The Pediatric Consultants The Pediatric Consultants AgencyAgency

The Pediatric Consultants The Pediatric Consultants AgencyAgency

Presentation Presentation MembersMembers

Frank BrewerFrank BrewerFrank DiBuoFrank DiBuoJennifer DomzalskiJennifer DomzalskiJoy HughesJoy Hughes

Company OwnershipCompany Ownership

Pride Mobility Products is a Pride Mobility Products is a Corporation.Corporation.

Senior Executive Staff is comprised of:Senior Executive Staff is comprised of:

Scott Meuser, Chairman and CEOScott Meuser, Chairman and CEO

Dan Meuser, President Pride of USADan Meuser, President Pride of USA

Mission StatementMission Statement

To be a world leader in the design and To be a world leader in the design and development of affordable, innovative rehab development of affordable, innovative rehab

solutions for children with disabilities and solutions for children with disabilities and mobility impairmentsmobility impairments..

The Individuals with Disabilities The Individuals with Disabilities Education Act (IDEA)Education Act (IDEA)

• Between 1994 and 2006, the percentage of Between 1994 and 2006, the percentage of students with disabilities spending 80 percent or students with disabilities spending 80 percent or more of the school day in a regular classroom more of the school day in a regular classroom showed an overall increase from 35 to 60 showed an overall increase from 35 to 60 percent. percent.

• This segment expects to continue to grow due to This segment expects to continue to grow due to encouragement in the form of Government encouragement in the form of Government Grants to mainstream these children into the Grants to mainstream these children into the public school system. Similar programs are also public school system. Similar programs are also occurring in various European countries and to occurring in various European countries and to aid in this effort. aid in this effort.

I.D.E.A.I.D.E.A. ContinuedContinued

• To assist Pride Mobility Products, Inc in To assist Pride Mobility Products, Inc in gaining market share in the growing gaining market share in the growing segment, our group is proposing to segment, our group is proposing to develop a pediatric product line and develop a pediatric product line and marketing program. marketing program.

• Our name for this program is “Quantum Our name for this program is “Quantum for Kids” and offers product specifically for Kids” and offers product specifically designed to meet children’s special designed to meet children’s special mobility needs. mobility needs.

Proposed Products Proposed Products

• Four power base wheelchairsFour power base wheelchairs•to meet children’s mobility needsto meet children’s mobility needs

•proportional control systems proportional control systems

•seating systems and various seating systems and various accessoriesaccessories

GoalsGoals

• Product release of Quantum for Kids Product release of Quantum for Kids ProgramProgram– Includes:Includes:

•Four Power Base ModelsFour Power Base Models

•Proportional control systemsProportional control systems

•Pediatric Seating SystemsPediatric Seating Systems

•Various accessories Various accessories

Goals cont’dGoals cont’d

• Investment Investment – Product Development / Marketing – Total Product Development / Marketing – Total

= $4 million dollar investment= $4 million dollar investment•Product Development = $ 3 millionProduct Development = $ 3 million

– Design / development / tooling / productionDesign / development / tooling / production

•Marketing - $ 1 millionMarketing - $ 1 million

– Promote Product AwarenessPromote Product Awareness

Goal’s cont’dGoal’s cont’d

• Market Share / Sales Dollars Market Share / Sales Dollars GeneratedGenerated– Market projected to generate $ 300 Market projected to generate $ 300

million in sales in three year periodmillion in sales in three year period•Target market share for “Quantum for Kids”Target market share for “Quantum for Kids”

– 10% market share - year one ($10 Million - Sales)10% market share - year one ($10 Million - Sales)– 18% market share – year two ($18 Million – Sales)18% market share – year two ($18 Million – Sales)– 25% market share – year three ($25 Million – 25% market share – year three ($25 Million –

Sales)Sales)

Keys to success Keys to success

• Pediatric use in the classroom, Pediatric use in the classroom, playground, and specific sporting playground, and specific sporting activities. activities.

• Satisfy a child's personal tastes and Satisfy a child's personal tastes and interests. interests.

• Growth and Development in the Global Growth and Development in the Global Market Market

• Long-term focus Long-term focus

Market Analysis Summary Market Analysis Summary

• The power mobility industry is part of The power mobility industry is part of the durable medical equipment (DME) the durable medical equipment (DME) product category. DME primarily refers product category. DME primarily refers to medical equipment designed for use to medical equipment designed for use in the home and ordered by a doctor. in the home and ordered by a doctor. These items must be reusable (i.e. These items must be reusable (i.e. walkers, wheelchairs, hospital beds, walkers, wheelchairs, hospital beds, glucose monitors, power wheelchairs, glucose monitors, power wheelchairs, respiratory therapy equipment etc.).respiratory therapy equipment etc.).

Profile of Children with Disability Profile of Children with Disability

LimitationsLimitations • The percent of children limited in their major activity ranges from 5% for The percent of children limited in their major activity ranges from 5% for

those ages 5-13 to 1.4% for children under age 5.those ages 5-13 to 1.4% for children under age 5.

Market Segmentation Market Segmentation

• The client is a well organized and The client is a well organized and internationally known company, as well as a internationally known company, as well as a leader in the world that makes power leader in the world that makes power wheelchairs. They have a large portion of the wheelchairs. They have a large portion of the power chair market, which can be expanded power chair market, which can be expanded by adding the Quantum Dynamo power by adding the Quantum Dynamo power wheelchair for children. The client has an wheelchair for children. The client has an exceptional reputation throughout the exceptional reputation throughout the industry as well. industry as well.

Target Market Segment Target Market Segment Strategy Strategy

• Children with physical disabilities.Children with physical disabilities.

• Market hospitals, parents, insurance Market hospitals, parents, insurance companies, as well as anyone who companies, as well as anyone who might be in need of a pediatric power might be in need of a pediatric power wheelchair. wheelchair.

Target Market Segment Target Market Segment StrategyStrategycont’dcont’d• Massive mailing campaign, advertise Massive mailing campaign, advertise

in newspapers as well as billboards. in newspapers as well as billboards.

• Brochures Brochures

• Model of this new power chair on Model of this new power chair on display. display.

Pricing Strategy Pricing Strategy Our pricing of this product will be very Our pricing of this product will be very competitive with those power chairs that competitive with those power chairs that we will be competing against.we will be competing against.

• Quantum Rehab Chair $5, 895.00Quantum Rehab Chair $5, 895.00

• Sunrise Medicals Quickie 2000 $5,995.00.Sunrise Medicals Quickie 2000 $5,995.00.

• The Lomax Kid Power Chair $6,059.00.The Lomax Kid Power Chair $6,059.00.

• Global Power Systems Starlight $6,075.00.Global Power Systems Starlight $6,075.00.

Strategy Strategy

• Our strategy will be simple. Since we Our strategy will be simple. Since we are already established in the United are already established in the United States and internationally, we will States and internationally, we will main stream the power chair in the main stream the power chair in the U. S. markets first. Once the power U. S. markets first. Once the power chair successfully sells here we will chair successfully sells here we will introduce the power chair to our introduce the power chair to our overseas markets overseas markets

Competitive EdgeCompetitive Edge

• Our competitive edge is that we are Our competitive edge is that we are already established in markets already established in markets across the United States and across the United States and internationally. We are also well internationally. We are also well respected within the power chair respected within the power chair industry. industry.

Competition Competition

• Sunrise Medical Sunrise Medical

• Invacare Invacare

• Lomax Lomax

Sales Strategy Sales Strategy

• Our sales strategy will be providing quality Our sales strategy will be providing quality products to physically disabled children to products to physically disabled children to improve the quality of their life. Our improve the quality of their life. Our products are cost effective compared to our products are cost effective compared to our competitor’s. We are in business to keep competitor’s. We are in business to keep young children as active as possible with as young children as active as possible with as little distraction as possible. Our power little distraction as possible. Our power wheelchairs restore child independence, in wheelchairs restore child independence, in the setting they are most comfortable in. the setting they are most comfortable in.

Strategy Assessment Strategy Assessment INTERNAL ASSESSMENTINTERNAL ASSESSMENT

Competitive AdvantagesCompetitive Advantages

• History of over 20 years in businessHistory of over 20 years in business

• Unparalleled customer serviceUnparalleled customer service

• Customer loyalty and brand equityCustomer loyalty and brand equity

• 17th best place to work in PA in the “Large-sized 17th best place to work in PA in the “Large-sized Companies” categoryCompanies” category

• Best place to work in Northeast PABest place to work in Northeast PA

Strategy Assessment cont’dStrategy Assessment cont’d

• Recipient of the United Way Corporate AwardRecipient of the United Way Corporate Award• Maintain high quality of life for the community we Maintain high quality of life for the community we

serveserve• Staff is our most important resourceStaff is our most important resource• Catalyst for changeCatalyst for change• Global subsidiariesGlobal subsidiaries• Scott Meuser, Chairman and CEO, member of Program Scott Meuser, Chairman and CEO, member of Program

Advisory and Oversight Committee (PAOC) for Quality Advisory and Oversight Committee (PAOC) for Quality StandardsStandards

• Quality controlQuality control• Product safety testingProduct safety testing• Reimbursement drivenReimbursement driven

EXTERNAL ASSESSMENTEXTERNAL ASSESSMENT

Competitive DisadvantagesCompetitive Disadvantages

• Increasing costs of services and Increasing costs of services and technologytechnology

• Increased shipping costsIncreased shipping costs

• Asian manufacturersAsian manufacturers

• State-side competitorsState-side competitors

STRENGTHSSTRENGTHS

• Good clinical outcomes contributing to quality of lifeGood clinical outcomes contributing to quality of life• High level support systems: administrative, sales, High level support systems: administrative, sales,

customer service, technical service, quality and customer service, technical service, quality and timeliness of deliverytimeliness of delivery

• Extensive internet sites making information available Extensive internet sites making information available to customersto customers

• Design team established to focus on the visual, tactile, Design team established to focus on the visual, tactile, safety and convenience criteria with concern for the safety and convenience criteria with concern for the useruser

• World leader in design, development and manufacture World leader in design, development and manufacture of best quality high performing, most adaptable and of best quality high performing, most adaptable and affordable mobility productsaffordable mobility products

• Employees work as a team to strive for excellenceEmployees work as a team to strive for excellence

WEAKNESSESWEAKNESSES

• Negative view of mobility products Negative view of mobility products and the people that use themand the people that use them

• Increased shipping costsIncreased shipping costs

OPPORTUNITIESOPPORTUNITIES

• Challenges applies to manufacturing Challenges applies to manufacturing based on ability not disabilitybased on ability not disability

• Custom manufacturing to optimize the Custom manufacturing to optimize the user’s abilityuser’s ability

• Moving the healthcare delivery system Moving the healthcare delivery system toward low cost homecaretoward low cost homecare

• Reimbursement drivenReimbursement driven• Beginning of fuel cell and electric Beginning of fuel cell and electric

vehiclesvehicles

THREATSTHREATS

• High cost of home healthHigh cost of home health

• Looming National HealthcareLooming National Healthcare

• Changing criteria for Medicare Changing criteria for Medicare reimbursementreimbursement

• Asian manufacturersAsian manufacturers

Any Any Questions ?Questions ?