Tarsus Pharmaceuticals, Inc. (NASDAQ:TARS) Q3 2023 Earnings Call Transcript

Operator: And we have time for one more question. One moment. Our next question comes from Patrick Dolezal of LifeSci Capital.

Q –UnidentifiedAnalyst: Hi, this is Corey on for Patrick. Thanks for taking our questions. In the call, you mentioned that more than 2,000 ECPs have prescribed XDEMVY so far. So it sounds like prescriber adoption has been quite broad as opposed to a really narrow focused group of prescribers leading most of the volume. We’d love to hear more about your strategy and how you’ve been prioritizing ECP targeting? And I guess also on that note, how are you thinking about marketing in both the near- and long-term? It seems like marketing has primarily been directed towards prescribers. Can you speak to the relevance of consumer directed marketing in Demodex blepharitis? And what might your strategy be in that regard?

Aziz Mottiwala: Hey, Cory, it’s Aziz. And yes, no, I think we’ve been really pleased with the Physician acceptance and receptivity. We just came back from both the Academy of Ophthalmology and Academy of Optometry, got a lot of firsthand feedback. So we’re real delighted with the uptake we’re seeing among the physician community. We’re seeing broad updates to your point. And that’s been our strategy, right. We didn’t want to niche the product, we wanted to go to a broad audience of prescribers. That’s why we built the sales force the way we did. We’re targeting over 15,000 doctors in our efforts. So we’re making great progress in penetrating that marketplace. How we prioritize that, and I think we’ve shared before, we take a very data driven and informed approach.

We think about where patient volumes are, we look at claims data, and we look at who has historically been early adopters of other products, and that really helps focus our efforts. We also mentioned earlier that we’ve already talked to 80% of our top decile doctors. So we’ve been real thoughtful about where we’re deploying the sales force time. And I think that the physician receptivity and the number of doctors that have written and repeat written, which is really important, I think reflects that very thoughtful approach. I think in terms of the marketing efforts that you asked about, we’ve been real intentional here. I think early days, we really have focused on the physician education, building that understanding, that scientific platform, if you will.

That will continue to be the focus along with building coverage. And the way you can think about it is once we have great physician penetration, which we’re already on a good start on, and as more payer coverage comes in, that’s probably going to signal a great time to think about activating the consumer more purposefully. We do have some consumer education ongoing right now, we’ve done some smaller campaigns. But in terms of broad-based DTC, which I think you’re referring to, I think that comes online, when we’ve got even more adoption among the physician community and even enhanced coverage with our contracts coming online in ’24 and early ’25.

Operator: One moment for our last question. This question is from Frank Brisebois of Oppenheimer.

Frank Brisebois: I was just wondering, we talked a little bit in previous questions about optometrists versus ophthalmologist. And I was wondering, can you just help us understand how the pitches are going and the reception is going between the two different types of docs and if there’s any sticky points or is it a very different pitch between both of them? So any color on that would be helpful. And then you talked about entering the guidelines here, I was wondering how important that is, for physicians to then prescribe.

Aziz Mottiwala: I think the pitch is very similar overall, our sales messaging is very consistent. You can think about it in really 3 tranches. We focus on the disease state, building awareness, continuing to promote diagnosis by looking at lids. Secondly, we focus on the value proposition that XDEMVY brings, the unique effects that XDEMVY brings across tolerance, mites and redness. And third, we focus on our pull through with our pharmacy network, getting the prescription in and the process to get the prescription, which is, of course, really important in early days when we don’t have contracts in place. So that’s pretty consistent. I think sometimes you do have nuances, obviously, optometry versus, say, a very busy surgical practice, you do take a slightly different approach.