Veeva Systems CEO talks assissting life sciences industry in the race to find a COVID-19 cure

This video provides an in-depth exploration of Veeva Systems' critical role in supporting the life sciences industry, particularly during the initial phase of the COVID-19 pandemic. Featuring an interview with Veeva CEO Peter Gassner, the discussion highlights how the cloud-based software company empowers pharmaceutical and biotech firms to manage clinical trial data, ensure regulatory compliance, and enhance commercial operations. The context of the interview is a volatile market, with the host, Jim Cramer, emphasizing Veeva's perceived indispensability despite stock fluctuations.

Gassner elaborates on how Veeva's customers were at the forefront of addressing COVID-19, working on new tests, treatments, and vaccinations. He explains that the pandemic significantly disrupted traditional in-person interactions essential for both commercial activities (sales reps engaging healthcare providers) and clinical trials (researchers conducting studies). In response, Veeva rapidly enabled virtual engagement through its "Veeva Engage" product, which facilitates compliant remote connections between pharmaceutical sales representatives and doctors, as well as researchers. Notably, this Zoom-based solution was offered free to the industry for a period, leading to a tenfold increase in usage within just two weeks, underscoring its immediate and vital utility.

The conversation also delves into Veeva's impressive business growth, having achieved a $1 billion revenue milestone ahead of schedule and setting an ambitious new target of $3 billion by 2025. Gassner clarifies that Veeva's product portfolio has expanded significantly beyond its initial "Vault" offering, now encompassing a broad suite of solutions. He characterizes the life sciences industry as largely counter-cyclical, maintaining consistent demand for medicines even during economic downturns, although temporary disruptions to new clinical trials can occur. Gassner stresses that challenging times often serve as a catalyst for innovation, driving companies to become more productive and adaptable.

Furthermore, Gassner provides concrete examples of Veeva's impact, citing its work with major pharmaceutical companies like Bristol-Myers Squibb. This includes assisting with large-scale mergers (e.g., Celgene integration), streamlining quality and manufacturing processes, supporting clinical trials, and optimizing interactions with healthcare professionals. He also introduces a significant new offering, the "Veeva Data Cloud," which focuses on leveraging data science and big data related to patient information. This initiative is crucial for advancing precision medicine by enabling companies to better understand patient populations and deliver targeted therapies, showcasing Veeva's commitment to cutting-edge data solutions.

Key Takeaways:

• Veeva's Foundational Role in Life Sciences: Veeva Systems provides essential cloud-based software solutions that enable pharmaceutical and life sciences companies to effectively manage clinical trial data, ensure adherence to complex regulations, and optimize their commercial operations. This comprehensive support positions Veeva as a critical partner across the drug development and commercialization lifecycle.
• Adaptation to Virtual Engagement during Crisis: The COVID-19 pandemic necessitated a rapid shift from in-person to virtual interactions for both pharmaceutical sales and clinical research. Veeva played a pivotal role in facilitating this transition, demonstrating the immediate need for robust, compliant virtual engagement platforms in the industry.
• Veeva Engage: A Critical Virtual Solution: Veeva Engage, a product built on Zoom, was offered free to the industry during the pandemic to enable compliant remote connections between pharmaceutical sales reps and doctors. Its rapid adoption, with a 10x increase in usage, highlights its effectiveness and the urgent demand for such tools.
• Resilience and Counter-Cyclical Nature of Life Sciences: The life sciences industry is characterized as largely counter-cyclical, meaning the demand for medicines generally remains stable even during economic downturns. This inherent stability makes the sector resilient, though temporary disruptions, such as the postponement of new clinical trials, can occur.
• Innovation as a Response to Adversity: Challenging periods, like the pandemic, act as powerful catalysts for innovation within the life sciences sector. Companies are driven by necessity to find new, more efficient, and productive ways to operate, leading to technological advancements and process improvements.
• Significant Growth and Ambitious Future Goals: Veeva Systems has demonstrated remarkable growth, achieving $1 billion in revenue ahead of its 2020 target and setting an ambitious new goal of $3 billion by 2025. This trajectory underscores its strong market position, expanding influence, and confidence in continued growth.
• Diversified Product Portfolio Beyond Veeva Vault: While Veeva Vault was a foundational product, Veeva's offerings have significantly broadened. The company now provides a comprehensive suite of solutions that address various aspects of pharmaceutical operations, from R&D and quality to commercial and patient data management.
• Enterprise-Level Support for Major Pharma: Veeva provides critical support for complex, large-scale initiatives for major pharmaceutical clients, such as assisting Bristol-Myers Squibb with the integration of a significant merger (Celgene). This demonstrates its capability to handle intricate enterprise requirements and drive operational efficiency.
• End-to-End Solutions Across the Pharma Value Chain: Veeva's services span the entire pharmaceutical value chain, including quality and manufacturing, clinical trials, and commercial interactions with healthcare providers. This integrated approach helps clients streamline operations from drug development through market delivery.
• Veeva Data Cloud for Precision Medicine: The introduction of Veeva Data Cloud signifies a strategic move into advanced data science and big data analytics focused on patient information. This product is crucial for the advancement of precision medicine, enabling pharmaceutical companies to better understand patient populations and develop more targeted and effective therapies.
• Importance of Compliant Remote Interactions: A core tenet of Veeva's offerings, particularly during the pandemic, is ensuring that remote interactions between pharmaceutical sales representatives and healthcare professionals are conducted in a fully compliant manner, adhering to strict industry regulations.

Tools/Resources Mentioned:

• Veeva CRM
• Veeva Engage (based on Zoom)
• Veeva Vault
• Veeva Data Cloud

Key Concepts:

• Cloud-based software: Software delivered over the internet, accessible from any device.
• Life sciences industry: Encompasses pharmaceutical, biotech, medical device, and diagnostics companies.
• Clinical trial data: Information collected during human clinical trials to assess the safety and efficacy of new drugs or treatments.
• Regulatory compliance: Adherence to rules and regulations set by bodies like the FDA and EMA, crucial in the pharmaceutical sector.
• Commercial operations: Activities related to marketing, sales, and distribution of pharmaceutical products.
• Virtual engagement: Conducting business interactions and activities remotely using digital platforms.
• Counter-cyclical industry: An industry whose performance is inversely related to the overall economic cycle.
• Precision medicine: An approach to disease treatment and prevention that takes into account individual variability in genes, environment, and lifestyle for each person.
• Data science and big data: Methodologies and technologies for analyzing large, complex datasets to extract insights, particularly relevant for patient data in healthcare.

Examples/Case Studies:

• Bristol-Myers Squibb (BMS): Veeva assisted BMS with its merger with Celgene, facilitating an expeditious integration. Veeva also supports BMS across various functions, including quality and manufacturing, clinical trials, and interactions with doctors' offices.