COVID-19 Vaccine Revenues and Profits
Check this out. What you will see are some early predictions in terms of how much revenue and profit flow will be generated by a COVID-19 vaccine. $20 Billion in revenue in 2021? $100 Million revenue overall? $40 Billion profit? How much will come from developed countries? How much from developing? Which companies will enjoy what share?
More generally, there are a couple of really fundamental questions to be answered here. First, what will the business model be? For example, how does a company go about setting its profit margin here? Too low and the company misses a major profit opportunity. Too high and the company looks like a greedy scalper.
Second, what does the marketing effort look like? Here, I believe that there is a significant opportunity for all of the manufacturers in the game (estimated at 6) to join forces to sell the concept of vaccination to consumers. There will be a lot of concerns about vaccines developed at “warp speed” that will need to be overcome, and it would be good to have every company’s shoulder pressed against this wheel, especially if there are booster shots involved.
And how about specific brand? Marketing giants like Johnson and Johnson will likely be pitted against newbies like Moderna. What do the different pitches sound like, and how does that all work out?
Oh! And how does the marketing of vaccines depend upon what treatments are also available?
Bottom Line. Hopefully we will get to watch all of this unfold sooner rather than later. It should be fascinating, and hopefully a great relief to the world at large!