SOURCE: Cutting Edge Information

December 16, 2008 08:15 ET

Findings From Cutting Edge Information Show Market Research Departments Provide Decision Support for Pharmaceutical Companies' Cost-Cutting Measures

RESEARCH TRIANGLE PARK, NC--(Marketwire - December 16, 2008) - Pharmaceutical companies are increasingly relying on their market research departments to provide decision support to help them run leaner organizations in these troubled economic times, according to a new report, "Improve Market Research Impact" (www.PharmaMarketResearch.com), from biopharmaceutical business intelligence leader Cutting Edge Information.

Amgen recently announced that once denosumab, a bone-strengthening drug, hits the market, the biotech leader will use a reduced sales force to promote the drug. What led to this decision was a finding from the company's market research department that 25% of primary care physicians write 85% of the prescriptions for bone-strengthening drugs.

"It would seem that using a smaller, targeted sales force in this situation was the obvious decision," said Jordan Stone, Cutting Edge Information research analyst. "Without the analytical insight of their market research department, Amgen probably would have employed the typical but, in this instance, inefficiently large sales force."

When layoffs were on the horizon in years past, market researchers were the ones looking over their shoulders to see if the pink-slip was coming. Now it appears that market research departments are helping to call the shots and have cemented their strategic importance within drug companies.

To continue to demonstrate their value, market research teams must reach out to new internal stakeholders and prove that quality information leads to smarter decisions. "Improve Market Research Impact" illustrates the keys to expanding market research's role within a company.

The report examines structure, spending, staffing, and compensation data for dozens of market research departments. Developed from surveys and interviews with top executives from more than 30 companies, the report provides strategies for maximizing market research's reach and impact and winning stakeholder support.

The 210-page report contains 500+ metrics, including:

--  Select surveyed companies' organizational structures
--  U.S. and rest-of-world market research budgets, 2007 and 2008, by
    company size
--  Brand-level market research spending, by development phase
--  Market research spending for 13 therapeutic areas, by development
    phase
--  Market research analyst compensation based on experience
--  Percentage of U.S. market research budget spent on outsourced
    activities
--  U.S. market research dollars outsourced by year and by company size
    

A complimentary report brochure is available at http://www.PharmaMarketResearch.com

Contact Information

  • CONTACT INFORMATION:

    For more information, contact research analyst
    Jordan Stone
    Email Contact
    919-433-0376