KIDNEY ZENRevitalizing YOU and your

kidneys

10 Step Marketing Plan for

Asuncion, Enatsu, Generoso, Lee Hok, ReyesAteneo Graduate School of Business

January 2010

1. Kidney Zen caters to dialysis patients2. Who don’t want to go to the hospital;

who want added value and service3. Can choose to go to a hospital, or stand-alone

centers4. No one offers the added service we offer;

others focus on dialysis alone5. Market size 88,000 needing dialysis (San Juan,

Pasig, Q.C.). Niche market 8,000

1st 5 stepsPTM and Positioning

6. SERENITY Package (dialysis + Spa, facial, massage Treatment)BLISS Package (dialysis +game room/movie)SOUL Package (dialysis +Healthy gourmet meals)

7. At par with other Class A hospital based dialysis centers

8. Print Ads, word of mouth, event sponsorships9. Greenhills area10. Niche market approach

2nd 5 stepsMarketing Mix & Strategy

Positioning to the Primary Target Market

Part 1: Step 1 to 5

1. Kidney Zen targets dialysis patients who want to be pampered…

• Demographics (patients with Chronic Kidney Disease, needs dialysis, Social Class AB, living in San Juan, Q.C. Pasig area)

• Lifestyle (does not want to get bogged down in the hospital; does not want the hospital as part of their lifestyle because it depresses them)

• Behavior (always looks at value for money, enjoys the luxuries in life)

Gives them esteem and pleasure

So that they can do more in life

Need Dialysis treatment

Need: Physiologic needs: health (dialysis)safety: safe treatmentSocial needs: belongingEsteem needs: recognition of their stature

Actualization needs: so that they can do more with life

2. Needs, Wants, Expectations

Want: comfort, value, service, entertainment, ambiance, leisure, they want MORE!

Expectation: value for money, good service, service par excellence (Dialysis +++ and MORE!)

2. Needs, Wants, Expectations

• Hospital Based: The Medical City, Cardinal Santos, St. Luke’s

• Stand-alone: Renal Care, Hemotek,

• Variables: Price, package, operating hours, service quality, add-on services, location

3a. Kidney Zen has many established competitors

Kidney Zen The Medical City

St. Lukes Renal Care Hemotek

Price High High High Low Low

Quality Service

High High High Basic Basic

Add- on services

Location Standalone- Greenhills

Hospital-based, Pasig

Hostpital Based, QC

Stand alone, QC

Standalone, QC

Operating hours

Monday to Sunday3 shifts

Monday to Sat,

3 shifts

Monday to Sat,

3 shifts

Monday to Sat,

2 shifts

Monday to Sat,

2 shifts

packages Wellness package,

Fun package, Feast package

none none Re-use package

Re-use package

3.b Kidney Zen targets the niche: high price, high quality of service

3b. Kidney Zen covers the niche market, high price and quality with add on services

PRICE/SERVICE MATRIX

Basic Service High Quality Service

Add on services

Premium price

Mid price

Low price

Hemotek, Renal Care

The Medical City, St. Luke’s

Kidney Zen : WELLNESS/FEAST Package

Kidney Zen : FUN Package

Kidney Zen is the only dialysis center that gives ADDED SERVICE!– Offers SPA and massage services– Offers a game/entertainment room

(mahjong, poker, DVD movies)– Offers healthy gourmet food– All while you are hooked to the dialysis

machine

4. Kidney Zen positions strong on a niche market opportunity

No other dialysis center offers the same service

All others focus on the basic dialysis service, reducing cost, and making profit

Kidney Zen revitalizes YOU and your kidneys

4. Kidney Zen positions strong on a niche market opportunity

• The Medical City : 200 patients/month– 200 patients x 3 sessions per week x 4

weeks =2,400 sessions– Capacity: 600 sessions/ month

P6,000 /session x 2400 sessions= P14.4M gross monthly income

5a. The Medical City has a P64M market

• Hospital X: private, tertiary hospital in QC / 150 patients/month– 100 patients x 3 sessions/week x 4

weeks= 1200 sessions– Capacity: 800 sessions/month– P3,000/session X 800 sessions =P2.4

gross monthly income

5a. The Medical City has a P64M market

Kidney Zen projected data: 100-200 dialysis patients in 1 month

Total of 1,800-2400 dialysis sessions in a month

5b. Based on projections, Kidney Zen will cater to 100-200 patients, a

P21M market

Population of San Juan: 125,338Population of Pasig City: 617,301Population of QC: 2,670,000

Total: 3,300,000CKD Stage 5 incidence: 2.6% (NNHeS 2004)

85,000 need dialysis

5c. Niche market estimation…

85,000 need dialysis10% class AB

8,500 niche market

Target: 100 patients x 3 sessions/week x 4 weeks

=1200 sessions x 7000 = P8.4M gross monthly income

5c. Niche market estimation…

The Marketing Mix Strategy

Part 2: Step 6-10

6.a. Kidney Zen

SERENITY

BLISS

SOUL

Dialysis Center

6a. Competitors

Hospital X Hemotek

• Kidney Zen is a high-end hemodialysis center

that provides add-on services to the basic dialysis treatment

6b. Kidney Zen is a premium dialysis center

Serenity Bliss

Soul

• Services offered: – SERENITY package: dialysis + SPA /massage

treatment– BLISS Package: Dialysis + entertainment (mahjong,

poker, Blue Ray movies)– SOUL package: Dialysis + gourmet food

6b. Kidney Zen is a premium dialysis center

Serenity Bliss

Soul

– SERENITY package: P6,000– BLISS Package: P 6,500– SOUL package: P7,000

7. Price: Kidney Zen is premium priced and benchmarked against The

Medical City

– Kidney Zen is benchmarked against The Medical City prices and is 30%-50% premium than

standalone dialysis centers such as Renal Care and Hemotek

7. Price: Kidney Zen is premium priced and benchmarked against

The Medical City

• Word of mouth• Print Ads• Website• Wellness Event Sponsorship• Tie-ups with doctors

8. Making Kidney Zen Well-known

8. Making Kidney Zen Well-known

8. Making Kidney Zen Well-known

8b. Competitor’s promo: St. Luke’s

8b. Competitor’s promo: The Medical City

8b. Competitor’s promo: Hemotek

8b. Competitor’s promo:Renal Care

• Greenhills, San Juan• We are accessible to

residents of San Juan, Quezon City, and Ortigas Pasig area

9. Kidney Zen is strategically located at

Greenhills area

9. Kidney Zen is strategically located at

Greenhills area

9. Kidney Zen is strategically located at

Greenhills area

Kidney Zen main strategy is to target Class A and B patients who need dialysis treatment but want excellent service and add-on services

It benefits from excellent services such as spa/massage, game room, gourmet food

Has an excellent, unique, premium priced product available outside of a hospital

10. Kidney Zen targets a niche market

Summary

1. Kidney Zen caters to dialysis patients2. Who don’t want to go to the hospital;

who want added value and service3. Can choose to go to a hospital, or stand-alone

centers4. No one offers the added service we offer;

others focus on dialysis alone5. Market size 88,000 needing dialysis (San Juan,

Pasig, Q.C.). Niche market 8,000

1st 5 stepsPTM and Positioning

6. SERENITY Package (dialysis + Spa, facial, massage Treatment)BLISS Package (dialysis +game room/movie)SOUL Package (dialysis +Healthy gourmet meals)

7. At par with other Class A hospital based dialysis centers

8. Print Ads, word of mouth, event sponsorships9. Greenhills area10. Niche market approach

2nd 5 stepsMarketing Mix & Strategy

10 Step Marketing Plan for

Asuncion, Enatsu, Generoso, Lee Hok, ReyesAteneo Graduate School of Business

January 2010

KIDNEY ZENRevitalizing YOU and your

kidneys