Sartorius: Building Customer Lock-In Across the Biotech Lifecycle

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I wasn't trying to limit us to monoclonal antibodies (mAbs) when I mentioned biologics. I was thinking about all large molecules, basically anything made in bioprocessing. You're emphasizing the portfolio strength. Do customers actually prefer to buy everything from a one-stop shop?

I don't think so. I think the situation has changed dramatically with the Covid pandemic. Companies were forced to reconsider where they source their products and had to look for alternatives. Some customers were pushed to validate a second supplier for certain process steps. During Covid, this changed significantly, requiring changes that were initially not considered due to the time, cost, and resource constraints involved in validating or switching suppliers in an existing process. This is a risk that customers typically avoid. Larger organizations may have dual supplier strategies, but that's not the case for most companies. In the past, there was a certain level of stability, but I believe that has changed. The stickiness of products in manufacturing remains strong, but not as strong as before. Customers now tend to choose the best technology provider for each process step rather than buying everything from one supplier. This differentiation is something some companies focus on. Smaller and medium-sized companies might prefer one particular organization. Sartorius, like others, aims to position itself across all process steps and build relationships where they are specified. If a customer expands, goes to a CDMO, builds new capacity, or tech transfers, they would replicate and use your technology. The strategy of positioning products into manufacturing or processes is of the highest strategic importance. Overall, there's a decrease in stickiness, but it's still high. Customers try to avoid the effort, time, and costs associated with changes. However, if they encounter issues, they may not hesitate as much as they used to.

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