Fingerpaint completes its biopharmaceutical offering by acquiring market access and marketing consultancy firm 1798 Consultants, the independent agency is expected to announce on Monday. The terms were not disclosed.
With this acquisition, La Jolla, California, 1798, becomes Fingerpaint’s fifth office and the second on the West Coast. All the directors will be retained and the consulting firm will be renamed 1798, a Fingerpaint company. Company founder Rosshawn Blunt will report to Ed Mitzen, founder of Fingerpaint.
“We have started to do more work on rare diseases, high science and gene therapy where the market access part is more weighted than in a traditional pharmaceutical launch, and it has become essential for us to add this as that customer service, ”says Mitzen. “1798 offers us a real offer of access to the internal market. We will seek to integrate services in both organizations.
Being part of the bigger agency, Blunt said, will allow 1798 to “bring a creative side to our clients,” and all that that entails: digital, media, advertising and branding. “This is where our side of the world is evolving. “
1798 generated $ 11 million in revenue last year, $ 1 million more than in 2018, while Fingerpaint’s revenue reached $ 51.4 million in 2019, according to Mitzen, from $ 44.9 million. dollars reported by MM&M the previous year. With $ 15 million in billings expected for 2020, 1798 is expected to bring Fingerpaint’s 2020 revenue to a combined range of $ 80 million to $ 85 million. Its 60 employees bring the agency’s total workforce to 350.
Helping clients, specialty brands in particular, navigate the intricacies of the reimbursement landscape to get the broadest possible coverage at the best possible price is what Blunt sees as the 1798 sweetspot.
“A lot of people here were from the pharmaceutical industry or payers, and we spent a lot of time working with high-cost specialty products,” said Blunt, herself a Princeton graduate and former of the Boston Consulting Group who went on to serve in a variety of market access roles for Amgen and Johnson & Johnson before returning to outside counsel.
“Increasingly in this environment, payers are a critical stakeholder,” she said. Whether from the perspective of the pharmaceutical community or the investment community, “we dive in and understand what a payer can do”.
Clients of 1798 include not only the pharmaceutical, medical devices and diagnostics industry but also private equity and venture capital as these types of entities seek to better understand what their investments may be worth in the market. . Mitzen declined to name the 1798 client list, but said it included large and mid-size biopharmaceutical companies across a range of virtually all therapeutic areas and geographies, with very little overlap with Fingerpaint’s existing list. .
Having 1798 in-house enables Fingerpaint to offer life science clients healthcare consulting services such as patient and provider access, analysis and analysis of health. financial impact, competitive intelligence, integration solutions, support material for account managers and training material, according to a press release.
Mitzen said Fingerpaint had been looking to add a market access feature for some time, but started seriously evaluating companies two or three years ago. The agency invited 1798 to seek advice on certain locations and were impressed with the quality of their work, their relationships with their clients and their ability to scale, “which is not something we commonly see”, he said, adding that there had been “a lot of meetings and dinners getting to know each other and what we both want out of that, and making sure culturally [the union] is a good fit.
Blunt, for his part, said the prospect of being able to develop end-to-end services without outsourcing “was very attractive.” She was also drawn to Fingerpaint’s independent status, its people-oriented culture and its commitment to philanthropic causes.
The acquisition is Fingerpaint’s first since its purchase of Olson Communications in 2014, and the Southern California boutique brings the number of FP offices to five, behind its Cedar Knolls, NJ location, which opened in 2018, with Conshohocken , PA; Saratoga, New York; and Phoenix, Arizona.
No further acquisitions are planned in the near term, Mitzen said. “All of our offices have experienced pretty good organic growth… We want to be very methodical in the businesses we add and not just buy things in order to grow or increase revenue. You might see us making more strategic moves, but it won’t be rapid fire like you see with others.
A new website and branding for 1798 was due to go live today. The firm’s name comes from the year the country’s first health insurance system was established. The predecessor of what is now known as the Department of Health and Human Services was created in July 1798 by an act of Congress.