Case Study: Consumer willingness to pay assessment for an HPV vaccine
Project Objective
The client had developed and launched a human papillomavirus (HPV) vaccine which was reimbursed for adolescents through national immunization programs for only some markets
As such, there was a large proportion of unvaccinated adults and adolescents globally, where uptake is dependent upon out-of-pocket (OOP) purchasing in private markets
As such, the client wanted to understand patient and physician perceptions of the HPV disease, reactions to the value proposition of Product X, and an understanding of purchase decisions, price references, consumer types, and willingness-to-pay to inform the global private market price and access strategy
Windrose Approach
We developed a consumer-facing value proposition for the vaccine, including key details around the disease and the value of the vaccine
Next, we identified potential analogues that consumers may refer to when considering the procurement of the private vaccine, including both vaccine and non-vaccine analogues such as consumer goods and other healthcare products
Following this, we conducted 78 qualitative interviews with consumers and healthcare professionals (HCPs) across South Africa, Turkey, Indonesia, India, Vietnam, Brazil, Mexico, Germany, and France to assess awareness, concern and understanding of HPV, as well as reactions to the value proposition, willingness to pay, and willingness to prescribe
The findings of the qualitative research were used to update the value proposition to better inform consumers of the disease and prevention options available to them
Next, we conducted 20-minute online surveys with >900 consumers (>90 per market) to identify attributes that influence willingness to pay, including consumer awareness, price, income, and strength of physician recommendations
Impact
We identified levels of consumer awareness and need for a HPV vaccine, including considerations based on different adult subpopulations, as well as value perceptions of the Product X
We identified key variables and product attributes that influenced consumer willingness-to-pay (WTP) in the self-pay market and determined strategies to optimize uptake and increase WTP for price sensitive consumers
Finally, we optimized the private market pricing strategy based on market-specific price-volume and price-revenue trade-off analyses
Figure 1: The output from consumer pricing surveys can demonstrate a products pricing elasticity; the willingness-to-pay for elastic products is sensitive to price increases
Figure 2: Variables that influence willingness to pay