Class 3- Final Products

By Rex Rumsey, MBA Candidate Class of ’25

Kelley Fall 2024 Life Sciences Industryfrom Research to Patient Course

November 12 Class 3: Final Products – Pharmaceuticals, Biologics, Generics and Biosimilars, Animal Pharma

Incredible insights, yet again, at Kelley Life Sciences, thanks to Stephanie Maresh, Caleb Hart, and Mary Jensen! 🧬

MJ kicked off the evening by sharing how Elanco developed a new market for their novel drug, using market research insights to reveal that over half of pet owners were unaware of the deadliest pet virus. Leveraging a strategic blend of earned media, commercials, social media, and an interactive website, they successfully built awareness and urgency. A quick Google Trends search for “Parvo” reveals the impressive impact of their summer campaigns (highlighted in light blue) to incrementally raise awareness.

Jessica then shared her expertise on crafting patient profiles that go beyond demographics to capture the deeper “why” behind brands like Emgality. By delving into psychographics—the dreams, fears, and motivations of migraine sufferers—she highlighted how Lilly’s marketing approach fostered trust and loyalty, helping them become the market leader even though they weren’t the first to market.

Finally, Caleb wrapped up the evening with an insightful talk on biologics and the rapidly growing biosimilars market. With biologics accounting for 7 of the top 10 best-selling drugs, demand for biosimilars is accelerating due to lower investment costs, faster development, and expanding market needs. Caleb highlighted how drug developers can succeed by launching these types of products, like Pfizer, or by implementing effective lifecycle planning to extend the lifespan of original drugs until newer ones are commercialized, as AbbVie has done.

By analyzing AbbVie’s 10-K filings, forecasts, and using a regression analysis to predict Humira’s sales from 2025 to 2027, it’s evident that AbbVie’s strategic shift from Humira to newer drugs like Skyrizi and Rinvoq illustrates the power of effective lifecycle management. Even as Humira’s patent expired (highlighted in orange compared to the earlier purple period), AbbVie has successfully sustained revenue growth by transitioning to these newer products.

The lessons learned will no doubt fuel our approach to tackling complex challenges and making a meaningful impact in healthcare. Applause to George Telthorst, Kelli Conder, Pfizer, Elanco, and Eli Lilly and Company for educating the next generation of life science leaders at Indiana University – Kelley School of Business!