5bbcc8eb418ccf3efc9e3780252ce4c4.ppt
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Consumer Genetics: Bringing DNA Testing to the Retail Market Presented to: Retail Family Planning Buyers Pink or Blue ® Pregnancy Test plus Early Gender Detection Kit Presented by: Chinh Bach, Ph. D. Founder & CEO Terry Carmichael, M. S. VP, Marketing & Sales March 2009 Consumer Genetics, Inc.
Pink Blue Consumer Genetics, Inc. or • Located in Sunnyvale, CA (Silicon Valley). • The lab is a medium-throughput facility with state-of-the-art equipment. • Experienced management team. • Skilled scientists & all female lab. • Trained customer support agents. Consumer Genetics, Inc. ®
Management Team Chinh Bach, Ph. D. – Founder and CEO Bo Preising, Ph. D. – COO Terry Carmichael, M. Sc. – Executive Vice President, Marketing & Sales Preston Al Baecker, Ph. D. – Director of Pharmacogenetics Consumer Genetics, Inc. Pink Blue or Felicita Vu Ngo, J. D. General Legal Counsel Christina Mork, Ph. D. Laboratory Director, Research & Development Anna Vitebsky, M. A. Associate Laboratory Director. ®
Mission Statement Pink Blue or • Develop and market easy-to-use, affordable, reliable and accurate consumer-oriented DNA testing products. • Deliver an industry-recognized high-quality, and quantifiable level of customer support. • Assist individuals with making important lifestyle choices by providing informative genetic tests. Bringing Science Home™ Consumer Genetics, Inc. ®
Pink Blue Retail DNA Testing Products • Currently Marketed Products: – Pink or Blue Early Gender Test (Q 1, 2006) – Pink or Blue Pregnancy Test w/Early Gender Test Kit (Q 3, 2007) – Hair Alcohol & Drug Testing (Q 2, 2008) ® ® • Product Pipeline: – β 16 Asthma. GEN™ Test (Q 2, 2010) – Caffeine. GENTM Test (Q 3, 2010) – Wine. GENTM Test (Q 4, 2010) – Drug Selection Test (Q 4, 2010) • Hypertension, Tuberculosis Drug Metabolizing, Cancer Management Consumer Genetics, Inc. or ®
Early Gender Test Pink Blue or • Determines the baby’s gender as early as 7 weeks postconception – Most women will have to wait 1 -3 weeks after confirming pregnancy before taking the gender test. • Specimen Collection Procedure – Illustrative & easy-to-follow instructions. – Safe, noninvasive, finger-prick method. – Quick & convenient home collection. Consumer Genetics, Inc. ®
Gender Test Revenues Consumer Genetics, Inc. Pink Blue or ®
A Proven Science Pink Blue or • PCR detection of cell-free circulating fetal DNA in maternal plasma and serum (Lo et al. Lancet 1997; 350: 485 -7) • Earliest detection of fetal DNA: 5 weeks of gestation (Prenatal Diagnosis, 2003; 23: 1042) • Source of fetal DNA? – Passive diffusion across placental barrier (van Wijk et al. Clinical Chemistry, 2000; 46: 729 -731) Consumer Genetics, Inc. ®
The POB Lab Results The DNA Testing Laboratory: • Highly-sensitive, male-specific markers. • Proprietary technology. • All female scientists. • Patent application in process. Consumer Genetics, Inc. Pink Blue or ®
Pink Blue or Other Methods of Gender Testing Method Invasive Scientific Basis Performed at Timing Cost Accuracy Pink or Blue® No DNA Home >7 wk after conception $199 95% Intelligender® No None Home >8 wk after conception $34. 95 82% CVS Yes DNA Hospital ~ 10 -13 wk $1200 -1800 >99. 9% Amniocentesis Yes DNA Hospital ~14 -20 wk $1100 -2000 >99. 9% Ultrasound Yes Morphology Physician’s office Clinic/Hospital ~18 -20 wk $200 -300 80 -99% Consumer Genetics, Inc. ®
Pink Blue or Early Gender Test Competition Pink or Blue® DNA + Xenomics Acu-Gen Specimen Collection Home Kit: Lancets & FTA Gene Card Blood Draw Urine Home Kit: Lancets & FTA Gene Card How Much Blood Is Needed 5 -10 drops = 50100 ul 10 ml 50 -80 ml 5 -10 drops = 50 - 100 ul Specimen Collection Location Home Hospital Home Distribution Channel Internet, Reseller, or Retail Internet or Reseller Price, refund, and turnaround. Home: $199+ $24. 99 = $223. 99 / Full Refund of lab fee. 5 days. $390 + $65 collection fee = $455 / Partial Refund. 8 -10 days $249 / Parcial Refund Home: $250 + $25 = $275 / Partial Refund. 24 -48 hours. Consumer Genetics, Inc. ®
Pink Blue or Pink Blue Pregnancy Test w/ Bonus Gender Test Kit or ® • 2 Mid-stream Pregnancy Test Strips – A second pregnancy test is an added value, offering increased assurance and piece-ofmind. • Bonus Gender Testing Kit – A simple, 2 -step process. – Will not expire. – Discounted $199. 00 lab fee. Consumer Genetics, Inc. ®
Pink Blue Pregnancy Test or ® or • FDA approved, mid-stream pregnancy test. – ISO Certified & GMP Compliant Manufacturer. • Most common type sold at retail. • Greater than 99% accuracy as early as the first day after a missed period. • Fast and simple! – Result within 3 minutes. • US Pregnancy Test Market Size (both food & drug retail) – Over a $300 million retail market. – Over 20 million units sold each year. Consumer Genetics, Inc. ®
Is it a Boy or a Girl? Pink Blue or This is the 1 st Question after a Positive Pregnancy Test. A Gallup Panel poll (June 25, 2007) finds that about 50% of parentsto-be would like to know the sex of the child before the child is born, that is over 4 million parents each year. And for those trying to get pregnant, wondering if they will have a boy or a girl is constantly at the forefront of their mind. Consumer Genetics, Inc. ®
Gallop Poll Data Preference in Learning Gender of Unborn Baby by Gender and Age June 25 -28, 2007 Know before the baby was born Wait until the baby was born % Gender Men Women Age 18 - to 34 -year-olds 35 - to 49 -year-olds 50 years old and older Gender/Age Men, aged 18 -49 Men, 50 years old and older Women, aged 18 -49 Women, 50 years old and older Consumer Genetics, Inc. % 45 49 54 49 66 48 32 54 34 51 65 45 31 61 66 39 33 64 Pink Blue or ®
Pink Blue Packaging or ® Pink Blue or • Combination vertical and horizontal formats for storeto-store flexibility. • Pink and Blue colors call attention. • Gender test is called out using a yellow banner. • Additional lab fee for gender testing is clearly represented in 3 -step process. • Frequently asked questions (FAQs) Consumer Genetics, Inc. ®
Pink Blue or Consumer Purchasing Behavior A marketing strategy has been developed around invoking the following consumer purchasing behaviors: – Trade-up. • Some consumers of other lower priced pregnancy tests will decide to purchase the Pink or Blue test because of its gender testing feature. – Return-to-store. • Some consumers will see the Pink or Blue Gender Test, but will still purchase the lower priced kit. After a positive pregnancy test, they will return to purchase the Pink or Blue Gender Test Kit. – Value Shopper. • Some consumers may recognize the value added $30 off coupon called out on the package, and decide to purchase the Pink or Blue test understanding that the pregnancy test will be free if they purchase the gender test. Consumer Genetics, Inc. ®
Pink Blue Recent Media Reviews or ® Early Gender Test* *Airing Tuesday, March 31, 2009 WAFB News, Baton Rouge by Phil Rainier Pregnancy gender test sparks debate Test Shows Baby's Gender Monday, February 9, 2009, 5: 40 a. m. PT ABC 7 News, San Francisco, by Teresa Garcia Wednesday, June 6, 2007, 4: 11 p. m. PT NBC 11 News, San Francisco, by Marianne Favro Bay Area Company Offers Test To Determine Baby’s Sex Early May 21, 2007, 11: 35 p. m. PT CBS 5 Eyewitness News, San Francisco, by Dr. Kim Mulvihill Early baby sex test over the web Friday, May 4, 2007, 10: 05 GMT BBC News Consumer Genetics, Inc.
Pink Blue or Press Activity Accelerates Sales Consumer Genetics, Inc. ®
Pink Blue or Print Advertisements • Family Magazines • Direct Mailers – Mid-wives – OB/GYNs – Prenatal Clinics • Co-Op Advertising – Weekly Store Ads – Floor Ads – Receipt Ads Consumer Genetics, Inc. ®
Pink Blue or Projected 2009 Advertising Schedule $1 MM National Print, Direct Mail & Radio Ad Budget for 2009 Q 1 Q 2 Q 3 Q 4 $225 k Pregnancy $55 k American Baby $30 k Latina $20 k Family Circle $20 k Print Mag. Ads Fit Pregnancy $30 k $20 k $50 k Parenting $50 k Motherhood $50 k Regional Radio $50 k Direct Mail Ads Total Ad Spend $50 k $250 k NOTE: A detailed ad campaign can be presented upon completion with purchase commitment. Consumer Genetics would hire a media buy agency to help create and manage the advertising. Consumer Genetics, Inc. ®
Advertising Strategy • • • Create Awareness. Build brand recognition. Drive people to the retail store. Communicate effectively. Track results. Available At: CVS Consumer Genetics, Inc. Pink Blue or ®
Pricing & Margins Pink Blue or Pink or Blue Pregnancy Test w/ Bonus Gender Test Kit ® • • • Suggested Retail Price: List Price: Gross Margin ($): Gross Margin (%): Lab Fee: Consumer Genetics, Inc. $24. 99* $10. 00 $14. 99 60% $199. 00 ®
Pink Blue or Pink or Blue Pregnancy Test Sales of the Pink or Blue Pregnancy Test Kit for the past 90 days (Jan-March 2009) with only limited Ad. Words marketing. Online Vendor 90 -day sales tellmepinkorblue. com 43 drugstore. com 95 Amazon. com 14 Due Maternity 50 Amerturk, Inc 500 Total 702 Retail Price: $24. 95 Consumer Genetics, Inc. ®
Pink Blue or Revenue Projections Pink or Blue Pregnancy Test Kit Revenues Only. ® Projected Annual Revenues = 2 -5 units per store per month: Kits sold / Number of Store / Month Stores Annual Kit Revenues Annual Kit Profits 2 1500 $ 898, 000 5 1500 $ 2, 250, 000 $ 1, 350, 000 2 5 5000 $ $ Assumption: - Kits are sold for Retail Price of $24. 99 Consumer Genetics, Inc. $ 538, 000 3, 000 $ 7, 500, 000 $ 1, 800, 000 4, 500, 000 ®
Thank You! – Please Contact Us for More Information: • Terry Carmichael, VP – Marketing and Sales – Phone: (408) 891 -4296 – Email: tcarmichael@consumergenetics. com Consumer Genetics, Inc. 562 E. Weddell Dr. , Ste. 9 Sunnyvale, CA 94089 Toll Free: (866) 694 -2878 Phone: (408) 734 -2229 Fax: (408) 734 -2221 www. consumergenetics. com Pink Blue or ®
5bbcc8eb418ccf3efc9e3780252ce4c4.ppt