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SaskTel

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by

Samantha Kennedy

on 10 April 2014

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Transcript of SaskTel

Overview: Canada's Health System
Universal health care
Funded through taxes and donations
Aging population
Overcrowded hospitals
Overview: Saskatchewan
Sixth largest province
Highest population of 65+
14.88% of aboriginal descent
Overview:
SaskTel
Full service communication company
Executive team
LifeStat service
Overview:
LifeStat
From home patient monitoring
Diabetes patients
Hypertension patients
Successful trials
Potential distributors
Competitors
Samantha Kennedy
Zach Krebs
Dan Romage
Kellie Wasco

SaskTel
Diabetes
Customers
Diabetes Association of Canada
8.3% of population of Canada
78,421 in Saskatchewan
High prevalence in aboriginals
Hypertension Customers
14.9% of Canadian population
Expected to grow
153,937 in Saskatchewan
S
W
O
T
trengths
eaknesses
pportunities
hreats
Problem Decision Statement
How can SaskTel get LifeStat "off the ground" and be successful in six months?
Highly recognized

Reasonably priced

Easy to use

Independence

Connects directly

Trials
8.3% have Diabetes

15.9% have hypertension

Increased spending

Citizens 65+

Overcrowded hospitals

Hypertension is expected to rise
Low percentage willing to purchase

Relies on initiative

Limited experience

Not known nationwide
Many entrants

Highly competitive

Lack of willingness

Substitute products

Demanding distributors
List of Alternatives
1. Launch Strategy
2. Distribution Channel
3. Promotional Strategy
4. Pricing Strategy
Alternative One: Nationwide Launch
Pop. 31,612,897
8.3% has diabetes
14.9% has hypertension
$1.2M promotional budget
8% of diabetes patients would buy
May be seen as too aggressive
Alternative One:
Saskatchewan Launch
Pop. 968,157
8.1% has diabetes
15.9% has hypertension
$300,000 promotional budget
2% of hypertension patients would buy LifeStat
Alternative Two: Shoppers Drug Mart
1000+ stores in Canada
Large portion of pharmaceutical retail market
Only nationwide channel
45% margin on hardware: $709.05
$75 commission on all contracts
Alternative Two: London Drugs
45M customers
Located solely in Western Canada
Several departments
48% margin on hardware: $723.72
$75 commission on all contracts
Alternative Two: Safeway Pharmacy
Located in Western Canada & US
182 stores in Canada
Located in grocery stores
Focused on diabetes
40% margin on hardware: $684.60
$75 commission on all contracts
Alternative Three:
Promotional Strategy
Alternative Four:
Pricing Strategy
$50-65 dollars a month
Hardware fixed:
Glucometer Accessory $48
Landline $120
Blood Pressure Monitor $120
Cell phone $150
Glucometer $51
Television
Discovery Health
Diva Showcase
Radio
Direct Mail
Trade Show
Canadian Diabetes Association
E-Health Conference
Newspaper
The Globe and Mail
Canadian Health
Direct Sales Team
Criteria for Decision
Reach potential customers
Increase product awareness
Reasonable & achievable
Alternative One: Nationwide Launch
Reach potential customers
Increase product awareness
Reasonable and achievable

Alternative One: Saskatchewan Launch
Reach potential customers
Increase product awareness
Reasonable and achievable

Alternative Two: Shoppers Drug Mart
Reach potential customers
Increase product awareness
Reasonable and achievable

Alternative Two: London Drugs
Reach potential customers
Increase product awareness
Reasonable and achievable

Alternative Two: Safeway Pharmacy
Reach potential customers
Increase product awareness
Reasonable and achievable

Decision Recommendations/ Action Plan
Saskatchewan launch
Safeway Pharmacy
Promotional Budget $300,000
Pricing: $60
Alternative Three:
Promotional Strategy
Alternative Four:
Pricing Strategy
Breakeven Analysis: Fixed Cost
Breakeven Analysis: Nationwide
Alternative Three:
Promotional Strategy
Breakeven Analysis: Saskatchewan
Full transcript