Inbeeo’s client was a small clinical stage pharmaceutical company that was developing a novel product to treat Idiopathic Pulmonary Fibrosis (IPF), who were looking to gain a greater understanding of the value of their product to payers.
While companies are increasingly looking to value based pricing for their assets, there is often uncertainty where to start and how to identify where true value lies.
Inbeeo’s client wanted to explore the potential for outcomes-based agreements and value-based pricing for their new asset.
Inbeeo developed a pricing calculator with a value-based pricing twist!
We identified all the areas where the product could demonstrate value and distilled these into a set of core value elements. These value elements were then summarized in a price calculator, with appropriate identification and costing.
The price calculator helped to triangulate achievable prices for the asset through the construction of value element scenarios that demonstrated the potential avoided costs from obtaining different clinical outcomes with the asset.
The pricing calculator enabled our client to identify the clinical and economic areas where their asset had the potential to add value compared to current products in the therapy area.
By linking costs saving from events avoided in the treatment pathway, with defined clinical outcomes we were able to generate persuasive value metrics to support future outcomes-based agreements.