SOURCE: Cutting Edge Information

Cutting Edge Information

November 11, 2015 08:48 ET

Health Economics and Outcomes Research Teams Impact European Government Payer Decisions Nearly Twice as Much as United States' Payers, According to Cutting Edge Information

RESEARCH TRIANGLE PARK, NC--(Marketwired - November 11, 2015) - A recent study by Cutting Edge Information found that health economics and outcomes research (HEOR) groups are far more impactful in Europe than in the United States. In several head-to-head comparisons, HEOR groups fared better at impacting the Institute for Quality and Efficiency in Health Care (IQWIG) in Germany and the National Health Service (NHS) in Great Britain than either Blue Cross Blue Shield or government payers -- such as Medicare and Medicaid - in the United States.

While strong health economics findings are useful value propositions, these data are more persuasive for certain payer organizations. Surveyed groups rated HEOR's level of impact on specific payers' pricing and formulary decisions. HEOR impact was measured on a scale from 1 to 5, in which 1 was minimal impact and 5 was very large impact. HEOR teams' perceived impact on payers' pricing decisions ranges from an average 2.9 at Blue Cross Blue Shield to 4.6 at IQWIG. Perceived HEOR impact on formulary decisions has a similar range -- from an average 2.8 at Medicare and Medicaid to 4.7 at NHS.

The study, Building World-Class HEOR Teams: Creating Convincing Value Proposition for Payers, showed that overall, surveyed teams agree that HEOR has the greatest impact for European payers. For all European payers considered, average impact ratings exceed 4 out of 5. Though United States payer organizations are not affected to this extent, surveyed teams do report that HEOR has a nearly average (3 out of 5) impact on these payers' decisions.

As a key component of market access, health economics and outcomes research groups must be aware of how their work impacts their audience. As companies prepare to enter the market, they look to HEOR groups to demonstrate a brand's value to payers, the commercial gatekeepers. Without competitive pricing and formulary placement, brands cannot succeed in today's marketplace.

Building World-Class HEOR Teams: Creating Convincing Value Proposition for Payers, available at http://www.cuttingedgeinfo.com/research/market-access/health-economics-and-outcomes-research/, highlights HEOR group structure, staffing and spending at pharmaceutical and medical device companies around the world. The report's resource metrics allow health economics groups to benchmark their activities against the rest of the industry and to ensure that they are effectively supporting their products. Highlights include:

  • Benchmarks showing HEOR spending from 2013 to 2015 per company and on a per-product basis
  • Data showing HEOR group oversight, leadership, and funding sources
  • Executive perspectives on demonstrating the value of HEOR internally
  • Insights on how to ensure that stakeholders beyond payers, such as patients and physicians, are understood when developing health economics research

For other market access topics, view Cutting Edge Information's market access library at http://www.cuttingedgeinfo.com/library/market-access/.

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