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Verde is a market research consultancy that has been in the industry for over 17 years, with strong experience in numerous therapeutic areas and a client base that includes numerous global pharma …

Verde is a market research consultancy that has been in the industry for over 17 years, with strong experience in numerous therapeutic areas and a client base that includes numerous global pharma clients. Clients hire Verde to solve for specific business issues: Increasing market share, gaining insights into the marketplace for product launch, sales force effectiveness, etc. Our methodologies provide clients with a holistic and granular view of the relationships customer facing employees (reps, reimbursement specialists, etc.) have with key stakeholders, but also an understanding of competitors’ relationships with those same stakeholders so that competitive advantages can be realized.

www.verdegroup.com

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  • 1. Managing Your Revenue at Risk
    Verde Group Capabilities
  • 2. VERDE
    TEAM
    Who We Are
    Strategic Research Partners:
  • 3. Pharma Stakeholder Research
    APPROACH
    TO LOYALTY
    • Trends:
    Introduction of customer-centric service models
    Moving sales team from product selling focus to coordinating value-add experiences
    Addressing the business needs of customers for mutual benefit
    • Issues:
    Continued use of traditional sales force effectiveness, general physician satisfaction metrics
    Typical studies do not identify specific experiences, frequency of experiences , how to create value added services from the customer’s perspective.
    • The Verde Group has developed 3 key premises around Pharma Stakeholder research that identify the attributes that make customers satisfied and loyal, but more importantly the experiences that create dissatisfaction and possible defection from the brand.
    Stakeholder experience is the strongest predictorof behavior
  • 4. APPROACH
    TO LOYALTY
    Dissatisfaction is not the Opposite of Satisfaction
    Drivers of satisfactionand loyalty
    • Consultative Selling
    • 5. Business Acumen
    • 6. Creating Mutual Benefit
    Satisfaction Is
    Not Sufficient
    For Loyalty
    As a driver of loyalty, dissatisfaction represents a dimension of customer affect distinct from satisfaction.
    Dissatisfaction is a very powerful predictor of a customer’s future behavior.
    Drivers of dissatisfactionand defection
    • No coordination of resources
    • 7. Reimbursement Issues
    • 8. Educational Materials
  • APPROACH
    TO LOYALTY
    Experiences Drive Loyalty
    The customer relationship is built with the experiences that customers have with a provider. These experiences lead to the formulation of attitudes and the attitudes drive customer behaviors (loyalty or defection.) The assessment must mirror the customer relationship process.
    Satisfaction Does
    Not Drive Loyalty
    Satisfaction is an attitude associated with loyalty
    Most customer loyalty research focuses on attitudinal measures. However attitudes are not actionable.
    What drives loyalty, brand equity and customer value is the Customer Experience
  • 9. APPROACH
    TO LOYALTY
    Customer Loyalty Evolves Over Time
    Customer Loyalty Is Not Binary
    • Customer defection is a process of disengagement and not an event
    • 10. A customer’s dissatisfaction thresholds are established in part by the attractiveness of competitive alternatives
  • OUR
    PROCESS
    The Verde Research Process
    Verde has developed a proprietary research process to measure customer and employee experiences and resulting attitudes and behaviors. The process:
    • Identifies the customer and employee experiences that are predictive of market action (recommend, prescribing behavior, value)
    • 11. Links market actions to financial impact
    • 12. Delivers insights that are highly actionable due to the granular nature of the feedback.
    Our methodology is designed to move research findings “out of the binder” and into operations in an actionable, efficient and impactful manner.
  • 13. OUR
    PROCESS
    Revenue@Risk and Engagement@Risk Analysis
    Identify interactions and experiences customer has with the company
    Pinpoint actions with greatest impact to produce ROI
    Involve employees in identifying customer pain points and opportunity
    Obtain buy-in, commitment of leadership team
  • 14. OUR PROCESS
    Project Steps
    Project Planning
    • Facilitated Decision Making Meeting
    • Sets Up The Project
    Diagnosis
    • Qualitative Research with employees and customers
    • Customer experience measures developed from input
    Our measurement program will provide actionable and robust results for every key stakeholder group
    Baseline Measurement
    • Quantitative Research
    • Measures Performance Against Expectations
    Action Planning
    • Facilitated Meeting
    • Uncovers Actions Needed To Drive Customer Behavior
    Continuous Tracking
    • Periodic Measurement
    • Tracks Improvement On Key Loyalty Drivers
  • 15. Outputs From “Revenue At Risk” Study
    OUR
    PROCESS
    Revenue@Riskprioritizes the economic impact of the problem experiences that degrade customer loyalty, and then creates detailed insight on the actions necessary to grow the value of the customer base through improved retention, product penetration, and word-of-mouth market.
  • 16. Problems & Service Recovery
    EXAMPLE CHARTS
    Impact of Service Recovery on Loyalty and Word of Mouth
    For each Customer group the survey data will yield:
    (I) % with problems
    (II) % who will/will not contact the company
    (III) % with problem resolution and satisfaction with resolution:
    (IV) Recommendations
    When problems are solved completely, customers with problems are as loyal as those without problems
    IV
    II
    III
    I
    Market Impact
    Service Recovery
    Contact
    Behavior
    Question/
    Problem
    Experience
    Definitely
    Recommend
    Pharma
    No Problem
    46
    Loyalty is four times greater when problems are resolved to a customer’s complete satisfaction
    %
    Experience
    %
    (52%)
    Completely Satisfied
    (28%)
    %
    44
    18
    %
    (68%)
    Resolved
    (28%)
    Acceptable
    Customers
    10
    (41%)
    %
    Less than Acceptable
    (Base=2311)
    17
    %
    Contacted
    (50%)
    Not Resolved
    (32%)
    %
    Loyalty is lower for customers who do not have their problems resolved than for those who never call at all
    8
    Problem
    25
    (48%)
    Experience
    %
    Did Not
    26
    Contact
    (50%)
    %
  • 17. 8
    Company’s products are not cost competitive
    Lack of business acumen
    7
    Inability to track marketplace trends
    6
    5
    Patient education materials not up-to-date
    Customers At Risk
    4
    Unresponsive to requests
    3
    No coordination of resources to service us
    2
    1
    0
    0%
    5%
    10%
    15%
    20%
    25%
    30%
    35%
    40%
    50%
    60%
    Incidence
    EXAMPLE CHARTS
    Impact of Most Serious Problems
    MOST SERIOUS PROBLEMS
    Example Chart showing the impact of experiences on customer behavior by identifying the problems that are the most serious in terms of both incidence and defection risk:
    This analysis provides an analysis of the most serious problem as well as the combination of problems on customer risk: negative word of mouth, decreased spend.
    Lack of problem solving skills
  • 18. TOTAL PHYSICIANS
    KEY DRIVERS OF CUSTOMER LOYALTY
    EXAMPLE CHARTS
    Key Drivers of Customer Loyalty
    (.31)
    Ability of the Biologic Company to Get Patients Approved for Biologic Therapies
    (.30)
    Sales Reps Customer
    Centric Focus
    Willingness to Recommend Biologic Company to other Physicians
    (.26)
    Collaborative Business Intelligence and Business Acumen
    Problem Solving Skills Provided to Office Staff
    (.21)
  • 19. [CLIENT] REVENUE@RISK PROJECTION
    1
    2
    8
    9
    10
    11
    3
    4
    5
    6
    7
    SATISFACTION
    Percent That
    CORE
    CARDHOLDERS
    CARDHOLDERS
    PROBLEM
    PROBLEM
    WITH PROBLEM
    Cardholder Value
    Defect
    CARDHOLDERS
    @RISK
    SAVED
    INCIDENCE
    RESOLUTION
    RESOLUTION
    CONTACT RATE
    $57.94
    50%
    % Projected
    Saved
    NLTR
    45%
    Complete
    74%
    659,340
    19%
    125,275
    62,637
    3%
    1,879
    $108,876
    Problem Resolved
    Partial
    NLTR
    23%
    40%
    1,465,200
    Contact
    336,996
    33%
    111,209
    55,604
    5%
    2,780
    $161,086
    1,980,000
    33%
    Not
    NLTR
    32%
    Problem
    468,864
    70%
    328,205
    164,102
    7%
    11,487
    $665,567
    26%
    4,950,000
    NLTR
    Problem Not Resolved
    68%
    350,064
    175,032
    10%
    17,503
    $1,014,135
    514,800
    60%
    No Contact
    NLTR
    15,000,000
    2,970,000
    460,350
    31%
    920,700
    2%
    9,207
    $533,454
    67%
    No Problem
    10,050,000
    TOTAL ANNUAL INCREMENTAL NET INCOME
    TOTAL CARDHOLDERS AT RISK
    $2,483,117
    1,835,452
    Note: NLTR = "Not Likely To Recommend"
    NOTE: Cardholder Quantities Modified for Client Confidentiality
    EXAMPLE CHARTS
    Revenue@Risk Economic Projection
    Credit Card Issuer Customers at Risk and Customers Saved
    Economic Impact Analysis
  • 20. R@R Applications to common Business Objectives
    Physician/Customer Perception and Satisfaction
     
    The business objectives we solve for in these types of projects include how experiences drive attitudes and, more importantly, market behavior. The specific research objectives include:
    • Which Physician/customer experiences (products, services and interactions) generate the highest levels of Physician/customer satisfaction and loyalty?
    • 21. What are the drivers of dissatisfaction and key experiences that may be putting Physicians/customers at risk?
    • 22. What actions can the company take to improve the overall experience and therefore, continue to achieve positive economic impact?
    Competitive Market Analysis
     
    The specific objectives to be accomplished with this research include developing an in-depth understanding and insight into the following:  
    • Which companies are considered Best-in-Class in terms of their ability to generate the highest customer satisfaction and loyalty, e.g., willingness to defend, share by word of mouth, brand preference, and willing to pay a price premium?
    • 23. How does the company’s performance compare to key competitors on these key customer experiences?
    • 24. What are the key sales rep competencies that are creating value-added experiences that meet Physician’s growing needs for information and support?
  • R@R Applications to common Business Objectives
    New Product Launch
     
    We conduct these projects ahead of launch, to help our clients gain an understanding of their target physicians' viewpoint on services and initiatives from competitors to enable them to differentiate beyond the product and create loyalty as quickly out of the gate as possible.
    ATU Research
    Verde’s R@R approach provides much more in-depth insight into the experiences that shape attitudes and usage, and our approach isolates the effect of the brand loyalty from actual customer satisfaction to enable a company to fully understand the separate experiences and perceptions that drive attitude, usage and brand loyalty.
    Monitoring Patient Compliance
    Verde also conducts research with patients, mainly to track compliance. The goals of this research are to identify and understand the types of patients likely to be non-compliant. Our research includes the identification of issues with patient education materials, lack of understanding of medication regimens, possible literacy challenges, adverse side effects, impact of physician office visits. We use our R@R methodology to identify the specific issues associated with usage, frequency of problems and the most significant ones impacting compliance.
  • 25. R@R Pharma Case Studies
    EXPERIENCE
    Leading Biologic Company – Quest for Non-traditional Physician-Sales Rep Insights
    Background: Company had a unique blockbuster drug – crossing multiple therapeutic uses. With a strong late stage pipeline, it had an opportunity to create a strong franchise in the disease states it managed. Yet with increasing competitive pressures, company recognized the need to fully explore and understand the relationship it had with its key customers. Traditional research studies focused on the Physician-sales representative relationship. Given new market dynamics, this wasn’t enough. Company felt it was important to move beyond the physician and explore other constituents that influence brand and company perceptions.
    Objectives: Identify key drivers of dissatisfaction versus those of satisfaction and loyalty for each customer touch-point including:
    • What is the relative importance of each touch-point in maintaining current relationships and growing new ones?
    • 26. Which specific touch-point issues are impacting customer loyalty behaviors and associated outcomes – word of mouth, script writing, and retention – for company and for competitors?
    • 27. How prevalent and important are these issues within each customer group? How do the issues differ by customer group?
    • 28. How do experiences with company compare to other major biotech firms in this space?
    Insights gained and actions taken:
    • Develop and empower a single point of contact to own the customer issue from “cradle to grave”
    • 29. Proactively explain roles and responsibilities of customer-facing/resourcing
    • 30. Simplify and streamline the patient access process
    • 31. Train and reward for “customer centricity”
    • 32. Training around customer interactions
  • R@R Pharma Case Studies
    EXPERIENCE
    Medical Device/Automation Company: Requirement to “change the game” in the hospital lab automation space
     Background: Company is a global leader in the area of pre-transfusion diagnostics. The company has set itself as the industry benchmark for delivering innovative, value-added products. Their success has been attributed to its unwavering focus and execution around several key principles including: excellent reputation among stakeholders and investment in quality improvement and customer satisfaction. But competition is fierce. In order to maintain and build customer intimacy, company needed a comprehensive customer and employee measurement system that assess and projects how experiences drive attitudes and physician behaviors.
    Objectives:
    • What are the critical “moments of truth” for customers; the interactions that are most important for driving satisfaction and creating loyalty?
    • 33. What specific problem experiences occur across the sales and service cycle that damage Company customer satisfaction and loyalty? How often do they occur?
    • 34. What is the financial impact of these problems in terms of reorders, product penetration, share of wallet and customer retention? Which are most damaging for Company, and which represent the biggest opportunity for improvement?
    • 35. How do problem experience, frequency and impact vary by customer position: Technician, Lab Manager or Director? What are the differences in satisfaction and loyalty to Company between each of these customer types and across Hospitals versus other types of customer sites?
    • 36. Insights gained and actions taken
    Encourage Customers to Contact about Problems.
    Improve Problem Resolution.
    Provide Additional Training to Employees.
    Correct Product Quality Problems.
    Communicate Departmental Roles and Responsibilities to Employees.
  • 37. R@R Pharma Case Studies
    EXPERIENCE
    Leading Pharmaceutical Company – Losing Market Access in Key Regions
     Background: Ongoing cost pressures in managed care have resulted in the growing influence of the IDN.
    Company had a need to better understand who these constituents are and, more importantly, their role and influence in the network (particularly non-prescribing constituents). Additionally, the needed to understand how other parties, outside the IDN, influence and affect other parts of the network. With this information, the company can then develop a more focused strategy aimed at accessing these stakeholders with relevance and value.
    Objectives:
    • Who the key influencers/decision makers are across/outside the system and how decisions made within/outside the system affect other parts of the system.
    • 38. What IDNs need/what are their challenges/what is most important to them in order to understand how a pharmaceutical or non-pharmaceutical partner may bring additional value?
    • 39. The IDN’s perspective around what they believe is an effective relationship and why they think it was successful, with specific examples.
    • 40. Future trends and how this differs by IDN, specifically knowledge of current business model and how their business model is evolving over time. What is making them evolve/change?
    Insights gained and actions taken
    Establishment of focused IDN strategy and go-to-market organizational structure that supported third party solutions for value-driven outcomes and improved access in difficult markets.
  • 41. EXPERIENCE
    Verde Experience: Overview
    In the past decade, Verde has worked with many of leading Fortune 500 companies in a variety of industries.
    • Our efforts are focused primarily on loyalty, customer value and employee engagement research.
    • 42. We have also conducted associated research/ consulting on various marketing and strategy issues directly pertinent to the loyalty challenges our clients faced at the time of engagement.
    CLIENTS
    SPECIFIC CLIENT WORK
    • Revenue@Risk Customer Loyalty Tracking
    • 43. Competitive Benchmarking
    • 44. Customer Defection Research
    • 45. Balanced Scorecard Development
    • 46. Brand Loyalty
    • 47. Loyalty rewards program development
    • 48. Product Evaluation and Usage Studies
    • 49. Segment Specific Positioning
    • 50. Marketing Communications Strategy