Market Sizing VA Opportunity Accurately

Pharmaceutical manufacturers frequently misinterpret market opportunity within the distinct VA patient population by directly applying general health statistics while overlooking the VA’s unique demographic and service-related health profiles.

When estimating the size of the Department of Veterans Affairs (VA) market, pharmaceutical manufacturers frequently make a critical analytical mistake in estimating disease prevalence within the VA patient population. A simple extrapolation from general population health statistics is fundamentally misleading and can lead to significant inaccuracies in disease prevalence estimates. The VA patient cohort represents a distinct demographic with unique epidemiological profiles, healthcare utilization patterns, and morbidity. The VA patient population is not merely a subset of the general populace; it is a group shaped by military service and requires a nuanced methodology for accurate market size estimations.

The integrated nature of the VA healthcare system, where veterans receive primary and specialty care, acts as a filter - distinguishing its patient population from the general population influencing disease identification and creating specific utilization patterns. Its proactive and focused approach, coupled with a comprehensive EHR system, frequently leads to different diagnostic pathways, screening protocols, and treatment adherence rates. These efforts can also lead to a higher rate of diagnosis for certain conditions that might go undetected or undiagnosed in the general population. For example, the VA’s proactive screening for mental health conditions might reveal a higher diagnosed prevalence than would be captured in general population surveys where there are less systematic diagnostic efforts. Furthermore, the VA patient population is unrepresentative of the general U.S. populace in terms of age and gender. A large segment of the population utilizing VA services is male and tends to skew towards the upper age brackets, meaning there is an inflation in the prevalence of age-related chronic diseases (i.e., cardiovascular conditions, diabetes, various cancers, etc.) when compared to the broader population.  

The military service stressors and occupational hazards also increase the prevalence of service-disabled disease states that are greater than the general population. To apply general population statistics would demonstrably underestimate the true burden and therapeutic need within the veteran cohort. Veterans are disproportionately affected by musculoskeletal injuries, specific cancers, respiratory illnesses, neurological disorders, traumatic brain injuries (TBIs), and post-traumatic stress disorder (PTSD) than the general population, often leading to complex co-morbidities. Since general population statistics are typically derived from an array of sources (i.e., public health registries, insurance claims, data, etc.), they often lack granular insight into service-connected disabilities and tend to fall short in capturing the true burden of these interconnected disease states. As such, pharmaceutical manufacturers must understand the cumulative burden of managing multiple co-morbidities where conditions interact and amplify each other. This multi-morbidity demands a more sophisticated understanding of disease prevalence and an appreciation of the interconnectedness of conditions.

Veterans are a specific cohort with distinguishing factors. When evaluating the VA market, pharmaceutical manufacturers must consider market size as more than the number of people with a disease but the number of people who are diagnosed and treated within the healthcare system. Since prescribing is guided by the VA's formulary, procurement processes, and clinical guideline, market size estimates must account for these so that a product will fit into the preexisting structure and to understand potential market structure.

A nuanced understanding of why the VA values Veteran-specific studies and real-world evidence is paramount for developing accurate market size estimations distinct from general population health statistics. To do otherwise is not merely to miscalculate market opportunity; it is to fundamentally misunderstand the particular health landscape of those who have served.