15
Lifecycle Management Through the Rx-to-OTC Switch
in larger categories, whereas the challenges are
greater in smaller OTC categories.
Although COVID-19 drove increases in
some OTC categories (hand sanitizers, sleep
aids) and decreases in others (lice treatments,
motion sickness treatments), the relative size of
OTC categories has been pretty consistent in
recent years, with total US retail sales of $36.5
billion in 2020.6 The size of OTC categories,
relative to Rx categories, is worth noting, with
the majority of these categories (not just brands)
under $1 billion. Table 2-2 provides a list of
OTC categories and their most recent annual
retail sales in the US.
Certain OTC categories are growing and
present opportunities for multiple successful
Rx-to-OTC switches. For example, global
climate change is increasing pollen production.
As a result, people who have never suffered
from allergies are now succumbing to symp-
toms, and allergy sufferers are finding that their
conditions are worsening. According to a study
presented by at the Annual Scientific Meeting of
the American College of Allergy, Asthma, and
Immunology in 2012, pollen counts are expected
to more than double by 2040.7
While increased pollen counts may not be
a positive trend for allergy sufferers, the Rx-to-
OTC switch of non-sedating antihistamines,
and more recently, intranasal steroids (INS),
has allowed allergy sufferers to prevent and
treat their allergy symptoms without a visit to
the doctor. With access to safe and effective
OTC medicines, and with allergy medication
patents expiring, managed care organizations
have also reduced insurance coverage of allergy
medications. Table 2-3 provides a list of allergy
brands that have launched in the US as a result
of Rx-to-OTC switch and their most recent
annual retail sales in the US. Given the size of
the allergy category, multiple Rx-to-OTC allergy
switch brands have been able to achieve commer-
cial success.
Depending on the size of the OTC category,
and whether there is significant Rx volume, newly
switched products will source their volume from:
Rx volume “switching” OTC
“Stealing” from the existing OTC category
New users entering the market
More usage occasions (i.e., getting treaters
to treat more often or for more days)
However, as Rx categories become generic
and are less of a cost burden to managed care
organizations, it may be more difficult to switch
Table 2-1. Brands Launched via Rx-to-OTC
Switch Since 2000 and Most Recent Annual US
Retail Sales
Brand Year of First
Switch
Annual US Retail
Sales (in Millions)
Abreva 2000 $133.3
Mucinex 2002 $899.7
Claritin 2002 $530.3
Prilosec 2003 $209.6
Plan B 2006 $274.0
MiraLax 2006 $237.8
Zaditor 2006 $35.8
Alaway 2006 $17.4
Alli 2007 $25.2
Zyrtec 2007 $510.0
Prevacid 2009 $17.4
Zegerid 2009 $17.7
Allegra 2011 $309.3
Oxytrol 2013 $1.7
Nasacort 2013 $66.7
Nexium 2014 $228.9
Flonase 2014 $227.4
Rhinocort 2015 $7.4
Differin 2016 $49.8
Xyzal 2017 $91.4
Lumify 2017 $87.4
Pataday 2020 $26.4
Voltaren 2020 $32.2
Sklice 2020 N/A
Notes: Abreva and Lumify were direct-to-OTC NDAs
reported sales for Pataday, Voltaren, and Sklice are for
fewer than 52 weeks.
Source: Symphony IRI Latest 52 Week MULO sales for
the period ending 12 July 2020.
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