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Value-based healthcare

The demands placed on healthcare providers and payers are rising. Each year, tens of thousands of medical products are launched into a market that is already saturated with both effective and cost-effective interventions. Few will demonstrate the value required to displace on-market products and achieve strong sales. How do you ensure your product has the value to make early market gains?

Value-based healthcare is a market access strategy that appeals to patients, providers, payers, and medical companies because at its forefront are improved patient outcomes. In a value-based healthcare model, providers and medical companies are “paid” based on their contribution to the patient’s health improvement. Accordingly, payers pay a low base price for access to medical products and provide a premium to providers and medical companies only when population health improves.

To benefit from value-based healthcare, medical companies must have a comprehensive value proposition. This must clearly communicate the clinical and economic value of the product. Such an approach is achieved through the integration of health economics with local reimbursement requirements and market access strategies. Companies that are successful in this venture compete on more than pricing by positioning themselves as providers of effective solutions to healthcare needs.

the creation of value for patients should determine the rewards for all other actors in the system. (Michael Porter, 2010, What Is Value in Health Care?)

Market access through value-based healthcare or risk-sharing agreements can be achieved in a number of ways. First, direct access on the back of strong clinical and economic data and compelling comparative effectiveness analyses such as meta-analysis or indirect-treatment comparison. Second, incremental access through the provision of data collection and analysis tools that allow the provider to easily assess the benefit of your product in their real-world practice. We at Coreva Scientific look forward to discussing options for your product and helping you make value-based sales a reality.