1. Healthcare Professionals’ Social Networks The Beginning of the End of Pharma Marketing as We Know it? Len Starnes Head of Digital Marketing & Sales General Medicine Len Starnes Head of Digital Marketing & Sales General Medicine Bayer Schering Pharma Digital Pharma Europe 30 – 31 March 2009 Barcelona Spain

2. Agenda l The Big Bang l Global dimensions l Business models and partnering options l Key learnings l Ubiquitousness and marketing in 2020

3. Healthcare professionals’ social networks The Big Bang

4. Actually, it all began with sushi…

5. First reactions What does it cost? Is this something really new? How does it work? What is Sermo? Great sushi! Why is Pfizer always first? I must talk to my brand teams about this Black cat cartoon: with thanks to John Mack, Pharma Marketing Blog http://pharmamkting.blogspot.com/2007_10_01_archive

6. Transforming the way medical information is exchanged Based on Pfizer/Sermo press release 15 October 2007 http://www.sermo.com/news/media/press/pfizer It’s all about… Pharmaceutical industry Initiating an open and honest discussion Medical profession

7. Healthcare professionals’ social networks Global dimensions

8. USA dominant Sermo Physician Connect Student Doctor Network Healtheva Relaxdoc SocialMD Sosido Clinical Village iMedExchange Tiromed Ozmosis Medical Plexus Within3 Rad Rounds MedTrust MedicSpeak Peerclip Syndicom Spineconnect QuantiaMD Number of networks Diversity of networks Business models Attracting VC Pharma participation First learnings

9. 100,000 members each

10. Built on trust Real names Full credentials Verified identities Focus on knowledge sharing Aims to build trust between HCPs & pharma

11. Canada catching up or waking up? At least 1000 Canadian doctors wish to join Sermo CMA’s Asklepios DoctorNetworking Sermo (2009?)

12. Europe heterogeneous BMJ’s Doc2Doc (UK) Doctors.net.uk (UK) OnMedica (UK) Coliquio(D) DocCheck Faces (Int’l) DocCheck Faces(D) DocCheck Faces (F) DocCheck Faces (ES) DocCheck Faces (IT) Dooox (D) Esanum (D) Esanum (ES) Esanum (IT) Esanum (CH) Esanum (AT) Sermo (2009/10?) UK and Germany lead France, Italy, Spain? Expect Scandinavia & Netherlands to follow soon Language still a barrier

13. Forum, news & resource centre

14. Soft launch Jan 09 2600 members Open & closed areas Complements eBMJ Global 120 countries

15. Focuses on D, CH, AT 10,000 members 3 pharma partnership options Expanding to other EU countries 09/10

16. 29 organizations 5,400 members D, CH, AT Seeking pharma partners Network of medical societies and associations

17. 5 languages 10,000 members Linkedin model Doctors, dentists, pharmacists, veterinary surgeons

18. ROW emerging India hyperactive New Zealand making up for geographical isolation Who will be first to launch in China? Latin America stirring Doctors Hangout (IN) Doctor.VG (IN) New Media Medicine (NZ) Samag Blogspot (LA) Sermo (2009/10?)

19. Focus on medical students 55,000 members 1m page views/month Medical students today… members of HCPs’ SNs tomorrow

20. Healthcare professionals’ social networks Business models & partnering options

21. Taxonomy Authentication, all specialities, 1 country or int, pharma prtnrs Authentication, all specialities, 1 country or int, non-pharma prtnrs Authentication or open access, 1 speciality, 1 country or int, pharma prtnrs or unknown Authentication, associations only, 1 country or int, pharma prtnrs Open access, all specialities, I country or int, pharma prtnrs? Private ownership Sermo Doctor Connect Ozmosis Relaxdoc Clinical Village iMedExchange Within3 Peer Clip Doctors.net OnMedica ColiquioEsanum Spineconnect Rad Rounds MyPACS Med Trust(onc) Sosido Dooox Sdt Doc Network Healtheva SocialMD Tiromed MedicSpeak MedicalPlexus DoctorNetworking DocCheck Faces Doctors Hangout Doctor.VG New Media Medicine Samag Blogspot Medical society ownershipDoc2Doc(BMA)Asklepios(CMA)

22. Not all networks are equal

23. Survival of the fittest Stringent HCPs-only membership policies Evolving vocationally-relevant services Significant scaling - global aspirations? Ability to derive knowledge from data Sanctioned engagement with pharma Unambiguous data protection policies

24. Room for a long tail of high-value niche players

25. Partnering options ObservationResearchEngagement Unmet needs Treatment trends Drug usage monitoring Future Rx volume Unknown side-effects Off-label usage Early identification of critical issues Post questions to a specialist community Conduct surveys Establish panels based on pre-selected criteria Participate in community discussions Post information and services germane to discussions Offer CME programmes Invite to eD programmes

26. Key learnings Healthcare professionals’ social networks

27. Group dynamics of HCPs Sharing information Learning from one another Becoming better doctors together

28. High levels of interest in HCPs’ social networks Physician Online Communities: Social Networking Manhattan Research, Taking the Pulse v8.0, 2008 60% Already using + very interested + somewhat interested 40% Not at all interested

29. Membership growing everywhere Network marketing New tools & services Source: Coliquio

30. 55 – 59 age group dominates Not just younger HCPs

31. Majority of HCPs welcome pharma participation Physician Online Communities: Social Networking Manhattan Research, Taking the Pulse v8.0, 2008 I am interested in interacting with pharma, biotech and device companies on HCPs’ only SNs 59% Strongly agree + agree 41% Strongly disagree + disagree

32. Finding Pfizer physicians able to talk openly and honestly is a problem HCPs like open and honest discussions with Pfizer* Pfizer views initiative as a partnership Prime interest is driving P2P and Pfizer doctor to non-Pfizer doctor discussions *Reported at Health 2.0 conference, San Francisco, 22 – 23 October 2008

33. Helping in daily practice Hours after post was made % all comments *Source: Coliquio Responses to a Coliquio post

34. Internal challenges

35. Who gets the ‘seat’?

36. Market Research Medical & Scientific Marketing Not a trivial issue

37. Costs Number of seats Quantity/scope/duration of options Types of partnering options

38. Healthcare professionals’ social networks Ubiquitousness and marketing in 2020

39. Networks will scale-up & network

40. Number of members Network value Reed’s Law 2 N Metcalfe’s Law N 2 Range of HCPs’ SNs Value will increase significantly

41. During the next decade Large-scale HCPs’ SNs Routine use of SNs by doctors More doctors expecting e-self service from pharma Dwindling of sales forces Predominance of e-savvy doctors Doctors willing to engage with pharma on SNs

42. Inevitable shift Less selling More dialogue Fewer sales reps Multi-disciplinary engagement teams

43. Marketing & sales reinvented Observe real-world experience of using drug Respond to Feedback Pre-launchGrowth Maturity Initiate viral brand awareness Open dialogue Listen to customers Evaluate impact of new brand Engage appropriate specialities Dialogue-centric strategies More effective & lower-cost communications Better business plans & forecasts

44. A new business paradigm ‘In the coming years it will be the norm, rather than the exception, for companies to have access to the information gathered in these forums, and to respond to the information accordingly’* *Physician Online Communities: Social Networking Manhattan Research, Taking the Pulse v8.0, 2008

45. Real-time poll update: http://polls.linkedin.com/poll-results/28204/lakmg

46. What will influence physicians’ prescribing behaviour more? Open dialogue on social networks or Pharma marketing as we know it

47. Head of Digital Marketing & Sales General Medicine Bayer Schering Pharma E: leonard.starnes@bayerhealthcare.com T: + 49 30 4681 4877 M: + 49 175 438 4521 I:www.bayerhealthcare.com Len Starnes