If Only People Would Take Their Meds – Pharma Sales Might Double
A study by Capgemini Consulting and HealthPrize Technologies estimates that patients not filling prescriptions and otherwise failing to buy and consume drugs costs the U.S. pharmaceutical industry $188 billion in lost sales, Pharma Times reported.
Extrapolating, that would mean $564 billion in lost sales globally.
Pharma Times reports: “The report notes that this number is significantly higher than the $30 billion global loss often quoted to date from a 2004 study, ‘and higher than many pharmaceutical executive estimates.’ Indeed, the loss represents 59% of all Pharma revenues, which were $320 billion in the USA and $956 billion globally in 2011 according to IMS figures.”
Major pharmaceutical makers – Pfizer (PFE), Novatis (NVS), Sanofi (SNY), Merck (MRK), GlaxoSmithKline (GSK) and others – are struggling to produce revenue growth, as patents on existing blockbuster drugs expire and the companies’ R&D efforts fail to create enough new drugs.
Of course, a frequently mentioned reason that patients don’t fill prescriptions is that they can’t afford the drugs. Others fill the prescriptions and dose themselves at levels lower than prescribed, taking a half pill, say, instead of a whole one. Both behaviors undermine medical care.
From the editors of YCharts, which includes the just-released YCharts Pro Platinum for professional investors.