Pfizer, which in 2024 begins to lose its exclusive patent rights to its pioneering erectile dysfunction drug, will launch a generic version of Viagra in New Zealand under the name Avigra, as well as a chewable version of the drug in Mexico.
The decision to compete with its own product by introducing a new brand name for the identical pill is almost unheard of and will be closely watched as an experiment in branding and pricing strategy, expected to be observed by rival companies for clues on to how to compete when the products are released in the US and other large markets.
Anticipating an onslaught of cheap generic competition, in addition, Pfizer is launching the chewable Viagra Jet in Mexico, and has been given the go-ahead to sell the drug without a prescription in some UK locations, reports CBS News.
Avigra will sell for about half the price of “Viagra Classic”; more than other generics but at a large enough discount to tempt consumers who are sensitive to price, said a Pfizer official.
The length of Viagra’s patent period varies depending on the country in which the medicine is sold. New Zealand has a patent period of 20 years from the date a drug is first registered there – but does not have a patent extension provision covering delays from registration until the medicine is available for prescription.
Because New Zealand is one of the few countries without a patent extension provision it means most other countries still have many years of patent remaining on the drug.
By keeping Viagra near its true price it lowers the risk of illegal distribution of the drug to neighbouring countries like Australia, where the patent does not expire until 2013.
The Avigra/New Zealand experience will also function as a trial run for a much larger challenge at Pfizer, the patent loss on Lipitor, the company's $10bn cholesterol colossus, which goes generic in November.
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