2011 Marketing Plan
Medtronic Australasia Pty Ltd (Medtronic), a medical device company, provides medical technology of lifelong solutions for people with chronic illnesses. Medtronic is now ready to introduce a new product to improve the quality of life of people with Type 1 Diabetes (T1D): the Minimed Freedom.
The Minimed Freedom is an artificial pancreas based on the latest generation of sensor-augmented insulin pump therapy. The product is positioned on a more-for-more philosophy and targets the T1D population aged 15 to 44 years old, new and current insulin pump users through the value proposition: “for the active individual, the Medtronic MiniMed Freedom is a fully automated diabetes management solution that offers enhanced freedom and quality of life.”
The marketing goal is to have 800 physicians aware of the new product within 3 months of launch providing a return of 1.25 devices prescribed per doctor, which will contribute to the selling of 1,000 units in the first year followed by 2,000 units by year two. An improvement on Quality of Life of users by 50% is expected within 6 months of use of the new device.
A price skimming strategy has been proposed based on competition and customer value. The product will be priced at $9,950.00 at year 1 and discounted to $9,500.00 at year 2.
A budget of $500,000.00 has been allocated to the initial two years of the marketing campaign of including communication channels such as Public Relations, Advertising and Direct Marketing.
The proposed action program based on the anticipated sales and marketing cost is forecasted to contribute $4.68 million (AUD) profit post-tax in the first year and $10.34 million (AUD) in the second. Contingency measures based on potential risks are identified.
Executive Summary 2
Current Market Situation 4
Macro Environment 4
Company Background 5
Product Description 6...