Contents:

13 EXECUTIVE SUMMARY 13 ADAPTING SPEAKER PROGRAMS TO NEW REGULATION THROUGH INNOVATION 17 Study Methodology 19 Study Definitions 21 Profiled Companies 22 Five Key Findings and Recommendations 29 SPEAKER PROGRAMS MANAGEMENT 31 Speaker Programs Structure 39 Recruiting, Selecting, and Contracting Speakers 46 Speaker Training 54 Monitoring and Communicating with Speakers 60 Speaker Bureau Management Systems 71 ENSURING EFFECTIVE SPEAKER PROGRAMS 74 Choosing the Types of Speaker Events and the Best Times to Maximize Program Value 81 Driving Speaker Program Attendance 99 Gathering and Incorporating Audience Feedback 101 Tracking and Improving Speaker Programs ROI 106 Speaker Programs Costs 123 Communicating the Value of Speaker Programs to Outside Agencies 127 THE FUTURE OF SPEAKER PROGRAMS 132 Prevalence of New Media 147 Managing Speaker Programs in the Current Compliance Environment 154 Effect of State Legislation on Speaker Programs 159 Compensating Speakers in an Increasingly Strict Environment 167 SPEAKER PROGRAMS RESOURCE ALLOCATION AND OUTSOURCING STRATEGY 170 Staffing Levels for Speaker Programs Departments 180 Budget Benchmarks for Speaker Programs Departments 202 Outsourcing Speaker Programs Activities 216 APPENDIX A

Summary:

METRICS OVERVIEW CHAPTER 1: SPEAKER PROGRAMS MANAGEMENT Structure and Reporting Relationships - Percentage breakdowns of speaker programs structure centralized at the corporate level, business unit or therapeutic area - Reporting relationships and company interactions for speaker programs Recruiting, Selecting and Contracting Speakers - Ranking of recruitment tool effectiveness on a scale of 1 to 10. Tools measured: -- Sales people (or MSLs) face-to-face invitation -- Invitations via email, telephone and fax - Speaker program challenges on a scale of 1 to 10. Challenges include: -- regulations -- physician too busy -- coordinating attendees' schedules - Process for incorporating a physician into the speaker bureau Speaker Training - Average hours of new speaker training per company - New speaker training per pharmaceutical company, medical device company - Compensation methods for speaker training - flat rate, by the hour, or do not compensate - by company type - Percentage of pharmaceutical companies with annual compensation caps for speakers, by company type Speaker Bureau Management Systems -- Percentage of pharmaceutical companies with annual compensation caps for speakers by company type -- Average annual speaker compensation caps (in US dollars) by company type -- Breakdown of compensation caps by company type -- Breakdown of aggregate compensation caps by company type -- Applicability of compensation caps at companies without companywide limits CHAPTER 2: ENSURING EFFECTIVE SPEAKER PROGRAMS - Rating the challenges facing pharmaceutical speaker programs (e.g., cost, regulations, coordinating schedules, training) - A separate graphic shows challenges, as they are ranked by medical device companies. Choosing the Types of Speaker Events and the Best Times to Maximize Program Value - Stage in a brand's lifecycle when speaker programs begin (by percentage) - Stage in a brand's lifecycle when speaker programs are most effective (by percentage) - Effectiveness of speaker programs, by type of program - Typical length of each type of speaker program in hours - Best time [of day] to conduct each type of speaker program Driving Speaker Program Attendance - Rating the best drivers of attendance, e.g. face-to-face, email/fax invitation, phone - Average attendance levels for: -- different speaker program types: live programs, interactive and one-way webcasts, teleconferences -- different company types: pharma and medical device -- different areas: urban, suburban, rural Speaker Program Costs - The average overall costs for four types of speaker events and average per attendee cost, including: -- Average cost per live (interactive or one-on-one webcasts, teleconferences, etc.) program -- Average cost per teleconference by setting -- Average cost for urban (suburban, rural) speaker programs by event type -- Average per attendee cost for live speaker (webcasts, teleconference) -- programs in urban (suburban, rural) areas - for drug companies as well as medical device companies CHAPTER 3: THE FUTURE OF SPEAKER PROGRAMS - Change in speaker program effectiveness over the past 3 to 5 years (less effective, effective, or more effective) Prevalence of New Media - Average percentage of pharmaceutical companies conducting the following types of speaker programs: -- Live -- Webcasts - one-way and interactive -- Teleconference -- Metrics are also broken down by company type. - Effectiveness of speaker programs by type (on a scale of 1 to 10) - States that have proposed pharmaceutical marketing legislation in the past 3 to 5 years - States that have passed legislation affecting pharmaceutical marketing Speaker Compensation The following metrics broke compensation data by company type: small, mid-size, large, biotech, pharma (average), medical device. - Compensation methods - flat fee, hourly rate, or a combination of both - Compensation methods, by percentage, for pharma average and medical devices - Average total compensation for live speaker programs - Total compensation ranges - maximum and minimum amounts - for live speaker programs - Average total compensation for virtual speaker programs - Total compensation range - maximum and minimum amounts - for virtual speaker programs - Average number of speaker programs conducted annually, by company type - Average number of speakers in the speaker bureau, by company type CHAPTER 4: SPEAKER PROGRAMS RESOURCE ALLOCATION AND OUTSOURCING STRATEGY Staffing Levels for Speaker Programs Departments: - Speaker Program events per FTE by team size and by company type - Speaker program staffing within business units (in FTEs) - Speaker program staffing (in FTEs) - by company type and size (large, mid-size, small, medical device, biotech) Budget Benchmarks for Speaker Programs Departments - Average speaker programs by company type - Speaker program budgets for different company sizes and types: large, mid-size, small, medical device, biotech) - Average budget allocation for speaker programs by company type and company size - Percentage of pharmaceutical companies' (including medical device, biotech) speaker program budgets, dedicated to specific regions - Brand-level speaker program spending by phase for brands of different sales ranges: -- Brands with peak sales of $0 - $500 million) -- Brands with peak sales of $500 million - $1 billion -- Brands with peak sales of more than $5 billion Outsourcing Speaker Program Activities - Pharma companies' outsourcing budget allocation for speaker programs - Average outsourcing budget for speaker programs by company type and size (aggregate and by company type)