1 www.agamatrix.c om www.agamatrix.c om Business Models That Work In Mobile Health Sonny Vu Chairman and Founder, AgaMatrix SMS: 617-642-6226 @SonnyVu
Nov 18, 2014
1www.agamatrix.comwww.agamatrix.com
Business Models That Work In Mobile Health
Sonny VuChairman and Founder, AgaMatrix
SMS: 617-642-6226@SonnyVu
2www.agamatrix.com
COMMERCIAL PARTNERS
130 EMPLOYEES (SALEM, NH)
INTELLECTUAL PROPERTY
ALL ABOUT MHEALTH
3www.agamatrix.com
Demo Video
4www.agamatrix.com
Games, useful
services, etc.
+
5www.agamatrix.com
6www.agamatrix.com Source: http://www.cdc.gov/diabetes/statistics
7www.agamatrix.com
What can we do today?
Connected Health
Public Policy
Drug Discovery
8www.agamatrix.com
Healthcare Costs Related to Disease
Source: http://bit.ly/ksigHF
9www.agamatrix.com Source: http://bit.ly/lrkLf7
Non-ComplianceNon-Compliance
I didn’t fill my
prescription.
We filled our prescriptions.
10www.agamatrix.com
$9B $20B $40B$30B
Potential Savings From Improvements
in Healthcare Quality and Safety
$100B Non-Adherence
Music Video Games Book PublishingOnline Ads
Source: http://bit.ly/El4R8
Source: http://bit.ly/mkY3PQ
Source: http://bit.ly/iPs8dH
Source:http://bit.ly/mR9l9o
Source: http://bit.ly/kBi2eO
11www.agamatrix.com
Things you think about:
Market Need
Product Design
“Positioning”
Engineering
Marketing
Explosive Growth / “Virality”
VC Funding
Recruiting
Things you don’t think about:
(Until its too late)
Reimbursement
HCP Adoption
Clinical Studies
Regulatory Clearance
Outcomes Data
Adherence
Quality Systems and Audits
Customer Support
Manufacturing, (Actual) COGS
Litigation
12www.agamatrix.com
What You Can SellHARDWARE
SOFTWARE
SERVICES
ADS
CONSUMABLES
DATA
13www.agamatrix.com
Road BlocksHARDWARE • Infrequent Replacement
• Speed of Commoditization, low margins
SOFTWARE • Infrequent (paid) Upgrades• Low Barriers to Entry, Commoditization
SERVICES • Long Sales Cycles• High Churn Rates
ADS • Capturing Eyeballs• Regulatory/Small Digital Budgets
CONSUMABLES • Regulatory/Reimbursement Barriers• Manufacturing, IP Minefields
DATA • HIPAA/Privacy• Finding Buyers
14www.agamatrix.com
Who will pay for what?
PATIENT
INSURANCE/COMPANIES/OTHER 3RD PARTIES
HARDWARE Yes, but… Yes, but…
SOFTWARE Heck no! No.
SERVICESYes, but a word of
warning Varies Wildly
ADS -- --
MEDICAL CONSUMABLE
SNo. Yes
DIETARY CONSUMABLE
SYes No.
DATA Haha! Best of luck to you!
15www.agamatrix.com
Type 1 Patient: 365 days/year x 4-8 tests/day x 16¢ - 50¢/strip-------------------------$233 - $1460 / year
Meter cost ($20-$40) covered within a few weeks
~30-60 million people
Type 2 Patient: 365 days/year x 1 - 3 tests/day x 16¢ - 50¢/strip------------------------- $58 - $273 / year
Meter cost ($20-$40)covered within a few months
~240-270 million people
16www.agamatrix.com…Aren’t In This Room (?)
Key Companies for mHealth
16www.agamatrix.com
17www.agamatrix.com
Music Innovation Cost Music Retailers
18www.agamatrix.com
Gaming Interaction
19www.agamatrix.com
• $50B in Pharma products are going “Off Patent” in 2011-12
• Even after that destruction the Pharma industry will be worth $720B!
19www.agamatrix.com
What Opportunities Exist in $50B?
20www.agamatrix.com
My goal as CEO is never to inaugurate
a new research and development
center.- Chris Viehbacher, CEO sanofi-aventis
Source: http://bit.ly/htou1n
”
“
21www.agamatrix.com
Product Design
Philosphy & Tips
22www.agamatrix.com
The Ideal Combination
&
23www.agamatrix.com
We All Want to Believe
+50%!
24www.agamatrix.com
Unsexy
25www.agamatrix.com
Games for Diabetes
26www.agamatrix.com
27www.agamatrix.com 27www.agamatrix.com
28www.agamatrix.com
29www.agamatrix.com
2011 Winner Life Science & Medicine Category
[email protected]@SonnyVu
Other 2010 Winners:Apple: iPad, iPhone 4
Daimler AG:Mercedes Benz SLS AMG Coupe