沙利文高管出席BioCon Expo 2022第九届国际生物药大会暨展览会

BioCon Expo 2022

9th International Conference on Biopharmaceuticals and Exhibition

9month6day-8dayBioCon Expo 2022The 9th International Biopharmaceutical Conference and Exhibition opened at the Hangzhou International Expo Center, with the theme of 'Displaying Hard Technology, Upgrading Soft Power, and Anticipating a New World for Biopharmaceuticals'. Frost & SullivanFrost & SullivanMao Hua, Partner and Managing Director of Frost & Sullivan's Greater China Region, was invited to attend.BDAt the "Venture Capital and Investment Projects Roadshow Forum," she delivered a speech on the core challenges and solutions facing the commercialization of innovative drugs, and participated in roundtable discussions. Chen Zhenrong, Director of Consulting at Frost & Sullivan's Greater China Healthcare Team, served as the moderator for the forum.

At the same time, Frost & Sullivan asBioCon AwardsThe strategic partner of the award ceremony, in collaboration with the organizer, Shangtu Pharmaceutical News, jointly released the [List of the Most Valuable Biotech Companies of the Year]. Mao Hua, Partner and Managing Director of Frost & Sullivan Greater China, attended the award ceremony and presented awards to the winning companies of the [Most Valuable Biotech Rising Stars of the Year].

Keynote- Analysis of the Commercialization Strategy of Innovative Drugs in China

Partner and Managing Director of Frost & Sullivan Greater China Region fattening

In recent years, the policy dividends encouraging drug innovation in China have been continuously increased. There is a high enthusiasm for drug research and development and innovation, and innovative pharmaceutical companies have witnessed vigorous development. With the Hong Kong stock market andAWith the relaxation of the listing policy for pharmaceutical companies without revenue, the number of Chinese healthcare enterprises listed has gradually increased, alone2020,2021As high as181Chinese medical enterprises at homeAListed on the Hong Kong Stock Exchange, NASDAQ, or US stock market, including54The listed company did not achieve profitability at the time of listing.

Texturing is first of all onBiotechreachBiopharma companyThe development path has been analyzed. According to it,BiotechDeveloped intoBiopharma companyThere are roughly four stages involved, including early R&D/Product introduction, clinical trials&Approved for listing and local market access&commercialization,License Out/Going global for sales.

In this process, pharmaceutical companies mainly face three major challenges: severe product homogenization, fierce price competition, and serious talent loss.

Mao Hua said that the high enthusiasm in China's pharmaceutical capital market and the relatively weak basic medical research capabilities are the main reasons for serious product homogenization.

2015Year-end2021In [year], the financing amount in China's pharmaceutical market was from371Rise by hundreds of millions to2,691Yuan, with an average annual compound growth rate as high as39.1%Meanwhile,2019Chinese Biomedical Literature in [Year] (Impact FactorIF>11.0) only7,000articles, nearly7There is a significant gap. Enterprises lack core innovation capabilities, so they tend to choose more mature targets, resulting in a large number of drugs under research targeting the same target. In addition,CDEThe new policy has raised the listing threshold for innovative drugs, affecting localBiotechThe R&D strength of enterprises brings more challenges.

It is not difficult to see from the comparison of medical expenditures between China and the US, as well as the prices before and after innovative drugs were included in medical insurance, that the profitability of innovative pharmaceutical companies has been challenged by patients' affordability and the pressure for price cuts through healthcare negotiations. 2021China's healthcare expenditure in7.6100 billion yuan, while in the same period, the US is about3.5The huge gap in patient affordability has led Chinese pharmaceutical companies to be conservative in setting prices locally. The significant cost control measures of medical insurance have forced pharmaceutical companies to reduce prices in exchange for sales volume, resulting in a decline in profitability.

Facing the challenge of talent loss, Mao Hua said,BiotechThe company is currently eager to recruit professional senior management talents to enhance its competitiveness. However, How to match a complete organizational structure with talent retention while leveraging its strengths is another key proposition. Frequent changes in senior management not only pose a risk of interrupting the company's overall strategy but also greatly weaken the confidence of key personnel in the company.

Mao Hua pointed out that innovative drug companies mainly have three strategies to solve commercialization problems: 'bringing in', 'grabbing market share', and 'going global'.

"AlthoughLicense InThe model has been repeatedly questioned in recent years, with corporate R&D capabilities becoming a core concern. However, this does not mean that the model has been phased out." Mao Hua further explained that a strong R&D capability, combined with an excellent pipeline selection strategy, can still be utilized toLicense InBringing good development prospects to enterprises. Taking XianSen Pharmaceutical and ZaiDiMed as examples, XianSen Pharmaceutical has completed its revenue transformation through high-quality innovative drugs, while at the same timeLicense in progressExpand pipelines to complete future layouts.2022H1The proportion of revenue from innovative drugs has reached70%; Zhele and Qingle from Zhejiang Regeneron Biologics Co., Ltd.License InThe drug has achieved revenue growth.

Subsequently, the text is localized into Chinese.PD-1Taking monoclonal antibodies as an example, it demonstrates the severe impact of factors such as national healthcare negotiations and fierce competition on the profits of innovative pharmaceutical companies.

2020In [year], the winning bid price of Sintilimab decreased63.7%In the same year, the gross profit margin of Cinda2019year88.1%descend to83.6%;2021In [year], the winning bid price of Camrelizumab decreased85.2%In the same year, the gross profit margin of Hengrui's anti-tumor drugs2020year93.4%descend to90.7%;2021In [year], the winning bid price of Trifercept decreased70.8%In the same year, the gross profit margin of Junshi Biosciences' anti-tumor drugs decreased from2020year88.8%descend to70.6%;2021In [year], the winning bid price for trastuzumab decreased79.6%In the same year, the gross profit margin of BeiGene's anti-tumor drugs decreased from2020year77.7%descend to74.1%. To address this challenge, innovative pharmaceutical companies need to prepare a full life cycle commercialization strategy before the drug is launched on the market.

from2022annual partLicense expirationLooking at transaction data, License expirationModel for ChinaBiotechIt mainly has four positive significances: reducing R&D risks, simplifying production processes, expanding sales reach, and optimizing cash flow. at the same time, chinaBiotechWe are also actively conducting overseas clinical trials for the pipeline.

However, it should be noted, WhetherLicense expirationWhether it is independent overseas expansion, both require a high level of product competitiveness. A comprehensive and feasible overseas expansion plan is of utmost importance.

To achieve these three strategies, innovative pharmaceutical companies need to gradually enhance the organization's ability to drive business, thereby fully leveraging and capitalizing on talent advantages.Biotechgrew intoBiopharma companyThe only way.

Finally, Mao Hua summarized that successful commercialization does not necessarily require high marketing costs. Chinese innovative pharmaceutical companies need more systematic and forward-looking strategic support in the process of commercialization. Just as the research and development of innovative drugs requires innovative drug companies andCRO firmJust as regulatory agencies collaborate, the commercialization of innovative drugs also requires external management consulting/The power of market research firms.

Roundtable discussion

During the subsequent roundtable discussion, Mao Hua, Partner and Managing Director of Frost & Sullivan Greater China, and Partner at Kite Capital Management, Co-founder of WhaleQuest Biology Jin Qi, Li Jing, Founder and Chairman of Science Bridge Technology Transformation Center The two guests together, jointly Opportunities and challenges in the layout of pharmaceutical investment and financing, Discussions were held on topics such as the changes in the investment logic of biomedicine under the global pandemic and reflections.

Q: How do you view single markets and global markets?

Fattening: The Chinese market globally15%-25%However, if further divided into more specific sectors, some diseases have different markets due to regional differences. For example, liver cancer is common domestically but rare abroad. The sales logic of different products in different countries varies greatly, which is influenced by local markets, policies, payment capabilities, and other factors.

Q: Under the current pandemic, what are some proud changes in the investment field or what are the strategies and practices that remain unchanged?

Fattening: Many domestic listed biotech companies are essentially catching up with the gap with foreign counterparts. Compared to abroad, there is still a gap in cell and gene therapy, and the current trend is still to follow in their footsteps. The development of medical devices domestically is also progressing slowly. China has seen more biotech companies emerging in upstream research and development in life sciences. For early-stage projects, I hope everyone can have confidence and give these industries some time to develop.

BioCon AwardsAward Ceremony

"BioCon Awards"yesBioCon China Expo 2022The Organizing Committee has newly created an authoritative biopharmaceutical award that recognizes and shares the cutting-edge, progressive, innovative, and top-tier biotechnology forces in the domestic and international biotechnology industry over the past year. It aims to become the most influential international biopharmaceutical award in the biotechnology pharmaceutical industry.

Frost & Sullivan asBioCon AwardsThe strategic partner of the award ceremony, in collaboration with the organizer, Shangtu Pharmaceutical News, jointly released the [Annual Most Valuable Biotechnology Enterprise Award List]. At the same time, Mao Hua, Partner and Managing Director of Frost & Sullivan Greater China, attended the award ceremony and presented awards to the [Award-winning Enterprises of the Most Valuable Biotechnology Rising Stars of the Year].

Annual Most Valuable Biotechnology Company

Wuhan Novus Biotechnology Co., Ltd.