Segmentation story: What is Decile?

Segmentation story: What is Decile?

During my MBA studies in 2012, I encountered the concept of segmentation, which involves dividing a target market into groups with similar needs and behaviors. However, it wasn’t until 2016 that I delved into the world of “deciles” in the context of Healthcare Professionals (HCPs).

𝗪𝗵𝗮𝘁 𝗔𝗿𝗲 𝗗𝗲𝗰𝗶𝗹𝗲𝘀?

Deciles represent ten equal groups within the HCP universe, determined by patient distribution (or TRx). Here’s how they work:

𝐃𝐞𝐜𝐢𝐥𝐞 10:: This group comprises HCPs with the highest individual patient count but the fewest in number. For instance, Decile 10 (D10) might include 10 out of 2,000 HCPs, each serving 5,000 out of 50,000 patients.

𝐃𝐞𝐜𝐢𝐥𝐞 1: In contrast, Decile 1 (D1) contains the largest number of HCPs, but each serves fewer patients. For example, D1 may consist of 1,400 out of 2,000 HCPs, with 5,000 out of 50,000 patients.

𝐃𝐞𝐜𝐢𝐥𝐞𝐬 𝐛𝐚𝐬𝐞𝐝 𝐨𝐧 𝐭𝐰𝐨 𝐨𝐫 𝐦𝐨𝐫𝐞 𝐩𝐚𝐫𝐚𝐦𝐞𝐭𝐞𝐫𝐬

Decile calculations can consider two primary parameters: the weight assigned to patients from analog product and the weight assigned to patients from the market. For instance:

Opdivo patients receive 70% weight, while NSCLC market patients receive 30% weight.

Weightage decisions are typically based on multiple simulations.

𝐎𝐩𝐭𝐢𝐦𝐢𝐳𝐢𝐧𝐠 𝐖𝐞𝐢𝐠𝐡𝐭𝐬 𝐛𝐞𝐭𝐰𝐞𝐞𝐧 𝐭𝐡𝐞 𝐭𝐰𝐨 𝐩𝐚𝐫𝐚𝐦𝐞𝐭𝐞𝐫𝐬

Exploring different weight scenarios (e.g., 90% Opdivo & 10% market to 40% Opdivo & 60% market) helps assess their impact on HCP deciles. Notably, a high Opdivo prescriber may shift from Decile 9 to Decile 5 due to changes in Opdivo weight (from 90% to 40%). Ultimately, the client or subject matter expert determines the optimal weight for Decile calculations based on impact on couple of deciles of HCPs due to the change in weights.

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