Swifter Rx-to-OTC switches are hot topic at CHPA meeting

Drug Store News, Dec 16, 2002 by Michael Johnsen

Pharmacy may have a completely different look and feel in the next five years--incorporating some diagnostic services traditionally administered in the doctor's office and expanding upon what are today considered acceptable over-the-counter indications. And market forces will drive that transition, experts said last month, arguing that as the ballooning baby-boomer population contributes to escalating health care costs, self diagnosis and self care will take on increasingly important roles in deflating those costs.

"Marketing interests seem to push the OTC development process," Charles Ganley, director for the division of OTC drug products at the Food and Drug Administration, told attendees of the Consumer Healthcare Products Association's 2002 Research and Scientific Development Conference, held Nov. 7 to 8 in Bethesda, Md. Ganley discussed the FDA's view on expanding OTC access.

The increasing pressure to take costs out of the U.S. health care system may spark a renaissance in self care, Ganley noted, which could lead to a host of new OTC switch opportunities and expanded indications. "There is a strong possibility that there will be products in the U.S. market for chronic conditions in the next five years," Ganley said. This would signal a major shift in thinking at the FDA, where just a few years ago the idea of approving an OTC remedy to treat a chronic condition was anathema, stopping several switch candidates from coming to fruition. One example is the resistance high-cholesterol drug makers have encountered in recent years.

But with the recent appointment of FDA commissioner Mark McClellan, speculation that the Rx-to-OTC switch pace would soon quicken was a hot topic at the conference. "I was quite impressed [with McClellan]," CHPA president Linda Suydam commented during her opening remarks. "He is very agreeable and willing to listen to any suggestions we might have ... he is also very focused on consumer education and believes that the FDA has [an impactful] role about educating the consumer."

Market forces of a different sort may drive diagnostic services into drug stores, contended Dan Figus, executive director of sales at Johnson & Johnson Merck Consumer Pharmaceuticals, during a roundtable discussion focused on the OTC retail environment of the future. That is, a consolidating retail landscape and the consumer's penchant for shopping multiple channels are making it increasingly important for retailers to differentiate themselves from their competitors. "Pharmacy services are a big opportunity," Figus said, "offering testing and screening in areas like blood pressure, bone density and cholesterol." Anything that positions pharmacy as "making [the shopper's] life a little easier," he added.

Tim Still, vice president of sales and marketing for Cholestech, noted that many of those diagnostic products are already available to pharmacy practitioners. But in order for diagnostics to gain real traction at retail, these devices must provide fast results and deliver "accuracy comparable to [that of] hospital an d reference laboratories," Still said.

Pharmacy schools and forward-leaning drug chains already are preparing for the day drug stores become destinations for health screening services. "A lot of the pharmacy schools have point-of-care devices [for training]," Still said. And a lot of stores are building destination counseling centers within their pharmacies that provide ideal settings for diagnostic testing. "The need for testing is increasing" for a lot of reasons, Still suggested, including the rising cost of health care and an increased demand for immediate access to health care, instead of having to wait for lab test results.