Cost of Delay

What does moving the launch a month cost?

Cost of delay is the metric that makes launch prioritisation concrete. The standard formula: Total cost of delay = lost month costs + peak reduction cost. LEA includes this model as an online dashboard on your own forecast; the calculator below is a simplified illustration.

Total cost of delay

$504M

Lost month costs

$83M

Peak reduction cost

$421M

Per month of delay: $504M. Sales ramp up to peak over the years you set; because loss of exclusivity does not move, a delay cuts the last months of sales, and the peak reduction applies to every remaining year.

Revenue curve · on time vs. delayed

On timeDelayedYears to LoE
“Every day of launch delay costs roughly half a million dollars in lost sales.”

Tufts CSDD, Getz et al., 2024 (645 drugs)

Your launch dates

Discuss your launch assumptions.

We can run this model on your own forecast inside LEA.

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