Professional Documents
Culture Documents
Intelligence
Briefing
2017
Digital Trends
in Healthcare
and Pharma
in association with
Digital Intelligence
Briefing
2017 Digital Trends
in Healthcare
and Pharma
in association with
http://econsultancy.com
Copyright © Econsultancy.com Ltd 2017 help@econsultancy.com Econsultancy Singapore
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#23-01
Singapore
049319
Telephone:
+65 6653 1911
Contents
1 Executive summary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
1
The 497 healthcare and pharma respondents who took part in the 2017 Digital Trends survey were among a total of
more than 14,000 digital marketing and ecommerce professionals from all sectors who participated, from countries
across EMEA, North America and Asia Pacific.
4 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
Almost three-quarters say that optimizing The future
the customer journey across multiple
touchpoints will be very important for their • Healthcare and pharma companies,
marketing over the next few years. especially larger ones, will focus on the
customer experience to differentiate
• Healthcare and pharma companies are themselves from their competitors.
14% more likely than their peers in other
sectors to consider customer journey • The Internet of Things has already created
management as a top-three tactical a wealth of opportunities within the sector,
priority in 2017, with larger organizations and there are more ahead. Almost a third
even more likely to prioritize multichannel selected IoT as the most exciting prospect
campaigns and journeys, and also to join for 2020.
up online and offline data.
• Virtual reality (VR) and augmented reality
• The industry is using content as a way (AR) are being incorporated into new
of meeting the needs of consumers who healthcare technologies and systems,
are playing a more active role in their with uses ranging from training doctors in
healthcare choices. Though historically operating techniques to gamifying patient
content has been mainly used by pharma treatment plans. Over a quarter (26%) of
companies marketing to healthcare respondents see the potential in VR and
professionals, the next few years will AR as the most exciting prospect for 2020.
likely see increased content marketing
to consumers, with 29% of organizations • Digital transformation of the healthcare
surveyed prioritizing it over the next year. industry is essential, as a global ageing
population puts pressure on healthcare
• Social media is a powerful communication systems worldwide. The shift from
tool and content distribution channel, and marketing drugs and treatments to
healthcare and pharma companies clearly marketing outcome-based approaches
recognize this, with nearly two-thirds and tools to prevent illness is already
(63%, compared to an average of 55% beginning and is likely to have a big
across other sectors) planning to increase impact on marketing strategies in the
investment in social media marketing in longer-term future.
2017.
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 5
2 A sector ripe for
digital disruption
2
https://econsultancy.com/reports/embracing-digital-transformation-in-the-pharma-and-healthcare-sectors/
3
https://www.capgemini.com/resource-file-access/resource/pdf/The_Digital_Advantage__How_Digital_Leaders_
Outperform_their_Peers_in_Every_Industry.pdf
4
https://www.accenture.com/us-en/insight-healthcare-it-start-up-funding-fueling-digital-disruption
5
https://rockhealth.com/reports/2016-year-end-funding-report-a-reality-check-for-digital-health/
6 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
Arguably the biggest result of this investment Technology impacting the sector ranges
is in the trend towards consumers taking a from simple wearables like Fitbit and Apple
more active role in their healthcare, often Watch to ingestible sensors that continually
called ‘the consumerization of healthcare’; feed biometric data back to doctors and
exploring the options available to them and physicians and can be used to manage and
collecting and managing their health data prevent illness. An example is a partnership
through wearables and tracking tools. This between Google and DexCom, Novartis
means that their relationship with doctors and Sanofi to treat diabetes. The group has
and healthcare professionals has become a developed technologies including uploading
two-way conversation. Greater transparency glucose and insulin levels to the cloud in real
in the sector means that companies will need time through contact lenses that measure
to work harder to prove the value of their glucose levels in tears. Even the smallest
drugs and services, particularly in markets change in glucose and insulin levels can
where private healthcare is dominant. be tracked and trigger the attention of the
patient before a problem develops.
Figure 1: To what extent does digital permeate your own organization’s marketing
activities?
50%
40%
35%
30%
25%
24%
20%
19%
15%
15%
14%
10% 11%
10%
9%
5% 6%
0%
Digital marketing is Digital permeates Digital permeates all We are a digital-first Don't know
very much separate most of our our marketing organization
marketing activities activities
Healthcare and pharma Other sectors
Econsultancy / Adobe Digital Intelligence Briefing Healthcare and pharma respondents: 349
Other sectors respondents: 4,940
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 7
This trend impacts pharma and healthcare This is a long way from happening, but
companies in how they market to healthcare a move towards cloud-based storage
professionals and consumers alike. As the means that far higher quantities of data
focus leans towards prevention, companies can be stored, presenting opportunities to
in the sector will need to advocate a range companies utilizing a wealth of healthcare
of services, caring for a lifestyle and not just data for research and development. An
when an illness arises. As a result, some are example is the IBM Watson Health platform,
partnering with third-party tech companies which was recently at the center of a
to augment their offerings and convey an partnership with Apple’s HealthKit health
increased focus on prevention. sensor data platform. The collaboration
is using advanced analytics and natural
An increased focus on partnerships is language processing capabilities to deliver
also arising as a result of the need to clinical decision support.
demonstrate the value of digital internally
– particularly within the established Digitization of the industry, and particularly
large companies that have the hardest of patient health data, is a significant
transformation journey ahead due to legacy opportunity and collaborations are helping
infrastructure – and to fill digital skills gaps. established companies to step up their
game. Major tech players such as Google
How medical records and patient information (in the example above), Apple, IBM and
are handled remains a challenge in a sector Qualcomm Technologies are partnering
comprised of companies with varying levels with established healthcare and pharma
of digital maturity, collecting and housing organizations to facilitate data sharing and
paper-based and digital data in different unlock insights from the wealth of digital
ways. Traditional and non-traditional health healthcare data available.
data from a large number of electronic
health records and devices will need to be
combined with historical paper-based data in
a universal format, to enable the industry to
become fully digital.
Figure 2: Proportion of company respondents saying these will be ‘very important’ for
their digital marketing over the next few years
65%
Ensuring consistency of message across channels
66%
44%
Using online data to optimize the offline experience
47%
39%
Using offline data to optimize the online experience
39%
Econsultancy / Adobe Digital Intelligence Briefing Healthcare and pharma respondents: 270
Other sectors respondents: 1,993
8 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
In a paper on the digitization of healthcare6, This reflects a recognized business
McKinsey envisages the impact of the flood need for developing digital skills and
of health data into the industry resulting in understanding. In an Econsultancy report
“a world in which most care is ‘protocolized’” on digital transformation in the healthcare
– that is, in which clinical decisions on and pharmaceutical sector7, Leo Miller of
the best treatment options are suggested GSK Consumer Healthcare highlighted
to physicians by an automated decision that people are a core pillar of their digital
algorithm informed by advanced analytics. transformation program and in how they
develop their capabilities. GSK is an
This research shows that although the sector example of a company not only developing
lags behind others in its assessment of its skills internally through an unrelenting focus
own digital maturity, investment in digital on training but also looking to external
is on the rise. Across all channels and collaborations to bring in fresh talent to fill
disciplines that were explored, healthcare skills gaps.
and pharma companies are more likely (or
just as likely, in the case of personalization) Ritesh Patel of OCHWW also acknowledged
to say they’re going to increase their that the secret to long-term success
budgets. essentially amounts to hiring digitally-minded
people at all levels of the organization
North American respondents are more than and empowering them. Patel highlighted
twice as likely as their peers in Europe and the need for a culture that embraces and
APAC to say they are digital-first (7% vs. encourages innovation, a need generally
3%), which is potentially a reflection of the accepted in companies striving for digital
healthcare market in North America being change, regardless of sector. These
dominated by private healthcare providers companies are discussed in more detail in
and pharma companies which may be Section 3.
more likely to invest in technology to stay
competitive.
6
http://www.mckinsey.com/industries/pharmaceuticals-
and-medical-products/our-insights/the-road-to-digital-
success-in-pharma
7
https://econsultancy.com/blog/68221-embracing-digital-
transformation-in-the-pharma-and-healthcare-sectors/
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 9
3 Shifting control results in
a focus on the customer
Figure 3: Which three digital-related areas are the top priorities for your organization in
2017?
Econsultancy / Adobe Digital Intelligence Briefing Healthcare and pharma respondents: 349
Other sectors respondents: 4,929
10 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
As consumers have taken back the reins However, most content in the sector
of their own healthcare, preferring more originates from pharma companies
convenient ways to get medical services marketing to healthcare professionals.
and access healthcare information, it has Additionally, regulation and the wide
become the job of companies within the range of patient histories and illnesses
sector to optimize their journey to doing so. makes personalized content marketing, so
In fact, healthcare and pharma companies successful in other sectors, much more of a
are 14% more likely than their peers in challenge for this audience.
other sectors to see customer journey
management as a top-three tactical priority Social media emerges as a priority in terms
in 2017 (24% vs. 21%). of budgeting, with nearly two-thirds (63%,
compared to an average of 55% across
Companies in the sector are also more other sectors) planning to increase their
likely to prioritize multichannel campaign investment in social media marketing. Many
management (21% vs. 16%) and joining companies are still cautious with social
up online and offline data (13% vs. 9%), content because of the industry’s strict
both essential for facilitating a consistent regulations. In the past, they also feared
journey across channels. It’s apparent that that opening up pharma and healthcare
the larger organizations are especially companies to social media would result in a
committed to being agile and meeting new deluge of negative comments – for instance,
challenges, as they’re more likely to prioritize about adverse effects of drugs.
these three areas than the rest. For over a
third of organizations with annual revenues However, studies have found this effect to
exceeding $180 million, customer journey be minimal, and improved social analytics
management and multichannel campaign and automation should allow companies
management (36% and 34% respectively) to deal with negative feedback quickly
are top-three priorities, while joining up and effectively. As a result, we are seeing
online and offline data is prioritized by a more brands ensuring that social media is
quarter (25%). part of their marketing plan. Ed Bennett,
digital strategy consultant for the healthcare
The desire of consumers to increase their industry, emphasized the importance of
healthcare knowledge is being met with a using social media in the healthcare and
focus on content marketing by healthcare pharma sector: “If you want to connect
and pharma companies. Figure 3 shows that with people and be part of their community,
the biggest digital-related priority for 2017 you need to go where the community is.
is content marketing, selected by 29% of You need to be connecting before you are
respondents. Content is gradually earning actually needed.”9
its place in healthcare campaigns, and the
next few years will see content creation and The focus on training staff discussed
storytelling emerging as prominent, very previously, particularly in skills needed
much in-demand skills. to create good customer experiences,
is driven by a skills gap that is barely
One of the best ways for companies to improving, according to the survey results.
appeal to a range of different audiences The proportion of those saying they have
is through tailored content, and some big the people they need to engineer good
players are using it to their advantage. customer experiences has increased only
Philips, for example, credits content four percentage points in the last two years
marketing with its move from electronics to (from 57% to 61%). Healthcare and pharma
healthcare. Through programs like its Future companies are also less likely than their
Health Index thought leadership hub, Philips peers in other sectors to have the skills they
is seeing clear gains from quality content need (61% compared to an average of 67%
marketing.8 A strong emphasis on targeting across other sectors).
and personalization – the second most cited
priority for 2017 (25%) – will also be key in
developing and distributing tailored content.
8
https://www.marketingweek.com/2016/10/18/how-content-marketing-is-helping-philips-move-into-healthcare/
9
Social media “likes” healthcare’, Health Research Institute / PwC, April 2012
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 11
Often, the necessary skills are associated Figure 4 shows mobile is not a priority
with analytics and insight. Although good for most survey respondents. Though
data management is imperative regardless of consumers increasingly use mobile devices
sector, in an industry where digital disruption for healthcare purposes, only 40% of
is resulting in an influx of data from myriad healthcare and pharma companies (down
sources, the need for skilled staff to collect, from 42% in 2016) say that mobile is a
distil and analyze this data is paramount. For strategic priority (compared to 49% in
over two-thirds of healthcare and pharma other sectors). This is a surprise given
companies (67%, compared to an average the disruption coming from mobile apps
of 63% across other sectors), improving data in the sector, including businesses like
analysis capabilities is perceived to be ‘very babylon, which allows access to healthcare
important’ in delivering a great customer professionals via video and messenger, and
experience over the coming year. utilizes artificial intelligence technology10.
This parallels strategy and investment too: This research shows that while mobile
healthcare and pharma companies are 9% health solutions are increasingly popular
more likely than their peers in other sectors with consumers and the sector is brimming
to say that data-driven marketing is a top- with opportunity for delivering anytime/
three strategic priority in 2017 (75% vs. anywhere virtual care, companies in this
69%). Correspondingly, the vast majority sector are underestimating the importance
plan to increase (53%) or maintain (46%) of this channel. Patient centricity will not
their investment in marketing analytics. become a reality if healthcare and pharma
organizations are not delivering care, advice
and information via the consumers’ devices
of choice.
Figure 4: Please rank these five areas in order of priority for your organization in 2017.
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
First choice Second choice Third choice
10
https://www.babylonhealth.com/how-it-works
12 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
4 The future looks more
promising than ever
Technologies used by companies like Push Customer experience is the top strategic
Doctor and the aforementioned babylon are priority for the vast majority of healthcare
facilitating a change in the way consumers and pharma companies surveyed (93%,
approach healthcare. This requires an compared to an average of 90% across
adjustment in the way that healthcare other sectors) and ‘optimizing the customer
and pharmaceutical companies market experience’ is perceived to be the most
to consumers, healthcare professionals, exciting opportunity by just over a fifth (22%).
and each other. As discussed in Section As indicated by the level of investment
2, one of the biggest shifts will be towards in customer experience and related
selling products based on patient outcomes. technologies, companies in the sector seek
Novartis, a pharma company with big digital to use this to differentiate themselves from
ambitions, has acknowledged this and is competitors over the next five years. Just
using it to drive innovation.11 under a third (30%) of organizations (and
the highest proportion) said this would be a
key differentiator for them, but when split by
Figure 5: Over the next five years, what is the primary way your organization will seek
to differentiate itself from competitors?
11
http://www.mckinsey.com/global-themes/leadership/novartis-on-digitizing-medicine-in-an-aging-world
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 13
Customer experience is the top strategic
priority for 93% of companies
revenue, the larger organizations (such as Figure 6 shows the areas that pharma
Novartis) emerge as nearly twice as likely as companies are seeing as the most
smaller organizations to say so (Figure 5). exciting prospect over the next few years.
The Internet of Things and connected
This is likely as a result of higher budgets devices are the most exciting for a third of
allocated to innovation and digital initiatives. respondents, probably as a result of them
Pfizer is an example of a large pharma currently being the most tangible product
business that is planning for the future of digital disruption, with concrete and
through experimentation at grassroots successful examples of use cases. By 2025,
level. The company’s mantra is to fail Intel predicts that the global worth of IoT
inexpensively until success is found, and technology from healthcare devices will
execute it through its ‘Dare to Try’ program.12 amount to $2.5 trillion, and by 2020, it will
This aimed to change the culture of the add $285 billion of healthcare provider value
organization to enable agility and change, to the global economy.13
and the program is now a branded feature of
the company.
Figure 6: Looking ahead, which of these do you regard as the most exciting prospect
for 2020?
Other 5%
12
https://econsultancy.com/blog/68861-digital-transformation-in-pharma-pfizer-s-dare-to-try-project/
13
http://www.intel.com/content/www/us/en/healthcare-it/solutions/documents/iot-healthcare-policy-principles-paper.html
14 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
Over time, the rise of telemedicine and It has taken some time for the healthcare
diagnostics using artificial intelligence and pharmaceutical sector to get moving
technology will see AI moving to front of with digital, but as paper documentation
mind for healthcare organizations. These gives way to cloud-based data collection,
technologies have the potential to disrupt and businesses capitalize on the data that
businesses that are based heavily on consumers are providing through the Internet
physical facilities and staff. of Things, we could see rapid transformation
in the sector in the next few years.
Virtual and augmented reality are the second
most exciting prospect for 2020, selected The value in this is enormous – not just
by 26% of respondents. Just one example monetarily but in terms of health to the
of virtual reality (VR) being applied in the millions of patients whose treatment may
healthcare and pharma sector is the training be improved or even made unnecessary
of junior doctors, who would otherwise find through earlier diagnosis and preventative
it difficult to gain experience of operating actions. This could be vital to ensure the
on patients. VR is being used to create sector does not collapse under the weight of
numerous life-like, pre-programmed training a global ageing population, which is already
situations that allow doctors to respond and putting enormous pressure on healthcare
practice on robots rather than humans. In the systems worldwide.
future, planned partnerships of the VR and
robotic technologies with Oculus Rift could
see this type of training taken even further.14
14
https://www.theguardian.com/healthcare-network/2016/oct/19/virtual-reality-game-healthcare-hospitals-simulation
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 15
5
Actionable tips to
help future-proof your
healthcare/pharma
business
1. Allow the customer to take control Being able to deliver marketing messages
and accept a shift to an outcome- in whichever format your customer wishes
based approach in order to keep to consume them will result in higher
up engagement and advocacy. Those who give
consumers the choice will win the race in this
The wealth of information now available new transparent environment.
to consumers on the healthcare options
available to them means that their ability to
shop around has increased. They are taking
control of their own healthcare and driving 3. Invest in digital skills that can
change, opting for more convenient ways to make use of an influx of data in the
get medical services and access healthcare sector
information.
The healthcare and pharma sector is data
Companies that adopt an approach of rich, and only getting richer. Consumers
assisting consumers with their health over are generating vast amounts of data in
the long term, both in the treatment and their everyday lives, but these sources
prevention of illness, will win their trust. of information often remain untapped.
It’s not about relinquishing control, but This pool of (increasingly real-time)
about acknowledging the fact that the way healthcare intelligence can help provide a
healthcare services are accessed and used care continuum for patients at a personal
is changing, and flexibility in your approach level. Ensure your business has the right
is required in order to keep up with these technology and data skills to take advantage,
changes. as digitization of health records creates
opportunities for both healthcare and pharma
companies and their customers.
2. Cater for the consumer desire for Though strict regulations still represent one
information through all channels of the most difficult barriers to overcome,
startups specializing in data collection and
Effective marketing now requires analysis are beginning to emerge. Partnering
communication across all channels, with with these startups might be an easier route
consistent messaging and a smooth journey for those struggling to be agile and nimble
across channels and devices. Consumers with the data they have access to, or bolster
are increasingly expecting the same level the internal data they have.
of experience from the brands they interact
with, whether they’re incumbent players in
the B2C sector or healthcare providers.
16 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
The healthcare and pharma sector
is data rich, and only getting richer
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 17
6 Appendix: respondent
profiles
60%
57%
50%
40%
30%
20% 22%
10%
10%
8%
1% 1% 1%
0%
North America Europe Asia Australia / New Middle East Africa Other
Zealand
18 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
Respondents based in Europe
Figure 8: In which of the following countries are you based?
UK 20%
Germany 14%
France 11%
Sweden 10%
Denmark 8%
Switzerland 6%
Italy 5%
Belgium 5%
Spain 5%
Netherlands 4%
Norway 1%
Finland 1%
Austria 1%
Other 9%
India 28%
Thailand 6%
Malaysia 5%
Singapore 5%
Philippines 3%
China 3%
Taiwan 2%
Indonesia 1%
Other 2%
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 19
Figure 10: What best describes your job role?
Manager 35%
Board level 2%
VP / SVP / EVP 2%
Other 25%
40%
37%
35%
33%
30%
30%
25%
20%
15%
10%
5%
0%
B2C B2B B2B and B2C (equally)
20 Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with
Figure 12: What is your annual company revenue?
30%
27%
25%
20%
19%
17%
15%
13% 13%
10% 11%
5%
0%
<$1.2 million $1.2 – $12 million $12 – $60 million $60 – $180 $180 million – More than $1.2
million $1.2 billion billion
Digital Intelligence Briefing: 2017 Digital Trends in Healthcare and Pharma In association with 21
Digital
Intelligence
Briefing
2017 Digital Trends
in Healthcare
and Pharma
in association with
http://econsultancy.com
Copyright © Econsultancy.com Ltd 2017 help@econsultancy.com Econsultancy Singapore
20 Collyer Quay
#23-01
Singapore
049319
Telephone:
+65 6653 1911