Francine Nieto Quintiles IMS Presentation

Copyright © 2016 QuintilesIMS. All rights reserved.
The Big Picture of Consumer Healthcare
Consumer Healthcare Investment - 15th November 2016
Francine Nieto, Global Offering Director, Consumer Health
QuintilesIMS

1
Agenda
Key Market Trends
Routes to Growth
Summary
Global OTC Market Overview
Consumer Healthcare Investment - November 2016

2
• MAT sales to end Q2 2016 from QuintilesIMS OTC Global Analysis
• Sales calculated at manufacturer prices
• Growths based on previous MAT to Q2 and use latest exchange rate across all time
periods
• Some qualifications:
– Sales from Pharmacy/Drug Store channels are included, as well as Mass Market in
some countries e.g. Germany, Italy, Japan, Netherlands, Portugal
– Companies include all OTCs from the corporation
– i.e. “J&J” includes Johnson & Johnson, McNeil and Neutrogena
– Bayer includes legacy Merck CH
– GSK-Novartis JV is a QuintilesIMS estimate of the GSK & Novartis CH joint venture
– Sanofi+BI includes all Sanofi and BI OTC business except BI China
The Basis for Figures in this Presentation

3
The OTC market reaches $112 bn and remains attractive,
despite slowing growth due to the Cough/Cold season
Source: IMS OTC audits plus estimates (Excluding Venezuela)

4Consumer Healthcare Investment - November 2016
Developing regions continue to drive growth
Source: IMS OTC audits plus estimates (Exc Venezuela)
Developing
Regions
Total
OTC
Share of Sales 49%
Share of Growth 72%

5Consumer Healthcare Investment - November 2016
Categories of high interest are VMS and Digestive,
posting the highest growth rates globally
Source: IMS OTC Global Analysis
Global OTC – Key Categories
Value Share (%) Value Growth (%)
VMS & Tonics
growth driven by
Europe (+7.4%)
and APAC (+9.8%)

6
Agenda
Key Market Trends
Routes to Growth
Summary

7
There is an “irresistible force” moving through society
towards health promotion rather than just treating illness
Awareness
• Media and advertising campaigns
promote interest in maintaining health
Adoption
• Consumers around the world are buying
into healthy lifestyles – but there is
enormous potential for further expansion
Payers
• Many stakeholders recognise the long-
term cost-benefits to preventative
healthcare and health promotion
Future
• As a result more companies are
entering into this expanding Consumer
Healthcare space
Source: QuintilesIMS

8
As OTC becomes increasingly attractive, players
become more diverse and the competitive set expands
Consumer packaged
goods
• Payer and generic
pressure driving
diversification
• Rx to OTC asset leverage
Pharma moving into
consumer health
FMCG moving into
consumer health
Pure play
consumer health
• Higher consumer health
margin and prices
• Leverage consumer and
trade marketing muscle
• Leverage sales and
marketing capabilities
• Economies of scale in
supply chain
Pharma
Consumer
Health
FMCG/CPG
A shift in thinking from: “Pharmaceuticals for the Consumer” towards:
“Consumer products about Health & Wellness”

9
As a result, the OTC marketplace is evolving rapidly and
distinct forces are at play regionally and globally
• Wellness and prevention
through treatment and
cure to restoration along
the consumer journey &
OTC / OTX /Rx
continuum
• Online connectivity,
mobile technology,
smart health are
producing a connected
consumer to engage
with
• Increasing
medicalisation of herbal
and natural remedies as
part of diet, lifestyle and
wellbeing regimes
Convergence of Health &
Wellness
Rise of the connected
consumer
Trend towards Herbal &
Natural Remedies

10
This shift of focus towards health & wellness leads to
the development new transversal market segments
Pharmaceuticals
NutritionPersonal Care
NutraceuticalsCosmeceuticals
Nutricosmetics
Topically applied
Vitamins, herbs, various oils,
and botanical extracts
typically added
May not claim drug-like or
therapeutic effects
Provides medical or health
benefits, including
the prevention and/or
treatment of a disease
Typically sold in the medicinal
form of capsule, tablet,
powder, solution
Sometimes associated with
functional foods
Ingestible. Containing ingredients such as
botanical actives, enzymes, proteins, and
vitamins.
Marketed specifically as beauty aids

11
The OTC market place is evolving rapidly and distinct
forces are at play regionally and globally
• Wellness and prevention
through treatment and
cure to restoration along
the consumer journey &
OTC / OTX /Rx
continuum
• Online connectivity,
mobile technology,
smart health are
producing a connected
consumer to engage
with
• Increasing
medicalisation of herbal
and natural remedies as
part of diet, lifestyle and
wellbeing regimes
Convergence of Health &
Wellness
Rise of the connected
consumer
Trend towards Herbal &
Natural Remedies

12
This has significant implications for innovation, where
use of social media and technology is commonplace
The most common, but a proven way to
extend a brands life.
An ever-present in
consumers’ daily life, but
care must be taken in
Pharma/Consumer Health.
Healthcare apps are
growing rapidly with Cardio
Diet and Women's health
accounting for half the
volume.
Devices can improve efficacy and control
Sensors provide the
consumer with a direct
feedback on their current
state of health.
Synchro-TechTM has helped
two actives with opposing
dissolution profiles to come
together
Innovation
Line
Extensions
Social
Media
Apps
Devices
R&D
Sensors

13
And there is clear correlation between internet searches
on health or illness and OTC consumption

14
Agenda
Key Market Trends
Routes to Growth
Summary

15
• There is an increasing leverage of combining science &
consumer insights to drive differentiation & growth
• Switch is increasingly being called out as a growth driver to
create new categories & penetrate existing
• Channel mix and GTM becoming more of a focus for
MNCs and local players
• Innovation is a key for major multinationals and regional
players are becoming more active
• Geo cover becoming a key battle ground as multinationals
and locals fight for new growth in faster growing markets
Routes to Growth

16
Agenda
Key Market Trends
Routes to Growth
Summary

17
Understanding localization
and how to respond are
essential
Establishing strong foothold in faster
growing geos will fuel future growth
Being strong in the right
categories will maximize
growth opportunities
As the Consumer Healthcare arena
broadens, opportunities for
innovation & growth continue to
expand
Correct understanding of
opportunities is key to
support future investment
decisions
M&A activity in Consumer
Healthcare will continue as key
route to growth
Will we see new entrants
enter the market,
intensifying competition?
The OTC market continues to
show steady growth and
broadens towards CHC
In summary

18
QuintilesIMS works with investing companies and private
equity funds throughout the entire investment lifecycle
Target screening
and identification
Helping with:
By employing:
Commercial due
diligence
Portfolio company
strategy
Exit value
maximization
Dedicated team
with deep sector
expertise
Experienced team
working on 100+
engagements p.a.
Leveraging expertise
and capabilities of the
broader QuintilesIMS
organization
Gold-standard, global
healthcare data and
informational assets

19
Please contact us for more information
Francine Nieto
Global Offering Director, Consumer Health
francine.nieto@quintilesims.com
+44 203 075 4102
+44 7802 848288

Francine Nieto Quintiles IMS Presentation

Empfohlen

Empfohlen

Weitere ähnliche Inhalte

Was ist angesagt?

Was ist angesagt? (19)

Ähnlich wie Francine Nieto Quintiles IMS Presentation

Ähnlich wie Francine Nieto Quintiles IMS Presentation (20)

Mehr von Kisaco Research

Mehr von Kisaco Research (20)

Kürzlich hochgeladen

Kürzlich hochgeladen (20)

Francine Nieto Quintiles IMS Presentation