Presentation

on
BUSINESS PLAN
SMARTMED
 Overview – Healthcare Industry

Premise – Diabetes and CVDs

About SmartMed

Value Proposition
PRESENTATION Survey

AGENDA Methodology

Competition

Marketing Plan

Financial Projection

Challenges
Overview of Healthcare Industry

 Healthcare has become one of India’s largest sectors - Revenue

and employment

 Traditionally viewed as a fragmented industry with

hyperlocal challenges

 Technology is slated to be a game changer in healthcare

ecosystem

 Rapid penetration of internet and smartphones over

the last decade – Leverage the high adoption of technology
 Premise: Diabetes & CVDs
72 million 40 million India’s healthcare industry is
one of the fastest growing

cases sectors and it is expected to

reach $280 billion by

Diabetes is India's fastest Cardiac patients 2020
growing disease

Incidences of CVDs have gone The market is recording a

72 million cases recorded in up significantly for people growth rate of 16.5

2017, figure expected to nearly between the ages 25 percent CAGR
double by 2025
and 69 to 24.8%, - Losing
more productive people
 WHO WE
ARE?
We define the model for evolution of health services from
traditional methods to mobile based solution to improve the
compliance & optimum outcomes for the patients with
diabetes and cardiac diseases.

A doctor can monitor a diabetic patient’s blood sugar, insulin

intake, diet, exercise, sleep patterns, even moods through
connected devices.

The same goes for patients with heart and breathing issues,
those recovering from medical procedures, those undergoing
treatment for disease. Areas where healthcare workers are
scarce and patients have high travel cost it might be the most
efficient way.
WHAT DO SmartMed aims to become a network of modernized

WE family medical centers delivering best practice services

with a focus on comprehensive health assessments
OFFER and treatment outcomes

At SmartMed, our patients will be at the centre of

every decision we make. By understanding what is
most important to the patients, we will be able to
deliver the best quality healthcare that every diabetic
and cardiac patient deserves
Services
Patients Doctors
Focused group - Interviews

Dr T Rajdev Patro Dr Rajiv Singla Dr Vineet Surana Dr Akhil Gautam

Diabetologist Endocrinologist Endocrinologist Cardiologist

Our Survey encourages the development of SMARTMED  There is the possibility of
mobile app-related apps to provide patients with more selection bias among
convenient tools for health management and medical respondents, since we only
treatment. assume patients (or citizens)
who were willing to fill in the
questionnaire for us

 Young adults showed more

interest and understood our
application

 There may be more health

information-seeking
problems or requirements
 Approach

Phase 1 Phase 2 Phase 3

Engaging the Long term
clinicians through engagement of
an educational clinicians - Medical
awareness forums, Expansion of
programs conferences product line
Competitive  Bargaining power of suppliers: The suppliers
for this industry mainly comprises of platform
Landscape manufactures – iPhone, Android and
Windows

Threat of  Bargaining power of buyers: There is a huge

new entry
buyer volume
 Threat of Substitute products: There has been
increase in number of application
development players almost in every platform
Supplier Competitive Buyer
Power Power  Barrier to Entry: Brands like Apple and Google
Rivalry have their well-established application

 Rivalry among existing firms: The fierce rivalry

among big players has resulted in decrease in
Threat of
Substitute
average selling price of the applications
products launched by them
Geographical
Location

The NCR is a rural-urban region,

with a population of over
46,069,000 and

an urbanization level of

62.6%
 Pricing Strategies

Freemium Subscription Referral based points

  App store optimization
 Blog Commenting
 Motivate users to make referrals
Visibility & Downloads
 Seminars
 Brand Evangelist
 Economics of Business

 App stores reduce transaction costs for app developers

and their users.

 App stores reduce entry barriers for small developers

and therefore increase the level of competition.

 App stores increase consumer trust and security by

creating a trustworthy platform for users and developers to
interact.

 App stores reduce apps’ production costs

 Contribution Analysis
Total Revenue ₹ 1,66,31,000.00
Variable Cost
Fixed Cost Annual Maintenance ₹ 1,00,000.00
₹ 5,00,000.00
App Making Cost
App Store Charges ₹ 50,000.00
Other Expenses ₹ 33,31,100.00
Server Charges ₹ 1,00,000.00 Total Variable Cost ₹ 34,31,100.00
Promotional Expenses ₹ 20,00,000.00
General and Admin ₹ 71,26,000.00
Contribution Margin % 0.79
Total Fixed Cost ₹ 97,76,000.00 Breakeven point ₹ 1,23,17,112.71

 Breakeven point is in terms of revenues that will be achieved in

Year 3
 Subscription will be charged on half yearly basis(₹1000) as per
survey.
 Initial 6 months after launch will be free.
Marketing Plan
Business Marketing Marketing Marketing Key Dependencies
Objectives Priorities Goals Strategy Actions and Risks
To improve Partnering By improving On boarding Virtual Dependency
and reinvent with best of the patient of the clinics(Glo on doctors for
the clinicians and adherence clinicians and heal), database and
healthcare other HCPs and long term Forums, their “tech-
accessibility so as to compliance engagements, Seminars, savvy” nature
for Cardiac deliver our through our which will Lectures,
and Diabetic promise app based improve Social Risk of non-
patients model doctor- Media adoption of
patient Marketing platform
interaction
even after
physical
interface
 Year 1 Year 2 Year 3 Year 4 Year 5
Revenues 166.31 376.2535 507.7882 685.3447 925.029
Rev Gr 126% 35% 35% 35%
EBITDA 60.51095 178.3547 236.5737 322.9472 514.0841
EBITDA Margin 36.38% 47.40% 46.59% 47.12% 55.57%
PAT -37.9901 81.92953 111.4627 192.8032 346.0129
PAT Margin -22.84% 21.78% 21.95% 28.13% 37.41%
Total Employees 16 23 30 37 37
Cash Flow -243.406 -157.013 -127.122 61.07399 358.1167

Financial  Revenue growth for the second year is 126% which later has been
stagnant to 35 % in the next three years of projections
Projections
 EBDITA Margin has shown increasing trend over the period of 5
years - downplays the effects of non-operating or other unique
depreciation, amortization and tax factors

 PAT Margin is negative for the first year, however it has

shown significant improvement in the next four years - company runs
efficiently providing more value to its shareholder
 How do we ensure maximum “App” downloads happen?
 Once the “App” is installed- how do we ensure the usage?
 How to ensure & improve the adoption of the technology
viz. Virtual clinics, ordering of medicines, updating personal Challenges
health records etc.
 How do we ensure the increased adoption of the “App” at
the doctor level- as currently there are less than 20% of the
doctors actually a “Tech-savvy” population?
OUR
TEAM

Surbhit Sharma Dr Ankit Vatsyayan

Chief Executive Officer Chief Strategy Officer
Abhishek Pathak Raghavendra Singh Abhinav Gupta
Chief Marketing Officer Chief Technical Officer Chief Operating Officer