NOVOLET®

PRODUCT LAUNCH PLAN

Presented By:

Muhammad Ali 3485 Shah Ali Ahmed 3612Muhammad Asad Qureshi

169 Million Population (approx.)

Diabetes prevalence in Pakistan 8.6%

Total Diabetic patients 14.5 Mio

Disease growth rate of Approx. 4% annually

Pakistan holds 6th position globally which will be 4th by

2025

Diagnosed population 8.8 Mio

On medication 7.5 Mio

Situation AnalysisMarket Analysis

The total pharmaceutical market is around

Rs. 106 billion More than 600 Pharmaceutical companies

Diabetes Market The total market PKR 3.4 Billion

Growth rate of 30%,

Situation AnalysisMarket Analysis

Type I :0.75 Million diabetics

Type II:6.74 Million diabetics

Situation AnalysisMarket Analysis

On OADs :5.18 Million diabetics

On Insulin:2.33 Million diabetics

Situation AnalysisMarket Analysis

Available Insulin Types

(Analogues)

Regular Insulin (Clear Insulin) Basal Insulin

NPH (Milky Insulin) Rapid Acting

70 / 30 (70 % NPH 30 % Regular) Mixtures

Modern Insulin

Analogue

(Human Insulin)

Conventional Insulin

(Human Insulin)

Insulin

Situation AnalysisTypes of Insulin

Situation Analysis Insulin Market Analysis

Market is showing high single digit growth, depicting slow insulinization

Analogues is 2% of the insulin market but growing fast

Human Insulin 30/70 segment is dominating the insulin market, 70%

Vial (non device) is driving the insulin volume, 93%

0

500

1000

1500

2000

2500

3000

3500

2006 2007 2008 2009 2010 2011

10.9%10.36%8.92%7.6%Growth-7.4%

Insulin market volume growth (Mega Units)

10%

Source: IMS private market and backup sheets

Source: IMS private market and backup sheets

% total market value (PKR)

Insulin market segment development (value)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2006 2007 2008 2009 2010

Premix NPH Regular

30/70 will remain the dominant segment

NPH segment has been limited SOV

Regular is small due to lack of awareness of tighter glycaemia control.

Situation Analysis Insulin Market Segment Analysis

Companies Share In Insulin Market

28%

4%

63.5%

4%

NovoNordis k S anofi Aventis L illy Others

• Lilly is market leader with share of 63.5%

• Novonordisk is chasing Lilly with market share of 28%

• Sanofi-Aventis have 4% market share, with analogue portfolio only

• Rest 4% share is of biosimilars

Lilly banks on its 30/70 vial brand which controls near 50% of insulin market

Despite success with Lantus SA will not be a leading player due to absence in HI

Biosimilar are continuously entering into the market

Source: AB08 Key Figures, private market

Total insulin value market share by company

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

2007 2008 2009 2010 2011

Novo Nordisk Sanofi Aventis Lil ly Other

Val

ue in

Bill

ions

P

KR

Situation Analysis Market Value Growth

Product Range of NOVOLET

Insulatard Novolet (Insulin - NPH)

Actrapid Novolet (Insulin - R)

Mixtard Novolet (Insulin Mixture

70/30)

Novolet Feature & Benefits Prefilled, Multidose

Disposable device

Virtually pain less

Storage convenience

No wastage of insulin

Easy portability

Targeted Customers/Market

Endocrinologist

Diabetologists

Physicians

A Class GPs

Ward / ICU doctors

Customer Analysis

Total Insulin customers in market

Endocrinologist 19 Diabetologists 350 Physicians 16,000 A Class GPs 20,000 Ward / ICU doctors 1000

SWOT local analysisInternal (S/W) & External (O/T)

Opportunities• Opportunity to switch from Humulin 70/30 to

NN Devices• Large number of T2 diabetics with OHA failure

– Lilly investing to expand the insulin market• Increased GPs interest in managing diabetes

– engaging in short courses

Threats• Political unrest & worsening economical

indicators

• Huge resources of two giants competitors i.e. Lilly and Sanofi-aventis

• Caricatures issue

• Potential generics entry

Strengths• Devices leadership• Innovation & quality image• Relations with KOLs• Strong future pipeline

Weaknesses• Minimum resources among insulin

companies in Pakistan• Inconsistent marketing perception• lack of local clinical data

Analysis of Rx opportunitiessummary of market understanding

total Rx opportunities

type 1

540,050

140,499

24,066

human upgrade

competitor switch

65,000

51,432

type 2

399,551

naive patients

113,644

intensification

175,900

110,000

Source: IMS JUL-DEC 2008 & estimation

New patient

competitor switch

Positioning

Novolet is a prefilled, multidose, disposable Insulin

pen which gives accurate dosing, convenience and virtually painless prick

Who & Why

WHO• Type I Diabetics• Type II Diabetics who prone to secondary failure• Patients in ICUs / Emergencies

WHY• Virtually pain free• Dose accuracy• Easy storage• Convenience• Pre-filled• Multi-dosage • No wastage

Strategies

In PLC it is in Growth phase Adopt Build strategy

Gain market share by Converting competitors vial patient Convert own vial patients Naïve patients (Type I & Type II)

Highlighting USPs (Competitive advantage) Scientific promotional activities

cont

Strategies Promotional Mix

Literature (for a year) Giveaways Distribute Medical Journal (e.g.. Diabetes

Care) CME International congress / symposia (ADA,

EASD,IDF) Brand activation campaign

Continuous Medical Education 25 CME activities in 2009 at different

institutions Estimated CME cost 30,000 10 local symposia /conferences in 2009 Estimated local symposia cost 100,000

Brand Activation Campaign

Diabetes booth in 50 hospitals of Pakistan in collaboration of external event management firm

3 days in each private hospital. Free starter pen for new and converted patients Focus on ICUs, Emergencies and OPDs Medical representative and Area sales managers

are responsible to execute this activity. Objective is to generate more and more

prescriptions

StrategiesPromotional Budget & Field Force

Promotional Budget distribution No other products to share promotional

budget

Field Force Allocation Dedicated field force for Novolet.

Pricing Comparison

Product Name Product Description

Price for 1 Vial Price per Unit

TP MRP (1 Vial = 1000 units)

Humilin R Regular Insulin 419.9 483 0.483

Humulin N NPH Insulin 419.9 483 0.483

Humilin 70/30 Mixture 70/30 Insulin 368.9 424 0.424

Product Name Product Description

Price for 1 Box of Device Price per unit

TP MRP (1 box = 1500 units)

Actrapid Novolet Regular Insulin 1100 1265 0.843

Insulatard Novolet NPH Insulin 1100 1265 0.843

Mixtard Novolet Mixture 70/30 Insulin 1100 1265 0.843

Eli Lilly

NovoNordisk

Questions….

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