JEAN-MANUEL IZARET
BEST-SELLING AUTHOR // PRICING CONSULTANT // RESEARCHER // SPEAKER // TEACHER
Hepatitis C Pricing model visual simulation
The tool below allows to visualize the impact of various pricing strategies for a Direct Acting Antiviral Drug
This simulation considers the 10 year economics of a hypothetical payer responsible for 100K patients with the HCV virus. It shows what the cost of this payer would be without DAA treatment (red-yellow colors) and with the availability of DAA (green, blue, grey colors).
The purpose of this simulation is mostly pedagogical: helping understand the impact of changing the pricing model from a per patient upfront to a per population over time. Numbers have been rounded intentionally e.g. $2B total spend over 10 years, in order to make comparisons easy. This is representative of the economics of a payer in a developed country like the US, Japan or EU countries.
Use the navigation tabs below the graph to browse between different views
This data was developed in a partnership between BCG and the Center for Disease Analysis Foundation
It is designed to be viewed on a larger screen.
Shows the cost for each segment of patients over time
Simulates the impact of changing drug price per patient on value distribution between Hospital cost, Hospital cost savings, and Drug spend
Click on keys to navigate to different views
Shows for each segment the cost per patient ranked by decreasing cost
Shows the cost for each segment of patients over time
Simulates the impact of changing drug price per patient on value distribution between Hospital cost, Hospital cost savings, and Drug spend
Simulates the impact of changing drug subscription price per population over on value distribution between Hospital cost, Hospital cost savings, and Drug spend
In PRICE views, this toggle allows to chose between scenari with two different pricing models
The DAA drug is paid 'Per Patient' at the time of treatment. This is the default in PRICE/PATIENT view
The DAA drug is paid as a subscription for the Population of patients over 10 years. All patients in that population have access to the treatment. This is the default in PRICE/TIME view
This view summarizes the value distribution and patient cure rate of four scenarios
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Static economics: single price point over 10 years maximizing drug revenues
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Low price: single price point maximizing patient treatment
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Current trajectory: price per patient decreasing over time as of 2018 in US
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'Netflix model': ten year subscription priced per population