You are on page 1of 9


DNA Syndicate
(Djoko, Nanang, Ardha & Ardi)

Rumbai, 6 September 2015

Cambridge Sciences Pharmaceuticals (CSP):
Based on Cambridge, Massachusetts, USA.
International Health Care with $25 Billion sales in 2007.
Focus on developing, manufacturing and marketing products that
treated metabolic disorders, gastrointestinal diseases, immune
deficiencies, chronic and acute medical conditions.

CSP Strategic
initiatives to enter
$3.74 Billion market
for weight-control
products in USA

Metabical Differentiation
Metabical (Meh-tuh-bye-cal)
CSP spend 10 years and $400 Million for developing Metabical.
The first prescription medication approved by FDA that
dedicated for overweight person (BMI 25-30).
Drug anatomy; Dual layer, controlled release formulation:
First layer for appetite suppressant, calosera.
Second layer for fat blocker and calorie absorption agent, meditonan.
Low-dose levels and shown less impact to heart, liver or gallbladder,

have therapeutic strength for aggressive treatment for weight loss.

NEGATIVE side effect of drug ingredients for excess fat and calories
intake have POSITIVE impact to healthy lifestyle.
Proven clinical trial results:
BMI 25-28 loss avg. 15 lbs compare to avg. 2 lbs.
BMI 28-30 loss avg. 26 lbs compare to avg. 6 lbs.

Metabical Differentiation
Metabical (Meh-tuh-bye-cal)
Primary target:
Overweight No prescription drug targeted this group.
Women More health conscious, raising self-esteem
Age 35-65 year Average 67% of prevalence.
College educated Have higher income and more buying power.

Forecasting Method
Scenario #1:
Start 10%

Scenario #3

Cum 30%

Scenario #2:
Start 12%
Cum 32%

Scenario #2

Scenario #3:
Start 30%
Cum 50%

Scenario #1

Scenario #1 &

#2 based on
general target
Scenario #3
have selected
target people

Forecasting Method
Assess 3 different forecasting
scenarios for number of consumers
Used consistent model for
penetration guidelines (10%
increasing by 5% per year) and
60%/20% for repeat purchases
The 3 scenarios can represent low,
mid high forecast cases (30%, 32%
and 50% by 5 years)
Utilizing available data from internal
CSP study quantify potential
consumers in forecast
The forecast align with company
ROI target (5% within 5 year)

All scenarios rely on assumption
from other drug selling experience
This penetration guidelines and
repeat purchases model need to
have variation on model
The forecast still consider wide
range of customer (general vs ideal)
Assumption that the product
success in 1st year and flat increase
% per-year
Need to develop low case forecast
based on realistic assumption
(lesson learn from competitor) &
choose P50 plan

Consideration for Packaging decision

The number of pills in package,
whether it for 4 weeks of 12 weeks
Suggestion for packaging type:
12 weeks supply (3 separate pack)

targeted ideal consumer

Clear reminder about the important of
daily intake
Day labeled at each pill with sticker to
change the start day
Clear blister so consumer can see if
the medication has been taken
Easy to carry by consumer

Pricing Strategy
Pricing Options:

Option 1, $225 for 3 months

Option 2, $375 for 3 months
Option 3, $450 for 3 months

All above price options higher than (Alli, OTC Drugs,

Weight Watcher & Gym Membership)


Pricing Strategy
Prior decided the price, CSP need to focus on which

consumer target (general vs ideal)

Proceed with ideal consumer since it backup with study
that suggest this group willing to pay high prices and
represent ~13% of total overweight population (19992000)
Pricing Recommendations to choose Option 3, $450 for 3
months which give 75% gross margin to CSP