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GMHA 603-Healthcare Services

Marketing
Final Marketing Plan-NuvoAir Medical

1
Contents
 Introduction-The Voice of Pulmonologists
 Background on the Product
 Situation Analysis: Background on the Industry
 Situation Analysis: PESTLE
 Situation Analysis: Competition
 Value Proposition Statements
 Target Markets and Personas
 SWOT
 Promotion Suggestions
 Conclusion

2
INTRODUCTION

3
Remote Spirometry from the Voice of Some
Pulmonologists

4
THE PRODUCT

5
NuvoAir Medical

6
Nuvoair
 This is Remote Patient Monitoring (RPM) for chronic lung
and cardiac conditions or cardiopulmonary care.
 Supports patients with:

Lung Health

• COPD
• Asthma
• Emphysema Sleep Conditions
• Cystic Fibrosis

• Insomnia
Heart Health • Narcolepsy
• RLS
• • Sleep Apnea
CHF
• Hypertension
• Stroke
• AFIB
• Arrhythmia
Care Model
Three elements
• Care plans tailored to each patient
Perso
nalize
d
Care

• Passive biomarkers
Proact
ive • Self-reported questionnaires
Monit
oring

• Telehealth appoints 24/7


Virtua
l • Virtual Pulmonary Rehab
Clinic

8
Care Model
 Patients are recommended to nuvoair by a physician.
 Patients or caregivers subscribe to the service.
 They receive devices according to their disease conditions:
 Spirometer
 Pulse Oximeter
 Blood Pressure Cuff
 Connected Weight Scale
 Activity Tracker

9
Alerts
 Connected devices allow care team to intervene when the
algorithm signals an alert.

10
Situation Analysis:
Background on the Industry

11
COPD

Globally The US
 Third leading cause of  Fourth leading cause of
death death
 3.23 million in 2019  Prevalence is 5.6%
 65 million have moderate  16 million Americans
to severe COPD living with COPD
 Seventh leading cause of  105.6 deaths per 100,000
poor health worldwide Centers for Disease Control
WHO and Healthline and Prevention and
Healthline

12
Heart Disease

Globally The US
 Heart and circulatory  The leading cause of death
diseases cause 1 in 3  One person every 33
deaths or 20.5 million seconds
 One person every 1.5  695,000 died from heart
seconds disease in 2021.
 20.5 million died from  1 in every five deaths.
heart and circulatory Centers for Disease Control
disease in 2021. and Prevention
 1 in every three deaths.
British Heart Foundation
13
RPM Market Size and Growth
 Global Market is projected to reach $175.2 Billion by 20271
 CAGR of 26.7% between 2022 and 26.71
 US Market is approximately $13.4 billion.2
 CAGR of 11.16%.2
 Aging population, particularly in Asia is a key driver. 1
 Cardiovascular disease represents the largest market share both globally
and in the U.S.
 Growth in the U.S. was substantial during COVID. 66% of people now
willing to use.
 64% of US providers started using RPM codes during COVID3

1-Markets & Markets (2023)


2-ReportLinker (2023)
14
3-DTX Alliance (2022)
RPM-Healthcare Provider Usage

 DTx Alliance

15
Situation Analysis:
PESTLE

16
PESTLE
P E S T L E
• Insurance • Cost of heart • There is a • Telehealth saw •CMS issued new
companies now disease in the US stigma rapid increase in rules for RPM • COVID 19
banned from = 216 billion associated use due to COVID, coverage in represented a
placing lifetime • Costs of COPD with COPD up 38 times the 2023. unique
limits on health were predicted to because the pre-COVID rate. •Now limited to opportunity
insurance be $49 billion in vast majority • Medicare expands “established that quickly
coverage 2020. is caused by coverage including patients”. expanded the
(CMS) • 51% of COPD cigarette for RPMs, Remote •Practitioners use of
• Affordable costs borne by smoking. Patient Monitoring must collect at telehealth and
Care Act Medicare, 25% Causes 85- • As a result of the least 16 days of Remote
expanded by Medicaid 90% of cases. COVID pandemic, data per 30-day Patient
coverage. and 18% by • RPMs assist physicians and period to be Monitoring.
Uninsured private ins. rural and poor patients are now paid.
dropped to all • RPM market = patients who more likely to use •Only one
time low in $13.billion in the are remote patient practitioner can
2022. US. underserved monitoring and bill every 30-
• Beginning in • Will reach in general telehealth with all days even if
2019, CMS $175.2 billion healthcare large employers multiple devices
began paying globally by 2027 community covering it. are used.
for RPM. 17
Situation Analysis:
Competition

18
Largest Competitors
 Medtronic CareLink
 Monitoring of diabetes patients and implantable cardiac devices
(ICDs), cardiac resynchronization therapy defibrillators (CRT-Ds),
and pacemakers.
 PatientConnect by Health Recovery Solutions
 Bloodpressure cuff, pulse oximeter, and scale. PatientConnect
Complete provides home health monitoring and chronic care
management
 Virtual Care Manager by Philips
 COPD, CHF and diabetes with pulse ox, connectivity to Oxygen
Concentrators or Home Ventilation, glucometer, blood pressure cuff,
connected scale, risk-profiling algorithm and physician portal.,

19
Largest Competitors
 Masimo SafetyNet
 Wearable pulse oximetry sensor to track a patient's oxygen
saturation, pulse rate, and respiration rate. Includes alert tracking
 G6by Decom –Glucose Monitoring leader. No other
biometric screening available.

20
Costs

Company Monthly Cost Per Physician


Masimo $19.99
Philips $23.47
NuvoAir $27
Medtronic $30
Health Recovery Solutions $50
Dexcom $49

21
Five Forces

22
Buyer Power:
Threat of High
New
In the US, CMS guidelines
Threat of New Entry: Entry
are critical.
Medium to High
Large companies can enter
easily, smaller niche players
will have difficulty

Comp. Rivalry:
Competitive Buyer
Medium to High
Supplier Rivalry Power
Young industry but
Power large players have
strong market share

Supplier Power: Threat of Threat of Substitution:


Low-Those supplying Substitution High-
inputs to the product Large players have integrated
development operate in a systems that monitor across
multiple disease states.
crowded and price sensitive
Niche players are smaller.
industry of electronic
devices
Segmentation & Target Markets

24
Segmentation Approaches
Professional Consumer
 Geodemographic  Geo-demographic
 Top 10 pulmonology hospitals  COPD patients and caregivers in
1. Mayo the areas served by the top 10
2. National Jewish pulmonary hospitals:
3. Cedars Sinai 1. Minnesota (Rochester)
4. Cleveland Clinic 2. Denver
5. UCLA Medical Center 3. Los Angeles
6. Mayo Clinic Phoenix 4. Cleveland
7. Johns Hopkins 5. Phoenix
8. University of Michigan Hospitals 6. Baltimore
9. UCSF 7. Michigan (Ann Arbor)
10. UC San Diego 8. San Francisco
9. San Diego

25
Target Markets

Professional Consumer
 Key Opinion Leader in  COPD patient or caregiver of
Pulmonology at the top 10 patient
facilities.  GOLD Stage A-Mild
 Personally
manages at least 75  CAT Score <10
COPD patients  Or MMRC 0-1
 Purchasing director/manager at  0 or 1 exacerbations
the top 10 facilities.  GOLD Stage D-Very severe
 CAT Score >10
 Or MMRC 2
 2 exacerbations in the past year

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Value Proposition Statements

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NuvoAir Value Proposition-Pulmonologist
As a pulmonologist, I use spirometry and other biometric data to diagnose and
monitor a patient’s progression with COPD. I typically see patients in my office
every three to six months, depending on their acuity. That’s when I collect data;
Problem however, since the COVID-19 pandemic, I’ve realized I can do some of this data
collection virtually. I wish there was a way I could get the necessary metrics I need
remotely using a validated approach.

NuvoAir is a remote patient monitoring platform for chronic lung and cardiac
conditions. It provides physicians with biometrics using spirometry, pulse ox,
blood pressure cuff, connected weight scale and an activity tracker. NuvoAir’s
platform uses the power of AI to continually monitor the results and creates alerts
Solution for patients at risk for an exacerbation. The platform also provides an easy-to-read
dashboard from which pulmonologists can monitor a patient’s longitudinal
changes to manage their care while the patients remain comfortable in their
homes.
1. Provides a comprehensive set of data.
2. NuvoAir is a certified medical device.
3. Published studies show NuvoAir is effective in collecting necessary
biomarkers.
Reasons to 4. It is effective in managing chronic disease
Believe 60% decrease in exacerbations
80% decrease in hospitalization rates
90% of users report improved confidence in managing their conditions
NuvoAir Value Proposition-Purchasing
Director
As a purchasing director at National Jewish, I want to help the practitioners I serve
get the best equipment and supplies possible, at the lowest cost. Because of
COVID-19, our use of telehealth exploded in 2020 and continues to be high.
Problem Telehealth can’t provide all of the elements of an in-office visit, such as
spirometry. I wish there was a way to help practitioners gather necessary biometric
data remotely in one portal in a cost-effective manner.

NuvoAir is a remote patient monitoring platform for chronic lung and cardiac
conditions. It provides physicians with biometrics using spirometry, pulse ox,
blood pressure cuff, connected weight scale and an activity tracker. NuvoAir’s
platform uses the power of AI to continually monitor the results and creates alerts
Solution for patients at risk for an exacerbation. The platform also provides an easy-to-read
dashboard from which pulmonologists can monitor a patient’s longitudinal
changes to manage their care while the patients remain comfortable in their
homes.
1. Provides a comprehensive set of data.
2. NuvoAir is a certified medical device.
3. Published studies show NuvoAir is effective in collecting necessary
Reasons to biomarkers.
4. It is effective in managing chronic disease
Believe 60% decrease in exacerbations
80% decrease in hospitalization rates
90% of users report improved confidence in managing their conditions
29
NuvoAir Value Proposition-COPD Patient
I was recently diagnosed with COPD. As a way of monitoring my condition, my
pulmonologist requires me to meet with her every four months. Because my
condition is mild and hasn’t changed, I don’t think I need to see her so frequently,
Problem and since COVID, I realize I can do some meetings with doctors virtually. I wish
there was a way she could monitor my condition without meeting with me directly.

NuvoAir is a remote patient monitoring platform for chronic lung and cardiac
conditions. It provides physicians with biometrics using spirometry, pulse ox,
blood pressure cuff, connected weight scale and an activity tracker. NuvoAir’s
platform uses the power of AI to continually monitor the results and creates alerts
Solution for patients at risk for an exacerbation. The platform also provides an easy-to-read
dashboard from which pulmonologists can monitor a patient’s longitudinal
changes to manage their care while the patients remain comfortable in their
homes.
1. Provides a comprehensive set of data.
2. NuvoAir is a certified medical device.
3. Published studies show NuvoAir is effective in collecting necessary
Reasons to biomarkers.
4. It is effective in managing chronic disease
Believe 60% decrease in exacerbations
80% decrease in hospitalization rates
90% of users report improved
30 confidence in managing their conditions
Personas

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Physician Target: Dr. Sam
 Practicing pulmonologist and Key
Opinion Leader at one of the top ten
pulmonary medicine hospitals in the
U.S.
 Dr. Sam personally manages
approximately 75 COPD patients on an
on-going basis.
 She is also an Assistant Professor of
Medicine at the organization where she
is employed.
 As a physician, she manages her patients
through both objective biometrics and
subjective data.
 Dr. Sam is an early adopter of
technology that can help her better
manage her chronic-disease patients.

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Purchasing Target: Purchasing Patty

 Patty is a purchasing director at one of the


nation’s leading pulmonology hospitals.
 She has been employed at the same hospital
for 25 years and has been director of
purchasing for five.
 As a purchasing director, Patty helps the
practitioners she serves get the equipment
and material they need to best manage their
patients.
 Although she wants to serve these
practitioners, she wants to do so in a cost-
effective manner and is a stickler for the
corporate purchasing process. She believes in
onboarding new vendors only when the
current preferred vendors can’t fulfill the
evolving needs of her practitioners.

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COPD Patient-Paul
 Paul is 65 years of age, and
he was diagnosed with
COPD approximately nine
months ago.
 Paul was a life-long smoker,
starting in his later teen
years.
 His condition is stable, so
he’d rather not make
appointments to visit his
specialist as frequently.

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Positioning Statements

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Positioning Statement-
Pulmonologist
For Pulmonologists who need to obtain remote monitoring on
the acuity of their patients, NuvoAir provides a cloud-based
platform that gives them the ability to collect spirometry data,
SpO2, glucose monitoring, heart rate, blood pressure, and
weight from the comfort of the patient’s home. NuvoAir’s
platform uses the power of AI to continually monitor the results
and create alerts for patients at risk for an exacerbation.
Research shows NuvoAir is effective in managing chronic
disease, with 60% decrease in exacerbations, 80% decrease in
hospitalization rates and 90% of users report improved
confidence in managing their conditions.
36
Positioning Statement
Purchasing Director

For a hospital purchasing director who wants to serve her practitioners by


procuring the best products available, NuvoAir provides accurate
measurement of patients’ conditions through various metrics bsuch as
remote spirometry, pulse ox, heart rate, blood pressure, glucose levels and
weight. NuvoAir’s platform uses the power of AI to continually monitor
the results and create alerts for patients at risk for an exacerbation. The
cost is $27/month per physician, and with 16-days of measurement, the
hospital can utilize CMS RPM codes for reimbursement.

37
Positioning Statement Patient

For a recently diagnosed, stable COPD patient who doesn’t


want to leave his home for a routine visit at his pulmonologists’
office, NuvoAir provides an intelligent cloud-based platform
that allows his doctor to monitor his condition remotely.
NuvoAir will help set up the equipment in the patient’s home
and provide a training session to assure continual ease of use,
and the 16-days of measurement will allow for reimbursement
through Medicare.

38
SWOT

39
Strengths
• Only device to include spirometry. Weaknesses
• Already marketed in Europe with 40 hospital • Would require training for patient use.
partners. • Some pulmonologists would not be comfortable
• Cloud connected with dashboard for with care managers with whom they are not
practitioners and alert systems for at-risk familiar.
patients. • Need 16 days of measurement within 30 days
• Care managers review cases.
for reimbursement for Spirometry.
• Can meet 16 days of metrics for reimbursement

Opportunities Threats
• Large competitors can force down price
• COVID-19 presents opportunity with and add other, more sophisticated
increased usage of telehealth. algorithms for predictive analytics.
• Remote Patient Monitoring temporary • Remote Patient Monitoring temporary
reimbursement codes initiated by CMS reimbursement codes may not be renewed
through 2024. by CMS after COVID.

40
PROMOTION

41
Push vs. Pull

Target Market Push or Pull Method


Pulmonologists Dinner Meetings, Sales
Push Calls, Published
Research
Purchasing Directors Sales Calls, E-mail
Push
Blitzes Web/Podcasts
Patients Pull TV, Newspaper Social
All Target Markets Pull Paid Search

42
Media Plan
 Scheduled media plan is for one full year beginning in Q2
2024.
Push to Pulmonologists-Dinner Meetings 2 x Year
Facility Rental Food & Bvg. Cost 15 people per Costs for one
Location Annual Costs
Facility Cost per person Event event
Rochester,
Mayo MN $850 $32.50 $487.50 $1,370 $2,740
Denver,
National Jewish CO $350 $29 $435 $814 $1,628
Los
Cedar Sinai Angeles,
CA $1,500 $35 $525 $2,060 $4,120
Cleveland,
Cleveland Clinic OH $550 $30 $450 $1,030 $2,060
Los
1.UCLA Angeles,
CA $1,500 $35 $525 $2,060 $4,120
Phoenix,
Mayo-Phoenix AZ $500 $30 $450 $980 $1,960
Baltimore,
Johns Hopkins MD $750 $30 $450 $1,230 $2,460
Ann
Univ of Michigan Arbor, MI $200 $23 $345 $568 $1,136
San
UCSF Francisco,
CA $1,000 $50 $750 $1,800 $3,600
La Jolla,
UCSD CA $1,000 $45 $675 $1,720 $3,440
TOTAL $8,200 $340 $5,093 $13,632 $27,264
Push to Professionals: Sales Reps

 Two sales reps covering the US with four institutions in the


East and six in the West.
 Cost of one sales rep, avg. $160,000/year
 Total cost of sales reps =$320,000/year
QFR Solutions
Push to Professionals
 Collateral material for use at events or sales meetings

Item Costs
Number of brochures 25,000
Cost per brochure .543
Total Cost (including design) $13,575
Push to Professionals
 Quarterly webcasts and/or podcasts:
 $3,000 total (Equipment)
 $1,000 total for personnel at $250/hour
 $4,000 Total
Pull to Consumers
 Local TV (evening news)
 Local on-line newspapers
 Social media
 Search

48
Pull to Local Consumers-
Schedule
 TV Spots,
2 week run
 Every quarter per one year
 1 x per each weekday
 6pm newscast on leading station.

 Total spots per quarter = 10


 Total spots per year = 40
Consumers-Local TV
Cost per spot Quarterly Cost Annual Cost

Rochester, MN 23.48 234.82 939.29


Denver, CO 2,262.05 22,620.47 90,481.89
Los Angeles, CA 7,450.04 74,500.38 298,001.52
Cleveland, OH 1,441.93 14,419.29 57,677.16
Phoenix, AZ 3,306.85 33,068.46 132,273.85
Baltimore, MD 1,044.93 10,449.35 41,797.40
Detroit 2,078.81 20,788.13 83,152.54
San Francisco, CA 2,107.04 21,070.44 84,281.76
San Diego, CA 2,960.38 29,603.76 118,415.04
Total 22,675.51 226,755.11 907,020.45
Online Newspaper
 Banner ads-preferably on health and fitness pages.
 2 week run each quarter

Estimated Ad Per two week


Paper Per year
Rate run

Rochester, MN Post-Bulletin $42 $420 $1,680


Denver, CO Post $400 $4,000 $16,000
Los Angeles, CA Times $865 $8,650 $34,600
Cleveland, OH Plain Dealer $596 $5,960 $23,840
Arizona
Phoenix, AZ Republic $476 $4,760 $19,040
Baltimore, MD Sun $398 $3,980 $15,920
Detroit Free Press $727 $7,270 $29,080
San Francisco, CA Chronicle $613 $6,130 $24,520
Union
San Diego, CA Tribute $433 $4,330 $17,320
Total $4,550 $45,500 $182,000
Facebook-Consumers
Population COPD
50+ Prevalence Reach 20%
Rochester, MN 64,395 3,349 10

Denver, CO 928,250 48,269 145

Los Angeles, CA 4,394,104 228,493 685

Cleveland, OH 668,744 34,775 104

Phoenix, AZ 1,665,188 86,590 260

Baltimore, MD 81,370 4,231 13

Detroit 1,080,254 56,173 169

San Francisco, CA 1,659,934 86,317 259

San Diego, CA 1,080,254 56,173 169

Total 11,622,493 604,370 1,813


Facebook-Consumers

Metric Campaign 4x year


CPC $ 1,758.72 $ 7,034.86
CPM $ 12.94 $ 51.77
Total $ 1,771.66 $ 7,086.63

Total Cost per year = $7,086.63


Total Costs
Element Annual Cost

Dinner Meetings $27,264

Sales Reps $320,000

Collateral $13,575

Web/Podcasts $4,000

Local TV $907,020

Newspaper $182,000

Social $7,087

Search $38,000

Total $1,498,946
Budget

Media Plan and


Costs
Conclusion

56
Conclusion
 The market opportunity is positive considering the growth in telehealth. Total
market opportunity = $1.255b
 Research from pulmonologists indicates strong willingness to purchase.
 Target professionals (Pulmonologists and Purchasing Directors) at the ten
leading pulmonology hospitals in the US.
 Promotion schedule for one year (2024)
 Flight promotion quarterly beginning in Q2 2024.
 Focus on push methods to them with sales visits, dinner meetings, email blasts
and web/podcasts.
 Pull methods with professions through paid search.
 Target COPD consumers, 50+ in the same top 10 markets
 Focus on pull methods through TV, newspaper and social, 1x per quarter.
 Also focus on search for patients.

57
BACK UP

58
SITUATION ANALYSIS

59
BACKGROUND ON THE
PRODUCT/SOLUTION

60
Nuvoair
 This is Remote Patient Monitoring (RPM) for chronic lung
and cardiac conditions or cardiopulmonary care.
 Supports patients with:

Lung Health

• COPD
• Asthma
• Emphysema Sleep Conditions
• Cystic Fibrosis

• Insomnia
Heart Health • Narcolepsy
• RLS
• • Sleep Apnea
CHF
• Hypertension
• Stroke
• AFIB
• Arrhythmia
Care Model
Three elements
• Care plans tailored to each patient
Perso
nalize
d
Care

• Passive biomarkers
Proact
ive • Self-reported questionnaires
Monit
oring

• Telehealth appoints 24/7


Virtua
l • Virtual Pulmonary Rehab
Clinic

62
Care Model
 Patients are recommended to nuvoair by a physician.
 Patients or caregivers subscribe to the service.
 They receive devices according to their disease conditions:
 Spirometer
 Pulse Oximeter
 Blood Pressure Cuff
 Connected Weight Scale
 Activity Tracker

63
Alerts
 Connected devices allow care team to intervene when the
algorithm signals an alert.

64
Proof Points-Reasons to
Believe
 60% decrease in exacerbations
 80% decrease in hospitalization rates
 90% of users report improved confidence in managing their
conditions

65
BACKGROUND ON THE
INDUSTRY

66
COPD

Globally The US
 Third leading cause of  Fourth leading cause of
death death
 3.23 million in 2019  Prevalence is 5.6%
 65 million have moderate  16 million Americans
to severe COPD living with COPD
 Seventh leading cause of  105.6 deaths per 100,000
poor health worldwide Centers for Disease Control
WHO and Healthline and Prevention and
Healthline

67
Heart Disease

Globally The US
 Heart and circulatory  The leading cause of death
diseases cause 1 in 3  One person every 33
deaths or 20.5 million seconds
 One person every 1.5  695,000 died from heart
seconds disease in 2021.
 20.5 million died from  1 in every five deaths.
heart and circulatory Centers for Disease Control
disease in 2021. and Prevention
 1 in every three deaths.
British Heart Foundation
68
RPM Market Size and Growth
 Global Market is projected to reach $175.2 Billion by 20271
 CAGR of 26.7% between 2022 and 26.71
 US Market is approximately $13.4 billion.2
 CAGR of 11.16%.2
 Aging population, particularly in Asia is a key driver. 1
 Cardiovascular disease represents the largest market share both globally
and in the U.S.
 Growth in the U.S. was substantial during COVID. 66% of people now
willing to use.
 64% of US providers started using RPM codes during COVID3

1-Markets & Markets (2023)


2-ReportLinker (2023)
69
3-DTX Alliance (2022)
RPM-Healthcare Provider Usage

 DTx Alliance

70
PESTLE

71
PESTLE
P E S T L E
• Insurance • Cost of heart • There is a • Telehealth saw •CMS issued new
companies now disease in the US stigma rapid increase in rules for RPM • COVID 19
banned from = 216 billion associated use due to COVID, coverage in represented a
placing lifetime • Costs of COPD with COPD up 38 times the 2023. unique
limits on health were predicted to because the pre-COVID rate. •Now limited to opportunity
insurance be $49 billion in vast majority • Medicare expands “established that quickly
coverage 2020. is caused by coverage including patients”. expanded the
(CMS) • 51% of COPD cigarette for RPMs, Remote •Practitioners use of
• Affordable costs borne by smoking. Patient Monitoring must collect at telehealth and
Care Act Medicare, 25% Causes 85- • As a result of the least 16 days of Remote
expanded by Medicaid 90% of cases. COVID pandemic, data per 30-day Patient
coverage. and 18% by • RPMs assist physicians and period to be Monitoring.
Uninsured private ins. rural and poor patients are now paid.
dropped to all • RPM market = patients who more likely to use •Only one
time low in $13.billion in the are remote patient practitioner can
2022. US. underserved monitoring and bill every 30-
• Beginning in • Will reach in general telehealth with all days even if
2019, CMS $175.2 billion healthcare large employers multiple devices
began paying globally by 2027 community covering it. are used.
for RPM. 72
COMPETITIVE

73
Largest Competitors
 Medtronic CareLink
 Monitoring of diabetes patients and implantable cardiac devices
(ICDs), cardiac resynchronization therapy defibrillators (CRT-Ds),
and pacemakers.
 PatientConnect by Health Recovery Solutions
 Bloodpressure cuff, pulse oximeter, and scale. PatientConnect
Complete provides home health monitoring and chronic care
management
 Virtual Care Manager by Philips
 COPD, CHF and diabetes with pulse ox, connectivity to Oxygen
Concentrators or Home Ventilation, glucometer, blood pressure cuff,
connected scale, risk-profiling algorithm and physician portal.,

74
Largest Competitors
 Masimo SafetyNet
 Wearable pulse oximetry sensor to track a patient's oxygen
saturation, pulse rate, and respiration rate. Includes alert tracking
 G6by Decom –Glucose Monitoring leader. No other
biometric screening available.

75
Costs

Company Monthly Cost Per Physician


Masimo $19.99
Philips $23.47
NuvoAir $27
Medtronic $30
Dexcom $49
Health Recovery Solutions $50

76
SWOT

77
Strengths
• Only device to include spirometry. Weaknesses
• Already marketed in Europe with 40 hospital • Would require training for patient use.
partners. • Some pulmonologists would not be comfortable
• Cloud connected with dashboard for with care managers with whom they are not
practitioners and alert systems for at-risk familiar.
patients. • Need 16 days of measurement within 30 days
• Care managers review cases.
for reimbursement for Spirometry.
• Can meet 16 days of metrics for reimbursement

Opportunities Threats
• Large competitors can force down price
• COVID-19 presents opportunity with and add other, more sophisticated
increased usage of telehealth. algorithms for predictive analytics.
• Remote Patient Monitoring temporary • Remote Patient Monitoring temporary
reimbursement codes initiated by CMS reimbursement codes may not be renewed
through 2024. by CMS after COVID.

78
COMPETITIVE-PORTER’S FIVE
FORCES

79
Buyer Power:
Threat of High
New
In the US, CMS guidelines
Threat of New Entry: Entry
are critical.
Medium to High
Large companies can enter
easily, smaller niche players
will have difficulty

Comp. Rivalry:
Competitive Buyer
Medium to High
Supplier Rivalry Power
Young industry but
Power large players have
strong market share

Supplier Power: Threat of Threat of Substitution:


Low-Those supplying Substitution High-
inputs to the product Large players have integrated
development operate in a systems that monitor across
multiple disease states.
crowded and price sensitive
Niche players are smaller.
industry of electronic
devices
CUSTOMER DECISION JOURNEY

81
NuvoAir Customer Decision Journey

82
SEGMENTATION

83
Segmentation Approaches
Professional Consumer
 Geodemographic  Geo-demographic
 Top 10 pulmonology hospitals  COPD patients and caregivers in
1. Mayo the areas served by the top 10
2. National Jewish pulmonary hospitals:
3. Cedars Sinai 1. Minnesota (Rochester)
4. Cleveland Clinic 2. Denver
5. UCLA Medical Center 3. Los Angeles
6. Mayo Clinic Phoenix 4. Cleveland
7. Johns Hopkins 5. Phoenix
8. University of Michigan Hospitals 6. Baltimore
9. UCSF 7. Michigan (Ann Arbor)
10. UC San Diego 8. San Francisco
9. San Diego

84
Target Markets

Professional Consumer
 Key Opinion Leader in  COPD patient or caregiver of
Pulmonology at the top 10 patient
facilities.  GOLD Stage A-Mild
 Personally
manages at least 75  CAT Score <10
COPD patients  Or MMRC 0-1
 Purchasing director/manager at  0 or 1 exacerbations
the top 10 facilities.  GOLD Stage D-Very severe
 CAT Score >10
 Or MMRC 2
 2 exacerbations in the past year

85
VALUE PROPOSITIONS,
POSITIONING STATEMENTS &
PERSONAS

86
NuvoAir Value Proposition-Pulmonologist
As a pulmonologist, I use spirometry and other biometric data to diagnose and
monitor a patient’s progression with COPD. I typically see patients in my office
every three to six months, depending on their acuity. That’s when I collect data;
Problem however, since the COVID-19 pandemic, I’ve realized I can do some of this data
collection virtually. I wish there was a way I could get the necessary metrics I need
remotely using a validated approach.

NuvoAir is a remote patient monitoring platform for chronic lung and cardiac
conditions. It provides physicians with biometrics using spirometry, pulse ox,
blood pressure cuff, connected weight scale and an activity tracker. NuvoAir’s
platform uses the power of AI to continually monitor the results and creates alerts
Solution for patients at risk for an exacerbation. The platform also provides an easy-to-read
dashboard from which pulmonologists can monitor a patient’s longitudinal
changes to manage their care while the patients remain comfortable in their
homes.
1. Provides a comprehensive set of data.
2. NuvoAir is a certified medical device.
3. Published studies show NuvoAir is effective in collecting necessary
biomarkers.
Reasons to 4. It is effective in managing chronic disease
Believe 60% decrease in exacerbations
80% decrease in hospitalization rates
90% of users report improved confidence in managing their conditions
Positioning Statement-
Pulmonologist
For Pulmonologists who need to obtain remote monitoring on
the acuity of their patients, NuvoAir provides a cloud-based
platform that gives them the ability to collect spirometry data,
SpO2, glucose monitoring, heart rate, blood pressure, and
weight from the comfort of the patient’s home. NuvoAir’s
platform uses the power of AI to continually monitor the results
and create alerts for patients at risk for an exacerbation.
Research shows NuvoAir is effective in managing chronic
disease, with 60% decrease in exacerbations, 80% decrease in
hospitalization rates and 90% of users report improved
confidence in managing their conditions.
88
Physician Target: Dr. Sam
 Practicing pulmonologist and Key
Opinion Leader at one of the top ten
pulmonary medicine hospitals in the
U.S.
 Dr. Sam personally manages
approximately 75 COPD patients on an
on-going basis.
 She is also an Assistant Professor of
Medicine at the organization where she
is employed.
 As a physician, she manages her patients
through both objective biometrics and
subjective data.
 Dr. Sam is an early adopter of
technology that can help her better
manage her chronic-disease patients.

89
Perceptual Map-Pulmonologist
High Philips

Masimo NuvoAir
Predictive Ability

Medtronic

Dexcom Patient Connect

Low Range of Measurements High


90
NuvoAir Value Proposition-Purchasing
Director
As a purchasing director at National Jewish, I want to help the practitioners I serve
get the best equipment and supplies possible, at the lowest cost. Because of
COVID-19, our use of telehealth exploded in 2020 and continues to be high.
Problem Telehealth can’t provide all of the elements of an in-office visit, such as
spirometry. I wish there was a way to help practitioners gather necessary biometric
data remotely in one portal in a cost-effective manner.

NuvoAir is a remote patient monitoring platform for chronic lung and cardiac
conditions. It provides physicians with biometrics using spirometry, pulse ox,
blood pressure cuff, connected weight scale and an activity tracker. NuvoAir’s
platform uses the power of AI to continually monitor the results and creates alerts
Solution for patients at risk for an exacerbation. The platform also provides an easy-to-read
dashboard from which pulmonologists can monitor a patient’s longitudinal
changes to manage their care while the patients remain comfortable in their
homes.
1. Provides a comprehensive set of data.
2. NuvoAir is a certified medical device.
3. Published studies show NuvoAir is effective in collecting necessary
Reasons to biomarkers.
4. It is effective in managing chronic disease
Believe 60% decrease in exacerbations
80% decrease in hospitalization rates
90% of users report improved confidence in managing their conditions
91
Positioning Statement
Purchasing Director

For a hospital purchasing director who wants to serve her practitioners by


procuring the best products available, NuvoAir provides accurate
measurement of patients’ conditions through various metrics bsuch as
remote spirometry, pulse ox, heart rate, blood pressure, glucose levels and
weight. NuvoAir’s platform uses the power of AI to continually monitor
the results and create alerts for patients at risk for an exacerbation. The
cost is $27/month per physician, and with 16-days of measurement, the
hospital can utilize CMS RPM codes for reimbursement.

92
Purchasing Target: Purchasing Patty

 Patty is a purchasing director at one of the


nation’s leading pulmonology hospitals.
 She has been employed at the same hospital
for 25 years and has been director of
purchasing for five.
 As a purchasing director, Patty helps the
practitioners she serves get the equipment
and material they need to best manage their
patients.
 Although she wants to serve these
practitioners, she wants to do so in a cost-
effective manner and is a stickler for the
corporate purchasing process. She believes in
onboarding new vendors only when the
current preferred vendors can’t fulfill the
evolving needs of her practitioners.

93
Perceptual Map-Purchasing Agent
High

Patient Connect
Dexcom
Medtronic
NuvoAir
Price

Philips

Masimo

Low Range of Measurements High


94
NuvoAir Value Proposition-COPD Patient
I was recently diagnosed with COPD. As a way of monitoring my condition, my
pulmonologist requires me to meet with her every four months. Because my
condition is mild and hasn’t changed, I don’t think I need to see her so frequently,
Problem and since COVID, I realize I can do some meetings with doctors virtually. I wish
there was a way she could monitor my condition without meeting with me directly.

NuvoAir is a remote patient monitoring platform for chronic lung and cardiac
conditions. It provides physicians with biometrics using spirometry, pulse ox,
blood pressure cuff, connected weight scale and an activity tracker. NuvoAir’s
platform uses the power of AI to continually monitor the results and creates alerts
Solution for patients at risk for an exacerbation. The platform also provides an easy-to-read
dashboard from which pulmonologists can monitor a patient’s longitudinal
changes to manage their care while the patients remain comfortable in their
homes.
1. Provides a comprehensive set of data.
2. NuvoAir is a certified medical device.
3. Published studies show NuvoAir is effective in collecting necessary
Reasons to biomarkers.
4. It is effective in managing chronic disease
Believe 60% decrease in exacerbations
80% decrease in hospitalization rates
90% of users report improved
95 confidence in managing their conditions
Positioning Statement Patient

For a recently diagnosed, stable COPD patient who doesn’t


want to leave his home for a routine visit at his pulmonologists’
office, NuvoAir provides an intelligent cloud-based platform
that allows his doctor to monitor his condition remotely.
NuvoAir will help set up the equipment in the patient’s home
and provide a training session to assure continual ease of use,
and the 16-days of measurement will allow for reimbursement
through Medicare.

96
COPD Patient-Paul
 Paul is 65 years of age, and
he was diagnosed with
COPD approximately nine
months ago.
 Paul was a life-long smoker,
starting in his later teen
years.
 His condition is stable, so
he’d rather not make
appointments to visit his
specialist as frequently.

97
Perceptual Map-Patient
High
Dexcom
Medtronic
Convenience

Masimo Philips

Patient Connect
NuvoAir

Low Range of Measurements High


98
ELABORATION LIKELIHOOD
MODEL

99
Central Route to Persuasion
Higher Attention Comprehension- Persuasion-
Involvement Focus on Deeper Thoughts Solution Beliefs
with Solution “Solution”- about solution Brand Attitude
or message related and Purchase
Information consequences- Intention
More elaboration

Why?
This is a Solution focus: Deeper Thoughts Solution Benefits-
healthcare- Ability to collect About how the Same metrics as in-
Related issue and reliable data on an device could save office visit, and
targets (esp. on-going basis time and money by clinical data shows
pulmos) are from a patient’s allowing for validity.
interested in the home in order to measurement in a
data monitor acuity. low-cost
100
environment
PUSH VS. PULL
&
MEDIA SELECTION

101
Marketing Promotional Approach
 Both Push and Pull.
 Push at the following:
1. Mayo
2. National Jewish
3. Cedars Sinai
4. Cleveland Clinic
5. UCLA Medical Center
6. Mayo Clinic Phoenix
7. Johns Hopkins
8. University of Michigan Hospitals
9. UCSF
10. UC San Diego
102
Push to Physician and
Purchasing Director Targets
 Dinner meetings and sales calls to pulmonologists at the
target facilities.
 Work toward published articles in leading journals about the
efficacy of the remote solution.
 Direct sales calls, direct email and invitations to webcasts for
purchasing directors.

103
Pull to Consumer Segment-
Traditional
 Local advertising to Male and Female 50+ population in
the following markets:
1. Minnesota (Rochester)
2. Denver
3. Los Angeles
4. Cleveland
5. Phoenix
6. Baltimore
7. Michigan (Ann Arbor)
8. San Francisco
9. San Diego
104
Pull to Consumers
 Local TV (evening news)
 Local on-line newspapers
 Social media
 Search

105
Media Plan
 Scheduled media plan is for 2024.
Push to Professional Channel:
Physician and Purchasing Director
 Dinner meetings and sales calls to pulmonologists at the
target facilities.
 Work toward published articles in leading journals about the
efficacy of the remote solution.
 Direct sales calls, direct email and invitations to webcasts for
purchasing directors.
 Search

107
Push to Pulmonologists-Dinner Meetings 2 x Year
Facility Rental Food & Bvg. Cost 15 people per Costs for one
Location Annual Costs
Facility Cost per person Event event
Rochester,
Mayo MN $850 $32.50 $487.50 $1,370 $2,740
Denver,
National Jewish CO $350 $29 $435 $814 $1,628
Los
Cedar Sinai Angeles,
CA $1,500 $35 $525 $2,060 $4,120
Cleveland,
Cleveland Clinic OH $550 $30 $450 $1,030 $2,060
Los
1.UCLA Angeles,
CA $1,500 $35 $525 $2,060 $4,120
Phoenix,
Mayo-Phoenix AZ $500 $30 $450 $980 $1,960
Baltimore,
Johns Hopkins MD $750 $30 $450 $1,230 $2,460
Ann
Univ of Michigan Arbor, MI $200 $23 $345 $568 $1,136
San
UCSF Francisco,
CA $1,000 $50 $750 $1,800 $3,600
La Jolla,
UCSD CA $1,000 $45 $675 $1,720 $3,440
TOTAL $8,200 $340 $5,093 $13,632 $27,264
Push to Professionals: Sales Reps

 Two sales reps covering the US with four institutions in the


East and six in the West.
 Cost of one sales rep, avg. $160,000/year
 Total cost of sales reps =$320,000/year
QFR Solutions
Push to Professionals
 Collateral material for use at events or sales meetings

Item Costs
Number of brochures 25,000
Cost per brochure .543
Total Cost (including design) $13,575
Push to Professionals
 Quarterly webcasts and/or podcasts:
 $3,000 total (Equipment)
 $1,000 total for personnel at $250/hour
 $4,000 Total
Pull to Consumers
 Local TV (evening news)
 Local on-line newspapers
 Social media
 Search

112
Pull to Local Consumers-
Schedule
 TV Spots,
2 week run
 Every quarter per one year
 1 x per each weekday
 6pm newscast on leading station.

 Total spots per quarter = 10


 Total spots per year = 40
Consumers-Local TV
Cost per spot Quarterly Cost Annual Cost

Rochester, MN 23.48 234.82 939.29


Denver, CO 2,262.05 22,620.47 90,481.89
Los Angeles, CA 7,450.04 74,500.38 298,001.52
Cleveland, OH 1,441.93 14,419.29 57,677.16
Phoenix, AZ 3,306.85 33,068.46 132,273.85
Baltimore, MD 1,044.93 10,449.35 41,797.40
Detroit 2,078.81 20,788.13 83,152.54
San Francisco, CA 2,107.04 21,070.44 84,281.76
San Diego, CA 2,960.38 29,603.76 118,415.04
Total 22,675.51 226,755.11 907,020.45
Online Newspaper
 Banner ads-preferably on health and fitness pages.
 2 week run each quarter

Estimated Ad Per two week


Paper Per year
Rate run

Rochester, MN Post-Bulletin $42 $420 $1,680


Denver, CO Post $400 $4,000 $16,000
Los Angeles, CA Times $865 $8,650 $34,600
Cleveland, OH Plain Dealer $596 $5,960 $23,840
Arizona
Phoenix, AZ Republic $476 $4,760 $19,040
Baltimore, MD Sun $398 $3,980 $15,920
Detroit Free Press $727 $7,270 $29,080
San Francisco, CA Chronicle $613 $6,130 $24,520
Union
San Diego, CA Tribute $433 $4,330 $17,320
Total $4,550 $45,500 $182,000
Social Media
 Facebook advertising costs, on average, cost $0.97 per click
and $7.19 per 1000 impressions.
 Ad campaigns focused on earning likes or app downloads can
expect to pay $1.07 per like and $5.47 per download, on
average.
 Avg. CTR in healthcare = 0.3%

https://www.webfx.com/social-media/how-much-does-facebook-
advertising-cost.html
Facebook-Consumers
Population COPD
50+ Prevalence Reach 20%
Rochester, MN 64,395 3,349 10

Denver, CO 928,250 48,269 145

Los Angeles, CA 4,394,104 228,493 685

Cleveland, OH 668,744 34,775 104

Phoenix, AZ 1,665,188 86,590 260

Baltimore, MD 81,370 4,231 13

Detroit 1,080,254 56,173 169

San Francisco, CA 1,659,934 86,317 259

San Diego, CA 1,080,254 56,173 169

Total 11,622,493 604,370 1,813

 COPD Prevalence per market and CT =0.3%


Facebook-Consumers

Metric Campaign 4x year


CPC $ 1,758.72 $ 7,034.86
CPM $ 12.94 $ 51.77
Total $ 1,771.66 $ 7,086.63

Total Cost per year = $7,086.63


Pull to Professional and
Consumers- Digital
 Paid Search
 COPD
 COPD + Spirometry
 COPD + Home + Spirometry
 COPD + FEV1
 COPD +Home +FEV1
 COPD + FVC
 COPD + Home + FVC

119
Google Search Ad Costs
 The average small business using Google Ads spends
between $9,000 and $10,000 per month on their Google
paid search campaigns. That's $100,000 to $120,000 per year.

 AVG per month = $9,500


 4x a year = $38,000
Total Costs
Element Annual Cost

Dinner Meetings $27,264

Sales Reps $320,000

Collateral $13,575

Web/Podcasts $4,000

Local TV $907,020

Newspaper $182,000

Social $7,087

Search $38,000

Total $1,498,946
Budget

Media Plan and


Costs
References
 2019 Global Initiative for Chronic Lung Disease.
 2020 Global Initiative for Chronic Obstructive Lung Disease.
 AIDAR https://aidar.com/alhome/
 Bryant, G. CMS Guidance for Remote Patient Monitoring (RPM). (2020, Jul. 21). ICD10 Monitor.
https://www.icd10monitor.com/cms-guidance-for-remote-patient-monitoring-rpm
 Chronic Obstructive Pulmonary Disease (COPD). (2018, Feb. 21). CDC.
 COPD causes and risk factors. American Lung Association. https://www.lung.org/lung-health-diseases/lung-disease-lookup/copd/what-causes-copd
 COPD: Facts, statistics, and you. Healthline. https://www.healthline.com/health/copd/facts-statistics-infographic
 COPD prevalence. American Lung Association. https://www.lung.org/research/trends-in-lung-disease/copd-trends-brief/copd-prevalence
 Digital health industry categorization. Digital Therapeutics Alliance DiME. Node Health.
 DTx market. Marketline.
 Funding to Europe-based digital health companies. CBInsights.
 Key facts about the uninsured population. (2020, Nov. 6). Kaiser Family Foundation.
https://www.kff.org/uninsured/issue-brief/key-facts-about-the-uninsured-population/
 MacIntyre, N.R. Toward reducing COPD hospitalization. (2020, Jan.) Respiratory Care.
 Mathers CD, Loncar D. Projections of global mortality and burden of disease from 2002 to 2030. PLoS Med 2006; 3(11): e442.
 Mensik, H. (2021, Jan. 20). How Biden might shore up the Affordable Care Act. Healthcare Dive.
 NuvoAir. https://www.nuvoair.com/pages/therapies
 Ross, C. (2020, Sep. 1) Telehealth grew wildly popular amid Covid-19. Now visits are plunging, forcing providers to recalibrate. Health Tech.
https://www.statnews.com/2020/09/01/telehealth-visits-decline-covid19-hospitals/
 Safka, K. A., Wald, J., Wang, H., McIvor, L., & McIvor, A. (2017). GOLD stage and treatment in COPD: a 500 patient point prevalence study. Chronic
Obstructive Pulmonary Diseases: Journal of the COPD Foundation, 4(1), 45.
 Spire Health https://www.spirehealth.com/
 Stewart, C. Digital therapeutics market revenues worldwide 2016-2025. Statista.

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