At LeapCure, we’re not strangers to outcome based pricing. We prefer to share the risk of patient recruitment and patient retention outcomes with any of our researcher site clients, CRO clients or biotech clinical operations clients. Sharing risk forces us to be better problem solvers and also helps us build more useful technology.
So when we read about considerations for drug pricing schemes based on output, also known as indication-specific pricing, we were immediately on board. We’re confident it will lead to better quality drug research.
A new pricing scheme is gaining traction that would base payments on how well a medicine actually works https://t.co/ZIFm77Iswd
— STAT (@statnews) March 22, 2016
Furthermore, beyond improving the quality of the drug development process, it would also provide a model to properly invest in Precision Medicine research. In a world where specific drugs are expected to produce more positive outcomes for specific individuals, outcome based pricing helps make more research feasible based on expected efficacy across different patient populations. While it might make patient recruitment more complex, a pricing model that expands Precision Medicine research would be a win for everyone, including biotech, CROs, and patients.
We welcome outcome based pricing at LeapCure and we hope to see it used more by our friends in the biotech industry.