BRASTER S.A. enters the telemedical services sector
BRASTER S.A. has revised its company strategy for 2015–2012, focusing primarily on its new business model and targeting the Tester directly at women. The President of the Board, Marcin Halicki, has declared that in the second half of 2016 the final product will reach women in Poland, and in 2017 it will be launched in German and British markets. Further expansion of BRASTER to the markets of the EU, the USA, and other countries is planned beginning in 2018. The business model presented by the board of BRASTER S.A. envisages almost 70% of the company’s revenue to originating from high-margin telemedical services offered as a package with the Tester. The potential of the selected markets has been estimated at 133.5 million users interested in purchasing the Braster Tester.
“Our primary objective is to protect the health and lives of thousands of women across the world. The epidemiological data clearly indicate that it is necessary to immediately fill the gap in diagnostics and provide women - particularly those not covered by screening programs - with early breast diagnostics. Therefore, we have changed our strategy and addressed our product directly to users. We estimate the size of this market in Poland at about 4 million women. Furthermore, we have analyzed the business model and we have spotted a huge potential for the provision of telemedical services – that is, remote consultation and interpretation of data – which will not only provide us with a primary source of revenue, but will also substantially accelerate reaching the break-even point for investors,” says Marcin Halicki, the President of the Board of BRASTER S.A.
The marketing study “Women’s approaches in the area of breast cancer prophylaxis” carried out by BRASTER S.A. in November this year indicates that as many as 71% of respondents believe that the idea of introducing a device for in-home early diagnostics of breast cancer to the market is excellent or good, 57% of respondents expressed willingness to buy such a device, while 17% estimated its cost at over PLN 400.
“We cannot mention the specific price of the device, neither in Poland, nor in any other market. The price will definitely differ depending on the country. For the time being we estimate the margins in the market of telemedical services in the range of 50%–70%, and we count on them being the majority of our business,” commented President Halicki.
The business model presented envisages sales of the device together with a subscription for 24 examinations within 2 years. What is important is that the thermographic matrices – constituting the essential part of the device – and the subscription for the service of the interpretation of the results will be an additional source of the company’s revenue and will be renewed every 2 years.
“We expect the majority of our revenue to come from the service of interpreting the results, which we will offer to women under a separate subscription. One device could be used by a number of users; they only need to register online and buy additional subscriptions. We expect that, apart from the basic package, about 25% of women will be interested in extended consultation and interpretation of the data by a physician, and we will offer this to women subject to a separate payment. In the future we will also consider the possibility of commercial use of the Tester by practices interested in cooperation,” adds Marcin Halicki.
BRASTER’s revenue will come from sales of the Tester, the subscription including the package of 24 automatic interpretations of examination results, and additional services, as well as from the database of statistical data compiled on an ongoing basis. The product – the Tester – will be offered in the form of the device, friendly and intuitive mobile application providing women with interactive support in the course of the examination, access to a website and individual user profile, and the telemedical center (the team of physicians, experts in the area of thermography and radiology). The company expects that the device will be offered in a mixed distribution model, combining the traditional channel (pharmacies and chemists) and the remote channel (online).
“Women will be the key partners, and not just paying clients. Anonymized thermograms sent by women will be used to improve and optimize algorithms for the interpretation of examinations. BRASTER will have an opportunity not only to be a guest in the homes of women across the world, but also to stay for good, providing a sense of security in the area of breast cancer,” concludes President Halicki.