Professional Documents
Culture Documents
Biotech Connection Sept 162014
Biotech Connection Sept 162014
PRODUCT MARKET
CUSTOMERS OTHER
• Who (researcher? • Costs to launch (R&D,
clinician?) regulations, infrastructure,
• Need (analytical assay vs. marketing…)
diagnostic tool?) • … vs. abilities (grant vs. cost)
• Want (convenience? price?) • Profit (luxury car vs. pen)
• Now vs. future (tattoos) • Infrastructure? (lab space?
• Reach them (ads, shows, machinery?)
conferences, papers…) • Management? (researchers
• Keep them (customer vs. MBAs?)
service, improvements, • Suppliers? (uranium vs. NaCl)
consumables, barriers to • Channels? (CVS vs. hospitals
move) only)
Product: SWOT analysis
Device, technology, piece of software etc. E.g. medical device
STRENGTHS WEAKNESSES
Margins Regulatory structure (FDA)
Access to incubators/innovation Costs
Hard to replicate Customer pushback
New/best in class Price
OPPORTUNITIES THREATS
Superconsumers (information- Device tax (may be removed)
hungry) Tough to get funding
Mobile device compatible Healthcare reform puts admins in
Fads charge (costs)
Market
Market is a mechanism through which a business delivers value
proposition.
BUSINESS CUSTOMER
Market
Market is a mechanism through which a business delivers value
proposition.
BUSINESS CUSTOMER
Market
Market is a mechanism through which a business delivers value
proposition.
Target Market:
(Usually) demographic segment of the
SAM with the most direct path to
success
Target Market:
(Usually) demographic segment of the
SAM with the most direct path to
success
Teletubbies Children
Vampire Diaries Teenagers
Sex in the City Housewives
The Big Bang Theory Grad students
Market Valuation
Good overview: http://www.lek.com/sites/default/files/Volume_IV_Issue_2.pdf
target
customer
Number Penetration Volume and
value
SEGMENT
Threat of
Threat of Competition new
substitutes within a market entrants
• http://www.quickmba.com/str
ategy/porter.shtml
Bargaining power • http://hbr.org/video/35906152
of customers 26001/the-explainer-porters-
five-forces
Market analysis: Research Product/Market and
Ensure Value Addition
3. Substitutes
4. Barriers to entry
Due Diligence: Market and Industry
1. Need: Common sense, primary and secondary research.
2. Technical concerns:
a. Testing (6 months? 5 years?)
b. Suppliers (location, availability, price)
c. Technology – proprietary? Regulated?
d. Scaling up from prototype (automation, cost structure)
e. Design (convenience?)
Due Diligence: Substitutes
Quality
1. What are they – barriers?
• Coke vs. sequencers Threat ?
2. What drives customer choice Price
Ignore?
a. Product quality and price
?
b. Brand loyalty
c. Switching costs (e.g. Apple and Google)
d. Marketing campaigns
e. Long-term commitment (customer service, contracts)
Due diligence: Barriers to entry
1. Many possible!
• Examples
http://en.wikipedia.org/wiki/Barriers_to_entry#Barriers_to_entry_for_firms_into_a_
market
Address Risk
Have Fun!