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`Dec 05, 2012 | Laura Joszt
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`With the patent cliff, growing research costs and increasing trial timelines,
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`Most Popular
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`there are plenty of risks associated with pharmaceutical drug research and
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`development. And yet, once a company has approval, the risks don’t stop.
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`
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`Although only a small percentage of experimental therapies actually get
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`approved, these drugs still face the risk of a failed drug launch. There have
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`been plenty of blockbuster drugs with solid hits, but there have also been the
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`Provenges.
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`
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`Now that the patent cliff has hit, many pharmaceutical companies have large
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`pipelines so they can build up franchises again. They would do well to learn
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`from previous missteps. FiercePharma listed its top 10 drug launch disasters.
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`The majority are pricey cancer drugs that payors balked at paying for.
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`
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`Here are the top five.
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`5. Horizant
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`Company: Xenoport
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`Condition/Disease: restless leg syndrome
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`Sales: $1.6 million in the third quarter of 2012
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`Unlike the rest of the top five, Horizant’s trouble didn’t stem from cost. Instead,
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`it was the partnership between GlaxoSmithKline and XenoPort. When sales
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`were much lower than expected the two companies turned on each other
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`before finally going their separate ways.
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`4. Benlysta
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`Company: Human Genome Sciences
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`Condition/Disease: lupus
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`Sales: $59 million in 2011
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`Price: $35,000 for a year of treatment
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`
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`One problem was that physicians were hesitant to prescribe the drug because
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`of the cost and the feat that they would be on the hook until reimbursement
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`came through.
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`10 Worst Drug Launches | MD Magazine
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`3. Zaltrap
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`Company: Sanofi
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`Condition/Disease: colorectal cancer
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`Sales: 7 million euros in the third quarter of 2012
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`Price: $9,600 a month
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`Sanofi had a second drug in the top 10, so it’s familiar with development risk.
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`The problem with Zaltrap was that it was quite expensive. Providers didn’t like
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`that there were less expensive alternatives that were just as good.
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`2. Provenge
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`Company: Dendreon
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`Condition/Disease: prostate cancer
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`Sales: $228 million in 2011
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`Price: $93,000 for the treatment
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`
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`While Provenge's sales weren't bad, they fell far short of Dendreon's forecast
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`of $350 million. Plus, Johnson & Johnson's Zytiga has become a popular
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`alternative. Although, Zytiga is approved for use after chemotherapy fails,
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`physicians have been prescribing it for off-label use in earlier stages of the
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`disease, causing J&J's drug to increase market share, while Provenge's
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`stagnated. Lastly, oncology drugs always have large price tags and physicians
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`were concerned about reimbursements.
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`1. Makena
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`Company: K-V Pharmaceuticals
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`Condition/Disease: preventing premature birth
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`Sales: $5.1 million in revenue for the final quarter of 2011
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`Price: $1,500 a dose
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`
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`Overall the cost for a full course of treatment is $30,000, yet a string of
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`compounding pharmacies were already making this therapy for a lot cheaper
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`— just $10 to $20 a dose.
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`To see the full list and more about the drugs, click here.
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