Thursday, March 7, 2013

Birnbach Communications' Top Predictions for 2013, Part VI

Here are more trends to consider:

·         Biotech consolidation. The biotech sector is undergoing significant change from a variety of pressures that include the continued high cost of drug development and structural pressures from ObamaCare. We've seen a lot of consolidation among Big Pharma (which should be known as Bigger Pharma) and the rise of virtual biotechs, shifts in research funding from Big Pharma to VCs. Increased regulation and scrutiny will make drug development more complex (i.e., expensive) but the FDA is also focused on spurring development of more cost-effective alternatives. Either way, expect that the biotech is evolving, and will continue to evolve over the next two years.
·         Regulatory changes will continue to impact financial services firms. The challenge will be staying ahead of the changes. New banking and financial regulations will generate coverage, as does articles that examine the potential implications. But the daily work of how to meet those regulations rarely ever get the media's attention because the work involved is so technical. The lack of media coverage doesn't mean that how companies deal with regulatory change isn't a compelling trend.

Let us know if you agree or disagree. Check back tomorrow for additional predictions or click here for Part I, Part II, Part III, Part IV, or Part V.

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