Competing in the U.S. Companion Animal Veterinary Market · Eric M. Alsup, DVM Country Manager 1....

Competing in the U.S. Companion Animal Veterinary Market

Eric M. Alsup, DVMCountry Manager

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The Business Environment

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Manufacturer Consolidation

Manufacturer Consolidation

Distributor Consolidation – and Innovation

Veterinary Practice Consolidation

Veterinary Practice Consolidation

Vetoquinol USA . . . A brief history

l Vetoquinol typically enters new markets through acquisition or joint venture.à Vetoquinol set its footprint in the U.S. through the acquisition of:

» The Pet Products business of IGI, Inc. in 2002, and» Vet Solutions, L.P. in 2006» We expanded into the Large Animal segment through the acquisition of Bioniche Animal Health, Inc.

in 2014

à Our Companion Animal Veterinary business, based on the acquisition of IGI Pet Products and Vet Solutions, is less pharmaceutical-based than other Vetoquinol affiliates.

à Our growth strategy for the U.S. is based on bringing more registered products to U.S. veterinarians.

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Vetoquinol USA – Elements of Competing in the CA Sector

• Develop a US-Based drug-development team• Bring Vetoquinol global Essentials to the US• Develop our People – Great Place to Work• Create value for Veterinarians• Make sure our products are available where the Pet Parent

is looking for them• Improve business efficiency – Business Excellence Program• Take more control over demand-generation through

expanding sales and marketing teams

Accelerate registration in the USA

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US Drug Development

(Texas)

Global Drug Development

(France)

RegulatoryAgencies

ContractResearch /

ManufacturingOrganizations

› Develop our Vetoquinol products and brands in the USA

› Set up global developments

› Manage local portfolio

› Empower a local R&D hub with all deemed expertise

Operations doubled in size in the past 5 years in the USA

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Companion Animals Food-producing Animals

Number of vet reps

2012 2013 2014 2015 2016 2017

USA, already the 1st worldwide revenues market for the Vetoquinol Group

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80% Companion Animals

20% Food-producing Animals

> 15% of 2016 Group sales2-digit growth

150 USA staff > 2/3 in sales and marketing

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2013 2016

12%

30%

Increased penetration of our Essentials products in the USA

x2,5 in 3 years

Segmentation and targeting

Sales Excellence

Key Account Management

Customer relationship management

Principles of Business Excellence In Motion

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Increase business efficiency

Develop talents

Vetoquinol USA – Elements of Competing in the CA Sector

• Develop a US-Based drug-development team• Bring Vetoquinol global Essentials to the US• Develop our People – Great Place to Work• Create value for Veterinarians• Make sure our products are available where the Pet Parent

is looking for them• Improve business efficiency – Business Excellence Program• Take more control over demand-generation through

expanding sales and marketing teams

Adaptation

In the long history of humankind (and animal kind, too) those who learned to collaborate and improvise most effectively have prevailed. It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is most adaptable to change. - Charles Darwin