Global healthcare conference insights:

A focus on market research in the emerging markets

While visiting global healthcare conferences such as EphMRA and PBIRG, we noticed how 'market research in emerging markets' is a trending topic. Market research in emerging markets brings along additional challenges. How to find and select the right people to participate? How to make sure that the research is executed correctly? How to compete with cultural diversity, governments imposing strict regulations and distribution and accessibility issues?

Our healthcare team has conducted numerous projects in emerging markets across Asia, the Russian Federation, Eastern European countries, the Middle East and Africa and Latin America. We are happy to share some key insights to help you overcome these challenges.

Pricing is a key issue

Emerging markets are becoming similar to those in the West with regards to a strong focus on low prices. Hence, many of the projects included in these countries include pricing market research. Pricing in the majority of the markets needs to be low, due to the out of pocket payments made by patients and the strain on government budgets. Pharmaceutical companies work closely with each government, in order to come to an agreement regarding price, volume of expected sales and the final overall cost to the healthcare system (e.g. India). The industry has already invested large sums of money in local manufacturing facilities and quality controls, in order to comply with GMP regulations and to keep the drug prices low in these markets. These investments are likely to increase over time, leading to continued market research in these countries.

Relevance of word-of-mouth

Out of pocket expenses for patients in some markets is very high (e.g. in Brazil, Indonesia, Mexico, India), which means that they often 'shop around' for the best drug price. Traditional/folk medicines are widely used in some countries (e.g. in China, Brazil, Russian Federation, Turkey) especially in rural areas, where healthcare facilities are scarce. Traditional medicines are sometimes combined (with or without the knowledge of the physician) with Western medicines to achieve a 'faster/better' result. An imbalance between urban and rural areas in terms of healthcare options available to patients means that many patients are forced to travel long distances for care, or that the care they need is unaffordable. As a result of this situation, word of mouth should not be underestimated when considering the marketing of drugs in some countries.

Importance of established links with local fieldwork staff

The importance of having established links with local fieldwork staff should not be underestimated, as each of these emerging markets is unique. There is no 'one size fits all' model – all have an individual approach to the provision of healthcare. Feasibility of methodology, sample and timing needs to be considered on a country by country basis. Previous experience in these markets is key to ensuring that the study goes smoothly and client expectations are met.

Physicians demand relatively high incentives

A high patient load of physicians and staff shortages in healthcare facilities means that the availability of doctors for market research is reduced e.g. in China, patients can be seen queuing next to where the physician is examining a patient. Physicians in these markets do not come cheap! When compared to EU countries, incentives often need to be higher (e.g. in Brazil and India) to interest the physicians in participating in market research on top of their already long, busy days. Careful consideration of screening criteria is imperative when working with various cultures and healthcare systems.

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