Hello Hospital Leadership,
Happy Spring and I hope all is well for you and your teams. I am emailing you today with some exciting news in the partnership space … Before I share, I do want to remind all team members that this information and email is proprietary to CareVet and for CareVet hospital team member eyes only. Sharing outside of CareVet/with vendors is strictly prohibited.
Now for the announcement…
We are excited to announce that we have agreed on brand new product-level incentives with Elanco for the new Credelio Quattro (All-in-One Combo Parasiticide), TruCan and TruFel Vaccines, and Claro (Otitis Externa) through the remainder of 2025. To that end, we encourage you to partner with Elanco on one or more of these brands if it aligns with your hospital’s direction medically.
For some background on Elanco, they are a global organization specializing in animal health products and services – specifically in Parasiticides, Vaccines, and Pharmaceuticals. The company was established in 1954 with Eli Lilly and Company and spun off in 2019 as a fully independent company. Elanco’s focus is on developing and delivering solutions to prevent and treat diseases in animals and pets.
What is new in this agreement?:
– The brand new all-in-one parasiticide Credelio Quattro has been discounted to best position itself from a cost standpoint with its competitors. New discounts will be backdated to the launch of the product and applied to your hospital’s financials.
– TruCan and Trufel Vaccine upfront pricing has been discounted significantly to best position Elanco with its competitors on price. This is ahead of some exciting new innovations.
– Claro upfront pricing has been discounted to best position itself in the Otitis Externa/ear medication category.
– For the avoidance of doubt, Credelio Quattro discounts will be backdated and new Vaccine and Claro discounts will not be backdated.
– There is a new backend rebate opportunity in place for hospitals who carry/prescribe Canine Parvovirus Monoclonal Antibody (CPMA), Zenrelia, and Credelio Quattro.
– There are new growth rebate opportunities for overall Elanco growth year-over-year measured on a quarterly basis.
Okay, so costs are going down and new incentives are in place… How does this affect pricing to pet parents? If you are setting pricing to customers for these products (Credelio Quattro, Vaccines, Claro) based on a markup on cost (i.e. 100% markup on cost), please revisit your pricing, as these product costs were just adjusted down and we don’t want to immediately lose our margin gain. If you use markup pricing, we ask that you increase your markup percentage to account for the new/lower cost or shift away from markup pricing for these products altogether. Please reference your pricing guide on Fetch, consult with your team/field team representative, or reach out to the Pricing Team (pricing@carevethealth.com) or Procurement Team (procurement@carevethealth.com) if questions about how to handle.
What incentives are out there for clients? Greenline instant client rebates are available on Elanco products and they are running a special on Credelio Quattro for up to $75 off through May 31st. Details are attached. We encourage you to partner with Greenline on Elanco products today. Reach out to procurement@carevethealth.com if questions on how and we can connect you. You’ll need a voucher from your Elanco rep to get started.
What other incentives are out there for hospitals? Elanco is running the attached Derby Days promotion through May 31st for hospitals who carry Credelio Quattro, Zenrelia, and the TruCan CIV vaccine. The ultimate prize is a Derby Party Hat Bar Experience!
When will you hear from Elanco? Elanco’s field team is aware of the new agreement and will likely be reaching out in the coming weeks (if not already).
Am I required to partner with Elanco and/or carry these products? Absolutely not. The choice of the products you carry and who you partner with is entirely up to the local medical leadership team. That said, we do ask that you hear Elanco out on how their products can benefit your clients/pets and your hospital and give them the honest opportunity to partner with you.
Again, we are super excited for the rest of 2025 with Elanco and looking forward to partnering for many years to come.
Please let us know if any questions or if you need anything at all.
Thank you,
Brett Ortwerth