E c h o T h e r a p e u t i c s I n c .

1 0 - J a n - 1 6

NermeenAsfour

Noor Ghanameh

This marketing plan is built to discuss the potential for

the symphony tCGM product to profitably meet the

needs of diabetics to maintain visibility over the

fluctuation patterns of their glucose level and hence

adopt a healthier lifestyle and better adapt and adjust

with their illness and eventually limit its impact on

their daily lives and free their focus and energy on

what they love and enjoy without any halting.

This marketing plan is focusing on diabetics in Jordan

starting from capital Amman, with hopes to expand

into remaining directories in future studies

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Table of Contents Executive Summary ......................................................................................................................... 3

Situational Analysis .......................................................................................................................... 4

Market Demographics ................................................................................................................. 4

Target Market .............................................................................................................................. 5

Target Market’s Attributes ...................................................................................................... 5

Target market’s Needs ............................................................................................................ 5

Market Growth ............................................................................................................................ 6

SWOT Analysis ............................................................................................................................. 7

Strengths ................................................................................................................................. 7

Weaknesses ............................................................................................................................. 7

Opportunities .......................................................................................................................... 7

Threats ..................................................................................................................................... 7

Competition& Positioning ........................................................................................................... 7

Product Offering .......................................................................................................................... 8

Keys of Success ............................................................................................................................ 8

Marketing Strategy .......................................................................................................................... 9

Mission ...................................................................................................................................... 12

Objectives .................................................................................................................................. 12

Marketing Tactics .......................................................................................................................... 12

Product ...................................................................................................................................... 12

Price ........................................................................................................................................... 13

Distribution ................................................................................................................................ 13

Communication ......................................................................................................................... 14

Financials ....................................................................................................................................... 15

Controls ......................................................................................................................................... 17

Implementation ......................................................................................................................... 17

Marketing Organization............................................................................................................. 17

Worst-case Risks Contingency Plan ............................................................................................... 18

References ..................................................................................................................................... 19

Appendices .................................................................................................................................... 19

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Executive Summary Echo Therapeutics Inc. is a single product company that has been working on developing a

revolutionary technology for continuously monitoring the level of Glucose using non-invasive

technique; a technology that the company visions will do revolutionary changes in the current

methods used for glucose monitoring. The product – called Symphony tCGM®- can be used for

medical and health reasons, including diabetes and weight monitoring.

Diabetes is one of the mostly prevailing chronic diseases in Jordan and one of the top death

causes in the country. Various technologies have been developed for the purpose of glucose

monitoring. These technologies differ in the frequency of measurements taken (continuous vs.

non-continuous measurements) and the techniques used (invasive vs. non-invasive). However,

only non-continuous invasive technology is commercially available in the Jordanian market; and

hence the potential for introducing a new continuous non-invasive monitoring device to the

Jordanian market is investigated.

The investigation included a market survey that has defined the target market available for the

Symphony tCGM® in Jordan basically through five segmentation variables: People’s health status

(having diabetes/not having diabetes), residence location, age group, education level and

income level.

This marketing plan is designed to target three segments out of the defined segments basically

based on the amount of the annual expenditure these segments are willing to spend on

Symphony tCGM®, these three segments’ attributes have been studied and accordingly the

marketing strategy and the tactical marketing mix have been determined.

The Symphony tCGM® is a high quality technology that is new to the Jordanian market and

offers a new set of benefits that are available among other competitors in the market justify

offering the product against premium prices, furthermore, the continuous monitoring – a key

feature of the Symphony tCGM® - can be benefited from to expand the range of utilization from

only diabetics to those suffering from obesity or pre-diabetics which requires a new lifestyle.

This fact makes alliances with nutrition centers a win-win deal that can promote for the product

and for new services to be offered through diet programs based on glucose levels.

In summary, the Symphony tCGM® is expected to sell about 25,194 units during the first year of

operation, these include the first time kits along with all its supporting products such as tips,

strips and sensors. The revenue expected shall be about 9.56 million JDs of which 0.85 million

JDs are net profits.

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Situational Analysis According to IDF Diabetes Atlas – an international statistical study published by the international

diabetes federation IDF – there are 378,300 diabetic person living in Jordan all in the age group

between 20 -79 years and with a comparative prevalence of 11.5%. i.e. one of each 11 people in

Jordan is diabetic.

Additionally, and according to a report published by the Center for Disease Control and

Prevention (CDC) published in November 2013 about causes of death in Jordan; Diabetes turned

out to be the fourth top cause of death in Jordan with 7% - 8% of the death cases caused by it.

This chronic disease is the main cause of death for 3,111 Jordanians each year and 48% of

diabetes related deaths are under 60 years old.

The average cost per person with diabetes in Jordan is 638.7$ (452.2 JDs) annually.1

Market Demographics The potential market demographics can be summarized as follows:

1- Diabetes Type:

A majority of (57.58%) has type-2 diabetes, yet the percentage for type-1 diabetics is

still significant.

2- Geographical focus:

The grand majority of diabetics are focused in east Amman (63.6%) followed by west

Amman (15.2%).

3- Age Group:

Grand majorities of 72.7% are 51 years old or more while the remaining percentage is

12.1% in age group between 31 – 40 years and 15.2% are in the age group between 41-

50 years old.

4- Educational Level:

About 70% of the diabetics are of low education level (no educational degree,

elementary and high school). While only 30% are with at least a bachelor degree.

5- Income Level:

The majority are with income level higher than 500 JDs a month (54.5%) while the

remaining balance are with income level less than 500 JDs a month.

6- Glucose level monitoring method:

84.85% of diabetics use invasive monitoring devices widely available off-the-shelf in the

local stores.

7- Measurement frequency:

Around 48.5% of surveyed diabetics measure their glucose level at least once a day.

1 IDF Diabetes ATLAS, sixth edition, 2014 updated, pg.6

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Living in Jordan

Diabetics

Diabetics with Age Group 41-60 Year

Diabetics with age between 41-60 years who have BSc degree

or higher

People with diabetes, Age

Group between 41-60 years,

Educational Level of BSc or higher,

and income level of 500 JDs and more a

month

Target Market The target market for the Symphony tCGM

is defined through the following

segmentation variables:

1- Living in Jordan (special focus

on east and west Amman).

2- People with Diabetes (the type

of the diabetes is not a

constraint).

3- Age group between 41-60

years.

4- Education level is Bachelor

degree or higher.

5- Monthly income level is 500 JD

and above.

Target Market’s Attributes

1- Most of The target market lives in East Amman, while about 10% lives in western

Amman.

2- 60% of the target market have type 2 diabetes and the remaining 40% have type-1

diabetes.

3- 100% of the target group uses invasive glucose monitoring devices available off-the-

shelf at local stores.

4- 80% of the target market measures their glucose level at least once a day.

5- 86% of the target market considers the Invasive glucose monitoring devices as irritating

yet acceptable, perhaps due to the lack of alternatives.

6- 40% of the target market has selected Invasiveness as one of the most irritating features

about the current invasive glucose monitoring devices.

7- 36.3% of the target market thinks that the need to change the strips and the needle

every time they need to take a glucose measurement is one of the two most irritating

features in the current off-the-shelf devices.

8- 45% of the target market have identified “Accuracy” to be one of the two top concerns

when thinking of the continuous glucose monitoring CGM technology.

9- 44% of the target market have identified “Complexity” as one of the two top concerns

they think of when considering the new CGM technology.

10- 80% of the target market is concerned about the other health implications which the

diabetes might cause such as the kidney’s failure and the wounds slow recovery.

Target market’s Needs

The needs of the target market can be summarized out of the analysis performed above and

they include the following:

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1- The target market needs to maintain a daily log of their glucose level.

2- They are currently using invasive method to measure their glucose and they are not

satisfied with this method and are willing to spend on an alternative method that is not

invasive.

3- The target market is irritated by the need to replace the needle and the strip each time

they need to take a glucose measurement and perhaps this might be the limitation for

even a more intensive measuring behavior and hence they are willing to spend on an

alternative method which is more durable and doesn’t require this procedure that

frequently.

4- Accuracy and complexity are the two most concerns that the target market consider

when they think of the new technology of the continuous glucose monitoring CGM and

hence the Symphony tCGM should address these two concerns and eliminate their

intervention with the purchase decision.

5- The target market in general is concerned with the health implications that are caused

by the diabetes such as the kidney failure or the slow recovery of wounds which drive

their actions towards the frequent measurement and the actions taken towards a better

management of this illness.

Market Growth Diabetes is considered one of the most highlighted health issues in Jordan and the striking

growth rate of this disease is alarming which might promise some significant growth in the

potential market for CGM devices.

A study published by the Higher Council of Population and the Eastern Mediterranean Public

Health Network has shown a projection for the prevalence of major non-communicable diseases

in Jordan up till 2050 (diabetes is among these diseases), according to this study, the prevalence

of diabetes will increase up to 20% by 2020 and will continue to grow to reach up to 23% by

2050 according to the constant model based on the regular population growth estimated by the

HCP, another model estimating the same projections assumes a minimal increment related to

the disease growth rather than the population growth estimates a prevalence percentage of

37% by 2020.2

The same resource estimates the obesity prevalence percentage to reach up to 26% by 2020

and according to the World Health Organization. Obesity and overweight. Fact sheet 311,

obesity is one of the main causes of diabetes and counting for about 44% of the diabetes in

Jordan which also introduces a growth opportunity for CGM devices in Jordan.

2 Projecting the prevalence of major non-communicable diseases/Risk factors for Jordanian youth

population for the years (2007-2050), Amman-Jordan 2013, Table-3 Page 15

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SWOT Analysis

Strengths 1- High quality Product. 2- New technology. 3- Covering the need for a well-defined

market. 4- Supported by experts’ opinion

(doctors perceived its value and hence are willing to recommend using it to help in managing the diagnosis and the medications prescribed to the diabetic patients).

5- Experienced staff and dedicated force.

Weaknesses 1- High Cost. 2- Low Brand Recognition. 3- Confined financial Resources. 4- Some of the targeted age groups

might find the technology hard to use, especially those who don’t use smart phones.

Opportunities 1- No Competition delivers the same

value. 2- Replaces products that are not

satisfactory to many users in the market.

3- A growing market. 4- Governmental Exemption from

Customs taxes.

Threats 1- Potential economic recession in

2016, according to the global economic forecasts.

2- Difficulties in clearing the products into the country –the product includes communication modules which requires approval by the ministry of information and communication.

3- The periodic reviews of the FDA and the ministry of health and any shift in regulations that might relate to the product commercialization.

4- The introduction of similar technologies by other well-established medical equipment providers.

Competition& Positioning All available competition uses invasive technology to measure glucose level and don’t provide

continuous information and hence can’t be used to manage the diabetes through the

information and insights that are revealing the pattern of the glucose fluctuation throughout the

days and the nights and hence highlighting the causes of the glucose level fluctuation and

allowing for the user to adopt a better lifestyle which is the optimal way to prevent any future

implications resulting from the improper management of diabetes.

The competition provides better prices yet, the prices for their complementary products such as

the strips are not as cheap and hence the users are still paying an annual expenditure that are

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higher than the annual expenditure paid for the complementary products needed for Symphony

tCGM.

Competing glucose measurement devices are accurate since they take a measurement out of a

real blood sample. However, the technology that Symphony tCGM uses to measure the glucose

level has revealed a comparable accuracy with a good amount of reliability and repeatability

especially since it wasoriginally designed to monitor the glucose level for patients admitted to

hospital and under critical care.

Product Offering The Symphony tCGM offers diabetics the following set of benefits:

1- None invasive technique of measuring glucose level.

2- High measurement accuracy that can steer medication programs.

3- An extended log of continuous measurements that reveals the patterns behind the

glucose fluctuation.

4- Insightful information which can be used by doctors and nutritionists to establish their

healing programs, monitoring the impact of different components and dosages, select

the most appropriate times for delivering active ingredient’s portion.

5- An engaging device that interacts with the patient through initiating alarms and alerts

related to their current glucose level fluctuation.

6- The ability of interacting with the patient’s family or perhaps the patient’s doctor by

also providing them with alarms and alerts related to the patient’s glucose level.

7- The monitoring algorithm can also provide patients with reminders related to their

medications or insulin injection times.

8- Echo Therapeutics also provide an open environment for application’s developers to

program the applications that would enhance the ways of utilizing the continuous

readings provided by the device such as weight loss diets, or pre-diabetic close-by

monitoring of glucose levels.

9- The device is easy to use, pleasant to interact with, and doesn’t leave any

inconvenient marks or bruises on the skin.

10- The sensor is small and can be located anywhere on the body without being noticed by

others.

11- Type-1 diabetics can enjoy the future benefit of connecting the device with an insulin

pump which can act as an artificial Pancreas.

12- The device can interact with any smart device and does not require any special display.

Keys of Success 1- The prices of the complementary product are very competitive and provide a less

annual cost than most invasive devices available in the market.

2- The capital cost of the product is also affordable compared to other CGM devices in

the world and low-cost financing is available.

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3- The product shall be available in local stores/pharmacies and also at the agent, and the

complementary products shall also be highly available at the same outlets.

4- One year warranty against any defects or mal-functions, defected items are

immediately replaced with a new one.

5- Cooperation with a profile of well-known diabetes doctors as well as the national

center for diabetes

6- Customer training at the time of purchasing the product to overcome the complexity of

using the device.

7- 24/7 support for consumers through hot-line to solve any technical problems they

might face

Marketing Strategy The company shall address the target market with a product that focuses on the two

mainirritating factors that the target market suffers of;which are the invasiveness and the

inconvenience related to the need for replacing the needles and strips each time they take a

measurement,as well as the reasons of this irritation related to the consumers behavior since

the majority of the target market have a relatively intensive measurement frequency as they

measure glucose at least once a day.Furthermore, the company shall also address one of the

prime concern for the target market related to the health implications that might result from

diabetes if not well managed.

The Symphony tCGM solves all of these issues through providing a convenient method of

measuring glucose and through providing a comprehensive log that allows the consumer

manage diabetes and adapt a healthy lifestyle that can prevent any health implications that

might take place on the long run.

The Symphony tCGM is the first device toprovide the consumers with such premium features

and hence the company can benefit from such position through charging premium prices and

through enhancing the offering package with even more services that addresses the target

market concerns and adapt with their preferences and attributes

1- 24/7 support and customer training

The company shall overcome the consumers concern related to the complexity of using a CGM

technology through providing a comprehensive training to the customers at the time of the

purchase and through providing more training materials that can help the customer to make

sense of the readings. Furthermore, the company shall provide a 24/7 support service provided

through a hot-line.

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2- Strategic Alliances:

Product/service alliance with “Live’ly”

Lively is well known nutrition center and lounge, it

doesn’t only offerwell-designed diet programs but

also follow through by preparing the meals as per

the program and deliver it to the client’s according

to the best time for them to have their meal.

Lively offers a unique service to their client based on

motivation and consistency which increase the chances for these programs to break the original

nutrition habits and becomes the new healthy lifestyle for those who are most in need for such

a lifestyle.

The alliance with Lively will be form a win-win deal for both firms in which Symphony tCGM can

act as the initial source of data and information about the clients health status and provides

Lively professionals with more visibility over the clients’ current behavior and hence a better

judgment of the best diet programs taking into consideration the clients’ preferences and design

them in a way that would minimize the discomfort or the confining feelings which are usually

felt by people on such diets and which causes their retrieval and preventing them from keeping

up with the same enthusiasm they start with and this would enhance the chances for these diets

to hit its goals and break the bad habits which most people dwell in most of the times.

Furthermore, the Symphony tCGM would also enrich the monitoring and evaluation all through

the diets program since it will accurately transmit the improvements taking place over the

glucose level fluctuations or in contrary it will highlight the negative impact that has taken place

since the program kicked giving a plenty of room to correct the times and the portions or even

change in the ingredients as appropriate.

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In summary, the alliance with Lively would results in the following benefits:

Echo Therapeutics Lively

Benefits:

1- Enhance the reach and making use of Lively current customers profile (especially while they are consistent with the Echo Therapeutics’ target market (high income, high willingness to pay, a special need to monitor their glucose level)

2- Introduce Symphony tCGM to a new segment that can benefit from it (pre-diabetic, overweight, people with obesity)

3- A better brand recognition 4- Better emphasis on the message

that Echo Therapeutics wish to convey “The way to manage diabetes starts with intelligent information and better visibility over what happens internally in your body”

1- Allow Lively to introduce a new service – diets for diabetics

2- Provide Lively with better visibility over their clients which help to further tune their programs to more satisfy their clients’ preferences.

3- Enhance the success chances and hence better position them as a trusted nutrition center.

4- Enhance the current business model which is followed by Lively based on close-by follow ups and better tune the best times to deliver their healthy meals

Alliance Terms:

1- Echo Therapeutics shall promote and market for Lively services of diabetes nutrition programs in their promotional campaigns and for clients performing purchases

2- Lively’s clients shall purchase the Symphony tCGM devices directly from Echo Therapeutics to benefit from the promotional prices and the supply of the complementary products

3- Lively shall provide a special discount over their services for Echo Therapeutics’ clients and prospect clients.

4- Lively and in cooperation with Echo Therapeutics shall participate in the diabetes awareness campaigns and shall partially sponsor events and workshops related to diabetes awareness

1- Lively shall also market for Symphony tCGM to their existing and prospected clients

2- Lively’s clients shall have a special discount over the price of Symphony tCGM and a free supply of complementary products for the first two months of their diet program with Lively

3- Lively and in cooperation with Echo Therapeutics shall participate in the diabetes awareness campaigns and shall partially sponsor events and workshops related to diabetes awareness

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Mission Enhancing the lives of diabetic and pre-diabetics in Jordan with the revolutionary glucose

monitoring technologies enhancing their lives styles and helps them in adjusting and freeing

themselves from diabetic constraints.

Objectives 1- Capturing at least 20% of market share.

2- Achieve a target revenue of 9.5 million during this year.

3- Increase the local awareness of the continuous glucose monitoring technology (CGM)

and its benefits from only 30% to at least 70% of the potential market.

Marketing Tactics

Product - The Symphony tCGM is an unsought product serving people with diabetes that in

relative to the Jordanian market is considered into the augmented level exceeding the

consumers’ expectations especially for those who are still not aware of the CGM

technology.

- The product is differentiated through its features providing a continues glucose level

track record through a non-invasive yet accurate measurement technology providing

convenience and peace of mind.

- The product provides a high level of durability and reliability and opens the path for new

services that can be delivered from doctors who can trace the glucose level and hence

better tune the medications and the dosage to the patient’s actual states and for

nutrition centers who are more able to provide diets that fits the patient’s lifestyle and

providing a better boundaries of the food types and portions.

- The product consist of three main elements:

1- The exfoliator.

2- The sensor.

3- The consumable products (strips & tips).

In addition to the above three elements, an application is availableto be downloaded on the

consumer’s smart device and to which the glucose readings are transmitted every minute.

The exfoliator and two sensors come into the kit a consumer initially buys along with one

package of consumable strips and tips. However, the strips and tips shall be bought on regular

basis since it needs replacement each time a consumer remounts the sensor on the skin (by

average this is performed every 1-3 days)

The product comes into a regular hard cartoon package branded with Echo Therapeutic logo and

name and at the same time provided with a complete usage manual and instructions.

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The product warranty provided to consumer is one year against any manufacturing defects or

mal-functions and excludes any users’ misusage or offensive handling.

The product returns under the warranty conditions shall be immediately replaced by a new

product and the client shall not have to go under lengthy waiting period or any shipping or

handling cost or trouble.

Price The product introduced is a new technology with a proven need for it in the market and hence

the pricing objective for this first year of operation shall focus on maximizing the profit margin

to compensate the low sales in the early introduction of the product to the market and hence

the company shall be applying market skimming as a pricing method to meet those objectives.

The pricing method applied is a markup pricing in which the company makes sure it is covering

all of its variable and fixed costs and achieve profits.

The product price is divided into two sections:

1- The Initial price paid for the Symphony tCGM kit

This price is 250 JDs paid at site for those who are able to afford such amount and for

those who can’t immediately afford this amount a low cost financing is granted allowing

the client to pay the price of the product on four installments each installment is of 70

JDs and in return the total price of the product shall increase to be 280 JDs.

2- The price for the complementary products

The price for these products are meant to be comparable or even more competitive

than the prices of the complementary products used for the invasive devices and hence

is affordable by a large segment of the potential market which can motivate more

people to seek the device itself.

There are three complementary products:

- Exfoliator's Tips – they are sold in packages of 50 pcs sold for 10 JDs each (making the

unit price equals 0.2 JDs)

- Sensor's Strips – they are also sold in packages of 50 pcs sold for 15 JDs each (making

the unit price equals 0.3 JDs)

- Sensor – Sensors are sold individually since they are more durable than other

complementary products. Each sensor is sold for 19 JDs

- The monitoring application is available for download free of charge and suiting android,

apple, and windows smart devices.

Distribution Considering the novelty of Symphony tCGM and the lack of awareness about it among the

selected market segment; the following different parties will be involved in a “1-Level” and “2-

Level” marketing channels:

a. The Manufacturer (owner of the product): Echo Therapeutics.

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b. The Agent: Echo Therapeutics – Jordan.

c. Retailers: Pharmacy chains and nutrition clinics.

Accordingly; the marketing channels will be designed as follows:

1. “1-level Marketing” Channel:

As an agent to Echo Therapeutics, the agent shall maintain the promotion for the Echo

Therapeutics brand and seek a higher recognition of such a brand by associating it to its

marketing activities and through its marketing distribution mix.

2. “2-level Marketing”Channel:

Where the company will be displaying and distributing the

product through reputable retailers related to the field of

diabetes. Selective distribution at Pharmacy 1 and Dawacom

Pharmacy chains; where 15 branches of Pharmacy 1 and 15

branches of Dawacom will be selected covering most strategic

locations in East and West Amman; where the targeted market

segment is expected to be found.

Both Pharmacy 1 and Dawacom shall be provided with specially

designed stands that carry the Echo Therapeutics brand and colors

and designed to be the only display furniture for its products and

to be located in a premium spot in their outlets.

Incentives for this type of retailers will be in the form of promotional allowance of 20% from the

product price sold at their outlets.

Communication Initially, the company shall focus on bringing awareness about the product to the target

consumers through a structured campaign that starts at the doctors’ clinics and health care

centers.

In this preliminary stage, a well-designed banners, stands and communication brochures shall be

designed to provide the consumers with sufficient information about the product highlighting

the value added to consumers, this marketing material can be placed at the retailers the

company has decided to work with. In addition, they can be placed at selected diabetes clinics.

The second stage of the promotion shall start through granting massive media coverage at the

local newspapers, magazines that are health focused such as the medical online directories, and

smart phones applications.

Furthermore, sponsorships for the activities catering for the diabetes needs in Jordan including

two medical conferences and four medical workshops in which further social interaction can be

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performed with the related cluster of shareholders such as the doctors, nutritionists and

consumers.

The final stage shall be through a well-designed TV ads structured in two levels;

1- The Echo Therapeutic sponsorship of an awareness campaign that highlights numbers,

medical facts, and free advices about the healthy lifestyle to be adopted by diabetics.

2- A mix of informational appeal and transformational appeal that highlights the

products features and how it can help consumers to avoid the very painful health

implications resulted by the diabetes.

Financials Echo Therapeutics – Jordan is a new company in Jordan and is providing a new product to the

Jordanian market, this is why no sales and revenues are expected to be achieved in the first

three months of operation.

Starting the fourth month; the company expects to start achieving a total monthly revenue of

around 1,000,000 JDs, of which around 70% is generated from selling the product’s kit and 30%

from selling consumable complementary products.

The company also expects to incur several types of expenses, with the largest monthly fixed

expense is related directly to providing the product itself. A large portion of these expenses,

varying according to months, are related to the communication campaign the company is

planning to carry out to increase the awareness of the product and increase demand.

In case the company is unable to achieve the targeted revenues and profits due to the identified

threats or other unforeseen reasons, a sales breakeven point has been identified at 6,303,477 JD

which, in this case, the company will strive to achieve to avoid any losses.

The full monthly financial projections for the first operational year showing detailed revenues

and expenses are shown in the table below.

Month Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16

Estimated Sales of Units

2,799 2,799 2,799 2,799 2,799 2,799 2,799 2,799 2,799

Revenue- Kits - - - 699,833 699,833 699,833 699,833 699,833 699,833 699,833 699,833 699,833

Revenue- Consumables

362,514 362,514 362,514 362,514 362,514 362,514 362,514 362,514 362,514

Direct Cost - Kits

(348,720) (348,720) (348,720) (348,720) (348,720) (348,720) (348,720) (348,720) (348,720)

Direct Cost - Consumables

(282,463) (282,463) (282,463) (282,463) (282,463) (282,463) (282,463) (282,463) (282,463)

General Administration (16,667) (16,667) (16,667) (16,667) (16,667) (16,667) (16,667) (16,667) (16,667) (16,667) (16,667) (16,667)

Sales Commission

(212,469) (212,469) (212,469) (212,469) (212,469) (212,469) (212,469) (212,469) (212,469)

Brochures & Publications (15,208) (15,208) (15,208) (15,208) (15,208) (15,208) (15,208) (15,208) (15,208) (15,208) (15,208) (15,208)

Conferences

(30,000)

(30,000)

Workshops

(7,000)

(7,000)

(7,000)

(7,000)

Awareness Visual ads

(8,182) (8,182) (8,182) (8,182) (8,182) (8,182) (8,182) (8,182) (8,182) (8,182) (8,182)

Product Ads

(4,545) (4,545) (4,545) (4,545) (4,545) (4,545) (4,545) (4,545) (4,545) (4,545) (4,545)

Distribution Channels (2,967) (2,967) (2,967) (2,967) (2,967) (2,967) (2,967) (2,967) (2,967) (2,967) (2,967) (2,967)

Interest Expense (45,000) (45,000) (45,000) (45,000) (45,000) (45,000) (45,000) (45,000) (45,000) (45,000) (45,000) (45,000)

Net Income (79,842) (723,753) (723,753) 119,125 96,125 119,125 126,125 89,125 126,125 119,125 757,309 757,309

Controls

Implementation In order for the company to achieve its objectives; it has set a number of financial and non-

financial key performance indicators that it monitors on a periodic basis to ensure the

effectiveness of the marketing process and all related activities.

The following tables shows the indicators the company has selected for its performance

monitoring and all related details:

KPI Type KPI Frequency of Monitoring

Target Method of Monitoring/Measurement

Financial Sales Revenue Monthly 1,062,347 JD (starting the fourth month)

From the financial statements

Marketing ROI Annually 2.98 From the financial statements

Non-Financial

Number of "serious" consumer complaints received

Monthly Not more than 2 serious complaints/month

* Complaints received on the Facebook page or the product's website * Feedback forms that will be placed at the selected pharmacies and nutrition clinics

Consumer Satisfaction

Annually Not less than 80% Satisfaction level

This KPI will be measured through a satisfaction survey that will be designed at the end of the year and distributed to a sample of consumers who have bought and used the device.

The management of the company reviews the performance of the processes in terms of the

above KPI’s according to the frequencies described. However, process owners monitor these

KPI’s more frequently in order to take the right timely manner to avoid any complications.

Marketing Organization During the first year of operation, the company will hire two sales representatives to be

responsible for marketing the product in the targeted geographies, in addition to one person in

charge of Logistics and Inventory Management. These two representatives will be reporting to

the senior management of the company.

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Worst-case Risks Contingency Plan The occurrence of the forecasted economic recession in 2016 can severely affect the company’s

capability of meeting its set objectives. In case this happens, the company will take gradual steps

in order to keep making profit or, in worst cases, breakeven. The first step will be for the

company to reduce administrative expenditures and then to reduce the sales commissions

granted to sales representatives. In all cases, the company will keep the option to increase the

profit margin on the consumable complementary products since they are already priced low and

increments on their prices, to a certain degree, are possible.

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References 1. IDF Diabetes ATLAS, sixth edition, updated 2014.

2. Projecting the prevalence of major non-communicable diseases/Risk factors for

Jordanian youth population for the years (2007-2050), Amman-Jordan 2013.

3. http://echotx.com/

Appendices 1. Buyers’ Intentions Survey.

2. Reference Documents.

3. SPSS Statistical Analysis.