A bright future for digital, a dimmer one for pharma Len Starnes Head of Digital Marketing & Sales General Medicine Len Starnes Head of Digital Marketing & Sales General Medicine Bayer Schering Pharma 4 th Annual eMarketing Summit 27 – 28 April 2009 Munich Germany

Unprecedented levels of change

Pay for performance Influence of payers Ageing population Soaring cost of healthcare Emphasis on prevention Fewer blockbusters Patient empowerment Influence of E7 countries Catastrophic image of pharma Health & medicine 2.0 R&D not delivering Personalized medicine

‘ We believe the impact of the internet and web 2.0 will not be marginal. Indeed it will be dramatic!’ Steve Arlington, Price Waterhouse Coopers, April 24th 2009

New sales model Governments Decision makers Primary influencers Pharmacos Tertiary influencers Doctors Patients & patient advocacy groups New stakeholders & lobbyists

Pharma’s digital engagement is one facet of the Health & Medicine 2.0 revolution

Pharma is a key stakeholder and must become an active participant

Gunter Eysenbach, Medicine 2.0, Journal of Internet Research 2008, vol 10, issue 3 We must be here

Doctors

During the next decade Retiring baby boomer doctors Predominance of e-savvy doctors Emergence of large-scale doctors’ SNs Routine use of SNs by doctors More doctors expecting e-self service Dwindling of sales forces

BMJ’s Doc2Doc (UK) Doctors.net.uk (UK) OnMedica (UK) Coliquio(D) DocCheck Faces (Int’l) DocCheck Faces(D) DocCheck Faces (F) DocCheck Faces (ES) DocCheck Faces (IT) Dooox (D) Esanum (D) Esanum (ES) Esanum (IT) Esanum (CH) Esanum (AT) Medcenter/Medscape(ES) Sermo (2009/10?) Proliferation of HCPs’ social networks Radically new engagement options

Profound impact Transforming relationships Forcing open and honest discussion Pharmaceutical industry Medical profession

More & better self-service Everything on demand Integrated multi-channel customer portals Feeds into HCPs’ social networks

Inevitable shift Fewer sales reps Multi-disciplinary engagement teams Less selling More dialogue

Patients & patient advocacy groups

Social networks will become hugely influential in patients’ health decision making

Learning to engage will be a slow hard process Discover what patients want from us Don’t treat social media as mass media Work with MLR to develop the framework

Internal challenges

Cultural shift With thanks to Heidi Youngkin, J&J No, because Yes, provided

Cross-functional mindset Digital PR Marketing

Social media will force pharma to be Not sure yet what open looks like

Head of Digital Marketing & Sales General Medicine Bayer Schering Pharma E: [email_address] Twt: www.twitter.com/lenstarnes T: + 49 30 4681 4877 M: + 49 175 438 4521 I: www.bayerhealthcare.com Len Starnes

Head of Digital Marketing & Sales General Medicine Bayer Schering Pharma

E: [email_address] Twt: www.twitter.com/lenstarnes T: + 49 30 4681 4877 M: + 49 175 438 4521 I: www.bayerhealthcare.com