the expense.
Varying patient access and launch sequence
Patient access to new treatments can vary significantly across countries. It depends on factors like healthcare budgets, local regulations, and the perceived value of the drug by payers and healthcare professionals. Additionally, pharmaceutical companies must determine the launch sequence for different markets—deciding in which countries to introduce the drug first. This decision is often based on factors like market size, the ease of obtaining reimbursement, and the regulatory environment.
For example, a company might choose to launch a new cancer therapy in Germany or the United States first, where healthcare systems are more likely to provide funding for high-cost treatments. Meanwhile, launching in countries with more stringent budget constraints may happen later or not at all. This variation in patient access means that not all patients benefit equally from new medical innovations.
In conclusion, market access is a complex process that goes beyond regulatory approval. It involves demonstrating value, negotiating prices, and navigating varied healthcare systems to ensure that patients receive the treatments they need. By better understanding these nuances, we can appreciate the challenges involved in making innovative healthcare solutions accessible to all.
And don’t miss the making-of video
The videos were filmed on November 28, 2024, at the Gegevens Erasmus Studio of Erasmus University Rotterdam.
We invite you to watch, share, and join the conversation about how we can work together to make healthcare more equitable and effective.