Pharmaceutical organizations have endured substantial change over the past decade. Large sales forces rationalized by outdated promotional response models have become less influential as their physician targets lose autonomy to payers, who exert more control to reduce drug costs. Growing provider networks are increasing their demand for proof of clinical and economic benefits. Combined payer/provider roles will become more common.
Given the new market environment, most medical sales forces face a “burning platform” for change in the way they size, deploy and compensate their salespeople. However, we find that the changes made can be incomplete and inconsistently implemented. Salespeople may pursue the wrong physicians, territories are misaligned, KAM and fields sales forces are out of synch, and compensation plans do not motivate. As a result, many commercial organizations experience rampant inefficiency at precisely the time when they are being held accountable to deliver a stronger ROI.
Solution: Use of Payer/Provider Position to Define Attainable Potential
Almost all pharma and biotech companies purchase Payer/provider Rx data. Statistically valid “Attainable Potential” models can be developed using this data to transform raw opportunity into practically achievable growth at the physician, account and territory levels.
Costly over-payment to some occurs at the same time others are demotivated, which can lead to unwanted turnover. The combination is disruptive and impairs productivity dramatically.
Pharmaceutical sales organizations must become more effective. Incorporating Attainable Potential into basic sales analytics, most often without the need for costly added data acquisition, is a great way to start.
To learn more about how to assess true, attainable sales potential and apply potential to sizing, deployment and compensation practices, we invite you to visit our Phamaceutical Sales Practice.
Originally published by: Steve Mermey