Pricing strategy
- Value-based pricing
- two tiers, instead of individual discount contract negotiations with around 30 per cent of insurance companies (the largest public health insurance providers)
Patient Access & Reimbursement
Marketdevelopmentforaproductwithaninnovativedeliveryapproach
Since 2022, a product featuring an innovative care approach has come under considerable market pressure, even though its underlying added value clearly differed from that of the available alternatives. LinkCare was commissioned to analyse the root causes and develop a market engagement strategy that would reunite economic logic, clinical practice and stakeholder communication.
The challenge
Starting point and systemic barriers
The client offers a product that is used minimally invasively in ophthalmology. Since 2022, however, the company has had to absorb a significant decline in sales volume and revenue.
Two systemic effects drove this development. First, an incentive problem emerged in physician-patient contacts: alternative treatment options are reimbursed with every recurring visit, while the client's product reduces the number of visits because only one application is required.
Second, insurers perceived the product as expensive because therapy costs arise once and immediately instead of being distributed across multiple applications and years. From the payer perspective, the gain in compliance and effectiveness translated into higher short-term direct costs, even though long-term costs are lower. This prevention paradox had a direct impact on market acceptance.
As a result, sales volume declined by almost 30 percent from 2022 onward compared with the average of the previous three years.
Key question
How can this development be stopped, turned around and what contribution can LinkCare make?
The approach
Strategy development and market execution
LinkCare was commissioned to develop and implement a market development strategy.
As a first step, the situation was structured across care reality, reimbursement logic and stakeholder interests. The core task was to translate short-term cost logic, physician-contact reimbursement and care effects into a robust narrative.
On that basis, LinkCare developed a market development strategy that systematically connected medical benefit, compliance gains and long-term economic value. The strategy created a clearer basis for prioritization, communication and operational execution in the market.
The market development effort was structured across four action fields in order to align pricing logic, stakeholder access, team setup and scientific communication and stabilise sales performance again.
Action matrix
Sales setup
- Sales regions were aligned with current demand (restructuring of sales regions/personnel)
- Introduction of a new sales training concept for economically sound prescribing practice
Contract access
- (Re-)negotiations of larger specialist contracts in Germany (especially in Baden-Wuerttemberg)
- Communication with representatives of the Association of Statutory Health Insurance Physicians to include the client product in so-called existing contracts
Evidence visibility
- Scientific poster presentation on the product's economic value at congresses
- (Furthermore, a full-text publication in cooperation with a renowned professor is planned)
The result
Impact, resonance and next leverage point
Our client was very satisfied with both the process level and the output level of the market development strategy.
In the final debrief, creativity and ingenuity, reliability, deep payer understanding and on-time delivery were highlighted as the key quality parameters.
"Creativity and ingenuity, reliability, a thorough understanding of the health insurance sector and adherence to deadlines were, for us, the key strengths during our collaboration with LinkCare"
Client testimonial