It looks as if the perfect storm is brewing in the pharmaceutical industry’s foreseeable future. It certainly appears as if we are set for one of those re-generational periods, relatively rare occurrences when the very way we approach our daily problems and issues endures a fundamental change. The pharmaceutical industry is not alone here, as many other industries are also set for a quantum shift in the way that they do business — just look at the auto industry, as an example. For the pharmaceutical consultant, charged with the responsibility of advising and leading the client, these are testing, challenging, yet exciting times, when the cream of the crop is likely to rise. It’s simply not time for the faint-hearted and it’s most definitely not time for the “status quo.”

Let’s look at the challenges ahead. What is becoming known as the patent cliff is rapidly approaching, with market forces likely to create considerable upheaval at that time. We also know that the market itself is shifting in favour of niche solutions to increasingly complex issues, instead of the previously predominant “blockbuster” product approach. The United States Congress laboured for many a day before passing a highly controversial health-care reform bill and we are yet to see how this will slowly unfold as it will introduce tens of thousands of people to healthcare products, many for the first time, due to insurance overhaul. In almost every market, especially in the UK, budget deficits are at almost catastrophic levels and this is almost certain to drive significant reductions in health care spending. Little wonder that the share price of leading pharmaceutical companies is taking such a battering.

Now is the time for the pharmaceutical consultancy to understand all these market forces and realise that the old days of the past are over. In terms of sales and marketing, the shift must move from sales and toward marketing, as little if anything is “guaranteed” any more. Thankfully, pharmaceutical marketing training is in the process of being reborn as the New World dawns all around us. Amongst all this change, it appears that certain jurisdictions within the United States are moving towards pharmaceutical marketing regulation, so it will be very difficult to recognise the industry as we knew it in just a few short years time.

So where should the pharmaceutical consultancy start? It will be necessary to reconsider all the emphasis that is being placed on sales and come up with innovative strategies instead. It seems certain that the traditional army of sales representatives will be much smaller, more targeted and the focus of niche related pharmaceutical marketing training. While regional markets may face distinct problems, no individual market is immune to major changes taking place in other markets around the world. Particular changes in the United States market will need to be addressed, as well as potential government-led budgetary cuts in the United Kingdom. Pharmaceutical consultants must be able to drive the pharma company forward with different approaches to marketing, focusing on niche markets and above all else, ensuring that more meaningful relationships are developed with end-users. In short, the business relationship is likely to become far more personable, and far less number oriented.

Alan Gillies is the Director of L2L Consulting, an elite pharmaceutical consultancy firm which specialises in Strategy Development and Implementation Excellence for prestigious multi-national organisations.

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