Sales of obesity drugs have been on the decline

Sales of obesity treatment drugs in South Korea in first quarter decreased by ₩32 billion and 2% compared to last year

Sales of the No. 1 Saxenda, fell 25% on-year to ₩6.7 billion

Qsymia, the second-largest item in sales, has a turnover of ₩5.9 billion

The rise in the obesity treatment market, which had high sales, has slowed.

 

The effects of the new products of Saxenda and Qsymia has decreased.

 

According to IQVIA, a pharmaceutical research institute, the domestic obesity treatment drug market was ₩32 billion in the first quarter, down 2.4% from ₩32.8 billion a year earlier.

 

Although its sales in 3rd quarter of last year were at an all-time high of ₩38.5 billion, it fell for the second consecutive quarter.

 

This is similar to the amount of sales immediately after Belviq (Lorcaserin) was removed due to safety issues in the fourth quarter of 2019.

 

The reason why the obesity drug market is sluggish is mainly because of large items.

 

Sales of Saxenda (Liraglutide) by Novonodisk , which remained the No.

 

1 product in the market, have fallen significantly, and even Alvogen Korea's "Qsymia" (Phentermine/Topyramate), the No.

 

2 item, seems to have entered a period of stagnation.

 

Saxenda's first-quarter sales fell 25.2% year-on-year to ₩6.7 billion.

 

It fell from ₩9.7 billion in the third quarter of last year to ₩8.8 billion in the fourth quarter of last year and its quarterly sales fell sharply again.

 

It is down 43.7% from ₩19.9 billionin third quarter of 2019 when it set its own best record.

 

Saxenda is the world's first obesity treatment drug licensed as a Glucagon-Like Peptide 1 (GLP-1) similar.

 

The ingredients are the same as Victoza, which is prescribed in patients with type 2 diabetes, but differ only in dosage & indication.

 

Sales have increased significantly over the past two years due to the formation of a perception that it is relatively safe because it acts as the same mechanism as the body's GLP-1 to suppress appetite and induce weight loss.

 

Saxenda ranked No.

 

1 in sales of obesity drugs in Korea with sales of ₩5.6 billion in the fourth quarter of 2018.

 

Its sales in the first quarter of 2019 were ₩10.5 billion, and it set its own record of ₩1.1 billion in the third quarter of the same year.

 

Saxenda had a market share of 33.7%.

 

Although its sales volume is the largest among obesity drugs still on the market in Korea, its market share has decreased significantly.

 

As of the first quarter, Saxenda's market share narrowed to 21.0% and the share gap with the second-largest product (18.5%).

 

The domestic obesity treatment market ranked second in sales of obesity drugs in Korea at the same time as Qsymia was released in January last year with sales of ₩4.3 billion in the first quarter of last year.

 

Since then, sales have risen sharply due to ₩5.8 billion in the second quarter and ₩ 6.5 billion in the third quarter.

 

Qsymia's accumulated first-year sales amounted to ₩22.5 billion.

 

The domestic obesity treatment market enjoyed an all-time boom despite the negative effects of Covid-19 and the recovery and disposal of Belviq.

 

Qsymia's sales have also declined since its release.

 

Qsymia sold $5.9 billion in the first quarter.

 

It rose 37.2% year-on-year, but has stagnated since the fourth quarter of last year.

 

Qsymia is a combination of Phentermine and Topiramate, where Alvogen Korea secured domestic copyrights from Vivus in the U.S.

 

in 2017.

 

Alvogen Korea signed a joint sales contract with Chong Kun Dang at the end of 2019 and started full-scale sales marketing from early last year.

 

Through the sales experience of Furring and Furimin, it is diagnosed that Qsymia was able to enter the market quickly as the sales power of Alvogen Korea and Chong Kun Dang, which have worked in the domestic obesity treatment market for a long time, created synergy.

 

Although it is an oral drug, the fact that the dose of the psychotropic drug is relatively low and long-term prescription is possible is also considered a success factor.

 

Overall, sales performance of other products except Saxenda and Qsymia is sluggish.

 

Of the 110 products sold in the domestic market, Saxenda and Qsymia have a market share of nearly 40%.

 

More than 110 items are competing for the remaining 60% market.

 

In addition to Saxenda and Qsymia, Daewoong's Dietamin, Huons' Hutermin, and Alvogen Korea's Furing were only five products that exceeded ₩1 billion in sales in the first quarter.

 

Dietamin's first quarter sales were ₩2.1 billion, down 2.2% from a year earlier.

 

Until the fourth quarter of 2019, it was the second-highest-selling item after Saxenda, but its market influence declined sharply with the release of Qsymia.

 

The sales gap with Qsymia is more than double.

 

Sales of Hutermin and Furing fell 5.0% and 13.5% respectively compared to last year.