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Master Of International BusinessManagement International de

Projets et NTIC

Marketing Coursee911 – Marketing Plan

Professor:DAVID Jean-François

Team Associates: AMMOR ZinebGUITTET GrégoireLANGLOIS GuillaumeLEKBIR SoniaLI Huan Qing

September 25th, 2006.

SHI Jin

MIB Dauphine – Marketing Plan e911 2

Table of content

I. Executive Abstract_______________________________________________3II. Introduction___________________________________________________4

A. Context_____________________________________________________________4B. Objectives___________________________________________________________4C. Methodology_________________________________________________________5

III. Supply analysis________________________________________________7A. Overview____________________________________________________________7B. Size and evolution of the market (PEST Analysis)__________________________8C. A diversified offer____________________________________________________10D. Supply mapping_____________________________________________________11

1. Mapping analysis__________________________________________________________112. Direct competitors_________________________________________________________113. Indirect competitors________________________________________________________12

IV. Demand segmentation__________________________________________15A. Customers’ needs___________________________________________________15

1. Physiological needs________________________________________________________152. Safety needs_____________________________________________________________153. Belonging needs__________________________________________________________154. Esteem needs____________________________________________________________165. Self-Actualization__________________________________________________________16

B. Demand segmentation criteria_________________________________________171. Overall segmentation criteria_________________________________________________172. Selected criteria___________________________________________________________20

V. Our innovations_________________________________________________21A. Internal and external analysis (SWOT)___________________________________21B. Target_____________________________________________________________22C. Market positioning (Who When Why Competitors)________________________22D. Projection of sales and profit__________________________________________23

VI. The marketing mix (6ps)________________________________________24A. Product description__________________________________________________24B. Price______________________________________________________________24C. Place______________________________________________________________25D. Promotion__________________________________________________________25E. Processes__________________________________________________________25F. People_____________________________________________________________26

VII. Recommendations_____________________________________________28VIII. Conclusion_________________________________________________29IX. Appendices___________________________________________________30


I. Executive Abstract

High technology has influenced the worldwide product and service market, including the medical field. Medical Intelligence Inc. is a Canadian company innovating and expanding its medical technology for the patients.

Medical Intelligence is the leader of the mobile tele-security industry. This personal permanent security becomes reality by integrating communication technologies to the healthcare center. It uses telecommunication, the GPS system, and artificial intelligence amalgamates. Medical Intelligence conceives detection and localization portable devices for the benefit of people who suffer from cognitive disorder or cardiovascular diseases. The business operates in the field of medical tele-security and its mission is to enhance life quality of the people suffering from diverse health concerns.

The syndrome of Alzheimer concerns about 10% of the over 65-year-old people, and particularly about 9.4 million in France, a certain part of whom were found in an urgent situation at their domicile. In order to insure the security for this kind of patients, Medical Intelligence has developed a product including the telephone and the geo-localization of GPS service for the French market - the telephone-bracelet Columba.

Medical Mobile, subsidiary of Medical Intelligence in France, collaborated with the European firm Modelabs to distribute this innovative medical product. At the same time, we outsourced the telephone mobile operation to Orange, the call center service to AXA Assistance and the factoring management to LOCAM SAS. Also, Medidep, an association with a network of medical residences and clinics in France, is another important partner in this international project.

We work on the marketing strategic department of Medical Intelligence, we are presenting a proposal to our board of directors in order to convince them to integrate an innovative technology into the bracelet Columba. This new product named Columba 2 can bring added value to meet the needs of the patients and medical assistance institutes.GOOD


II. Introduction

A. Context

The Vision of the company : Mobile tele-security

Medical Intelligence Technologies Inc. is known as the world leader of mobile tele-security industry. This new industry integrates information and telecommunication. It combines mobile telephony, intelligent alert and GPS to the benefit of health care sector.

Its French subsidiary, Medical Mobile has distribution and operation exclusiveness in France for products and services of the society. With the marketing development of the phone-bracelet in France, the Spanish subsidiary of Medical Mobile can offer a forward opportunity for our international expansion.

With these supposed needs, how can we expand our new designed product Columba 2 to the targeted market in France, and even if possible in the other European countries?

The mission of the company: Enhance quality of life and security of persons stricken by diverse diseases.

Medical Intelligence Technologies Inc. uses the most recent locating technique by A-GPS positioning to the benefit of suffering and in lost of autonomy persons. Each of our devices integrates intelligence that allows an automated alert to be sent via wireless telecommunication when significant anomalies are detected with the wearer. This function assures a constant monitoring of the wearer, either at home or on the go.

With the high fatal risk of nearly 60% of the patients suffering from Alzheimer, more secure support should be targeted to the medical assisted accessories. Once in urgent situation, the patients’ emergency information has to be transferred by the bracelet assisted with freehands, which informs:1) where are the patients located;2) what do the important medical parameters and emergency indicators (pulse, blood pressure and medical antecedents) show.

Our first product, the Columba phone bracelet, is devoted to stem the consequences of wandering and disorientation, a major problematic lived by more than 24 millions of persons stricken by Alzheimer’s, around the world.

With the growing number of the Alzheimer’s, our second generation of Columba could be more efficient by improving the quality of their everyday life, and enhance their health security.

B. Objectives

Identifying the potential market for the medical mobile technology; Clarifying the satisfying requirements of the consumers; Justifying the financial decision within the project; Management of the partnership with rational collaborators, outsourcing and subcontractors.

OK


C. Methodology

Methodology:

In order to fulfil our marketing strategic research, we followed a methodology. After the information seeking an initial market analysis, we saw that there was an opportunity to add the innovations to our first generation of the product.

To understand the positioning of our idea, we analyzed the supply side, the demand side, and finally the product/market side. To have clear and global view of our research we used the following tools:ok

Supply analysis- PEST analysis is used to identify the political, economical, social and technological

factors, making us clear about the potential opportunities and barriers.- Mapping of competitive position/business strength indicate the competitors (ie: DHS,

Mobilthon of France Telecom, Voice-Alert, Datafugue), as well as their relative position in the competitive market.

ok

Demand segmentation- This analysis using Maslow’s hierarchy needs theory reveals that, our innovative

product can answer the customers’ requirement from the basic level and highest level.ok

- We selected some vital criteria to locate the demand, such as: age, annual income as social-demographical criteria, and behavioural criteria.

Product and market analysis- SWOT analysis is so important because, we can see our internal strengths and

weaknesses to have self-awareness, and we can envisage the external opportunities and threats to maintain a self-accommodation.yes

- Market positioning analyses our target customers, our marketing objective, the service availability, and the oppositions.

- Market mix (6ps including product, price, place, promotion, processes and people) is illustrated in detail to present our marketing gameplan!.


Planning:

Our e-911 marketing team focus on the knowledge sharing and trust of our team members, so we breakdown our tasks to deliver results.

Task Sub-task Responsible Start deadline

Formation of team e-911 Team 01-09-2006 01-09-2006

Data collectionTeam 01-09-2006 06-09-2006

Project definition Final product and service decision

Team 07-09-2006 10-09-2006

Assignment and team planning

Zineb 11-09-2006 11-09-2006

Additional data collection

Team 13-09-2006 15-09-2006

Marketing research

Objective, vision, mission

LI 16-09-2006 17-09-2006

Supply analysis and PEST

Zineb 18-09-2006 19-09-2006

Supply mapping and competitors searching

Sonia 19-09-2006 20-09-2006

Demand segmentation

Guillaume 21-09-2006 22-09-2006

SWOT analysis, sales projection, and recommendation

Grégoire 22-09-2006 23-09-2006

Marketing mix (6 ps)

SHI and LI 22-09-2006 23-09-2006

Report organization

Guillaume 24-09-2006 25-09-2006

Project presentation

Team 26-09-2006 26-09-2006

ok


III.Supply analysis

A. Overview

We are part of Medical Intelligence which is a Canadian Company; we are working on a new project which consists on improving the bracelet Columba, by integrating new technologies.Before explaining our project, we will give an overview of the targeted market of the company, specifying its work and purposes.

Medical Intelligence is a Canadian company which designs localization transportable and detector receiving sets for people suffering from cognitive disorders or cardiovascular diseases.Medical Intelligence works in the field of human telesecurity and has the role of improving the quality of life and safety of people with various problems of health.The company creates and distributes portable instruments combining geolocalization, telemetry and biometrics which will allow a regular monitoring, accompanied of an alarm automated by telecommunication without wire; which works if there are significant anomalies.OKHaving specialized and adapted techniques in localization by GPS positioning for the benefit of sick people or in loss of autonomy, and having combined these techniques with those of biometrics, telecommunication without wire and automated alarms, Medical Intelligence aims at becoming a major actor of the sector of the human telesecurity.

Medical Intelligence identified two main markets for its products: people with cardiac problems and people with problems of cognitive disorders such as the disease of Alzheimer. OKMedical Intelligence began its efforts from marketing in 2004; Medical Intelligence is a company working mainly at the stage of the development.

The Columba bracelet is a miniaturized and ergonomic bracelet, with advantageous design. This bracelet contains a system of geolocalization (GPS helped), of a transmitter/receiving GSM/GPRS including a SIM card and transmitting voice and data as well as an intelligent software system of detection and alarm.Thus the Company intensified its efforts of development of the businesses and search for partners in order to prepare for the commercial launching of Columba in France and in other markets such as Spain, and to generate incomes. Until now, 330.000 $ were invested for the research and the development of the products, and 234.000 $ were allocated with preliminary efforts of development of the businesses and marketing.GOODMedical Intelligence has now different and numerous partners who will allow the product to grow and to be more and more well known and recognized as a very practical, indispensable and irreplaceable. The company, based in Quebec, also has an office in Paris; Medical Mobile which is in collaboration with the Orange mobile operator of telephony.Medical Mobile also collaborates with ModeLabs, a new generation actor telecom, which develops an offer of “Mobile One Demand” allowing within an integrated process to design, develop and distribute mobile telephones, accessories and services bound for operators, of distributors and very well known brands in order to extend the sale of the Columba bracelet-telephone to the major networks of mobile distribution in France: super and hypermarkets and specialized stores “L'intérêt d'un réseau comme celui auquel s'adresse ModeLabs pour notre bracelet représente un avantageux complément de distribution”, declares Louis Massicotte, president of Medical Mobile and founder of Medical Intelligence. “En effet, cela permettra au consommateur de retrouver le bracelet Columba non seulement en pharmacie, mais également dans les points de vente de téléphonie mobile, offrant ainsi une plus grande accessibilité du produit”.OK GOODConcerning the Spanish market, Medical Technologies Inc. Intelligence has signed a letter of intent with SEUR Pharma S.A., a provider of distribution solutions for pharmaceuticals, to consume health care products and medical devices, to distribute its Columba phone-bracelet in Spain.


B. Size and evolution of the market (PEST Analysis)

Our product « Columba2 » aims the market of people suffered from the disease of Alzheimer. To understand this market and environment we will use a PEST analysis.

a) Political

The French Prime Minister Dominique De Villepin issues the fight against Alzheimer “great national cause” in 2007. It was the 21st of September 2006 in Nice for the national day of fight against the disease of Alzheimer. After the “l’égalité des chances” in 2006, Dominique de Villepin decided Thursday to make fight against the disease of Alzheimer, which currently concerns some 860.000 French, the “great national cause” of 2007. He declared "Nous voulons franchir une nouvelle étape" in the fight against this neurodegenerative disease. For him, it is “a major challenge for our society”, “To fight against Alzheimer, the determination of the government is total”, declared Mr. De Villepin.YESWhereas the rate of “running away” or “wander” for people suffering from the disease of Alzheimer reaches nearly 60%, with a high risk of fatal outcome, if the people are not found quickly, our innovation bring a revolutionary solution to the problems to which are confronted families and medical staffs of the retirement homes.

To avoid any disappearance, the bracelet Columba2 automatically detects each exit of a secured zone around the residence of the patient or retirement homes. This zone will have been defined before by the family of the patient. The bracelet Columba 2 then alerts a medical call centre. Good If the person is in danger, and that its vital signs are weak, our bracelet then alerts a medical call centre, operative 24h/24 and 7d/7, which can geolocalize the carrier of the bracelet, which as quickly as possible sends an ambulance; and contacts the family or the medical staff of the retirement home in order to coordinate the assistance.

b) Economical

In France, we count in 2006 already more than 850.000 patients and 165.000 new cases each year. The loss of space-time reference is one of the principal symptoms: approximately 60% of the patients of Alzheimer are made to run away or live situations of disorientation.In France, we have 850.000 X 60% = 510.000 potential customers; only for this year (in the phase of launching our product).

The cost of the disease:A patient represents 22.099€ annual, medical and medico-social expenditure. The medical expenditure is assembled to 5.731€ by patient. The total amount of this expenditure is estimated at 1 billion euros per year, of which 97% are dealt with by the sickness insurance. The expenditure known as medico-social rises to 16.307€ by patient. Even if the APA (Personalized Allowance of Autonomy) gives a real support, this expenditure is still insufficiently taken into account: 55% of this expenditure remains on the charge of the families.OK


c) Social

The high average age of the population would be the cause of this increase. The majority of the patients have, indeed, more than 60 years and this age bracket increased 6% between 2001 and 2006.okMartha Favre, nurse-council with Swiss Alzheimer, however indicated to the ATS that the disease did not concern only old people but also the people between 30 and 50 years. These early forms would account for approximately 10% of the cases and would be hereditary.

During the 50 next years, the number of people of more than 60 years will increase by 9 million. In all the cases, the share of the sexagenarians in the total population will increase significantly. From 20,6% of the total population in 2000, it will increase till 35% in 2050. Today, nearly 10 million French are 65 years old or more, they could be 18,7 million in 2050, i.e. 29,2% of the population in 2050 (18,1% for the 75 years or more and still 7,5% for the 85 years or more). As for the old people of more than 85 years, 1,3 million in 2005, they will be 2,1 million since 2020.okHowever, because of the high average age of the population and the improvement of the diagnosis, projections for the coming years are very worrying. Thus, if the things do not evolve, in particular on the level of research, 1,3 million people would suffer from it since 2020, that is to say a person of more than 65 years out of four, as have just pointed out it association France Alzheimer on September 21, 2005, at the time of the 12th world day devoted to this disease. For a patient, who gradually loses his sense of orientation and his clearness, helping him must constantly adapt to help him to do things of daily life.Indeed, as the disease gains ground, these are the basic acts of the daily life which become complex operations, to see impossible, because the patient is not able any more to remember ritual of the daily life, many times accomplished before. A “standard day ago” with a patient of Alzheimer, because all depends on advanced on the disease. One can nevertheless mention problems which all the helping families encounter.The night: the helping person must remain on its guards 24h/24, 7 days /7, 365 days per year, whatever the stage of the disease is. The night, the patient, if he is still valid, can for example escape from its house or to wander in the house and to cause an accident. For a more advanced stage of the disease, when the patient cannot move any more, it is necessary to lend the ear, because the patient can have difficulties breathing or to even choke himself.

d) Technological

If the carrier of a Columba bracelet leaves the usual geographical sector where it has bench marks, the system sets off an automated alarm to warn the families or the medical staff. Operating 7 days a week and 24 hours a day, a medical call centre can immediately locate by satellite the precise place where the person is. It is also possible to enter in communication with the patient thanks to the function loudspeaker hand-free of the bracelet, via the medical call centre. This technology results three years of research and rests on intelligent software of detection and alarm, a system of geolocalization GPS-assisted and a transmitter-receiver GSM/GPRS equipped with a SIM card. The telephone exchanges and the data transmissions are based on the mobile network of Orange and the services of AXA Assistance.yesOur technical innovation consists in integrating into the bracelet 2 miniaturized devices, which do not change anything with the design nor with ergonomics of the first Columba bracelet, but which make it possible to take the pulse, the blood pressure of the sick person, and which thus allow to alert the medical call centre when necessary, so that this last sends an emergency ambulance; more especially as the last integrated device is a miniaturized chip containing the medical past of the patient.


C. A diversified offer

To integrate into the mobile bracelet Columba the miniaturized devices of blood pressure, pulse, and medical file of the patient makes it possible for Medical Intelligence to widen its sphere of activity, through this diversification.The number of families who worry about their close relations (father, mother, brother, sister…) concerned by the disease of Alzheimer is very large. With our new Columba Bracelet, they can be sure that if there is any medical problem, an emergency ambulance will be sent by the medical call centre which has all the information about the patient (pulse, blood pressure and medical antecedents).This new technology really brings safety and well being to the families and patients who can from now on be comforted in case of wander of the patient. So with this offer, Medical Intelligence can approach more and more people touched by Alzheimer, and their families.Moreover, the number of potential sales of the new bracelet will certainly increase because this last contains essential functions for the customer/ patient.Indeed, this new solution exploits the psychology of the customer, who is ready to invest in a new practical technology, effective and especially which ensures the safety of the patient, and who consequently reassures the families and the medical staff of the old people's homes.It is true that the market aimed by our bracelet remains the same one as that of the Columba bracelet; i.e. people touched by the disease of Alzheimer; however our diversification will allow the company to sell more bracelets because they are even more useful and more efficient. Thus this innovation will allow Medical Intelligence to gain in terms of shares of market and thus to increase its profitability and its incomes.yes


D. Supply mapping

1. Mapping analysis

2. Direct competitors

Medical intelligence don’t have direct competitors on this new product, indeed there is not a product, which can integrate a pulsometer, and a basic chart of data of medical information of the patient in the bracelet Columba. yesWe can find products which is only a pulsometer or a product that allows to localize the patient.yesHowever, it exits on the market a product which can compete with our new product but which is designed particularly for old people and not for the patient of Alzheimer.

DATA HEALTH SYSTEM (DHS)

All this part a bit too "wordy". Send some parts to appendixesData Health System (DHS) designs, manufactures and markets for depending persons an innovating device of alarm which appears itself as a watch bracelet standardized; this device presents the


DHS

Mobilthon

Voice alert

Columba 2

HIGH LOW

LOW

HIGH

COMPETITIVE POSITION / BUSINESS STRENGTH

Business strength

Market attractiveness(Growth rate)

COMPETITORS

COLOMBA 2

innovating characteristic to start alone an automatic alarm in the event of fall of its carrier, without any human intervention.This product is not really a direct competitor but it can be considered as it since, even if it can not allow to localize the patient, it allows to detect fall. Ynolis is intended for the people alone, victims of a fall and which are in the incapacity to require of the assistance. Then Ynolis sets off an alarm transmitted to the people likely to go near the person which fell. In the event of fall, information is transmitted to the medical team, on a host computer or personal bippers, by air radios compatible with the hospital standards.Effectively, patients of Alzheimer are very often victims of fall because they often present disorders of memory, or confusion. So our clients can be interested by this kind of product, because if the patient are lost and disorientated.This watch bracelet can help them if they fall. Moreover, Ynolis can also alert when its carrier leaves a definite zone, and can help to locate the carrier of the watch by zone and especially all information relating to the accident can be conveyed until the beepers of the looking after personnel. However this product is sold only at the retirement homes. Effectively Ynolis allows to alert when a patient go out the definite zone, which is very often the retirement home. However it is a product which is designed for the old people and who addresses themselves more particularly to the retirement homes if an old person would leave this zone. But, thereafter, the contractors plan to turn to the systems of remote monitoring in residence, in order to propose this service with the people who live at them but wish to profit from this safety. Later on, the coupling with a portable telephone able to transmit information, or with a monitoring system per satellite could even allow the wandering monitoring, during the displacement of the people out of their residence.The selling price for each bracelet should lie between 100 and 200 euros, with a variable subscription between 40 and 80 euros per month, indicate the contractors.ok

3. Indirect competitors

On the other hand, there are many indirect competitors:

MOBILTHON

However, France telecom market « mobilthon » makes it possible to come into contact with a helping person, thanks to a classification containing voice synthesis (four call numbers of the close family); the patient can for example in the event of fall pronounce a name, the one of his daughter or his son and return automatically in contact with him. The scarf is also equipped with a detector of fall and thus its indication towards a close family or a center with call. The scarf can also be a relay of transmission of biomedical information of heart rate type towards a station control room (telemedicine).It is the only one, which can be consider as a competitor since it plays also the part of a detector of fall and an indication in the case of fall. So with all these equipments, our new product can be competitive because the patient can feel more in safety in the case of fall, that occurs very frequently during the disappearance, because of the indication and the transmission of biomedical information. Thus, this equipment could be easily adapted to the situation of some Alzheimer patient in the residence.okHowever our new product is the only one which can guarantee a real freedom since the patient can go out and walk away and guarantee a real safety since in the case of the disappearance of the patient, the call center can now know all medical information of the patient and know in live its pulmonary tension.


VOICE-ALERT

VOICE-ALERT is a system of detection 100% without wire which can receive an unlimited number of detectors of radio presence which function as well outside as to inside enable you to control up to 6 types of different situations and to diffuse up to 6 specific and personalized messages that you will have recorded yourself according to the detector, or groups of detectors, which will have been requested. VOICE-ALERT is a means of INFORMATION, but VOICE-ALERT can be also a means of dissuasion if you install detectors outside. It means that it can be considered as a system “anti-running away” of control of exits for the people under assistance or medicalized monitoring; and this with a price of 282 euros.

ALARM PRESENCE and INTRUSION. Control of the access and the accesses, in order to inform of any awaited or unexpected

approach… - Control of entries of properties, stores… - Alarm supplementary to night and at the time of your presence not to start the existing

system…ALARM MONITORING, ASSISTANCE.

- Children: to know as soon as they approach the swimming pool or a dangerous place. To prevent that they go in the street without accompaniment…

- Old People: anti-running away of the people under medical assistance. - Assistance speaking for the people with visual deficiency. - Alarm of exit…

DIFFUSION OF MESSAGES. - Messages of dissuasion in the event of approach. - Messages of danger to zones which it is necessary to avoid. - Messages of information: fast presentation of an object d'art, a product… to guide a visitor… - Advertisements of safety.

These multiple applications can make us believe that this voice alert is a competitor, but this product can permit patients to go out as they want and do not guarantee a freedom and a safety outside. Voice alert is designed for a definite zone which is retirement home. Whereas our product allows to go out in safe.

DATAFUGUE

In the same idea that voice alert, it is a protection system anti-running away intended for the medical environment. It protects the hospitals and the retirement homes against the running away from the disorientated or conscious patients. If the patient leaves the zone, an alarm is set off to find the patient.


But as voice-alert , this product do not give all information about the patient when he was outside the zone , so the hospitals and the people's home can not know in which state is the patient and if he is in good health.

This system allows only detecting if an old person leaves the zone. Moreover this system is designed only to hospitals and retirement home.

And some products which can be considered as direct competitors are under way and not yet on the market:

AN ELECTRONIC BRACELET

Fraunhofer Institute, organization of German research, presented an electronic bracelet integrating various sensors of biological parameters and a module of communication without wire for the medical follow-up of the patients into residence .The bracelet comprises to sixteen sensors which monitor vital parameters like the temperature, the rate of oxygenation of blood, the blood pressure or the rate of heartbeat. The encrypted data are finally sent under IP towards a center of care, via Internet or a private network. But the case being as a footbridge and that receives all information by the bracelet of the patient, which connects the patient to the doctor, could also be mobile and carried by the patient, releasing his moving from its residence thanks to a transmission of the data .This product allows to know the health state of the patient, however it does not localize in the same time the patient if he is lost.

SENSORS WHICH ARE INTEGRATED IN THE GROUND

The University of Virginia developed sensors which are integrated in the ground of the apartments. They can follow the movements of a person, recognize the changes in its step, detect the falls and thus send a message of alarm to a close family so necessary. The team of researchers also imagined a bed which analyzes the breathing and the pulse of the patient. In the event of problem, an alarm is set off to inform helping them or the looking after personnel. But it stays a product which forces the patients of Alzheimer to stay at home to profit from this product.

PULSOMETER

It is another project that consists in detecting the cardiac pulsations to an arm-band carried by the old people.But it stays only a system of detection of the vital parameters since it does not permit a localization.

After seeing all products which can compete with Columba 2, we notice that no products are able to localize a patient outside and at the same time control its pulmonary tension in the case the patient will be lost and disorientated. Then a center can know all information about the patient: its medical record and its tension in real-time.The other product do not permit the patient to go out as he wants, all control take place only inside. But the technology advances rapidly, technological products are more and more improved because of the demand.Few products are intended to the patients of Alzheimer, the main competitors sell products which are intended to old people.


Very good competitive analysis….

IV. Demand segmentationThe purpose of the analysis is to understand the customer needs and the several advantages

expected from the client in order to segment the demand. The marketing does not create a need but generate a desire from the customer. One of the function of the marketing is to match one of the product advantage with the client need.

A. Customers’ needs

The analysis will be based on the Maslow’s hierarchy of needs in order to identify the customer needs and to be able to estimate the advantages which result from it.

Maslow's hierarchy of needs

1. Physiological needs

The physiological needs are the subsistence necessity of the human body. These consist mainly of the need to breathe, the need to regulate body temperature, the need for water, the need for sleep, the need to eat, the need to dispose of bodily wastes, the need for sexual activity and the need to avoid pain.

For the scope of the analysis, the main physiological need is the necessity to breathe and to regulate the body health. Customers interested by the use of the product usually suffer from health disturbance.

2. Safety needs

One the physiological needs are met, the safety needs will emerge. The safety and security needs are ranked above all other desires. These include security of employment and revenues, moral and physiological security, familial security and security of health.

For the scope of the analysis, the main safety need is the security of the customer health and family peace of mind for its relatives.

3. Belonging needs

After physiological and safety needs are fulfilled, the third layer of human needs is social. This involves emotionally-based relationships in general, such as friendship, sexual intimacy and having a family.


For the scope of the analysis, the main belonging need is to be the member of an organized structure which will take care of the two previous layers of the human hierachy of needs.

4. Esteem needs

The esteem need is the necessecity for any human to be respected, to self-respect and to respect others. People need to engage themselves in order to gain recognition and have an activity or activities that give the person a sense of contribution and self-value, be it in a profession or hobby.

For the scope of the analysis, the main esteem need is to enable people to call for assistance by themselves generating a sense of autonomy.

5. Self-Actualization

The self-actualization factor is the need of people for self-achievement and social accomplishment.

For the scope of the analysis, the main self-actualization need fulfilled by the product is the access to the last innovation in terms of technological improvement and the opportunity to use the best service available at this time in the matter of assistance.


OK, not so bad…

B. Demand segmentation criteria

The purpose of this part is to identify the criterias which will lead the customer to use the product. On the fisrt hand, the analysis will focus on the segmentation of the overall demand in terms of accessibility, estimation, feasibility, profitability and relevance. On the other hand, the relevance of the selected criteria will be demonstrated.

1. Overall segmentation criteria

a) Geographical criteriaEstimation:

The main telephony companies use this element as a commercial advantage; it is thus very easy to estimate. The European GSM cover is estimated between 90 and 100% of the territory.Relevance:

It is a very interesting point because it will be a restricting aspect for the use of the product.Accessibility :

Most of the European territory is covered by wireless telephony services which will allow the use of the product on a wide area and on people used to technologies.Feasibility :

Already existing technological markets are in place in Europe so the delivery of a new product will be easy.Profitability :

It is a really good point because it is feasible and relevant to the analysis.OK

b) Socio-demographical criteria

(1) AgeEstimation:

A lot of demographical studies are leaded every year in order to follow the evolution of the population. For example, the INSEE website offer very easily in access the statistics of its 2005 census.

All Men WomenTotal 62 886 171 30 549 235 32 336 936Less than 20 years 15 772 987 8 063 814 7 709 173From 20 to 64 36 904 763 18 287 676 18 617 08765 and more 10 208 421 4 197 745 6 010 676

Relevance:Customers who will get an advantage by using the product are usually suffering from diseases

because of the ageing. Segmentation according to the age is though relevant.Accessibility :

It is easy to collect this kind of information by the use of INSEE studies.Feasibility :

Because the statistics are based on a national study, the numbers can be quiet trusted so it can be a useful criteria for the segmentation.Profitability :

It is a very good point because it is feasible and relevant to the analysis. ??? not clear

(2) Gender cancel this partEstimation:

Estimation can be deduced from the previous criteria.Relevance:


It is not very relevant because both sexes are suffering from ageing diseases.Accessibility :

It is very easy to access by the use of demographical studies.Feasibility :

It is easily feasible for the same reason quoted above.Profitability :

It is relevant to the situation but not necessary critical.

(3) Familial Life styleEstimation:

It is easy to estimate according to tax declaration if people are living single or in couple with children or not.Relevance:

It is relevant because in most of the cases, it is the relatives which are worried about the customer health.Accessibility :

It is very easy to access by the use of demographical studies.Feasibility :


It is relevant to the analysis because it can give some views on the way to advertise the product.OK

(4) Education levelEstimation:

It can be estimated from university and economic papers.Relevance:

Even if the product gathers most of the last available technologies, it is very easy to use. However the technological factor can create preconception barriers.Accessibility :

It is easy to evaluate by the use of previously quoted studiesFeasibility :


It is relevant for the communication aspect which will be used for the product.

(5) Socio-professional categoryEstimation:

It can be estimated from economic papers or by national studies.Relevance:

It is interesting but not a relevant factor.Accessibility :

It is easily accessible by the use specialized journals.Feasibility :

It is hardly feasible because it is not a critical factor of segmentation for this kind of product.Profitability :

It is an interesting factor if used in concert with income criteria.VERY IMPORTANT criteria….

(6) Annual incomeEstimation:

It is estimable by the use of economic papers.Relevance:

It is relevant in order to evaluate if people will be able to offer the price of the product.Accessibility :

It is very to segment people according to their revenues because they don’t have the same hobbies (located advertising, magazines).


Feasibility : It is easily feasible.

Profitability : A critical factor even if the health domain should not be lead by money.

OK

c) Psychographical criteria (personality and life style)Estimation:

Life style and environment are interesting for communication purposes but not especially critical.Relevance:

It is not relevant to the product.Accessibility :

It is accessible by the behavioural factor working in concert with this point.Feasibility :

It is the same as above.Profitability :

It is not a critical factor.

d) Behavioural criteria (frequency and fidelity)Estimation:

It can be estimated according to the databases of the health domain (without violating the private life).Relevance:

Because it is the health domain, this area is not liable to fashion criteria or fidelity if the product is satisfying the customer.Accessibility :

It is easily accessible because people are used to visit the same doctor or pharmacy.Feasibility :

It is easy to create a product which satisfy the customer because it is not subject to fashion.Profitability :

It is an interesting factor for the communication purpose.


2. Selected criteria

The segmentation criteria which should be used for the analysis are: The age

o In order to estimate the number of potential customer. The annual income

o In order to estimate the price of the product. The behavioural criteria

o In order to select the communication.

All this part is theoretically interesting, but a bit too big. The main ideas can disappear. Why not tsend that to appendixes…


V. Our innovations

A. Internal and external analysis (SWOT)

INTERNAL ENVIRONMENTStrengths Weaknesses

Leader & First mover: Our main strength is to be the first on the market. We can even say we created the market and we don’t have direct competitor. We are in a situation of monopoly.

Design: We know that some of our potential customers don’t buy our product because of its design. They think Columba is not enough aesthetical or they don’t want to be stigmatized as an Alzheimer patient.

EXTERNAL ENVIRONMENTOpportunities Threats

Design: According to the previous weakness, we can improve Columba’s design (in order to make it looks like a normal watch for example).

New markets: We can imagine that Columba will not be bought only by Alzheimer patient. It can be used for other applications and as we are developing Columba’s functions, this possibility of reaching new needs increases as well.

Partnership: Having many partners is a good way to penetrate new markets and to use their expertise sometimes missing by the Medical Intelligence (such as distribution for ex)

New entrants: The main threat is the coming of new entrants. We don’t face any competition right now, but we must envisage who will be our future competitors.

Technologies: The company needs the latest technologies to stay at a top quality level. A threat would be to see our technologies becoming obsolete.

Partnership: We have to be careful to not become too dependent of our partners.

Justice: We may face in the future a trial with a customer or his family with how our product didn’t work properly causing serious consequences.

Investment: The company is constantly developing its product. In order to do so, she needs cash to invest. For now, we didn’t miss investors but we will need to find more in the future.

OK, not bad


B. Target

The Columba bracelet was created especially for patients suffering from Alzheimer disease. Today we are making the proposal of integrating some innovations into this bracelet. However, we are not doing it in order to go on a new market. Our market remains Alzheimer patients.

With our additional innovations, Columba will have more functions and so will be more helpful to the patient. The more Columba will be useful and convenient; the more it will be an advantage for an Alzheimer patient to buy one.

So our target objective remains Alzheimer patients. Our marketing effort will be directed to this goal. But maybe some extra customers who don’t have the Alzheimer disease will buy our product. Maybe they will do so because the functions of Columba are solving some of their difficulties. Certainly Columba can correspond to other needs and so another market.

Even if we stay focus on our initial market, we will keep analyzing the evolution of our customers. If a significant part of them are no more just Alzheimer patients, we can then consider new marketing actions in order to penetrate deeply this new market.

C. Market positioning (Who When Why Competitors)


COMPETITOR?No direct competitor yet but we may stay vigilante of the threat of new entrants

WHY?Make the disease easier to live with daily, both for the patient and the family

WHEN?24h/24

7d/7

WHO?Alzheimer patients (user, can be the customer)

Their family (even if not the user, can be the customer)

ok

D. Projection of sales and profit

In France, there are 850 000 people suffering from Alzheimer (in 2006). Each year, we count 165 000 new patients.

The lost of space-time reference mark is the most common symptom in Alzheimer disease. About 60% of those patients get lost sometimes.

So in 2006, our French market would be around 850 000 x 60% = 510 000 potential clients.It should increase by 165 000 x 60% = 99 000 each year.

2006 2007 2008 2009 2010Potential customers (number of people

suffering from Alzheimer)

510 000 510 000 609 000 708 000 807 000

New patients + 99 000 + 99 000 + 99 000 + 99 000

Size of the market 510 000 609 000 708 000 807 000 906 000

ok, this is the open market. So what? What percentage of that will you take, year after year. What is ROI, break-even point? Something is missing !!!!


VI. The marketing mix (6ps)

A. Product description

Original Product : the “guardian angel” - Columba bracelet

Columba is a watch size bracelet combining “hands free” portable telephone, intelligent alert system and GPS positioning system. The word “Columba” is the Latin name of the racing pigeon which comes back home. This new design is obviously used for people suffering from a cognitive disease.

Concretely, the Columba bracelet, produced by the Canadian company Medical Intelligence, is a GPS-driven system with automated alert and audio communication to prevent Alzheimer's sufferers (people with a cognitive disease) from wondering away. It has a GPS-Assisted positioning system, a GSM/GPRS transmitter/receiver with a SIM card for voice and data, and an intelligent alert detection system. The bracelet is about one and a half the size of a watch and weighs 54 grams.

The new geopositioning phone-bracelet has been invented to prevent any disappearance. The Columba bracelet is able to detect automatically any

departure from a security zone surrounding the residence or nursing home. The “zone” is pre-determined by the patient's family or caregiver. The Columba then alerts a medical assistance centre that promptly contacts the family or caregiver to coordinate assistance efforts.

This medical assistance centre, which operates 24hours-7days, can accurately geoposition the bracelet wearer and establish audio communication. In other words, at the time of an emergency situation, Columba allows, not only to locate the carrier, but also to speak to him and evaluate the situation, thanks to the hands free system integrated into the portable.GOOD

New design with added values (the 2 new devices) – Columba 2

In fact, the rate of Alzheimer's patients that "wander" or "stray" is almost 60%, with a high death rate when they are not found quickly. Therefore, a serious situation or occurrence that happens unexpectedly to the Alzheimer's patients demands immediate action.In order to meet the needs of controlling their health situation at any moment, we aim to improve this Columba bracelet by adding two devices. - Add a micromodule which can measure the pulse and the blood pressure of the carrier YES- Add a small chip which contains the medical record of the patient YESThe innovation introduced today is a definitive solution to the problems of Alzheimer's sufferers because it’s like a siren which can give a red alert to the medical call centre or the families at the emergency. OK

B. Price

The Columba bracelet is being offered at an introductory price of EUR 199, including tax (which will rise to EUR 259 including tax). A EUR 59 monthly subscription fee (including tax) is also required for the Medical Mobile service, which includes 24/7 assistance, geolocalisation, and emergency communication. The suggested retail price of the new product Columba 2 with the added value is about EUR 300 because we have to plus the cost of the new devices. The monthly subscription fee is kept at EUR 59.


C. Place

Current market: France

At the moment, the “guardian angel” Columba bracelet is available only in France. It is commercialized by our subsidiary Medical Mobile.

Having been piloted from October 2005 to February 2006 in household and retirement home settings, the Columba is now being marketed via a network consisting of - 22,400 pharmacies in France- 700 France Telecom branch offices

For the purchase, the client can dial the Green number for France Telecom outlets : 0 800 11 22 33 (toll free) or by phoning Medical Mobile: 0 810 87 87 87 (local call fees apply).

Future market: Spain and other European countries

Medical Intelligence Technologies Inc. has just signed a letter of intent with SEUR Pharma S.A., a provider of distribution solutions for pharmaceuticals, consumer health care products and medical devices, to distribute Columba phone-bracelet in Spain.

The agreement provides that SEUR Pharma would be granted the right to be the distributor of the Columba system, designed to provide a definitive solution to the problems of wandering and disappearance caused by Alzheimer's disease, to some 20.000 pharmacies in Spain that are within its distribution channels. (From virtual medical world)"The future collaboration between Medical Intelligence and SEUR Pharma offers a great opportunity to work together on a really innovative project", stated Louis Massicotte, president-founder and chief executive officer of Medical Intelligence Technologies, “We are hopeful this could also lead to the expansion of our distribution network to other branches of the Movianto Group, SEUR's parent company, in other European countries.”.OK

D. Promotion

In order to popularize this new Columba 2, we will do the promotion through many channels:- put up billboard of the bracelet in both pharmacies and France Telecom branch offices- invite the well-known doctors in this field to present this new product for the media advertising, such as television or radio.- print and then give out the flysheet in the household and retirement home- create a database of clients interested in this new bracelet in the website, do the newsletters and send brochures to the identified key people.OK

E. Processes

We will add the new technology in the current product line.

YES? So easy to do?


F. People

Company

Medical Intelligence is an expert in the personal medical tele-security industry, integrating information and telecommunications technologies to the health care sector. The firm designs portable medical devices equipped with an automatic alarm system for the benefit of people suffering from cognitive disorders or cardiovascular diseases. The Québec, Canada-based company also has an office in Paris. Its French affiliate, Medical Mobile, is the first such company to provide medical "telecom" service, personal and mobile "telemedicine".OK

Operator of telecom

The company, based in Quebec, also has an office in Paris, where it profits from a collaboration with the operator of mobile telephony Orange. Orange, subsidiary of France Telecom, is one of the world leaders of mobile telephony. In France, Orange is the first operator of mobile telecommunications with more than 21,3 million customers at March 31, 2005.

ModeLabs Group is an actor telecom of new generation which develops an offer of “Mobile One Demand” allowing within a process integrated to design, develop and distribute mobile telephones, accessories and services bound for operators, of distributors and large marks. Since 1996, ModeLabs Group builds a solid position in the distribution of accessories of mobile telephony on the French market and also profits from commercial presences in Holland, Belgium and Switzerland.OK

Distributor

Since spring 2005, the company concluded from the agreements with Pasteur Mediavita, a subsidiary company of the Pasteur Institute which makes the evaluation of the distribution networks institutional and governmental, and DGX Pharma, an important distributor pharmaceutical which aims at deploying Columba in 22.400 pharmacies of France.

good


Partner 1 – MEDIDEP

Medidep is one of the actors of reference of the private sector of the assumption of responsibility of the dependence in France. Having nearly a hundred establishments (59 establishments of lodging for dependent old people, 25 private clinics of care of continuation and readjustment and 8 private clinics psychiatric), the company carried out a sales turnover of 273,1 M € in 2004.

Partner 2 – LOCAM

Medical Intelligence Technologies Announced on August 22, 2006 that its French subsidiary Medical Mobile has signed an agreement with financial institution LOCAM SAS (“LOCAM”) for the factoring of a substantial portion of its subscription revenues from its Columba phone bracelet tele-security services.

The agreement provides for LOCAM to advance Medical Mobile a significant portion of the subscription revenues for agreements signed by the company with institutions that purchase Columba bracelets. LOCAM will also be responsible for billing and collecting monthly subscription fees from institutional customers for a 48-month period.

This is an important agreement for Medical Intelligence, as it provides us with substantial cashflow on signature of sales contracts with large institutions and it will also help fund our commercial deployment strategy.”

Partner 3 – AXA Assitance

The center of medicalized call will be managed by CENTERED Assistance. The center of call medicalized, operative 24h/24 and 7j/7, precisely can géolocaliser the carrier of the bracelet and to enter in telephone call with him thanks to the function “hand-free” of the bracelet.Good


VII. Recommendations

Improvement of our product

We are the first mover and the leader in telemedicine. However we have to be careful on the development of our product. The patients must be sure that we stay up-to-date with the newest technology and we are always listening to their needs.In the future, if a direct competitor appears, we need to be seen by the patient as a high quality company.

Price

Even if we are in a monopoly market and even if we provide a high quality product, we need to keep a reasonable price. In the future, we should not increase too much the price of Columba because we continuously need to expend our market and also because of the threat of a new competitor maybe a low-cost one.

Marketing campaign

We should promote our product with a strong marketing campaign using all media we can (TV, newspaper, radio …). We should establish strong relationship with physicians, maybe organize telemedicine seminaries. We should put signs in retirement homes and in every place where the Alzheimer patients or their family could see them.

Partnership

We have to take advantage of our partnership in France with Orange. Thanks to this well recognized company we are able to build a strong brand image. And because Orange is well implanted in the country, it allows us to penetrate deeply the market.

International Expansion

We can extend this concept of partnership to keep on spreading our product abroad. We need to find the right partner for each country and use them to become an international company.


VIII. ConclusionOur e-911 marketing project is to present to our board of directors the innovative idea of Columba 2 to gain more market share. For the scope of analysis, although we are actually the only supplier of this multi-functional kind of medical telephone-bracelet (GPS+GSM+free-hands), the product and the service still have to be continuously improved and innovated to facilitate the consumers as well as possible.

The overall purpose of strategic marketing planning, and its principal focus is the identification and creation of competitive advantages. The application of e-Health can be considered as the competitive advantage facing the market of health industry of emergency and critical care:

According to the “e-Health Ministerial Declaration” in 2003, “e-Health refers to the use of modern information and communication technologies to meet needs of citizens, patients, healthcare professionals, healthcare providers, as well as policy makers.”

Referring to the view of e-Health developed in the “2004 e-Health Communication from the European communities”, “e-Health is today’s tool for substantial productivity gains, while providing tomorrow’s instrument for restructured, citizen-centred health care systems and, at the same time, respecting the diversity of Europe’s multi-cultural, multi-lingual health care traditions. There are many examples of successful e-Health developments including health information networks, electronic health records, telemedicine services, wearable and portable monitoring systems, and health portals ”. The e-Health is predicted to be the third largest industry in the European health sector.

Columba 2, with its emerging technologies (GPS, GSM, freehands, and measurement), has the flexibilities to improve health and enable healthcare.

Improve health status by supporting healthy lifestyles, and enhancing health care quality; Reduce health care costs by improving efficiencies in the healthcare system and prevention; Empower people to take better control of their health by supporting better-informed health

decisions and self-care; Enhance clinical care and public health services by facilitating health professional practice

and communication; Reduce health disparities by applying new approaches to improve the health of underserved

populations.

In a word, ensuring the quality of and the access to e-Health resources will be central to realize and to maintain health in the future. The implementation of our marketing plan will focus on developing the e-Health network between worldwide partners.


IX. Appendices

References

Déclaration du professeur Stéphane Bergeron, président directeur général de Medical Intelligence.

« Pour réussir à maintenir à domicile un malade d’Alzheimer, il nous faut en priorité subvenir à sa sécurité », explique le Professeur Stéphane Bergeron, président directeur général de Medical Intelligence. « Afin de sécuriser l’environnement du malade, de façon responsable, sans le contraindre ou l’isoler, il nous faut être averti dès l’amorce d’une fugue ou d’une errance. Le bracelet Columba assure cette sécurité et permet, si nécessaire, de savoir où se trouve le malade. Et nous pouvons même lui parler car le bracelet téléphone relié au réseau de l’opérateur de téléphonie mobile Orange intègre la fonction mains-libres. » conclut-il. « Depuis deux ans, Orange soutient le développement de ce projet qui s’inscrit dans notre programme Orange Care visant à mettre l’innovation mobile au service de la santé et du bien-être. Nous sommes heureux et fiers de contribuer au lancement d’un service mobile aussi innovant, répondant à une problématique de santé publique majeure. Le bracelet-téléphone Columba illustre cette dimension essentielle du mobile comme « fil de la vie », qui sécurise son utilisateur tout en lui donnant plus de liberté. » déclare Jean-Noël Tronc, directeur de la stratégie et de la marque d’Orange.« Nous sommes fiers de voir cette première mondiale se dérouler dans l’une de nos résidences médicalisées. Medidep a toujours supporté les projets innovants favorisant le mieux-être et la sécurité de ses pensionnaires dépendants » déclare Bruno Marie, président du directoire de Medidep.

PEST (Economical) Sources:

- Rapport sur la maladie d’Alzheimer et les maladies apparentées de l’Office Parlementaire d’évaluation des politiques de santé (OPEPS), 6 juillet 2005.

- Étude PAQUID, menée par l’Institut de santé publique, d’épidémiologie et de développement (ISPED-INSERM) de l’Université Victor Segalen Bordeaux-II sous la responsabilité des Professeurs Jean-François DARTIGUES, Yves-Antoine FIORI, Catherine HELMER, Florence PASQUIER, Arnousse BAULIERE et Antoine PARIENTE


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