Previewing Health and Wellness in a Post-Pharma World

Emerging partnerships show how we’ll stay healthy after drugmakers’ demise, says Lux Research.

BOSTON--(BUSINESS WIRE)-- The large drugmakers that have epitomized health for a century are in terminal decline, having adhered too long to a blockbuster-drug model that is now failing catastrophically. Today, firms like AstraZeneca and Pfizer face a $143 billion patent cliff and have run out of room for organic growth, forcing them to consolidate rapidly. But this hardly means the end of medicine – on the contrary, conventional medicine’s collapse is opening up new spaces for more personalized, humane, affordable, and effective healthcare. In its latest report, Lux Research explains how today’s partnerships show where tomorrow’s growth will come from: new entrants that offer better formats for delivering inexpensive, generic drugs; foods and personal care products that help manage chronic disease; and agricultural and industrial technologies that improve human and environmental health.

The report, titled “Growing Delivery Partnerships and Alliances,” draws from dozens of interviews with companies collaborating on future products in healthcare, consumer goods, and agriculture. It covers developed economies as well as emerging ones like China, where reformulation of traditional Chinese medicine (TCM) is a major focus of research and development. It compares individual players’ plans and over-arching trends to identify tactics that will determine which drugmakers survive the shakeout, and which new entrants will thrive.

“Expectations and approaches for partnerships vary wildly between companies and industries, but all agree that collaboration is critical to growth” said Chananit Sintuu, a Lux Research Associate and the report’s lead author. “Players that don’t educate themselves about what to expect from partnerships in each market risk locking themselves into unproductive agreements – or, worse, partnerships that fail entirely.” Among Lux Research’s key findings:

  • Pharmaceutical players are naïve about targeted delivery partnerships. Despite its history of developing new active ingredients through partnerships, the pharmaceutical industry has failed to capitalize on new delivery technologies. Drugmakers that survive consolidation will learn how consumer products companies use delivery technologies to improve convenience and usability – especially when developing products for chronic and lifestyle diseases like asthma, diabetes, and high cholesterol, where patient compliance is key to healthy outcomes.
  • Back-end loaded deal structures are more common in consumer markets. Clear project milestones are important to successful partnerships in consumer products and personal care, since the time to payback is shorter. Instead of pharma’s upfront payment model, partners pay royalties, since products get to market faster and see sales sooner.
  • Partnerships in emerging markets like China are both essential and challenging. Intellectual property laws, government regulations, and cultural values are just some of the challenges to tapping targeted delivery opportunities in China. Gaining insight from local presence, partnerships with leading universities, and hiring to leverage local know-how are important best practices for this and other emerging markets like the Middle East and India.

“Growing Delivery Partnerships and Alliances” is part of the Lux Targeted Delivery Intelligence service. Clients subscribing to this service receive ongoing research on market and technology trends, continuous technology scouting reports and proprietary data points in the weekly Lux Research Targeted Delivery Journal, and on-demand inquiry with Lux Research analysts.

About Lux Research

Lux Research provides strategic advice and on-going intelligence for emerging technologies. Leaders in business, finance and government rely on us to help them make informed strategic decisions. Through our unique research approach focused on primary research and our extensive global network, we deliver insight, connections and competitive advantage to our clients. Visit for more information.


Lux Research, Inc.
Carole Jacques, 617-502-5314
[email protected]

KEYWORDS:   United States  North America  Massachusetts

INDUSTRY KEYWORDS:   Health  Biotechnology  Pharmaceutical  Research  Science