Investing for Success: Finding the Right Launch Balance

September 2021

Challenge assumptions and reset expectations when it comes to pre-launch SG&A investment to increase the odds of commercial success.

Companies decide how much to spend for launch based on many factors, including their expectations for the product and where it fits in the overall corporate strategy. It is common, though, for companies to wait to increase their spending until the year before launch. This is especially true for emerging companies that tend to be resource-constrained and risk-averse until they are certain that launch is imminent. The problem with this wait-and-see approach is that many clinical-stage companies find themselves either underfunding launches and underperforming in the market, or overfunding launches too late in the launch period in an attempt to catch up, thus incurring costs that do not add incremental value to commercial success.

Investing for Success: Finding the Right Launch Balance (