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Post by end2war on Dec 16, 2016 11:27:23 GMT -5
Payer squeeze prompts Sanofi to slash 20% of U.S. diabetes sales force www.fiercepharma.com/pharma/sanofi-to-slash-20-diabetes-salesforce-as-struggling-unit-faces-brand-new-biosim?mkt_tok=eyJpIjoiWkRnME5UUTNNemMxTWprMSIsInQiOiJua2pcL01ySlNwNjVIUkt0WCtDVVwvWkVScWpIK3RsOUswVnB5WEVVYWxxdXMxM3JyeEpvUjBGVkVvc3JmZ3FwUEpVdTlTUXQ4MFZrWlRuTDZnWkNBY1FpbDVTTEhZUGNyM3Fid3VPM1RKUm5vb1NYQnIzR3ZPRittb0xFTExmbzBJIn0%3D&mrkid=16486538&utm_medium=nl&utm_source=internalSanofi, under pressure from an underperforming diabetes business and slower-than-expected drug launches, plans to cut 20% of its diabetes and cardiovascular salesforce, which could amount to hundreds of jobs. The staff reductions are part of a larger shakeup for the diabetes and cardiovascular business, which Sanofi disclosed internally on Friday. "As a result of the new model, we did announce an approximate 20% staff reduction, including our sales force and some business support functions for this business unit," spokeswoman Ashleigh Koss said via email. The company’s diabetes sales have been suffering on unprecedented payer pressure in the U.S., and that pressure is only expected to increase as rivals—including cheaper biosimilars—make an entrance. On the cardiovascular side, its cholesterol-fighting PCSK9 drug Praluent has fallen short of initial expectations, partly on payers' reluctance to cover the pricey med. Indeed, the news comes just days before Eli Lilly and Boehringer Ingelheim roll out their biosimilar version of Lantus, which has long been Sanofi’s top seller. A $7 billion drug, Lantus is expected to fade significantly as Lilly and BI’s Basaglar—and a forthcoming biosim from Merck & Co.—capture market share from the brand. Sanofi’s newer basal insulin, Toujeo, has drawn over some Lantus patients, but far from enough to fill its predecessor’s shoes. Rumored for weeks, the sales cuts fall in line with an announcement earlier this year from one of Sanofi’s chief diabetes rivals, Novo Nordisk, which said it would cut 1,000 employees as it retrenches amid pricing pressure and competition in the U.S. Sanofi CEO Olivier Brandicourt said late last year that the company would cut 1.5 billion euros in costs as it refocuses beyond diabetes. Sanofi had made a big move in that direction in the spring with an $9 billion-plus bid to buy the U.S. cancer drug maker Medivation, but the offer touched off a bidding war that ended in a $14 billion deal with Pfizer. Since then, Sanofi closed on an asset swap with Boehringer, which sent the French drugmaker's animal health unit to BI in return for its consumer health business—a deal that made Sanofi the biggest consumer health marketer in the world Lately, Sanofi is said to be in the race to buy Actelion, the Swiss drugmaker with a stable of drugs for pulmonary arterial hypertension, including the fast-launching Opsumit. Johnson & Johnson reportedly has made a sweetened, $27 billion offer for that company, putting it beyond Brandicourt's price range of up to $20 billion. Koss said she could not specify how many Sanofi employees would lose their jobs in the U.S. restructuring because some could be offered positions elsewhere in the company. The laid-off workers will receive severance packages, health benefits and outplacement services, she said. The Sanofi job cuts follow a week of layoffs news in the pharma business, including similar sales-related cuts announced by AstraZeneca. The U.K.-based drugmaker said it would cut 700 positions in its U.S. commercial organization, with most of them hitting sales reps around the country. The latest reductions follow larger cutbacks on the contract sales side earlier this year, when AstraZeneca ratcheted back its deal with Publicis Touchpoint Solutions, affecting 1,600 staffers, many of them in AZ's own diabetes business. Also last week, Endo bailed out of a pain drug deal and sidelined its other pain promotions in a revamp that will claim 375 jobs. And in by far the largest announcement of the week, Mylan said “less than 10%” of its worldwide job rolls would be cut as it integrates a series of acquisitions; with more than 35,000 employed around the globe, that translates into 3,500 jobs on the line. And at Sanofi, the U.S. cuts follow 500 layoffs announced in France early this year. Read more on
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Post by matt on Dec 16, 2016 13:07:22 GMT -5
The actual number for Sanofi came to slightly more than 900 comprised of 200 contract reps, 70 nurse educators, 575 Sanofi reps, and 75 area/region managers. It is no coincidence that it happened the same week Lilly launched its biosimilar that will compete with Lantus, and two weeks before they are shut out of both CVS/Caremark and ExpressScripts formularies.
The competition is brutal out there, and so far, Lilly seems to be taking the lead and the expense of Novo and Sanofi.
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Post by babaoriley on Dec 16, 2016 13:44:21 GMT -5
We'd best be very careful before hiring any of those cut, they tend to be the under-achievers, duh.
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Post by nemzter on Dec 16, 2016 15:36:16 GMT -5
We'd best be very careful before hiring any of those cut, they tend to be the under-achievers, duh. Seems to be a common hiring theme over at MNKD
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Post by Cowgirl on Dec 16, 2016 15:39:17 GMT -5
The other concern is that this was the team of reps that basically ditched Afrezza and left it to die on the vine. Now, they would have been directed from the top but they took marching orders to cease selling it. What did these Sanofi reps tell the Docs at that point after trying initially? So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness a year ago just because they are unemployed?
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Post by od on Dec 16, 2016 17:08:08 GMT -5
The other concern is that this was the team of reps that basically ditched Afrezza and left it to die on the vine. Now, they would have been directed from the top but they took marching orders to cease selling it. What did these Sanofi reps tell the Docs at that point after trying initially? So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness a year ago just because they are unemployed? "So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness ...". Your documentation that this occurred? (Perhaps there were one-offs, but the entire sales force?)
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Post by careful2invest on Dec 16, 2016 17:15:45 GMT -5
The other concern is that this was the team of reps that basically ditched Afrezza and left it to die on the vine. Now, they would have been directed from the top but they took marching orders to cease selling it. What did these Sanofi reps tell the Docs at that point after trying initially? So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness a year ago just because they are unemployed? "So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness ...". Your documentation that this occurred? (Perhaps there were one-offs, but the entire sales force?) Imho, there are enough quality sales people out there in the pool of potential new hires, that if the resume shows Sanofi as previous employer, go to the next candidate! The sandbagging point can be argued back an forth forever, basically does not matter at this point. But for the record, I think that it is more than clear that Sanofi sandbagged AFREZZA and hurt the brand. However, I do believe that we will overcome that major setback. GLTA TRUE LONGS!
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Post by saxcmann on Dec 16, 2016 17:37:31 GMT -5
The other concern is that this was the team of reps that basically ditched Afrezza and left it to die on the vine. Now, they would have been directed from the top but they took marching orders to cease selling it. What did these Sanofi reps tell the Docs at that point after trying initially? So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness a year ago just because they are unemployed? "So, does Mannkind hire the same people who probably dismissed, denigrated, trash talked and/or downplayed Afrezza's effetiveness ...". Your documentation that this occurred? (Perhaps there were one-offs, but the entire sales force?) There was no incentive to sell (commission same as current drugs) and a conflict of interest so sanofi reps never pushed it. So yes, entire sales force.
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Post by Cowgirl on Dec 16, 2016 17:46:58 GMT -5
Just my speculation but did you see the level of scripts last Fall and Winter ahead of Sanofi canceling contract? Sanofi punted on Afrezza and focused their reps on their other drugs. So, what do you think the endo or primary care physician that heard of Afrezza's effectiveness, uniqueness and wonderful pk/pd profile in, say, May and June of last year, was hearing about Afrezza in October of last year? At best for Mannkind and Afrezza they said NOTHING. (even though saying NOTHING is sort of negative in itself as it would leave the endo or pcp wondering "what's going on with Afrezza, why the silence".
At worst, the rep had to say SOMETHING in regards to Afrezza. What do you think he/she said in October/November? It most likely wasn't flattering. It most likely had to address the fact that people were having trouble titrating, getting use to. It most likely had to be conversational between the rep and endo about initial users experiences with taking Spirometry test (hurdles) , troubles getting insurance, problems with formularies. So, in general, that is all sort of negative, or at least not positive, and not particularly shining a "everything is bright and wonderful" with Afrezza.
So....that's kind of what I meant about some past Sanofi Afrezza sales person may not be the greatest to hire and promote. He/she was the same person that had to talk his/her way OUT of Afrezza last fall and share that tale to the endo and pcp. Is that who Mannkind wants to represent the product going forward? Move onto to others who don't have the baggage, negative past history and what that conotes.
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Post by letitride on Dec 16, 2016 17:52:15 GMT -5
The actual number for Sanofi came to slightly more than 900 comprised of 200 contract reps, 70 nurse educators, 575 Sanofi reps, and 75 area/region managers. It is no coincidence that it happened the same week Lilly launched its biosimilar that will compete with Lantus, and two weeks before they are shut out of both CVS/Caremark and ExpressScripts formularies. The competition is brutal out there, and so far, Lilly seems to be taking the lead and the expense of Novo and Sanofi. If they all get out there and drive afrezza sales over the top in the next few weeks I will talk to Matt and Mike about giving them all a job, because I'm a good guy and believe one good turn deserves another.
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Post by saxcmann on Dec 16, 2016 18:00:22 GMT -5
Just my speculation but did you see the level of scripts last Fall and Winter ahead of Sanofi canceling contract? Sanofi punted on Afrezza and focused their reps on their other drugs. So, what do you think the endo or primary care physician that heard of Afrezza's effectiveness, uniqueness and wonderful pk/pd profile in, say, May and June of last year, was hearing about Afrezza in October of last year? At best for Mannkind and Afrezza they said NOTHING. (even though saying NOTHING is sort of negative in itself as it would leave the endo or pcp wondering "what's going on with Afrezza, why the silence". At worst, the rep had to say SOMETHING in regards to Afrezza. What do you think he/she said in October/November? It most likely wasn't flattering. It most likely had to address the fact that people were having trouble titrating, getting use to. It most likely had to be conversational between the rep and endo about initial users experiences with taking Spirometry test (hurdles) , troubles getting insurance, problems with formularies. So, in general, that is all sort of negative, or at least not positive, and not particularly shining a "everything is bright and wonderful" with Afrezza. So....that's kind of what I meant about some past Sanofi Afrezza sales person may not be the greatest to hire and promote. He/she was the same person that had to talk his/her way OUT of Afrezza last fall and share that tale to the endo and pcp. Is that who Mannkind wants to represent the product going forward? Move onto to others who don't have the baggage, negative past history and what that conotes. I will say this...some said nothing! If the doctor didn't ask about afrezza the rep would say NOTHING! True story! Crazy stuff!
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Post by babaoriley on Dec 16, 2016 18:21:12 GMT -5
Just my speculation but did you see the level of scripts last Fall and Winter ahead of Sanofi canceling contract? Sanofi punted on Afrezza and focused their reps on their other drugs. So, what do you think the endo or primary care physician that heard of Afrezza's effectiveness, uniqueness and wonderful pk/pd profile in, say, May and June of last year, was hearing about Afrezza in October of last year? At best for Mannkind and Afrezza they said NOTHING. (even though saying NOTHING is sort of negative in itself as it would leave the endo or pcp wondering "what's going on with Afrezza, why the silence". At worst, the rep had to say SOMETHING in regards to Afrezza. What do you think he/she said in October/November? It most likely wasn't flattering. It most likely had to address the fact that people were having trouble titrating, getting use to. It most likely had to be conversational between the rep and endo about initial users experiences with taking Spirometry test (hurdles) , troubles getting insurance, problems with formularies. So, in general, that is all sort of negative, or at least not positive, and not particularly shining a "everything is bright and wonderful" with Afrezza. So....that's kind of what I meant about some past Sanofi Afrezza sales person may not be the greatest to hire and promote. He/she was the same person that had to talk his/her way OUT of Afrezza last fall and share that tale to the endo and pcp. Is that who Mannkind wants to represent the product going forward? Move onto to others who don't have the baggage, negative past history and what that conotes. To paraphrase Woody Allen in Annie Hall (I think), "They're salesmen, of course they lie (and change their stories depending on what they're selling)."
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Post by careful2invest on Dec 16, 2016 18:22:42 GMT -5
Just my speculation but did you see the level of scripts last Fall and Winter ahead of Sanofi canceling contract? Sanofi punted on Afrezza and focused their reps on their other drugs. So, what do you think the endo or primary care physician that heard of Afrezza's effectiveness, uniqueness and wonderful pk/pd profile in, say, May and June of last year, was hearing about Afrezza in October of last year? At best for Mannkind and Afrezza they said NOTHING. (even though saying NOTHING is sort of negative in itself as it would leave the endo or pcp wondering "what's going on with Afrezza, why the silence". At worst, the rep had to say SOMETHING in regards to Afrezza. What do you think he/she said in October/November? It most likely wasn't flattering. It most likely had to address the fact that people were having trouble titrating, getting use to. It most likely had to be conversational between the rep and endo about initial users experiences with taking Spirometry test (hurdles) , troubles getting insurance, problems with formularies. So, in general, that is all sort of negative, or at least not positive, and not particularly shining a "everything is bright and wonderful" with Afrezza. So....that's kind of what I meant about some past Sanofi Afrezza sales person may not be the greatest to hire and promote. He/she was the same person that had to talk his/her way OUT of Afrezza last fall and share that tale to the endo and pcp. Is that who Mannkind wants to represent the product going forward? Move onto to others who don't have the baggage, negative past history and what that conotes. I will say this...some said nothing! If the doctor didn't ask about afrezza the rep would say NOTHING! True story! Crazy stuff! Sax, While I am not questioning your credibility, I am wondering what or who was your source for this piece of information. It seems to me that this point would be nearly impossible to prove, or disprove given the number of individual conversations that were had during the period that Sanofi was in control of marketing AFREZZA.
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Post by saxcmann on Dec 16, 2016 18:32:09 GMT -5
I will say this...some said nothing! If the doctor didn't ask about afrezza the rep would say NOTHING! True story! Crazy stuff! Sax, While I am not questioning your credibility, I am wondering what or who was your source for this piece of information. It seems to me that this point would be nearly impossible to prove, or disprove given the number of individual conversations that were had during the period that Sanofi was in control of marketing AFREZZA. Can't say anymore. Moving on...let's see how mannkinds own sales force does in 2017! Looking forward to higher script counts!
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Post by surplusvalue on Dec 16, 2016 18:53:55 GMT -5
A large pool to choose from is good but MNKD has to be very selective. Sanofi poisoned the well. A lot has changed since Sanofi reps were in the picture. Probably better and strategically smarter-easier to train new hires than retrain previous Sanofi reps. In any case the underlying issue isnt sales reps. MNKD could double the sales force and probably still be at around 700 scripts if they were lucky. The runway is extended for about another 7-8 months and assuming the titration issue is taken care of by the new larger combination packs and retention by MNKD cares before the new hires gain some traction, the problem will still be demand , coverage and cost. I have repeatedly pointed out that demand will not come from physicians .They are glacially slow to change. Virtually no one knows about Afrezza and this hasn't changed much. MNKD will have to build patient demand and work on the coverage/ cost issues at the same time. MNKD has to market this aggressively now to the patient population and has their work cut out for them now and in the next 6 months. Unfortunately a significant change in the label and pediatric development will come very late in 2017.
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