PCN71 - Oncology Combination Pricing: Impact of Number of Competitors and Ownership Dynamics

Abstract

In recent years branded combination oncology regimens have become more prevalent and expensive. This analysis aims to understand how competition and ownership dynamics impact pricing of combination oncology therapies. This study focused on recently approved and evaluated combination oncology therapies (N=7); we used European HTAs to inform selection criteria. We identified product characteristics, unmet need, number of competitors and ownership dynamics as key pricing considerations. We calculated costs as cost/course and cost/month in USD. This analysis included the US, France, Germany, Italy, Spain, UK, and Japan. While analyzing ownership dynamics, regional trends emerged among 57% of combination therapies with multiple owners and 43% of regimens with single manufacturers. In the US, most combination regimens developed by multiple manufacturers had higher prices, compared to Europe where regimens by single or multiple owners were relatively comparable. As a result, in the EU clinical efficacy has a greater impact on combination price potential compared to ownership dynamics. This study also analyzed the relationship between price and competition within a given therapeutic area, noting that only 43% of the therapies were the first combination to launch in their respective indication. While limited to a small sample size, a minor correlation exists between a greater number of competitors within a therapeutic area and a lower price. Clinical efficacy remains an important driver of a positive HTA assessment, however as more competitors launch within an indication, competition will decrease payer’s willingness to pay. Given the growing number of combination regimens launching in oncology, greater competition will continue to play an increasingly important role in the evaluation and pricing of combination therapies.