across health multichannel maturometer 2016

ProprietaryandConfiden/alInforma/on©AcrossHealth1

AcrossHealthispleasedtopresentyouwiththestateofthemul/channellandscapeinlifesciencesinEurope,USand

emergingmarkets–forthe8thyearalready.

ProprietaryandConfiden/alInforma/on


01 02 03 04 05

ProprietaryandConfiden/alInforma/on

KeySurveySta/s/cs

Strategy&Organiza/on

BusinessTechnology&Processes

Mul/channelIntegra/on

Measurement

Iampleasedtopresentyouwiththe8thAcrossHealthMul/channelMaturometerinLifeSciences,whichcoversthe4keydimensionsofdigitalmaturity:strategy&organiza/on,businessprocesses&technology,mul/channelintegra/onandmeasurement.

Ifyouonlylookattheaverages,the2016resultsareverymuchacopy-pasteofthepreviousyears.At13%,averagesa#sfac#onlevelsremainatall-/me-lowlevels,whileaveragedigitalmarke#ngbudgets(15.7%)arestatus-quoforthe4thyearrunning.Skilllevelscon/nuetobelow,keychannelsareverysimilar,etcetc.

However,ifyoulookbeyondtheseaverages,someearlyleaderscanbeiden/fied.Indeed,15%statesthatdigitaltransforma/onishappeningfast.Inotherwords,whilemostoftheeggsinthehatcheryares/llclosed,some“chickens”havealreadyhatched.

Preface

Wesawthesametrendin2015,wherethetop10%isoutperformingtheaveragecompanysignificantly(h`p://bit.ly/29qk2lg),exceptforkey“painpoints”likemixop/miza/on,campaignmanagementandKPIs.

Andifyoulookatthe2015-2016comparison(p26),youcanagaininferthatthereissomeac/vityintheothereggstoo…Indeed,customerdatabasesareincreasinglycrosschannel,whilethepainrelatedtoexecu/on(mixplanningandcampaignmanagementpla8orms)–andthelackoftraining-arefeltmuchharderthanin2015…inotherwords,theothereggscouldhatchsoon…andMCMwillneverbethesameagain!

Happyreading&holidays!

Fonny

MCMinpharma:thefirsteggsarehatching!

©AcrossHealth2


Executive summary

At first glance most parts remains as is… Key channels remains the same Budgets are not growing Skill levels continue to be low Satisfaction levels are at all-time low ...

but look further to see the first hatchlings have arrived… Early leaders have emerged Their digital transformation moves fast They outperform the industry benchmark Although they still have their issues too ...


01Keysurveysta/s/cs


01 KeySurveySta#s#cs

Keysurveysta#s#cs

•  275 respondents from life sciences (no agencies/consultancies)

•  94% from pharma/biotech; 5% Medtech: 1% OTC

•  50% from Europe

•  55% national scope; 45% int/global

•  33% marketing; 28% digital/MCM; 9% sales; 30% other

•  50% (senior) manager level; 19% director level

•  A variety of TAs: 12% onco, 9% neurology, 8% cardiology….


02Strategy&Organiza/on


02 Strategy&Organiza#on Onlyaround1in4Europeanrespondentshasa

strongdigitalvision;boardsupportandskilllevelsareevenlower

N = 252 European scope

5%

17%

25%

38%

43%

44%

42%

29%

23%

15%

11%

8%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

staff well-trained in digital

strong digital/MC team with board support

strong digital transformation vision & strategy

Completely agree Somewhat agree Somewhat disagree Completely disagree


02 Strategy&Organiza#on

Quickwins–skilldevelopmentfortoday’stac#cshOp://a-cross.com/health/knowledge/deligh#ng-pharma-customers-in-the-omnichannel-age


02 Strategy&Organiza#on Closeto60%statethatthedigitaltransforma#on

processis(very)slow…but15+%ismoving(very)fast

Howwouldyouratethepaceofimplementa/onofdigitaltransforma/oninyourorganiza/on?

N = 275 Global scope

2

2

16%

13%

15%

14%

28%

26%

57%

48%

48%

14%

9%

9%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

US

Europe

Global

Very fast Fast About right Slow Very Slow


03BusinessProcesses&Technology


03 BusinessProcesses&Technology InEurope,thelevelofIT-businessintegra#onis

acceptable,butchannelmixprocessesandcampaignautoma#ontechnologyarequiteimmature

5%

5%

18%

21%

29%

45%

39%

42%

27%

34%

24%

10%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

MC campaign automation

robust process for channel mix

digital/MC team integrated with business/IT




03 BusinessProcesses&Technology

5% 6%

43%

35%

15%

6%

18%

24%

6% 6%7%

12%

6% 6%

1%

6%

1%

Europe US

lessthan5% 5%to10% 11%to15% 16%to20% 21%to25% 26to35% 36to45% 46to55% morethan55%

Averagemul#channelmarke#ngbudgetsarelowvsotherindustries…buttheleadersspendover25%inEurope…andUSspendscloseto20%oftheirmarke#ngbudgetondigital

%ofMARKETINGbudgetallocatedtodigital

Average15.7%

Average19.4%

N = 145 N = 17



38%

45%

10%

3% 3%

less than 5%

5% to 10%

11% to 15%

16% to 20%

21% to 25%

26 to 35%

36 to 45%

46 to 55%

more than 55%

Despitelimiteddata,wecanseeanevenlowerdigitalbudgetsinsalesandmedical

*Limited data collected

SALES* Average 8.1% MEDICAL* Average

6.9%

29%

57%

14%

N = 29 Global scope

N = 7 Global scope


03 BusinessProcesses&Technology Pharmaislaggingintermsofdigitalmaturity



Distribu#onofdigitalspendacrossallindustries–2015

Source: Econsultancy 2016

pharma


04Mul/channelIntegra/on


04 Mul#channelIntegra#on The“mul#channel”repisgainingtrac#onin

Europe,butomnichannelcustomerknowledgeremainsquitelow

6%

11%

18%

31%

39%

40%

39%

33%

27%

23%

17%

14%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

good view of HCP channel acceptance

integrated customer Db across channels

reps equipped with digital tools beyond edetail




04 Mul#channelIntegra#on Tabletdetailingremainsthemostimportanttac#c,but

alotofpilotsinMCM,mobile,webinarsandadherence

*Company, product, or disease website. **electronic or personal health record.

84% 71%

58% 57%

52% 41% 40%

37% 36%

31% 29%

27% 20% 20% 19%

16% 15% 14% 13%

12% 10% 8% 7% 5%

4%

8% 18%

14% 30%

27% 43%

35% 31%

38% 44%

25% 29%

53% 39% 42%

37% 40%

52% 12%

37% 27%

19% 25%

16% 19%

5% 9%

22% 10%

16% 12%

19% 24%

24% 23%

36% 34%

23% 36%

36% 41% 39%

25% 53%

44% 52%

58% 53%

59% 61%

3% 2%

7% 3%

5% 3%

7% 8%

2% 3%

9% 10%

3% 5% 3%

5% 6%

9% 21%

7% 11%

16% 15%

20% 17%

Tablet eDetailing Pharma-owned website*

Direct marketing Email marketing

Web Banners Web conference or virtual meeting

Online medical education SEO

Healthcare professional self-service portal Mobile marketing

Outbound call centre SEA

Integrated cross-channel campaigns Social media monitoring Social media marketing

Virtual eDetailing eRep

Patient adherence tools e-sampling

e-MSL Marketing automation software

e- or PHR** ad & promo services Quantified self / self-tracking devices

ePrescribing advertising and promotion services Remote patient monitoring

Standard practice Pilot planned or ongoing Never Do not know / not applicable N = 275 Global scope


05Measurement


05 Measurement Lessthan20%ofEuropeanrespondentsfeelverycomfortablewithmeasuringimpact&engagement

11%

12%

15%

37%

36%

37%

37%

34%

31%

15%

18%

17%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

good mix qualitative & quantitative KPIs

measure hcp engagement

measure results of all channels




05 Measurement Mosthavenotimplementedarobustframeworktoleveragecustomerdataforclosed-loopmarke#ngyet…hardlyanychangesince2013

Doyouleveragecustomerdatafromyourcross-channelini/a/vesforadvancedcustomeranaly/csandclosed-loopmarke/ng?

1%

27%

57%

13%

1%

We do not see the need for collecting or using

customer data

We are not collecting useful customer data

yet, but we should

We have started doing some analysis on our multichannel customer

data

We have already implemented some

robust customer analytics frameworks

We leverage this data consistently

3%

3%

4%

5%

4%

% change since 2013

Increase

Decrease



06Conclusions


Conclusions Overall,only13%aresa#sfiedwiththeircurrentdigitalac#vi#es

3%

14%

29%

41%

13%

0 1 2 3 4 5


13%

Average 2.48%

Extremely Dissatisfied

Extremely Satisfied


Conclusions

0%

10%

20%

30%

40%

50%

60%

2010 2011 2012 2013 2014 2015 2016

Dissatisfied

Neutral

Satisfied

Sa#sfac#onratesarebackattheverylow2010-2011levels



Conclusions Theshiffromproduct-tocustomer-centricityisthemostimportanttopicformostcompaniesinthenext2years

12%

12%

20%

20%

25%

27%

36%

37%

43%

56%

25%

36%

38%

40%

32%

31%

37%

40%

44%

26%

39%

37%

32%

30%

25%

26%

23%

17%

10%

13%

16%

12%

9%

7%

12%

11%

3%

4%

3%

4%

9%

3%

3%

5%

5%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Healthcare disruption

Maximizing the opportunities of mhealth

Developing a strong integrated emedical offering

Getting a robust view of the omnichannel ecosystem

Big data analytics

Moving from HCP-centricity to patient-centricity

Upskilling the organization

Transforming the fieldforce to multichannel reps

Defining & optimizing the customer journey across multiple touchpoints

Moving from product-centricity to customer-centricity

5 4 3 2 1

Howdoyouseethefollowingtopicsevolveandexpandbeyondtheircurrentstateinpharma?Pleaseindicatetheimportanceofthesetopicsinthenext2years(1=lowimportance,5=highimportance)



Conclusions 2016isverysimilarto2015…but4keyareasindicateastrong“intheshell”pre-MCMac#vity


CracksintheMCMeggshellsOur 2016 Maturometer confirms that pharma is genngready forMCM – at last. Across the report, you can findseveral indicators of this trend, with the newly hatchedcompanies(around15%)spending25+%oftheirmarke/ngbudget and digital transforma/on happening (very) fastthere.

Manyof theother “eggs”already show“subshell”ac/vitytoo,with strong ac/vity inMCMpilots (50+%), building across-channelcustomerview,andfeelingthepainofearly-stageMCM:lackofknowledge,lackofaversa/lecampaignmanagement plaporm and of a validated channel mixop/miza/onprocess.

FonnySchenckCEO,[email protected]

Thistrulyposi/veandrela/velyrobusttrendispreparingpharmaquitewellforomnichannelHCPengagementtoday&tomorrow,althoughalotofworkandcompanywidechangeiss/llneeded.

However,digitalstrategiesfor“thedayarertomorrow”riskbeingdepriori/zedasaresult…forinstance,only5%feelsaheadofthecompe//onregardingMCMpayerengagement(12%forpa/ents).Andkeytrendslikemhealthandhealthcaredisrup/onarebo`omofthelistofthe1-2yearpriori/es(p25)!

Digitaldisrup/onishighonthecorporateagendainotherindustries...pharmaneedstoembracebothMCManddisrup/ontomaximizethepoten/alofdigital!

Finalthoughts



Conclusions 2017announcement!

In 2017 we will run 3 Multichannel Maturometers: •  For HCPs •  For patient •  For payers & disruption

Please note Only multichannel maturometer participants who completed the full survey will receive the industry benchmark outcomes deck for free


Conclusions Quickwins–Learndirectlyfromthehealthcaredisrup#onleadersabouttomorrow’schannelhOp://www.healthcaredisrup#on.com/


Conclusions Nowwhat?Runanin-housematurometerBenchmarkyourcompanyagainsttheindustryandrunaninternalmul#channelmaturometer.

26%

29%

28%

17%

14%

10%

57%

36%

59%

43%

49%

31%

17%

30%

11%

32%

33%

47%

6%

2%

8%

4%

13%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Company X

MC campaign automation

Company X

robust process for channel mix

Company X

digital/MC team integrated with business/IT

Completely disagree Somewhat disagree Somewhat agree Completely agree


Conclusions Nowwhat?Runanin-housematurometerAreyouaccelera#ngonyourselectedkeydevelopmentareas?In2015in-househasbeenexecutedfor9pharmacosalready


Key numbers 2016

Over 60 consultants

Physical presence in 10 markets

Over 300 projects (40% in customer insight & strategy)

Channel affinity of 10,000+ (HCP & patient multichannel navigator)

25+% CAGR since 2007