Industry spends more on R&D than on marketing
Amount of money industry can spend on marketing is capped at 4 per
cent |
The supposition that the pharmaceutical industry spends more on marketing than it does on research and development is not true, according to Andrew Curl, deputy director general at the Association of the British Pharmaceutical Industry.
Mr Curl told journalists at a media lunch in London last week that the
balance of the pharmaceutical industry’s activity is in R&D,
rather than promotion. “Only 8,200 people are engaged in the dissemination
of information to medical practitioners, whereas in R&D, formulation
and manufacturing the figure is in excess of 50,000 people,” he
said. He added that the amount the industry can spend on promotion and
marketing is capped at 4 per cent by the Prescription Pricing Regulation
Scheme.
Ben Hayes, director of public affairs at the ABPI, said that the latest
available figures (2002) show that the industry spends around £750m
on sales promotion and about £3.3bn on R&D.
The lack of innovation from the UK pharmaceutical industry over the past
few years was also a topic of discussion. Richard Barker, director general
of the ABPI, said that he believes there has been some innovation, for
example, in the area of HIV treatment. However, he commented: “I
would be very disappointed if we don’t see an upturn in the next
five years.”
On the subject of the Health Select Committee’s report
into the influence of the pharmaceutical industry (PJ, 30 April, p514) he said
that the ABPI does not agree with some of the committee’s recommendations,
which it believes may make access to new products more difficult, for
example through limitations on prescribing. “Hopefully the incoming
Government will recognise that the committee was advised by many people
who have been lifetime critics of the industry,” he said. |
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