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Why is Enstilar So Expensive? 11 Main Factors

Why is Enstilar So Expensive

Enstilar is a widely prescribed medication for the treatment of psoriasis and other skin conditions. However, patients often wonder why the cost of Enstilar is considerably higher compared to other similar treatments.

In this article, we will explore the various factors contributing to the high price of Enstilar and gain a better understanding of the economics behind it.

What is Enstilar?

Before delving into the cost aspects, it’s essential to comprehend what Enstilar is and how it works. Enstilar is a topical foam that combines calcipotriene and betamethasone dipropionate, two active ingredients effective in managing psoriasis symptoms.

Why is Enstilar So Expensive?

There are several factors that play an important role in the high price of this medicine. Usually, all skin medicines are expensive because of various factors. Below are the factors that make Enstilar expensive:

The Effectiveness of Enstilar

One of the reasons for the higher cost of Enstilar lies in its effectiveness. Clinical trials and real-world results have shown that Enstilar delivers significant improvements in psoriasis symptoms, leading to higher demand and willingness to pay among patients.

Research and Development Costs

The process of bringing a new medication like Enstilar to the market involves extensive research and development (R&D).

These costs include scientific studies, pre-clinical research, and multiple phases of clinical trials, which can add up to millions or even billions of dollars.

Patents and Exclusivity

Pharmaceutical companies invest substantial resources in obtaining patents for their innovative medications.

Patents grant exclusive rights to the company to sell the product without competition for a specific period. During this exclusivity period, the company can set a higher price to recoup its R&D investments.

Manufacturing Expenses

The production of Enstilar requires specialized equipment, facilities, and skilled labor, all of which contribute to higher manufacturing costs. Additionally, maintaining strict quality control standards adds to the expenses.

Marketing and Advertising

Promoting a new medication involves significant marketing and advertising efforts. These costs are often passed on to consumers, contributing to the overall price of the drug.

Distribution and Supply Chain

The distribution of pharmaceuticals involves a complex supply chain, including wholesalers, distributors, and pharmacies. Each step in the distribution process adds its markup, impacting the final cost paid by the patient.

Insurance Coverage and Rebates

Insurance coverage plays a crucial role in determining the out-of-pocket cost of Enstilar for patients. Pharmaceutical companies may negotiate rebates and discounts with insurance providers, affecting the final price.

Government Regulations and Approvals

The process of obtaining regulatory approvals from health authorities is lengthy and costly. Pharmaceutical companies often pass these expenses on to consumers, contributing to the drug’s pricing.

Competition and Pricing Strategies

Market competition affects drug pricing significantly. When there are limited alternative medications, companies have more leeway in setting higher prices. Additionally, pricing strategies are designed to maximize revenue while considering market dynamics.

The Role of Middlemen

In the pharmaceutical industry, various intermediaries, such as pharmacy benefit managers and specialty pharmacies, may play a role in the distribution process. Each intermediary adds its costs, influencing the final price of Enstilar.

Global Market Variances

Drug pricing can vary significantly from one country to another due to differences in regulations, demand, and purchasing power. Pharmaceutical companies may adjust prices to accommodate these variations.

Patient’s Perspective

The cost of Enstilar can be a burden for many patients, leading them to explore alternative treatment options or seek financial assistance programs.


In conclusion, the high cost of Enstilar can be attributed to a combination of factors, including extensive research and development, patents, manufacturing expenses, marketing, distribution, insurance coverage, government regulations, and competition. Understanding these elements can shed light on the complexities of drug pricing.

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