AUTH/2494/3/12: Norgine v Galen — Trustsaver cost-savings campaign (No breach)

📅 2012 | 🖉 Dr Anzal Qurbain
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Key facts

Case numberAUTH/2494/3/12
PartiesNorgine Pharmaceuticals Ltd v Galen Limited
Complaint received23 March 2012
Case completed29 June 2012
Applicable Code year2011
MaterialsTrustsaver website (including “Map of Savings” and “Savings Calculator”), leavepiece (ref PMR-Sept-2011-0359), advertisements in Prescriber and Nurse Prescriber (refs PMR-Feb-2012-0076 and PMR-Feb-2012-0070)
Main allegationMisleading/exaggerated cost-savings claims based on unrealistic 100% switching and presentation of precise savings figures
Products mentionedMovicol (Norgine); Flotros, Laxido Orange, Calceos (Galen)
Key claims challengedRegional “potential one year saving” figures (eg, £140,524 example); calculator “average annual saving” (eg, £1,340.00 example); leavepiece “could potentially save per year: £270k”; ad headline “...to the NHS it could mean £45 million”
Panel decisionNo breach of Clauses 2, 7.2 and 9.1
AppealNo appeal
NotesInteractive “Map of Savings” was retired on 27 March 2012 (after the complaint was submitted) due to changing NHS structure

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Reviewed by Dr Anzal Qurbain (FFPM) — ABPI Final Signatory

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What happened

  • Norgine complained that Galen’s “Trustsaver” campaign (website, leavepiece and journal advertisements) made misleading/exaggerated cost-savings claims from switching from branded market leaders (including Movicol) to named Galen products.
  • Key concern: savings figures were calculated on an assumed 100% switch (and, Norgine argued, effectively “overnight”), with very precise figures and without scenario analyses.
  • Materials included: an interactive “Map of Savings” on the website (later retired on 27 March 2012), a “Savings Calculator”, a leavepiece claiming an average-sized PCO could potentially save £270k/year, and ads claiming NHS savings could mean £45 million.
  • Norgine argued the campaign amounted to a budget impact analysis/economic evaluation and should follow best-practice modelling (including realistic uptake scenarios and inclusion of implementation/resource costs).
  • Galen responded that the campaign was a straightforward like-for-like acquisition cost comparison (branded generic vs branded market leader), with assumptions and calculations stated and “potential” savings clearly framed.
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Outcome

  • No breach of the Code was ruled.
  • The Panel found the underlying assumptions were sufficiently clear and that the target audience would understand 100% switching as an aspirational goal to maximise savings.
  • The Panel did not consider the campaign failed to maintain high standards or brought discredit upon the industry.
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