Whats happening in Russia?
Russia seems to be the opposite of any area I have worked in before.
By on May 1, 2008Russia seems to be the opposite of any area I have worked in before.
In sharp contrast to the pharmaceutical industrys main markets, the Russian pharmaceutical market is exploding. While the North American, European and Japanese markets face sluggish, single-digit growth, according to analysis by PricewaterhouseCoopers, the Russian market has delivered seven consecutive years of strong economic growth.
Their Sales Force is increasing rather than decreasing which couldnt be more different to whats going on in the States right now, with AstraZeneca planning to reduce its workforce by 4.6 per cent and all the other big guns following suit.
The majority of Sales Reps are former doctors. This is where I think the biggest change will occur. Recruiting Sales Reps is a huge problem at the moment; they just dont have the supply. Some pharma companies have already began to employ more business people, as they are usually more flexible, which is arguably more important than ever in Russia, with the market changing as quickly as it is! However, once you have a full team the problem doesnt stop there- it is difficult to retain them. It is not uncommon for Sales Reps to work for big pharma for 6 months only to leave for double the money at a local Russian company!
Finally, there is the little issue of Reimbursement. I am happy that I am not the only one confused by this issue. It seems that even the government cant decide what they will and will not reimburse, and if you are lucky enough to get a product reimbursed chances are it will take a good couple of years to see the money anyway! One top pharma exec told me the government hasnt paid what it promised and thats left many pharma companies in trouble another said Pharma companies havent seen their money If any one can shed any light on this issue please get in touch!
I am looking forward to finding out more about Russia and I cant wait to go to Moscow in October!