Inbeeo’s client, a specialty pharmaceutical company, is commercializing a novel radiopharmaceutical for an orphan oncology indication in Japan.
Pricing mechanisms in Japan presented as somewhat of a ‘black box’ to our client, particularly the ‘cost-based’ mechanism, which is wholly different to other price-setting in other markets.
They asked us to help them establish an understanding of pricing in Japan, estimate an achievable price via each mechanism, and identify opportunities to optimize the value of their innovative product.
The The Approach
Inbeeo led the client approach that enabled a robust price estimate for the client’s product, including :
- An initial landscape assessment to establish the pricing rules
- An in-depth analysis of all oncology and orphan products to understand how formal rules play out in the real-world
- In-depth interviews with outgoing Chuikyo committee members to pressure-test assumptions
- Synthesis of insights (e.g. on anticipated premiums) with internal data (e.g. transfer prices) in a user-friendly cost calculator
Our client was able to achieve a 60% premium vs their base case pricing scenario with our proposed strategy and the support of our custom calculator.