The Martec Group Capabilities Healthcare - 2014

Product Intelligence Market Intelligence Competitor IntelligenceCustomer Intelligence

C H I C A G O • D E T R O I T • F R A N K F U R T • S H A N G H A I • B E I J I N G

The Martec Group Confidential

2014

Capabilities Presentation

Healthcare Intelligence Solutions

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Since 1984, our B2B and select B2C services have accelerated and enhanced client success through in-depth sector expertise, rapid execution and actionable intelligence.

We consider our core competencies to include the following:

Turning Insight Into Action

Expert• Industry-based and veteran; Partners each have 25+ years of experience; over 50% of

our professional staff have been with Martec 10 years or more• Breadth of industry sector experience fosters agility and provides collaborative

insights drawn from involvement with diverse business structures, cultures, strategies

Global • Martec offices located in North America, Europe and Asia• 50% percent of our projects are global in scope

Adaptive• Proven, customized “tool box” of research methodologies and techniques employed

to deliver insights that fully address client objectives• Flexible, collaborative and iterative process ensures impactful and actionable results

Confidence

• Transparent, end-to-end visibility with single point responsibility from proposal through reporting – no “hand-off”

• Partners are also practitioners• Committed to our core clients; uphold a non-compete philosophy on all projects

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Our footprint allows us to execute on a global scale...

Our Healthcare Practice clients include...

• Direct office presence in North America, Europe and Asia

• Long-standing alliance partners (20+ years) in Tokyo, Japan Sao Paulo, Brazil and Santiago, Chile

• Full complement of language capabilities

• Quantitative data collection centers located the U.S., Germany and China

Martec - North America- Chicago –- Detroit –

BSR- Sao Paulo -

Martec - Europe

- Frankfurt -

JuniconSSRI

- Tokyo -

Martec - Asia- Shanghai -

- Beijing -

Puente-Sur- Santiago, Chile -

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Qualitative Quantitative

• We offer a team of IDI and focus group moderators, each with 15 to 20+ years of experience

• Our team has collectively moderated thousands of focus groups and IDIs

• Phone centers located in the U.S., Europe and Asia

• CATI system based recruiting and large scale telephone interviewing

• In-house statistical analysis capabilities

• Dyads, triads, mini groups, focus groups• In-person/on-site IDIs• Online groups & bulletin boards• WAT (web-assisted telephone)• DMU groups• Observational and ethnographic

• On-line surveys/custom panels• Telephone interviews• Hybrid qual/quant• Large scale WAT interviews• SUS (simulated user studies)• Clinics

• Laddering• Repertory grids• Cognitive mapping• Associative exercises• Emotion Mining®

• Regression analysis• Conjoint Analysis and Discrete Choice

Modeling• MaxDiff • Van Westendorp price elasticity

MethodologiesMethodologies

CompetenciesCompetencies

TechniquesTechniques

This competency was developed due the large number of projects requiring both of these skill sets; objectives calling for qualitative and quantitative research phases.

The Martec Group has over 25 years of experience conducting both qualitative and quantitative research.

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Our engagements have supported client initiatives across a wide range of products and services.

Procedure packs

Gowns and drapes

Gloves, masks, caps, shoe covers

Wound sealants

Adhesion prevention products

Sutures

Catheters: IV, CV, PTCA

Stents

Needleless access systems

Skin graft material

Ortho/spine devices and instruments

SurgicalProducts

IV Nutrition products

Enteral/Oral nutritional supplements

Kidney dialysis solutions

Nutraceuticals

Disinfectant products

Skin care products

Blood collection products

Wound care products

Tapes and dressings

Durable medical equipment

Sterile packaging

GeneralMedical

Diagnostic imaging (all modalities)

Radiology film

Picture archiving systems

Visualization systems

Imaging contrast agents

Chemistry analyzers

Cell culture products

Liquid handling products/labware

Filtration products

Microarrays

Rapid test kits

Sterilization systems

Diagnostics/Lab ProductsPharmaceuticals Equipment and

Devices

Anesthesia systems

Kidney dialysis equipment/systems

Blood glucose monitors

IV pumps/ systems

Enteral pumps/ systems

Electro-surgical equipment

Bedside patient care systems

Hospital information systems

Pacers/Defibrillators

Cochlear implants

Oncology products

Cardiovascular therapies

Respiratory (Asthma/COPD) therapies

Diabetes treatments

MS therapies

Hemophilia treatments

Hepatitis drugs

Rheumatoid arthritis therapies

Urology (incontinence) therapies

Anesthesia

Dermatology/skin care

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Martec’s Intelligence Solutions are organized into four discrete offerings:

Product Intelligence

CustomerIntelligence

MarketIntelligence

CompetitiveIntelligence

Intelligence Solutions

• Pain-point Analysis – Unmet Needs

• Concept Development and Testing

• Product Positioning (Benefit Development)

• Product Value Analysis

• Pricing and Price Elasticity

• Simulated Usability /Human Factor Studies

• Penetration and Share Forecasting

• Product Intel Clinics

• Message Development and Testing

• Customer Satisfaction and Loyalty Analysis

• Segmentation Analysis

• Awareness, Trial and Utilization Tracking

• Win/Loss Analysis (Lost Order Autopsy)

• Emotion Mining™ (Behavioral Solutions)

• Value Proposition Validation

• Customer Intel Clinics

• RMA – Rapid Market Assessment

• Size, Segment and Growth Analysis

• Value Chain Analysis

• Opportunity Analysis – Market Potential

• Market Due Diligence (M&A)

• Platform Growth Assessment

• Trends and Market Forecasting

• Competitive Landscape

• Manufacturing Process Analysis/Modeling

• Cost-to-produce Analysis/Modeling

• Core Competencies – Vulnerabilities

• Resource Allocation Analysis (Make-Buy)

• Import/Export Structure

• Feasibility Studies – Plant Location Support

• Technology Benchmarking

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Many Product and Customer Intelligence projects involve activities that occur along the product development life cycle.

Product Development Process Product Launch Post Launch

Customer Needs (Pain Point)

Analysis

Unmet Needs

Near Final Concept Assessment

Pricing Elasticity Analysis

Early Stage Product Concept

Assessment

Value Analysis

Value Proposition Testing

Positioning and Message Testing

Communications Collateral and Sales

Aid Testing

Awareness, Trial and Utilization Tracking

Win/Loss Analysis

Segmentation Studies

Customer Satisfaction and Loyalty Tracking

Shopper Insights

Total Customer Connection

Simulated Usability/HF Studies

Penetration and Share Forecasting

Product Intelligence

CustomerIntelligence

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Project Methodology Summary

Global value proposition and message testing for a leading spine surgery device brand

• The specific objectives of this research included an assessment of brand perceptions, value propositions and messages designed to support the propositions

• 100 in-depth WAT interviews were conducted with targeted surgeons, interventional physicians and hospital administrators in the U.S., Europe (UK, Germany, France) and China

• Findings included value proposition and message reactions, preferences and a customer segmentation scheme derived from an attribute based laddering exercise

Assessment of a next generation peripheral IV safety catheter

• Objectives included detailing the current environment (performance of current products, unmet needs) and assessing several new product prototypes, including the value of specific new product features, anticipated anticipated adoption and utilization and confirming the effectiveness of the instructions for use (IFU)

• Focus groups involving 200 anesthesiologists and nurses were conducted in the U.S. (4 cities) and Europe (Germany, France, Italy)

• Findings were incorporated into the final product design and were a critical component of the successful product launch

Customer satisfaction (needs-gap) analysis for a provider of blood collection products

• The primary objectives were the assessment and prioritization of customer needs and supplier performance gaps for three blood collection product lines

• 120 in-depth telephone interviews were conducted in the U.S. with blood center administrators, operators and donors

• This research was utilized as part of a larger product and service offering strategic repositioning effort

Examples of Product and Customer Intelligence Projects

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Project Methodology Summary

Conjoint trade-off analysis of an antimicrobial venous access device

• Objectives included understanding the attribute trade-offs made when evaluating venous access devices and assessing overall purchase decision criteria and brand perception

• An on-line survey was executed with 150 targeted nurse specialists in the U.S. and Europe (Germany, Italy)

• Findings included an assessment of attribute value and a simulator utilized to determine the impact of various attributes on the share of preference

Simulated Usability Study of a Next Generation Self-Injection Device

• Objectives followed the FDA guidance for simulated user studies completed as part of device approval, including necessary sample demographics, number of device actuations and observation/reporting of product use, adverse events, etc.

• An environment was created in hotel conference room space in 4 cities in the U.S.; 100 qualified patients completed 2 rounds of training and simulated usage of the device

• Findings followed the FDA protocol for device simulated user studies; all data and feedback gathered were included in the FDA submission, resulting in the device approval

Global assessment of a new point of care infection prevention device

• Objectives included understanding current point of care protocols and assessing reactions to a new product portfolio and supporting value propositions

• 25 mini-group sessions involving 150 nurses and infection control professionals were conducted in North America, Europe, Asia and Latin America

• Focus groups were supplemented with hospital visits and video diary exercises• Results were integrated into product development plans and associated positioning and

messaging strategies

Examples of Product and Customer Intelligence Projects

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Examples of Market Intelligence Projects

Project Methodology Summary

Size, share and growth analysis of the European lab equipment market

• Objectives included determing market size, shares and growth trends for four targeted product segments: cell culture, lab filtration, liquid handling and assays and genomics

• Secondary research was conducted followed by 200 interviews with value chain participants; manufacturers, distributors, major end-users

• Detailed market size, share and trends were developed for each country and market segment within the project scope; direct input to client’s strategic planning process

Assessment of device opportunities in the woman’s health market

• Overall goal was to assess opportunities to leverage client’s franchise device as a platform to expand their offering in the women’s health/treatment market

• Utilized available secondary information and reports in combination with 90 in-depth interviews conducted with targeted GYNs in the U.S. and Europe

• Recommendations included growth opportunities and acquisition candidates prioritized by type of surgical interventions, device technology and call-point synergies

Assessment of growth opportunities in the GI treatment market

• Overall project goal was to provide an detailed overview of the GI market and assess specific growth opportunities

• Utilized available secondary information and reports to define the market landscape and build a market opportunity map. Primary research involved 30 thought leaders and prominent practitioners to further detail needs and opportunities

• Primary region of focus was the U.S., with a secondary focus on Europe• Recommendations included possible growth paths and potential acquisition

candidates

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Examples of Competitor Intelligence Projects

Project Methodology Summary

Competitive threat analysis: IV container market

• Primary objective was to assess competitive threats in the global IV fluid container market

• Secondary research was conducted followed by 110 interviews with key value chain participants and leading procurement individuals at large customers

• Final report detailed current product portfolio, competitive positioning and R&D plans for all significant global IV container competitors

Competitive profile: blood filter product

• Primary objective was to fully profile a competitor’s plant that manufactures a key blood filter system component

• Secondary research was conducted followed by 35 interviews with targeted sources; current and ex-employees, component and raw materials suppliers, plant and consulting engineers, key customers

• Final deliverable detailed the plant layout, employment, production technology, utilization and capacity, and a cost to manufacture analysis

Manufacturing cost analysis: Biochemical chip technology

• Primary objective was to develop a cost of manufacturing model of a targeted competitor’s microarray chip manufacturing process

• Secondary research was conducted followed by 100 interviews with value chain participants; distributors, chemical and component suppliers, R&D thought leaders

• Detailed cost model was delivered

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Projects completed for Baxter Healthcare over the past 10 years include (list is not all inclusive)…

Renal Medication Delivery/Nutrition

• Global home therapy concept ad testing (2010)• Global next generation APD system naming research

(2009)• HomeAccess APD device brand developing market ad

and tagline testing (2008)• Ad, message and tagline testing for a new APD

device (2007)• Assessment of a new HHD system (2007)• Assessment of brand platforms for a next generation

APD system (2007)• Global PD solutions and therapy positioning (2006)• Xenium dialyzer positioning and message testing

(2005)• Accusol message and brochure testing (2004)• Platform (messages, pictures, graphics) testing –

home therapy initiative in Japan (2004)• Arena platform (messages, visuals, ads) testing

(2003)• Global assessment of opportunities and positioning

of a new home therapy initiative (2001/2002)

• Assessment of current utilization and opportunities for further penetration regarding Baxter’s PN portfolio (2012)

• Assessment of current utilization and use preferences regarding oxytocin, eptifibitide and bivalirudin (2012)

• NUMETA product positioning/message testing (2011)• Global Awareness, Trial and Use (ATU) tracking study

for the Integrated Closed System product portfolio (2010/2011)

• Global ATU tracking study for the Plasma-Lyte solution (2010/2011)

• Market assessment of the viability of a brand extension strategy for CLINIMIX (2010)

• Assessment of an integrated/closed infection control system approach (2010)

• Message optimization; ClinOleic and Olimel products (Project COMO, 2009/2010)

• Assessment of awareness and opportunities for the Plasma-Lyte balanced solution product (2009)

• Evaluation of IV solution bag labeling designs (2007)• Assessment of a next generation wound irrigation

device (2006/2007)

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We are confident in our ability to add maximum value to our client’s business planning efforts through technical market research.

Thank you for this opportunity.

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