Our group had the task of looking for, and developing new products for New Media Ventures, LLP to add to its IA program. The company our group has identified that would work well in the goal of New Media Ventures, LLP is a startup company called BioTrak.
BioTrak has as its goal, "Peace of Mind Through Technology", using global technology to protect the family, and afford a method of locating missing pets, tracking animals for studies, keeping children safe, and providing a method for monitoring the movements of people who are in need of supervision, or that movements must be monitored as part of the Criminal Justice System.
BioTrak has developed a radio frequency (RF) microchip, that can be injected into humans and animals. Made of space age surgical materials, the device is approximately the size of a grain of rice, and when injected, will be totally benign to the body: there will be no rejection issues. The point that separates BioTrak from other identification system is their unique design utilizing the GeoPolarSatellite (GPS) system. The RF microchip does not require batteries, and acts as a transponder as the satellite seeks the location for that specific microchip. BioTrak offers a complete system utilizing the injected microchip, hand held GPS locator, as well at the satellite GPS system.
BioTrak's principals are leaders in the microchip industry, and have recently expanded their products outside the industrial/commercial arena, to the bio-technical field. The basic design is to offer a totally reliable, relatively inexpensive method of monitoring feral animals, domestic animals and pets, children, and adults in need of supervision. The core of the BioTrak system is a completely programmable chip that can hold information that can be easily downloaded for identification, tracking, and monitoring purposes. BioTrak is a start up company, that still needs to develop the infrastructure to market their products, .and they are looking to New Media Ventures, LLP to help advertise and develop their product. Since BioTrak has three distinct markets, the intent is to develop the first, AnimalTrak and PetSafe, followed by AdultTrak and ElderSafe, then by ChildSafe.
BioTrak has identified target markets for each of their products:
AnimalTrak will be targeted towards the wildlife services, and those who monitor the movements of feral animals. Current methods require the capture of the animal, sedating the animal and attaching a transmitting radio, tattooing or notching of ears, or banding. Capturing and sedating of wild animals is traumatic and dangerous to the animal and places the wildlife personnel in additional peril. Experience has shown that transmitters are damaged, batteries fail, tracking of the animal is by happenstance...if the animal is captured again, the ear notch, tattoo or band is used to identify. If the animal is not captured again, all information is lost. AnimalTrak will be injected using the same method used to deliver sedatives, (by a air operated rifle or bow and arrow) and will not require the capture of the animal unless measurement of the animal is necessary. One installed, the migratory or locality of the animal can be instantly determined by using the GPS system to locate, then monitor the location. Specific animals can be tracked so as the animal moves and ages, specific data can be recorded. The chip can be programmed with the information recorded at the time of injection, then easily downloaded when the animal is recaptured by a hand held reader/GPS scanner.
PetSafe will be offered to veterinarians for sale to animal breeders, kennels, stables, and pet owners as a method of identifying, locating, and protecting valuable pets and stock animals. PetSafe will be injected in the same manner as AnimalTrak, and has the additional feature of a hand held GPS reader that will allow the owner to track the animal within a rolling five mile radius. Outside a five mile radius, the owner will access a website, enter an identifying number: the GPS system will activate the transponder, and show through a series of screens, where the animal is located. PetSafe will allow owners to protect valuable show and breeding stock, as well as the family pet.
ChildSafe will be offered through medical doctors: primarily obstetricians and pediatricians. The target market will be parents and grandparents as a safe and foolproof method of monitoring and insuring the safety of their child. The chip will be injected by a doctor as an outpatient, keeping costs low. The chip will be injected at the base of the skull, and will be covered by the hairline. There is no age restriction, and the chip can be injected in newborns, as well as adolescent children. ChildSafe will have the same features of AnimalTrak and PetSafe, with an additional feature unique to ChildSafe: a monitor that can be set for a specific distance, e.g. 100 foot radius of the reader. This monitor, the size of a pager, can be clipped on a belt or placed in a pocket. If the child goes beyond the radius set, an alarm will sound notifying the parent of possible danger, and the direction where the child is headed. This feature will allow the parent peace of mind when going to the park or other public places, where the chance of children being separated from parents is greater.
AdultTrak and ElderSafe are the same device targeted to different markets. AdultTrak will be targeted to the Criminal Justice System i.e. Police Departments and Courts to replace the ankle bracelets and similar monitoring devices installed as part of a sentence. AdultTrak could be offered to the United States government to replace the "dog tags" issued to members of the Armed Services. AdultTrak would be injected by a physician, and could be removed when the enlistment or sentence or period of confinement is complete. ElderSafe is targeted to care givers and/or nursing homes where memory impaired adults may live. Injection may only be done by a physician where there is power of attorney present authorizing installation. This would allow the adult freedom of movement, with monitoring if he/she were to leave the authorized area or building.
The initial target of BioTrak will be for its PetSafe product, and will be the North American Continent pet owner/animal breeder. There are over 45,200 veterinarians in the United States alone (AVMA statistics) serving an estimated 60,000,000 pets. BioTrak's initial thrust will be to contact the veterinarians and the breeders of large animals through professional journals and publications.
United States - 45,200 veterinarians
50,000,000 households
60,000,000 pets (estimated)
primary pet owner/ pet caregiver is female
is married
has children
spends approximately $1200.00 per year on food, medicine, veterinary services
considers a pet as "part of the family"
owns their own home
has a burglar alarm or other home protection service
safety of home and children is important
believes herself to be well informed
BioTrak believes that the pet owner will make an easy transition from the PetSafe to the ChildSafe once the benefits are observed.
BioTrak is new and unique
BioTrak is injected by a veterinarian or medical doctor
BioTrak has low initial cost, low maintenance costs
BioTrak is completely programmable for stored information
BioTrak requires no batteries, is benign unless activated
BioTrak can be easily removed
BioTrak will have to convince the veterinarian's and pet owners of the need for this ID device
buyer reluctance to spend "extra" money on pet or other "inexpensive" animal
BioTrak does not currently have the access to capital required
BioTrak will have an unpredictable cash flow until product "catches on"
high initial outlay for programming, distribution, advertising
high initial outlay for access into GPS system
growing pet market with a significant percentage of the target market unaware of BioTrak's existence
continuing opportunity through strategic alliances for referrals and marketing activities
Internet potential for advertising and exposure to other markets
consumer backlash due to ignorance - too "high tech" or lack of faith in the operating system
failure of consumer to do cost benefit analysis over the lifetime of the unit.
sale to veterinarian or doctor, who then adds price markup that could price BioTrak out of the market. BioTrak would only be able to have a recommended price, but the doctor or physician would determine the actual price.
at the present time, BioTrak has no competition using the RF transponder and the GPS System
initial offering is for PetSafe, establish GPS network and market exposure
make proposal to United States Government to replace "dog tags" for military personnel and the Criminal Justice System for parolees with AdultTrak
make ChildSafe, ElderSafe available to pediatricians and obstetricians, and care givers
utilize favorable advertising and press items as part of sales campaign
maintain gross margins necessary to support GPS system
retain customers and use them to refer new customers
accentuate successes, favorable press releases
generate sales of accessory items along with initial sale: hand held GPS scanners, readers will increase profit margins
partner with organizations with similar goals
advertise where customer demographics show interest
BioTrak is considered extremely speculative. Its critical issues are:
Unknown acceptance for its products. Although initial market research shows acceptance, it will be BioTrak's task to overcome initial consumer concerns or difference
BioTrak will not make a profit for at least the first three years based on initial start up costs and potential market share penetration
PetSafe will be offered to veterinarians at a discounted price of $200.00. Since the chip will have little more than an identification number, programming will be minimal, and could be done when the chip was manufactured. The purchase of the scanner or GPS unit by the consumer would be direct by BioTrak, utilizing direct mailing and/or e-mail services
AdultTrak (and the companion ElderSafe) would be more expensive due to the individual programming required. Target price is $300.00, with a small monthly maintenance fee, which would cover changes in programming required due to personal information changes. Changes performed would be through a web site, with proper authorization. The purchase of the scanner and GPS unit by the consumer would be direct by BioTrak, utilizing direct mailing and/or e-mail services.
ChildSafe is more expensive than AdultTrak due to the standard feature of the Area Alert pager feature. Target price is $400.00, with a small monthly maintenance fee, which would cover changes in programming required due to personal information changes. Changes performed would be through a web site, with proper authorization. The purchase of the scanner or GPS unit by the consumer would be direct by BioTrak, utilizing direct mailing and/or e-mail services.
BioTrak will have to create a demand for this product by identifying its audience, in this case pet owners, veterinarians who service the consumer as well as the owners of larger animals. Demand will be created by selective advertising in trade journals, AVMA (American Veterinary Medicine Association) journals, AKC (American Kennel Club) ACFA (American Cat Fanciers Association) as well as affiliated horse and cattle breeders.
BioTrak will have to develop a web site to inform the consumer of locally affiliated veterinarians and later, MD's, GYN's, and Pediatricians. This web site will also need to have a questionnaire so that consumers' questions may be answered quickly and succinctly.
Veterinarians, Breeders, Pet Owners, Research Institutions, Wildlife Management. Develop ListServ for veterinarians/medical personnel
http://www.avma.org/ http://www.acfa.org/, http://www.akc.org/
Testimonials with e-mail direct to originators, "TALK" type forum for interested individuals to post questions, receive answers outside of company effect:
Make BioTrak the established name for RF/GPS identification technology. BioTrak logo on each page of website, and will be on advertising banners on partner sites
http://www.amazon.com/ http://www.bn.com/
Partnering with the AVMA website and well established industry animal suppliers
Banner ads and static ads on: http://www.iams.com/, http://www.petsmart.com/, www.purina.com www.bcentral.com
On-line questionnaire with the ability to customize the web interaction through cookies and return email.
Through Veterinarians and established medical personnel. Shopping cart available.
FAQ section, 24 hr/7 day web access with instant messaging and 800 number support. Privacy assurance, trust.
http://www.aceofgifts.com/, http://www.ebay.com/
Microchip, RF and GPS system, scanners and pagers. On-line data base available for interested consumers to find participating veterinarians/medical personnel
Hardware: web-site server, GPS reader/scanner, RF transponder, pager
Technical Specs: Microchip Specifications, Web-site View Source
Software: HTML, Java, Front Page, Unix, SQL
Technical: (3) Staff Veterinarians/Physicians, (10) Veterinarians/Medical Specialists, (1) Webmaster, (5) IS/IT Technical Specialists (2) DBA's,
Customer Service: Customer Service Call Center / Web-site Representatives - Outsourced
Content Creation: (2) Knowledge-base Specialists, (10) Corporate Support Professionals, (3) Product Managers, (1) Market Researcher
Domain Registration: $70.00 (2 yr.)
Web-Hosting: $1500.00 (1yr.)
Commercial Custom Design Website Showcase: $ 4000.00 - Inclusive of Page Design, 50 images, 7 pages
Commercial Interactive Form: $500.00
Ad space / Site Advertising: $600.00 (6 months)
Scanned text conversion: $2.00 per page
Commercial Site Maintenance: $400.00 per year
Market Research Materials, Promotions, Advertising: $20,000.00
Knowledge base creation/updating: $4500.00 (start-up, after: $1500 per year)
Unix Database Creation and maintenance: $7500.00
Additional Marketing Campaigns: $25,000.00
Additional servers/server space for 2nd and 3rd Product Launches: TBD
Introductory offer to registering Veterinarians for free demo products, inclusive of a procedural video.
Volume discounts available.
Internet discount for registering and ordering via the web.