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Better Data Tracking Could Hold Key To Indication-Based Pricing Progress

 
• By Francesca Bruce

Indication-based pricing could become a reality with better infrastructure to track utilization data.

Ladder made of coins with colorful pills on top suggesting the growing prices of medicine or drugs
Indication-based Pricing Could Take Off With Better Infrastructure

Indication-based pricing is seen by many as key to linking the value of a product with multiple uses to its value for different patient groups. However, it has been slow to take off and discussions on the issue have lost pace over the past couple of years, according to Marco Rauland, a vice president at Germany’s Merck. That said, there have been some developments in markets where it is possible to track medicines usage, indicating that better infrastructure could be key to the wider use of indication-based pricing, Rauland remarked.

Indication-based pricing is a particularly hot topic in the oncology space, where drugs are expensive and increasingly have a number of indications. From next year some 80% of oncology assets...

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