Commercial Insight: Pain Market Overview - Non-traditional analgesics and opioid reformulations to sustain sector growth

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Publication Date: 2008-10-24

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Introduction

The mature pain market has experienced a turbulent 4-year period during which the estimated seven major market sales value has fallen from an all-time high in 2004 down to $24.29 billion in 2007. However, through the growing use of non-traditional analgesics and the emergence of a number of opioid reformulations, the market is set to consolidate in a new phase of growth and prosperity.

Scope

 

  • Analysis of 200407 prescriptions for ATC classes M1A, N1A, N1B, N2A, N2B and non-traditional analgesics split by region, class, and delivery method
  • Future market assessment, including pain market forecast by region and class level through to 2017
  • Brand dynamics assessment, including the current competitive landscape, marketing strategies employed, and focus on leading brands within each class
  • Strategic analysis of key players in the pain market and focus of corporate strategic trends and recent licensing deals


  • Highlights

    Between 2004 and 2005, the seven major market pain market moved from a brand dominated market to one where unbranded products account for the majority of sales value. This trend strengthened over the last 2 years, with major genericization of the N2A narcotic analgesic and N2B non-narcotic analgesic classes creating this financially-driven shift.

    After 2 consecutive years of declining sales, 200607 saw positive market growth of 8.7%. The pain market is forecast to continue this annual growth through to 2011 to be worth approximately $31.5 billion, driven by non-traditional analgesic brand sales for neuropathic pain and fibromyalgia.

    In contrast to Pfizer's focus on in-house R&D, Johnson & Johnson has turned to collaborations with specialist companies to bolster its previously lackluster pain pipeline. Additionally, smaller pain companies are increasingly collaborating to combine drug development capabilities with commercial expertise in order to bring new products to market.

    Reasons to Purchase

  • Identify and understand the commercial characteristics of the pain market across the US, Japan, 5EU, and rest of world markets
  • Understand the future pain market landscape to align R&D decisions and target the indications that offer the most opportunity to your company
  • Quantify the key historical company and brand dynamics that have shaped the pain market
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    Table of Contents

     

    ABOUT DATAMONITOR HEALTHCARE 2
    About the Central Nervous System pharmaceutical analysis team 2
    CHAPTER 1 EXECUTIVE SUMMARY 3
    Strategic scoping and focus 3
    Datamonitor insight into the disease market 3
    Related reports 5
    Upcoming related reports 6
    CHAPTER 2 MARKET DEFINITION 8
    Market definition for this report 8
    Disease definition 9
    Overview of pain-drug classes 10
    M1A - Non-steroidal anti-inflammatory drugs (NSAIDs) 10
    N1A - General anesthetics 11
    N1B - Local anesthetics 11
    N2A - Narcotic analgesics 11
    N2B - Non-narcotic analgesics 12
    Non-traditional analgesics 12
    CHAPTER 3 MARKET OVERVIEW 13
    Current market assessment 14
    Sales by region 14
    Pain market totaled $24.3 billion in 2007 14
    5EU was the key growth market for pain in 2004-07 14
    Pain market is a huge volume market 16
    Despite recording negative sales value growth, the US pain market increased by volume 18
    Sales by class 19
    N2A Narcotic analgesic class accounts for the largest proportion of the pain market value 19
    N2B Non-narcotic analgesic class accounts for over half of all pain market prescription volume 20
    Sales by hospital or retail 22
    France and Italy have the greatest proportion of sales originating from the hospital sector 22
    General anesthetics sales originate predominantly from the hospital setting 23
    Sales by branded and unbranded drugs 24
    Unbranded drugs have accounted for the majority of the pain market value since 2005 24
    Japan pain market is by far the least genericized 26
    Unbranded products dominate the traditional analgesic classes 27
    Sales by delivery method 28
    Sales of solid oral products dominate pain-drug prescriptions 28
    Higher priced parenteral and 'other' systemic formulations account for a greater proportion of the pain market sales value 29
    Rest of World snapshot 31
    Current market assessment 31
    Rest of the world pain market is growing faster than the seven major markets 31
    Rest of world is larger than the combined 5EU and Japan regions and accounts for one-third of total global pain market by value 32
    Canada represents the largest of the small and emerging pain markets, Brazil is a close second 33
    In South America, Brazil, Peru and Venezuela are all growing at over 20% a year 34
    With retail sales only, China represents the strongest growing Pacific Rim pain market over 2004-07 35
    Future market assessment 36
    Sales by region 36
    The US will be more susceptible to growth deviations as the 5EU market is expected to show steady yearly growth 36
    Sales by class 38
    Market to maintain recent positive turnaround in sales 38
    Non-traditional analgesic class to claim a greater share of the pain market 40
    CHAPTER 4 OPPORTUNITIES AND THREATS 42
    Pain market opportunities 42
    Underserved pain indications continue to provide significant opportunities 42
    Fibromyalgia - FDA approvals further validate condition but misdiagnosis remains an issue 42
    Neuropathic pain - improved efficacy rather than side-effect profile is key to driving commercial success 43
    Cancer pain - variety of co-morbidities and types of pain experienced leave room for great treatment improvement 43
    Breakthrough pain in non-malignant diseases 48
    Back pain 51
    Opportunities exist for reformulations in the mature opioids market 54
    Requirement for anti-abuse technologies sees the US FDA designating two recently filed NDAs with priority reviews 54
    Rapid-onset developments focus on fentanyl 55
    Non-traditional analgesic classes 56
    Physicians are now turning to alternative analgesics amid concerns over NSAID and opioid use 56
    Pain market threats 56
    Stigma attached to opioid abuse should not influence guidelines in such a way that restricts access 56
    State pain policies must value opioid effectiveness 56
    Pharmacovigilance requirements leads to more rigorous post-marketing regulations 57
    Risk Evaluation and Mitigation Strategy (REMS) safety plan deemed essential for certain FDA approved fentanyl products 57
    Cephalon asked to address Fentora risk management program before potential approval for non-cancer breakthrough pain 58
    CHAPTER 5 BRAND DYNAMICS 59
    Overview of competitive landscape 59
    Leading 10 brands in the pain market 59
    Celebrex and OxyContin - only pain brands to achieve blockbuster status in 2007 59
    Duragesic and Actiq - two branded fentanyl formulations succumb to genericization 61
    Lyrica and Cymbalta - non-traditional analgesic brands show strongest 4-year growth 62
    Marketing strategies for the leading brands 63
    Promotional spend 64
    Sponsorship and public awareness campaigns 65
    Direct-to-consumer advertising 66
    M1A class leader: Celebrex (celecoxib, Pfizer) 66
    Drug profile 66
    Celebrex sales are largely derived from the US market 68
    Increased promotional efforts in the US sees sales rebound 69
    Celebrex reserved for second-line osteoarthritis therapy after acetaminophen or a topical NSAID 69
    SWOT analysis 70
    Strengths - broad indication coverage and US patent protection to drive mid-term sales growth 70
    Weaknesses - cardiovascular warnings on label document potential risks with Celebrex use 71
    Opportunities - Japanese launch opens up new market opportunities 71
    Threats - pipeline drugs to provide major market threat 71
    N1A class leader: Sevorane (sevoflurane, Abbott) 71
    Drug profile 71
    Availability of Baxter's generic sevoflurane versions results in declining yearly sales 72
    SWOT analysis 73
    Strengths - remains inhaled general anesthetic gold standard after more than 15 years on the market 73
    Weaknesses - level of genericization will increase with major patents expired 74
    N1B class leader: Lidoderm (lidocaine 5% patch, Endo) 74
    Drug profile 74
    2007 European roll-out comes 8 years after US launch 74
    SWOT analysis 76
    Strengths - remains first and only of its kind resulting in strong brand loyalty 76
    Weaknesses - although rare and mild in nature Lidoderm can cause local allergic reactions 76
    Opportunities - EU launch as Versatis should maintain strong historical sales growth 77
    Threats - uncertainty over strength of US patents could see challengers emerge 77
    N2A class leader: OxyContin (oxycodone HCl controlled-release, Purdue) 77
    Drug profile 77
    Extensive genericization has hit sales over the last 4 years 79
    SWOT analysis 80
    Strengths - Purdue has successfully reinstated OxyContin's key patents 80
    Weaknesses - abuse potential limits OxyContin's patient potential 80
    Opportunities - launch of new dosages provides more options for abuse-prone patients 81
    Threats - imminent launch of abuse deterrent oxycodone formulations will pressurize OxyContin 81
    N2B class leader: Efferalgan (acetaminophen, Bristol-Myers Squibb) 82
    Drug profile 82
    Non-traditional analgesic class leader: Lyrica (pregabalin, Pfizer) 82
    Drug profile 82
    Sales from pain indications accounted for over 60% of Lyrica's 2007 total 83
    SWOT analysis 84
    Strengths - broad neuropathic pain indications and most recent fibromyalgia approval to drive future growth 84
    Weaknesses - Schedule V classification increases complexity of prescribing 85
    Opportunities - Lyrica has yet to be launched in Japan 85
    Threats - approval of additional drugs for fibromyalgia will provide stiff competition in this young and growing market 86
    CHAPTER 6 KEY DEVELOPERS 87
    Strategic overview 87
    Despite a significant decline in its franchise, Pfizer continues be the driving force in the pain market 87
    Generics companies have prospered in the pain market 88
    Trends in corporate strategy 89
    Only half of the leading 10 pain market companies are actively looking to further enhance their pain franchise offerings 90
    Big Pharma seeks out novel developments while specialist companies focus on reformulations 91
    Recent strategic partnerships/deals 91
    Licensing deals will remain an important strategy to companies of all sizes in the pain market 91
    Big Pharma market leader - Pfizer 93
    Unearthing unchartered pain indications continues to reap rewards 93
    Increased Celebrex investment set to drive future growth 94
    Pfizer - the pioneer in neuropathic pain and now fibromyalgia 95
    Pfizer identifies pain to be a 'high-potential disease area' 96
    Late-stage developments show desire to maintain investment in well-established pain franchise 97
    Specialist pain company - Endo 97
    Endo prospers on Lidoderm's success 97
    Recently established Opana franchise set for steady growth 99
    Research and development review sees Endo discontinue development of two late-stage pain products 100
    In-licensing remains key in Endo's refocused pipeline 100
    Leading generics company presence - Teva 101
    The exploitation of major pain brands proves a lucrative strategy for Teva 101
    Reinstated OxyContin patent to hurt Teva from 2008 102
    Challenges to Celebrex's patents appear to be unsuccessful 103
    Key emerging companies - King Pharmaceuticals and Pain Therapeutics 104
    Strategic alliance plays a significant part in King Pharmaceuticals and Pain Therapeutics emergence as key players in the pain market 104
    Partnership marries drug development capabilities with commercial expertise 104
    Remoxy's anti-abuse potential to fulfill a significant market opportunity 104
    Potential Alpharma takeover shows King Pharmaceuticals's intention to further shift focus to the pain market 105
    Oxytrex shows Pain Therapeutics' development strength and provides another strong out-licensing opportunity 106
    BIBLIOGRAPHY 107
    Journal papers 107
    Websites 110
    Datamonitor reports 114
    APPENDIX A - MARKET ASSUMPTIONS 115
    Data definitions, limitations and assumptions 115
    Standard units 115
    Japanese market data 115
    Rest of World 115
    Forecast methodology 116
    Important information specifically for this report 116
    APPENDIX B 117
    Report methodology 117
    About Datamonitor 118
    About Datamonitor Healthcare 118
    About the central nervous system analysis team 119
    Disclaimer 120
    List of Tables 
    Table 1: Pain market sales value by region ($m) across the seven major markets (7MM), 2004-07 14
    Table 2: Pain market sales volume by region ($m) across the seven major markets, 2004-07 17
    Table 3: Pain market sales value by class across the seven major markets ($m), 2004-07 19
    Table 4: Pain market sales volume by class across the seven major markets ($m), 2004-07 21
    Table 5: Summary of opportunities and threats in the seven major market pain market, 2008 42
    Table 6: Epidemiology surveys of cancer pain 45
    Table 7: Epidemiology surveys of breakthrough pain in cancer patients 49
    Table 8: Epidemiology surveys of low back pain 52
    Table 9: Top 10 pain brands by seven major market revenues ($m), 2004-07 61
    Table 10: Marketing strategies employed by the companies behind the top three pain market brands, 2008 64
    Table 11: Celebrex - Drug profile, 2008 67
    Table 12: Sevorane - Drug profile, 2008 72
    Table 13: Lidoderm - Drug profile, 2008 75
    Table 14: OxyContin - Drug profile, 2008 78
    Table 15: Lyrica - Drug profile, 2008 83
    Table 16: Top 10 pain market companies by seven major market revenues ($m), 2004-07 87
    Table 17: Strategic importance of pain market drugs to the leading pain market companies, 2008 90
    Table 18: Key strategic deals and events in the pain market, 2008 92
    Table 19: Pfizer's pain market portfolio overview, 2004-07 94
    Table 20: Pfizer's late-stage (Phase II onwards) pain pipeline, 2008 96
    Table 21: Endo's pain market portfolio overview, 2004-07 98
    Table 22: Endo's pain pipeline, 2008 101
    Table 23: Teva's pain drug portfolio overview, 2004-07 102
    List of Figures 
    Figure 1: Pain market sales value in the US, 5EU and Japan ($ billion), 2004-07 15
    Figure 2: Sales value performance of the US, 5EU and Japan pain markets ($m), 2004-07 16
    Figure 3: Pain market sales volume in the US, 5EU and Japan (IMS standard units [SUs] sold), 2004-07 17
    Figure 4: Sales volume performance of the US, 5EU and Japan pain markets (IMS standard units [SUs] sold), 2004-07 18
    Figure 5: Sales value performance of the seven major market pain market by class ($m), 2004-07 20
    Figure 6: Sales volume (SUs m) performance of the seven major market pain market by class, 2004-07 21
    Figure 7: Pain market volume and value sales by retail and hospital distribution channel in the US and 5EU countries, 2007 23
    Figure 8: Pain market volume and value sales in terms of retail and hospital origin in the US and 5EU by class, 2007 24
    Figure 9: Branded and unbranded sales value of the pain market across the seven major markets ($m), 2004-07 25
    Figure 10: Branded and unbranded pain market volume and value sales in the US, 5EU and Japan, 2007 26
    Figure 11: Branded and unbranded pain market volume and value sales in the seven major markets by class, 2007 27
    Figure 12: Seven major market pain market sales volume (IMS standard units sold) by delivery method, 2007 29
    Figure 13: Seven major market pain market sales value dynamics by delivery method, 2007 30
    Figure 14: Pain market sales value ($ billion) and volume (IMS standard units [SUs]) in the rest of the world, 2004-07 31
    Figure 15: Rest of World versus seven major market sales split in the pain market ($m), 2007 32
    Figure 16: Sales value of the largest 10 small and emerging pain markets, 2004-07 33
    Figure 17: Pain market sales value in South America ($m), 2004-07 34
    Figure 18: Pain market sales value dynamics in the Pacific Rim ($m), 2004-07 35
    Figure 19: Pain market historic (2004-07) and Datamonitor forecast (2008-2017) sales by region across the seven major markets 37
    Figure 20: Pain market historic (2004-07) and Datamonitor forecast (2008-2017) sales by class across the seven major market 39
    Figure 21: Market value share of pain market drug classes in the seven major markets ($ billion), 2007 versus 2017 40
    Figure 22: Top 10 pain brands by seven major market revenues ($m), 2007 60
    Figure 23: Sales value dynamics of the top 10 pain brands by seven major market revenues ($m), 2004-07 63
    Figure 24: US and 5EU promotional spend for the top 10 pain market brands, 2007 65
    Figure 25: Seven major market sales revenues for 2007's leading M1A - NSAID class brands, 2004-07 68
    Figure 26: Celebrex seven major market revenues ($m), 2007 69
    Figure 27: Sevorane seven major market sales revenue versus generics ($m), 2004-07 73
    Figure 28: Seven major market Oxycodone HCl extended-release sales value ($m) by brand (OxyContin) and generics versus total molecule sales volume (SUs), 2004-07 79
    Figure 29: Seven major market Lyrica sales split by sector - pain market versus total other sales, 2004-07 84
    Figure 30: Sales value dynamics of the top 10 pain market companies by seven major market revenues ($m), 2004-07 88

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