Improve Medical Device Sales In A Changing Market
The business model is changing for pharmaceutical and medical device sales. The confluence of regulatory pressures, competition and payer influence is creating a perfect storm, with today’s market demanding better health care outcomes at lower cost.To compete, companies must adopt broader, more integrated strategic processes, according to an article on the Medical Device and Diagnostic Industry website.
“In this market no company can afford to waste its resources,” the article explains. “Considerable infrastructure, resources and expense go into the work of clinical affairs, regulatory affairs and reimbursement,” and in the absence of an integrated view, “companies are likely to overextend themselves.”
Customer-facing people, such as sales representatives, are the most impacted. The conversation no longer can be about the latest gee-whiz feature. Instead, it must be about how the product or drug will increase safety, improve efficiency, lead to better outcomes and lower costs. Clients want to hear how it will accomplish all those goals.
Plus, sales representatives now are working with a committee from the health and business side of the organization, including purchasing, legal and administration. It’s no longer just about the physician. That means sales representatives are interacting with five or six people in the buying chain, who all have different needs.
Companies can attain greater insight into this world and its implications for medical device sales by meeting three strategic requirements.
- Develop a strategic process for managing your product portfolio: This process can optimize limited resources, resulting in competitive product lines and growth platforms.
- Bring the right resources to decision making: Combining clinical, regulatory and reimbursement perspectives can ensure a comprehensive view of market requirements.
- Ensure this comprehensive market perspective remains at the forefront: These perspectives offer crucial insights into shifting needs and buying decisions, new evidence expectations and hidden costs.
To accomplish these strategic goals, companies will need a global information system to define and capture data about constantly changing market requirements. Tools, technology and training, includingmedical device sales CRM software, are the best ways to address the challenges that come with having all these different conversations.
Source: Medical Device and Diagnostic Industry, January 2013
Regardless of what happens with the fiscal cliff, medical device companies that depend on government research grants should expect and prepare for the fact that funding from federal sources will continue to be harder to find.
Partnerships and innovative collaboration will be the key to medical device sales growth this year, according to an article on the Medical Device and Diagnostic Industry website. It’s a great way to stretch investment dollars and reduce risk. Of course, it’s important to have a CRM system that can help track and manage these partnerships.