As a pharmaceutical and health-care company, STADA not only has an obligation to ensure the safety and quality of its products but, with its generics portfolio, it has also assumed a responsibility for providing society with access to affordable medical care and prevention. The Company thus makes a critical contribution to society: it allows people to protect their most important asset, their health.
At the same time, the Company helps to alleviate the cost pressures that burden health-care systems: Due to the relatively low research and development costs attributable to generics and biosimilars, they generally represent a low-cost alternative to the significantly more expensive original products and STADA passes this cost benefit on to its consumers and the health-care systems.
According to a study from the association Pro Generika e.V., in 2016 the use of generics was able to cover 77% of the pharmaceutical demand in public health insurance in Germany, for example, while their share of the actual costs for pharmaceuticals made up less than 10%. According to the latest figures, the association estimates that savings in the amount of around € 18 billion were realized through the substitution of generics in 2017.
With its branded products portfolio, which primarily includes non-prescription OTC products, STADA contributes not only to health care, but to preventative health care in particular, thus satisfying society’s growing need for private health-care management (see Annual Report 2017: Fundamental Information about the Group – Group’s Business Model).
Product Portfolio and Development
To meet to its social responsibility and to secure its competitive position over the long term, STADA’s product portfolio is continuously expanded and optimized.
STADA’s business model is focused on supplying the global health-care market with a near comprehensive portfolio, comprising products with patent-free active ingredients at competitive prices. In the Generics segment, STADA pursues the goal of launching a generic in the respective market directly following the expiration of the original product’s patent protection. In the Branded Products segment, which also generally includes active ingredients that are no longer protected, the focus is on additional benefits for patients.
STADA has implemented a Group-wide “idea-to-market” process for the execution of this concept. As part of this process, a detailed evaluation of all product ideas for the Generics and Branded Products segments is carried out from a technical, regulatory and commercial standpoint and according to a global market analysis. All applicable quality requirements regarding the safety and efficacy of a product are reviewed during the development cycle and particularly in the context of the approval process. At the end of a product life cycle, relevant products are actively removed from the portfolio as part of an organ process.
This entire process is accompanied by the Executive Board. This ensures that the current portfolio composition follows the Group strategy as a whole. The continuous optimization of the product portfolio is monitored via the corresponding number of new product launches and the number of ongoing approval processes (see Annual Report 2017: Fundamental Information about the Group – Group’s Business Model).
STADA as a Health Partner
STADA believes that it is not only responsible for providing society access to safe and affordable health care, but also further considers its role as a health-care partner. In this way, the Company also aims to increase society’s health competence and create awareness for dealing responsibly with one’s own health. In this context, STADA has for many years made a contribution to the education of society through the publication of high-quality health-care information.
Along with a health portal on its website (german language), a customer magazine (german language) and its presence in social networks, STADA initiated the “All the best” initiative in 2014. At the core of the initiative, which is supported by experts in medicine, science, sports and lifestyle, is an annual health report, which in 2017 dealt with the health education of young adults in Germany. In 2018, STADA also plans to conduct a survey that was previously only conducted in the German language in other countries in and outside of Europe for the first time.