Redoing Customer Engagement Practices in the Biopharmaceutical Industry
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1 Redoing Customer Engagement Practices in the Biopharmaceutical Industry knowmcm Action Paper By Sanjay Virmani
2 Table of Contents The biopharmaceutical industry has been adopting novel technologies and models to better engage Health Care Providers Introduction Multichannel Tele-detailing and Remote Engagement 3 2 Enterprise Digital/Multichannel Marketing Infrastructure 5 3 Digital/Multichannel Performance Management 7 4 Multichannel Sampling 9 5 Multichannel HCP Access Conclusion 3 (HCPs). While the industry continues to seek innovation, the question of scaling the successes is equally key. How can deeper levels of customer engagement and proximity for sales, services, marketing, as well as medical functions be achieved at scale? How can customer experience be improved across the multitude of interactions? In an environment where content and services are expected in all possible live, remote, and digital channels, common practices in the industry need a redo.
3 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Introduction The industry is increasingly knowledgeable about the behaviors and preferences of HCP customers but it is also increasingly a more complex environment to operate in The biopharmaceutical industry is increasingly knowledgeable about the behaviors and preferences of HCP customers. Physician use of digital channels, such as and mobile devices has been increasing significantly. For instance, 99% of physicians use a desktop or a laptop and 87% of physicians use a smart phone or a tablet in their clinical practice. Physicians spend twice as much time using online resources for clinical decision making compared to print resources. Physicians spend 6 hours per week watching videos online on average, half of which is for professional and clinical purposes. Although content is still king, HCPs do not just need clinical and product-related information. They also seek credible data related to reimbursement, health economics, quality, and outcomes. HCPs are themselves dealing with multiple new forces such as the shift to performance-based payment models, more participative consumers and caregivers, and greater use of automation and information technology in clinical practice. Such shifts are modifying long-established HCP needs. The industry is also increasingly a more complex environment to operate in. Pressures to increase profit margins and make tough resource allocation decisions are part of everyday life, so is the need to be compliant with more involved regulatory and compliance requirements. Growth in multiple global markets along with the move to become more integrated and standardized across these markets has increased the level of operational complexity. Field sales forces have reduced or have taken on more specialized roles, while other roles catering to customer needs, enhancing reach and frequency of customer interactions have been migrating to remote channels such as tele-reps and video chat. The use of increasingly diverse specialized technologies internally as well as with customers is affecting execution timelines, budgets, and is getting challenging to operationalize. Mergers and acquisitions are creating disruption while at the same time opening up new opportunities to bring forth proven ideas from different worlds.. Google/Manhattan Research, The Doctor's Digital Path to Treatment, Think With Google July 202.
4 Redoing Customer Engagement Practices in the Biopharmaceutical Industry In the midst of such complexities and challenges, the need to design and then bring to life, advanced and future-oriented customer engagement strategies is indisputable. The biggest questions are very often not what, but how? How do you prepare an organization for major forces that are reshaping customer needs as well as behaviors, for instance the move from solo practices to institutional settings? How do you deliver seamless and rich interactions to customers across multiple channels? How do you transform an organization from a field-force-is-the-only-oar-in-the-boat approach to a more-the-oars-faster-the-boat paradigm? How do you collect, organize, and draw valuable insights from the trove of data generated from customer interactions? How do you simplify execution in spite of the increasing array of technologies, partners, and systems that all need to work together? Innovations in each of these areas are aplenty. However, success stories are as much a matter of scale as of innovation. In this Action Paper series, we share some concrete examples of how biopharmaceutical organizations are responding to these challenges and complexities. Our emphasis in this Action Paper series is indeed on action. Based on observations from our vantage point of collaborating with multiple leading organizations in multiple large markets around the world, we share our perspective on both the ineffective way of doing things and practices that have proven to be effective. 2
5 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Multichannel Tele-detailing and Remote Engagement Productivity is limited and the total quantum or quality of HCP engagement is not large enough for the channel to be cost effective Ineffective Practice Brands or central organizations often deploy tele-reps at a call center or home office using simple off-the-shelf video conferencing technologies. Reps either call a target list of customers or await HCP contacts to come through. Productivity is limited and the total quantum or quality of HCP engagement is not large enough for the channel to be cost effective. Video Conferencing Technology Call Center + Technology Effective Customer Engagement Contact List 3
6 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Effective Approach Successful programs are specifically designed to meet the business objectives of a brand or franchise, end-to-end across all aspects from targeting, reaching, converting and achieving effective customer experiences. Execution is driven to achieve accountability and coordination between each aspect of the program as well as optimal integration of multiple engagement types, access points, and rep types. A high quality experience for the HCP is facilitated through use of video as well as content sharing. High-Performing Remote Engagement Program 2 3 Targeting Reach 2 3 Brand Objectives End-to-End Approach 5 4 Conversion 4 Effective Customer Experiences 5 Resulting Impact Achieve higher rep productivity Increase customer engagement rates Reduce wasted efforts leading to lower cost and greater ROI Leverage effective brand messaging Achieve appropriate level of customer reach frequency 4
7 2 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Enterprise Digital/Multichannel Marketing Infrastructure Best practices are only occasionally transferred between programs, even less between brands or countries Ineffective Practice It is typical practice for each brand or franchise to independently develop its own programs, using its own selection of content, channel, operations, and data management practices. Best practices are only occasionally transferred between programs, even less between brands or countries. Data cannot be easily aggregated to evaluate effectiveness of any particular channel. Brand Program Brand Program 2 Operations Operations 2 Content Data Management Analytics Channel Capabilities Content 2 Data Management Analytics 2 Channel Capabilities 2 5
8 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Effective Approach Truly enterprise wide scale has been achieved at a country, region, or even global level with certain proven channels by creating centralized shared services. Similar to how field forces are centrally operated for multiple brands, programs then plug in their particular content into these backbones. The infrastructure is built and operated centrally using the best operating procedures, channel capabilities such as resources or technology, and data management practices. Shared Services Approach to Multichannel Marketing Brand Content Operations (Shared Service) Brand 2 Content Channel Capability (Shared Service) Brand 3 Content Data Management Analytics (Shared Service) Resulting Impact Drive scale, while driving costs down Improve and ensure consistency across brands and countries Facilitate implementation of best practices across brands, globally 6
9 3 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Digital/Multichannel Performance Management Performance measures are not clearly defined and differentiated from one another Ineffective Practice Each brand program typically reports its own measures of performance, often driven by the ability of the vendor to track certain data such as open rates, completed calls, etc. More often, these performance measures are not clearly defined and differentiated from one another. In fact, a particular measure could even represent different data points in different programs making aggregation or comparison impossible. Inconsistent Measures, Challenges in Aggregation and Comparison Vendor A Vendor B Key Metrics Interaction: Presentations started Completion: Reach Beyond certain message/ slides Data Challenges Low/decreasing participation Difficulties providing physician identities Unable to provide the identity of physicians recruited via SF and 3 rd party Key Metrics Interaction: Presentations started No measurement of completion Data Challenges Does not track e-detail completion; total presentation during is tracked Programs often associated with conferences and meetings Provides the identities of all HCPs started e-details on its platform Vendor C Vendor D Key Metrics Interaction: Presentation Longer than 0 seconds Completion: Reach the end of presentation content Data Challenges Only provides the identity of physicians who are on the company s target list In most cases, less than 20% of physicians identities were reported back Very few identifiable physicians complete presentation Key Metrics Interaction/ Viewership: Presentation longer than 5 seconds Data Challenges Lowest costs but bare bones Does not track or report e-detail completions Reports # of s sent, # of opens as well as # of e-details viewed (>5 seconds) Target list match % unknown Effective Approach The use of a consistent waterfall taxonomy of performance channel measures has proven to be an effective methodology by which measures for all significant channels can be defined centrally and made available to all brand programs or vendors to report on. Special strategies based on country, product lifecycle, or other factors are deployed as an exception rather than the norm. 7
10 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Consistent Waterfall-Based Approach To Multichannel Program Measurements MCM Initiatives HCP Interactions Impact Direct Mail 3 rd party: epocrates, Reachnet, Etc. Media Impressions sent Response Rate Engagements opened Conversion Rate Deep Engagements Direct mail sent Calls made Messages sent Web/mobile/ Direct mail BRC returned Calls answered E-detail launched Web/mobile Video detailing completed E-Detail completed (self) Samples ordered EMR links visits Information +Customer SEO Pull Video detailing downloaded requested 8 9 Revenue ROI 0 Quality Customer Satisfaction Dissatisfaction 2 Rate 3 Opt Out 6 New 7 Repeat Sample Multichannel Measurement Dashboard Based on the Waterfall Model Impressions Channels Direct Mail Sent Sent Overall Performance Acceptable Watch Accumulated Actual Change from Month Prior Change from YTD Goal % of YTD Goal Obtained Average Response Rate (Last 6 Months) Channels Overall Performance Accumulated Actual Change from Month Prior Change from YTD Goal % of YTD Goal Obtained Average Response Rate (Last 6 Months) Engagements Direct Mail BRC Opened E-Detail Launched Video Detailing Requested Underperforming Acceptable Underperforming Underperforming HCP Portal Visits Watch Channels Overall Performance Accumulated Actual Change from Month Prior Change from YTD Goal % of YTD Goal Obtained Average Response Rate (Last 6 Months) Deep Engagements E-Details Completed Video Details Completed 3rd Party Sample Orders Inbound Sample Orders E - Sampling Orders Underperforming Underperforming Acceptable Acceptable Watch Information Downloaded Acceptable Resulting Impact Establish common expectations for goals and business outcomes Achieve consistent ROI measures and financial measurements Drive decision making and improve performance measures 8
11 4 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Multichannel Sampling Sampling channels are siloed from each other and standard sample offers are used for all customers Ineffective Practice In addition to the field channels, samples are commonly offered to HCPs through e-sampling via third-party providers or company web portals as well as through tele-sampling via call centers, or other direct mail campaigns. However, each channel is siloed from others and standard sample offers are used for all customers, thus limiting the level of control to a few generalized business or compliance rules. Traditional Approach to Multichannel Sampling Brand A e-samples or 3 rd Party Portal Brand A Standard Offer Order Processing Brand A Tele Brand A Standard Offer Order Processing Brand B Direct Mail Brand B Standard Offer Order Processing Brand B Direct Mail Brand B Standard Offer Order Processing Rep Rep Decision + Fulfillment 9
12 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Effective Approach A more effective approach has been to integrate sample order intake across multiple channels and brands. Such a cross-channel and cross-brand approach can be made feasible by sophisticated technology platforms that can keep track of multiple business rules and compliance requirements in a robust and highly automated environment. Robust Cross-Brand Cross-Channel Integration Pull tactics for eligible customers proactively seeking samples Inbound call center HCP portal e-sampling 3rd Party e-sampling solutions Push tactics for underserved HCPs based on targeted strategy Outbound tele-samplling Auto subscription sampling to create enduring relationship and eliminate calling costs and direct mail campaigns that drive toward e-sampling programs Full SF integration ensures synergy with sales rep sampling Rep s right-of-first refusal allows SF to manage any sample request from their targeted physicians in person Full access to HCP universe without impacting SF access Provides hot lead for reps regarding targeted physicians with unmet needs Resulting Impact Increase reach of the sampling channel and drive scale Shift volume toward less expensive channels over time while optimizing coverage through the field channel, thereby reducing overall cost Access a broader target list through integration, without impacting field force access 0
13 5 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Multichannel HCP Access Overlapping HCPs are not fully optimized and duplicative costs are spent on accessing the same customers Ineffective Practice HCP access is typically established as a media buying operation managed by centralized organizations, or sometimes by brands individually negotiating purchases of lists/databases or impressions. Neither model enables access to HCPs in multiple channels. Even in digital channels where the media are usually purchased, overlapping HCPs are not fully optimized and, hence, duplicative costs are spent on accessing the same customers. HCP level data are usually not available or consolidated. Media Buying Model For HCP Access Brand Web/Mobile Company Website List Provider Search Engine Third Party Portal
14 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Effective Approach Few brands and organizations have deployed centralized hubs to manage the flow between multiple HCP access points and their customer engagement activities. An HCP access hub is a combination of technology and operational procedures that enable HCP level authentication, targeting and tracking. Configurable business rules that work across channels optimize customer targeting. Open integration technologies enable syndication of internal assets and third party affiliates, and facilitate integration of multiple channels not just the digital ones. Multichannel HCP Access Hub Online Third-Party Access Direct Access Online Company Access Technology & Operation HCP Level Data Business Rules Invitation Management Channel Management Mobile Access Digital Content Customer Services Live Interactions Medical Events & Surveys Resulting Impact Achieve efficient HCP access syndication between multiple access points and channels, for many customer engagement activities Streamline process across multiple third party affiliates as well as internal assets even as these sources become more fragmented Consolidate HCP-level data over time to improve response rates Improve yield by eliminating duplicative spending to reach the same HCPs mcm.indegene.com 2
15 Redoing Customer Engagement Practices in the Biopharmaceutical Industry Conclusion While there is not a one-and-only-one magic wand solution to achieve the goal of engaging customers across multiple channels in the biopharmaceutical industry, there are some effective practices and then there are some current practices that are not as successful at scale. In this paper, we have illustrated how the challenges of today can be better addressed and how practices can be adopted to take advantage of the opportunities of tomorrow. We will delve into each of these illustrative examples in the following five papers in this series covering the specifics of what was accomplished, and how it was done. 3
16 Redoing Customer Engagement Practices in the Biopharmaceutical Industry About Indegene Indegene is a leader in delivering customer engagement solutions to the life sciences industry in several major markets across the globe. We partner with brand/product marketing, sales, service, and medical functions to advance their capabilities to engage HCPs in multiple traditional and novel channels of communication. Such capabilities have proven to improve reach and frequency, increase customer access, augment sales, enhance marketing campaigns, and achieve higher proximity for medical and customer service teams. These initiatives are enabling the biopharmaceutical industry to evolve new commercial and customer engagement models, in an environment where customer access is changing fundamentally while customers expect content and services to be available in all possible live, remote, and digital channels. About knowmcm Would you like to be in the know about what customers (HCPs, consumers, other health stakeholders) want from life sciences marketers? Would you like to be in the know about what other life sciences marketers (brand teams, franchise leaders, enterprise leaders) are doing to engage customers? Would you like to be in the know about what key regulators around the world want and do not want life sciences marketers to do? Then this is the resource for you. A simple to access and use, continuously updated and refreshed repository, tailor made for those with an interest in life sciences multichannel marketing (MCM). Our MCM experts, also practitioners in the field with years of industry experience, keep an eye out for the important stuff. Our editors constantly sift through the riches of information available be it publications or studies from peer reviewed journals, informative videos, surveys, and articles from the business press, as well as guidance issued by key regulatory agencies. We bring all this to you, summarized in one place, in knowmcm. the resource for the multichannel marketer Indegene. All rights reserved. INDEGENE and the INDEGENE LOGO are trademarks of Indegene Lifesystems. All other company and product names may be trademarks of their respective companies.
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