Simplifying the vaccine cost equation

September 30, 2024 by PATH

PATH's recently updated suite of Vaccine Cost Calculators aims to help countries eligible for support from Gavi, the Vaccine Alliance, make the most of their resources.

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Vaccine product characteristics vary widely. Differences in volume, number of doses, and cold storage requirements—like the refrigerator shown here at Kimbiji Health Center in Tanzania—can have a big impact on cost. Photo: PATH/Doune Porter.

For country decision-makers, the opportunity to introduce a new vaccine comes with many considerations. Is the vaccine needed? What are the benefits? Is there enough capacity in the cold chain system?

Often most important—what will it cost, and can our country afford it?

Adding complexity to complexity, new vaccine products and new formulations of existing vaccines continue to be developed and commercialized. Though a diverse market is beneficial for supply, innovation, and affordability, it can make decisions more daunting when a country is choosing which vaccine product to introduce or switch to.

At PATH’s Center for Vaccine Innovation and Access, the Health Economics and Outcomes Research team helps inform the process of vaccine decision-making, and analyzing cost is a big part of that.

According to Frédéric Debellut, a senior health economist on the team, “A country’s final decision is based on many considerations, but clear cost estimates can really help inform the process.”

A tool for vaccine cost calculations

To that end, Frédéric and the PATH team developed a set of Vaccine Cost Calculators, which were recently redesigned, upgraded, and expanded. These Excel-based tools enable simple estimation and comparison of the costs of vaccination programs using different vaccine products available.

“Our original suite of Vaccine Cost Calculators, launched in 2020, were designed to be useable by any country, whether or not they were eligible for Gavi support,” Frédéric explained. “However, we realized that the needs of middle-income countries differed from those of Gavi-eligible countries, and that more flexible tools tailored to their unique needs would be helpful. So, we also developed a new set of calculators specifically for decision-makers in middle-income countries, which debuted earlier this year."

Now, the team has launched new and improved calculators specifically for Gavi-eligible countries, currently available for rotavirus vaccines and pneumococcal conjugate vaccines. The calculator for human papillomavirus (HPV) vaccines is slated for an upgrade in 2025. Each of these vaccine markets has experienced an increase in product options with new, lower-priced vaccines becoming available for countries to consider for introduction or a product switch.

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Decision-makers in Gavi-eligible countries can use PATH's newly updated Vaccine Cost Calculators for pneumococcal and rotavirus vaccines to compare the vaccination program costs and cold chain volumes associated with different product options. Photo: PATH

Frédéric notes, “While a lower-priced vaccine product often translates to cost savings for the immunization program, other expenses such as additional cold chain equipment, training, or storage requirements can sometimes offset the lower product cost.”

The calculators aim to account for all of these factors when producing cost estimates, which are provided separately for the country perspective and the combined country and Gavi perspective.

The tools—available in English, French, and Spanish—are designed to be useful to decision-makers, implementers, technical partners, and others. With only a limited number of data inputs required, the calculators allow users to compare different vaccine product options and produce cost estimates—both annually and over a period of five years.

Though the calculators are useful tools, PATH's Director of Health Economics, Clint Pecenka, offers a word of caution against over-reliance.

“The Vaccine Cost Calculators provide valuable insights into potential costs, but they do not account for other dimensions in decision-making and are not a replacement for detailed budget planning once a vaccine product has been selected,” Clint says.

For questions or support regarding the Vaccine Cost Calculators, contact PATH's Health Economics and Outcomes Research team at: HEOR@path.org.

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