Financial Markets Research: Bausch & Lomb's Contact Lens Solution Withdrawal

Summary

Introduction

In May 2006 Bausch & Lomb's ReNu with MoistureLoc contact lens solution was permanently withdrawn from markets worldwide due to an outbreak of a fungal eye infection. For a large market player, the loss of a new revenue driver and the negative publicity surrounding the event is likely to have a significant impact on future success, as well as implications for other companies in the sector.

Highlights

Bausch & Lomb's explanation of the cause of infection is in line with suspicions of interviewed optometry experts that the revolutionary make-up of MoistureLoc's formula made it susceptible to external factors that could elevate infection risk.Moving forward, US practitioners will likely put more emphasis on patient adherence to particular recommended brands, and patients are likely to be less price-sensitive, favoring competitors over Bausch & Lomb's older contact lens solution, ReNu MultiPlus.Collateral damage to Bausch & Lomb's eye care franchise in European markets is expected to be minimal.

Scope

• This report analyzes the market outlook in the aftermath of the withdrawal of Bausch & Lomb's ReNu with MoistureLoc contact lens solution
• Datamonitor interviewed eight optometrists from the US and the EU in the course of research

Reasons to Purchase

• Understand the implications of Bausch & Lomb's product recall through in-depth analysis based on interviews with leading experts
• Anticipate likely changes in the future market dynamics for contact lens solutions following the withdrawal of ReNu with MoistureLoc

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