Using Microcosting to Support Genomic Reimbursement Strategy

At LTS, we help diagnostic innovators unlock access by turning data into strategy — and strategy into value.

Appointed by Illumina, LTS conducted a microcosting study on Whole Exome Sequencing (WES) and Whole Genome Sequencing (WGS) to support reimbursement negotiations with Japan’s Ministry of Health, Labour and Welfare (MHLW).

The study aimed to demonstrate cost-effectiveness, refine pricing strategies, and inform commercial and market access planning. By using microcosting as both an economic tool and a strategic lever, LTS helped Illumina strengthen its value proposition and support long-term market viability for advanced diagnostic testing.

Challenge Turning Cost Complexity into Strategic Clarity WES and WGS technologies offer transformative clinical value but come with pricing and reimbursement complexity.

To support Illumina’s efforts in Japan, LTS needed to generate microcosting data that not only reflected the economic realities of testing, but also supported broader commercial conversations and policymaker engagement.
Navigating reimbursement for advanced diagnostics in Japan required granular data — and a compelling economic case. 1/3
Approach Microcosting as a Strategic Access Tool We analysed supplier costs, laboratory workflows, volume dynamics, and system-level variables — translating these into strategic recommendations across pricing optimisation, value proposition development, data-led customer engagement, and reimbursement positioning.

The process included stakeholder engagement, feedback collection, and value communication to help Illumina demonstrate both clinical and economic benefit.
LTS combined data analytics, lab operations expertise, and commercial insight to deliver a multi-layered microcosting study. 2/3
Result Data That Drives Access and Builds Trust The microcosting study not only clarified testing economics but provided a valuable foundation for long-term partnerships — with customers, health systems, and regulators.

By using economic data as a commercial enabler, LTS helped Illumina move one step closer to sustainable access for genomics in Japan.
Illumina now has a strategic evidence base to support reimbursement submissions and market expansion. 3/3

1/1 Support study for WES/WGS reimbursement strategy MHLW

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