--The views of 186 US patient groups--

EMBARGOED PRESS RELEASE: 6am GMT, TUESDAY, MAY 12th 2020

To obtain a copy of the report, please send your request to the email address below

~ Contact: Alex Wyke ~ Tel: +44-(0)1547-520-96 ~ Email: report@patient-view.com

A note about COVID-19 and the 2019 'Corporate-Reputation' results

Covid-19 should have a relatively limited impact on many of the results of the PatientView 2019 ‘Corporate-Reputation’ study, because the survey took place (November 2019 to late-February 2020) largely before the crisis became global. However, announcements about Covid-19 by some pharma companies during January and February 2020, and reported in the US media, may have influenced the views of US patient groups responding to the ‘Corporate-Reputation’ survey during its last two months. Therefore, the pandemic is bound to have had at least some effect on the 2019 USA version of the ‘Corporate-Reputation’ results.

Covid-19 is currently creating greater public awareness of the pharmaceutical industry, and presents the pharmaceutical industry with several crossroads. On the one hand, the industry’s scientific abilities are being applauded. On the other hand, drug companies have come under pressure to reduce prices during the pandemic. The 2019 ‘Corporate-Reputation’ results can therefore serve as a platform to assist pharma in its corporate-reputation strategies, in the context of the Covid-19 crisis and thereafter―at a time when the reputation of the pharmaceutical industry is very much in the public eye. In the case of the USA, the reactions of patient groups to company announcements on Covid-19 suggest that the pandemic may well have a strong influence on the corporate reputation of pharma for the remainder of 2020 (and perhaps beyond).

ABOUT THE SURVEY AND THE ANALYSES

I. Results of a survey of 1,850 patient groups

Survey conducted: November 2019 to late-February 2020.
Industry-wide analyses: The pharma industry as a whole assessed at a wide range of activities important to US patients and US patient groups; its performance at corporate reputation, compared with that of other healthcare sectors.
Company analyses: 39 pharma companies analysed for performance at 12 indicators of corporate reputation by US patient groups familiar with the company, and by US patient groups that work or partner with the company.

How did the PHARMA INDUSTRY PERFORM in the USA in 2019?

US patient-group attitudes towards the pharma industry as a whole were more positive in 2019 than in any of the previous years this survey has been undertaken. 48% of 2019’s respondent US patient groups stated that the pharmaceutical industry had an “Excellent” or “Good” corporate reputation. However, US patient groups only ranked the pharmaceutical industry 3rd in 2019 for corporate reputation out of nine healthcare sectors; the pharmaceutical industry was ranked 1st by patient groups worldwide.

Chart 1. The corporate reputation of the pharmaceutical industry, 2019 v. 2018—compared with that of other healthcare sectors (Percentage of respondent US patient groups stating “Excellent” or “Good”)

In the opinion of US patient organisations, the pharmaceutical industry's corporate reputation has risen from a low in 2013 to reach a new high in 2019.

Chart 2. The corporate reputation of the pharmaceutical industry, 2013-2019 (Percentage of respondent US patient groups stating “Excellent” or “Good”)

Room for improvement

2019’s respondent US patient groups clearly felt that the pharmaceutical industry, despite having made improvements, still has scope to do better―particularly in drug pricing.

Only 10% of 2019’s respondent US patient groups believed the pharmaceutical industry to be “Excellent” or “Good” at having fair pricing policies.

Percentage of respondent US patient groups stating that the pharmaceutical industry was “Excellent” or “Good” at having fair pricing policies, 2013-2019 [This question was not asked in 2017]

Since Donald Trump was sworn in as President in January 2017, two issues—drug pricing, and the reputation of pharmaceutical companies—have both been especially high-profile political topics in the USA. Indeed, at the end of 2018, an FDA publication, the Reference Listed Drug (RLD) Access Inquiries, named several branded-drug companies which did not, according to the agency, meet requirements to share their products with generics makers (in an effort to slow the development of rival products).

The move indicated the extent to which US policymakers were focusing on putting pressure on the pharma industry.

The subject of the industry’s pricing policies reached a climax in 2019, when companies were called to attend US Congressional hearings on drug pricing. During that year, public debate on drug pricing was commonplace (with the prices of Humira, insulin, treatments for multiple sclerosis, and HIV medications all being considered). The debate was further fuelled by emotive references to prescription drug pricing in the Democratic Party’s presidential primaries, with criticism of pharma becoming increasingly bipartisan. Demonstrators across the US, during 2019, echoed public discontent at the issue of pharma profiteering.

Political volatility on the subject of pharma, and especially on drug pricing, inevitably had a negative impact on the rankings of specific pharmaceutical companies in PatientView’s 2019 USA ‘Corporate Reputation of Pharma’ results.

How did individual COMPANIES PERFORM in the USA in 2019?

* Celgene has been included as a separate entity in the 2019 results because the company’s acquisition by Bristol Myers Squibb was only completed in November 2019, and the ‘Corporate-Reputation’ survey is intended to reflect the views of patient groups throughout 2019.

**The ‘Corporate-Reputation’ rankings in 2019, out of 39 companies, as assessed by US patient groups familiar with the company**

The concept of ‘familiarity’ is defined in the questionnaire as: “Feeling knowledgeable enough about the company to be able to comment on its activities and products.”

The 12 indicators used to measure corporate reputation from a patient perspective

1st in the USA: ViiV Healthcare. ViiV Healthcare was included in PatientView’s USA analyses for the first time in the 2019 survey. ViiV Healthcare was ranked overall 1st for corporate reputation in the USA in 2019 out of 39 companies, according to the 27 respondent US patient groups claiming familiarity with it.

[Too few of ViiV’s US-based patient-group partners responded to the 2019 survey for the company to be included in the rankings of companies by their patient-group partners.]

2nd in the USA: Lundbeck Lundbeck was ranked overall 2nd for corporate reputation in the USA in 2019 out of 39 companies, according to the 44 respondent US-based patient groups claiming familiarity with the company. Lundbeck retained its #1 ranking in the partners category and was ranked overall 1st for corporate reputation in the USA in 2019 out of 23 companies, as judged by its 22 respondent US-based patient-group partners.

Chart 5. Overall rankings of individual pharma companies as assessed by US patient groups familiar with the company, 2019 v. 2018—ordered high to low

3rd in the USA: Roche/Genentech was ranked overall 3rd for corporate reputation in the USA in 2019 out of 39 companies, according to the 128 respondent US-based patient groups claiming familiarity with it (up from overall 4th in 2018). Roche/Genentech was ranked overall 2nd for corporate reputation in the USA in 2019 out of 23 companies, as judged by its 67 respondent US-based patient-group partners (up eight places from 10th in 2018).

Big rises and falls

The ‘Corporate Reputation of Pharma’ data is drawn from rigorous and consistent surveys of the opinions of patient groups, conducted annually by PatientView. The aggregate data are a composite from across many countries and disease areas. Typically, rankings of companies (assessed for their corporate reputation by respondent patient groups) tend to show moderate, rather than large-scale, changes year on year. However, high-profile events (such as new treatment breakthroughs), or rising public resentment on an industry issue (such as drug pricing), can trigger larger-than-expected movements among the rankings, since patient groups are always highly sensitive to such publicity.

Given the exceptional circumstances for pharma in the USA in 2019, PatientView has made some ‘educated guesses’ (backed up, where possible, with data collected in this survey) as to what might have caused movement among some companies in the USA rankings, 2018-2019. But these considerations about causes can only ever be speculative, and should be treated as such.

Three factors appear to have heavily influenced the rankings of pharma companies in the USA in 2019, from the perspective of the country’s patient groups:

1. Issues of drug pricing appear to have impacted negatively on the 2019 corporate reputation in the US of ... ● AbbVie ● Astellas ● Biogen ● Eli Lilly ● GSK ● Merck KGaA/EMD Serono ● Novo Nordisk ● Pfizer ● Sanofi and ● Teva.

2. Progress in the field of oncology appears to have impacted positively on the 2019 corporate reputation in the US of some manufacturers of cancer treatments. Nearly half of 2019’s respondent US patient groups familiar with ● Amgen specialised in cancer. The equivalent figures for other producers of cancer treatments were: ● Novartis, 45%; ● Roche/Genentech, 43%; ● Bristol Myers Squibb, 40%; ● Merck & Co, 40%; and ● Pfizer, 34%. All of these six companies recorded progress in their oncology treatments during 2019, and all posted generally higher scores for corporate reputation in 2019 among respondent US cancer patient groups (familiar with them), compared with their scores from respondent US patient groups in other therapy areas (also familiar with them).

3. Early announcements about (or early interventions in the area of) Covid-19 seem to have been a force driving up some companies’ overall rankings for corporate reputation among US patient groups responding during the last two months of the 2019 survey (January to February 2020). The following companies announced active engagements in tackling the viral outbreak early on (and received widespread US media coverage for doing so):

Janssen. US patient groups responding to the previous-year’s ‘Corporate-Reputation’ survey of 2018 had marked Janssen down for corporate reputation following a number of lawsuits faced by the company. Although problems for the company continued into 2019, Janssen significantly improved its overall ‘Corporate-Reputation’ rankings in the USA in 2019. A possible reason is that Janssen’s parent, Johnson & Johnson, was among the first companies to announce the development of a coronavirus vaccine in January 2020 (and was publicly praised by President Trump).
Novartis. As early as January 2020, Novartis CEO, Vas Narasimhan, discussed efforts to find a vaccine for coronavirus. The company’s corporate reputation among US patient groups may probably have benefited as a consequence.
Gilead. Since January 2020, Gilead has been publicising its early response to the health emergency, in the form of a manufacturing scale up of its anti-viral medication, remdesivir, as a potential treatment for Covid-19. This publicity may have had some impact on the opinions that US patient groups responding to the survey held about Gilead.
Roche/Genentech. An article published in Nature, 19th February 2020, mentioned Roche Diagnostics as a lead company developing a Covid-19 test. This positive reference may have had some impact on the opinions about Roche/Genentech held by US patient groups responding during the last weeks of the survey.

A takeaway message:

Pharmaceutical-company attitudes to Covid-19 will most likely dictate the way that these companies are perceived by patients and patient groups worldwide in 2020 (and undoubtedly beyond 2020). Companies will be assessed, not just for their ability to produce diagnostics, treatments, and vaccines, but for their generosity in ensuring that populations can access their technologies. Just as important, companies will be judged on how they conduct their relationships with their patient-group partners, in what are exceptional times for charities that have already suffered financial hardship because of the Covid-19 crisis.

To enable peer-to-peer comparisons, PatientView recalculates overall rankings for the 12 indicators of corporate reputation for just the 14 largest, multinational, multi-therapy pharma companies. These ‘big-pharma’ results provide a different perspective on how the largest pharmaceutical companies fare for corporate reputation. Takeda/Shire was added to the ‘big pharma’ listing for the first time in 2019. This analysis finds ...

Chart 6: The rankings of 14 ‘big-pharma’ companies at corporate reputation (among US patient groups familiar with the companies), 2019 v. 2018—ordered highest to lowest

Roche/Genentech ranked overall 1st in 2019 among the 14 major peers for corporate reputation in the USA, as judged by US patient groups familiar with the company (Roche’s 2018 ‘big-pharma’ ranking among US patient groups familiar with it was 2nd).
Janssen ranked overall 2nd in 2019 among the big 14 for corporate reputation in the USA, as judged by US patient groups familiar with the company (Janssen’s equivalent 2018 ‘big-pharma’ ranking was 6th).

Novartis and Pfizer ranked joint 3rd in 2019 among the big 14 for corporate reputation in the USA, as judged by US patient groups familiar with each company (Novartis’ 2018 equivalent ‘big-pharma’ ranking was also 3rd; Pfizer’s was 1st).

PROFILE OF 2019’s RESPONDENT US PATIENT GROUPS

Geographic remit of 2019’s respondent US patient groups

Key therapy areas of 2019’s respondent US patient groups

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~END OF PRESS RELEASE~