a market survey on pregnancy test kit - presentation slides

TEAM CONSULTANCY PROJECT PRESENTATION

A MARKET SURVEY ON PREGNANCY TEST KIT : SCIENTIFACTS SDN BHD

Prepared by :

Team PRISM

24/02/11

2

TEAM MEMBERS

• PROJECT LEADER

• T. SANDEEP KUMAR

• (????)

• PROJECT LEADER

• SHAIFUL AZHAR AHMAD

• (710324-06-5545)

• SECRETARY

• CHAN BEE CHOO• (????)

• BUSINESS ANALYST

• NORFAAZAH BASIR

• (690630-01-5786)

• DATA ANALYST

• GOH BEE SEEM• (2309489)

• DATA ANALYST

• SAAD MOHIB• (690630-01-5786)

• INFO. & RESEARCH

• MOHAMED KASAZAIDEH

• (780120-10-6011)

Co-SECRETARY

SHANTENE(????)

3

PROJECT FRAMEWORK

• Identify client’s

problems

• Define objectives and aims

• Choose research

methodology

• Obtain information sources

• Data collection

• Analyse data

• Develop conclusio

n

• Develop recomen-

• dation

• Notify clients with the findings

4

COMPANY BACKGROUND

• SCIENTIFACTS Sdn Bhd (Co. Reg. No : 609749-M) was incorporated in March 24, 2003 to develop, manufacture and trade a broad range of in-vitro diagnostic rapid result test kits for pregnancy urinalysis, clinical blood chemistry analysis, drug of abuse urinalysis and transmissible infectious agents analysis.

• SCIENTIFACTS has been supplying the drug of abuse test kits to the Malaysian Police force and Drug Control Authority.

• The pregnancy test kits are so far being sold directly to government clinics and Doping Control Centre.

5

COMPANY BACKGROUND (cont’)

• The company’s incomes are 80% contributed by the drug of abuse test kits, 5% from pregnancy test kits and 15% from other products or services.

• In line with the Malaysian government’s aspiration to promote the biotechnology industry, SCIENTIFACTS has been actively involved in the commercialisation activities of other healthcare products through partnerships and strategic alliances with research institutes or universities both locally and abroad.

6

PROJECT OBJECTIVES

• The objectives of the projects are to evaluate the client’s pregnancy test kit market potential and to propose appropriate strategies for implementation in the company.

• The key part of the study components are to ascertain :-

The consumers’ purchase behaviour of the pregnancy test kit;

The consumers’ awareness on available pregnancy test kits and their preferences;

The consumers’ experience of using pregnancy test kit and their perception towards the test kits that they have not used before.

7

RESEARCH METHODOLOGY

• A mix of primary and secondary data gathering.

Primary Research : A face-to-face interview based on a structured questionnaire was carried out by the Project Team members starting from 6 August until 10 September 2010. A total of 150 respondents were interviewed.

Secondary Research : Various relevant sources from printed documents, materials from the internet which includes, journals & research papers.

8

RESEARCH METHODOLOGY (cont’)

Limitations and Challenges

It was rather challenging to get respondents to participate in certain locations like pharmacies and shopping complex for the interview due to time constraint;

It was rather difficult to find respondents who are qualified to be interviewed in the ‘student’ category under age group ‘17-25 years old’;

Several respondents who were interviewed by the male team members were quite cautious in answering the questions since the topic is considered as very personal. The respondents may not give the real answer to avoid from being embarrassed.

9

RESPONDENTS’ PROFILE

• The data sampling of 150 respondents are divided into 3 main age groups :- 17 - 25 years old (50 respondents) 26 – 39 years old (70 respondents) Above 40 years old (30 respondents)

• The main group is between the age of ‘26-39 years old’ due to the higher fertility rate which is 550.27 number of births per woman in that particular age group between year 2010 - 2015. (Source : United Nations Population Division)

17-25 yrs old

33%

26-39 yrs old

47%

> 40 yrs old

20%

Chart 1 : Respondents by Age Group

10

Chart 2 : Marital Status Chart 3 : Occupation

10

Married71%

Single23%

Others6%

RESPONDENTS’ PROFILE (cont’)

Student19%

Clerical19%

Executive33%

Manager17%

Self-Employed

12%

11

Chart 5 : Income Chart 6 : Survey Location

RESPONDENTS’ PROFILE (cont’ 2)

< RM2,500

28%

RM2,500 to

RM4,99929%

RM5,000 to

RM9,99919%

> RM10 k 5%

n.a19% Office

27%

Pharmacy32%

College16%

Others25%

12

FINDINGS - PURCHASE BEHAVIOUR

• In terms of purchase behaviour, we noted that 64% of respondents buy the pregnancy test kits whenever needed. That may explain why the 42.6% of respondents indicated that they could not remember when were the last time they purchased the pregnancy test kits.

• 87% respondents purchased the pregnancy test kit at Pharmacies and 11% at the convenient stores.

• 44% of respondents who went to pharmacies ranked Guardian as the most frequent visited pharmacy followed by Watson (10%) and Vitacare (8%). However, it is also important to note that another 34% respondents did not have any preference in terms of which pharmacy to get the test kits.

• It is also important to note that only 14% of respondents actually go to the private or government clinics to perform pregnancy test (refer to slide 14).

13

PURCHASE BEHAVIOUR (cont’ 1)

Pharmacy87%

On-Line2%

Convenient Store11%

Others, 3%Vitacare, 8%

Watson, 10%

No Preference,

34%

Guardian, 44%

14

PURCHASE BEHAVIOUR (cont’ 2)

Ask someone to buy the PTK

Go to private / govt. hospitals

Keep stock at home

Purchase whenever needed

Buy more than 1 brand at a time

Buy more than 1 type at a time

9.3%

14.0%

4.7%

64.0%

4.7%

3.3%

Customers' Purchase Behaviour

15

FINDINGS - PRODUCT AWARENESS & PREFERENCE

0%

10%

20%

30%

40%

50%

60%

70%

Cassette Dipstick Mid-Stream

45%

63%

24%

Product Awareness

• The most known type of pregnancy test kit was Dipstick (63%) followed by Cassette (44%) and Mid-Stream (24%).

• Out of 150 respondents, only 26% (39 respondents) were aware that there are more than 1 type of pregnancy test kit.

• Of the 39 respondents, only 21 respondents were familiar with Mid-stream pregnancy test kits. A majority of 34 respondents were familiar with Dipstick.

16

PRODUCT AWARENESS & PREFERENCE (cont’ 1)

• The chart shows that among the 39 respondents who have used or came across more than 1 type of pregnancy test kits, 67% ranked Mid-stream as their 1st choice.

44%29%

67%

0%

20%

40%

60%

80%

1st Choice

Preferred Type of Pregnancy Test Kit based on Ranking

Cassett e Dipstick Mid-Stream

17


• The two most common sources of product awareness were the high visibility of pregnancy test kit on the rack (48%) and through word-of-mouth or recommendation (44%).

• It can be seen that 73% pregnancy test kits users were willing to pay within the current market price.

• 42% of respondents were willing to pay for the pregnancy test kit at the price between RM8 – RM15, while 31% between the price of RM16 – RM25.

Below RM7.99

20%RM8.00 -RM15.99

42%

RM16.00 -

RM25.0031%

Above RM25.00

7%

Willingness to Pay

18


4%

12%

14%

19%

25%

26%

0% 5% 10% 15% 20% 25% 30%

Att ractive packaging

Low price

Well-know brand

Provide fast result / fast response time

User friendly / easy to use

Product reliability & accuracy

3 Most Important Purchase Criterias• The respondents were

asked to select the 3 most important factors in purchasing the pregnancy test kits.

• Based on the findings, it can be concluded that the majority of the respondents were concerned on issues pertaining to reliability, convenient and response time.

19


Below 5 min, 84%

Between 5 - 10

min, 14%

Above 10 min, 2%

Preferred Response Time

Differentiated by colours

Differentiated by lines

Writt en 'Pregnant' and 'Not Pregnant'

29% 34% 37%

Preferred Result Indicator

20

FINDINGS - PRODUCT EXPERIENCE & PERCEPTION

0%

10%

20%

30%

40%

50%

60%

70%

Dipstick Cassette Mid-Stream

63%

45%

24%

61%

44%

22%

Awareness vs. Usage

Aware Used

• Based on the data gathered, we noted that most respondents who were aware of the specific product type eventually became the user of the product.

• This indicates that a good product awareness exercise is crucial to entice new product users.

21

PRODUCT EXPERIENCE & PERCEPTION (cont’ 1)

• The main objective of this section is to gauge the respondents’ level of agreement towards several key areas in relation to the type of pregnancy test kit based on their experience and perception which include the product reliability, response time, selling price and ease of use.

• All respondents were required to answer this question with all of them were shown each of the actual product sample (to give them the look and feel) and were briefed on products’ characteristics.

• However, the findings cannot be considered conclusive since a majority of respondents preferred to give neutral answers or ‘neither’ as the answer to the questions.

22


• The result shows that based on the respondents actual experience and perception, 42% agreed that ‘cassette’ type seemed or perceived to be more reliable than the others.

0

20

40

60

80

100

120

Strongly Disagree

S/w Disagree Neither S/what Agree Strongly Agree

Reliable Test Result

Dipstick Cassette Mid-stream

A total of 63 respondents which translated to 42%

%

23


0

20

40

60

80

100

120

Strongly Disagree


Fast Response Time


• Overall, 42% agreed that ‘dipstick’ gave fast response time with 51 respondents answered ‘somewhat agree’ and only 12 respondents answered ‘strongly agree’ to the statement.

• 38% agreed that ‘cassette’ also gives fast response time.

%

24


0

20

40

60

80

100

120

140

Strongly Disagree


Complicated / Messy Procedures


• The result shows that the respondents’ actual experience and perception on the issue of handling the test procedures are almost equally divided between those who think the test kit is not easy to use or involves messy procedures and those who are not.

• Based on percentage, 17% agreed that ‘dipstick’ as compared to 16% of ‘cassette’ involved messy procedures.

%

A total of 26 respondents or 17%

25


0

20

40

60

80

100

120

Strongly Disagree


Reasonable Selling Price


• As expected, 44% of the respondents agreed that dipstick was the most reasonably priced or the cheapest among the pregnancy test kits. Followed by cassette with 35% voted for it.

%

A total of 66 respondents or 44%

26


0

20

40

60

80

100

120

Strongly Disagree


Other type not required to validate result


• The objective of this question is to gauge whether respondents are satisfied by using only

single type of pregnancy test kit each time they perform the test.

• Based on limited responses, 30% of respondents would stick to just use dipstick, followed by 27% for cassette and 20% for mid-stream.

• The result also shows that more than 70% of respondents are unsure of their choices in which this can be seen as an opportunity to entice new product followers.

%

27

ANALYSIS – PURCHASE BEHAVIOUR

• There is no specific purchase pattern as most respondents buy the pregnancy test kits whenever the needs arise. This type of consumer buying situation is called ‘Routinised Response Behaviour’ where in most cases the customers are aware of their choices and know what they are looking for as their decisions are based on personal experience of either self or others.

• Products that fall in this category require marketing mix that provides wide distribution and easy availability. This requirement is supported by the survey findings where a majority of respondents indicated that Pharmacies are their place of choice and Guardian Pharmacy has the highest traffic and regular customers.

• It is also crucial to note that generally, in this situation the brand loyalty is relatively higher with customer spends little or no time in choosing for an alternative product. This is a buying situation where a customer perceives a low risk in buying the product.

28

ANALYSIS – PRODUCT AWARENESS AND PREFERENCE

• It is crucial for the product to be placed on the rack with high visibility as that is one of the main sources of product awareness.

• Customers are less knowledgeable and unaware of the existence of the various types of pregnancy test kit. This could be due to many reasons among which are the lack of product promotion and advertisement, not willing to try other products and limited choices at the place where they buy the products.

• Customers’ preference are influenced by the following factors : Product reliability; Convenient; Response time.

• Eventhough customers put less emphasis on product brand, packaging design and pricing, the importance of those factors should not be ignored completely.

29

ANALYSIS – PRODUCT EXPERIENCE AND PERCEPTION

• Based on the data gathered, we noted that most respondents who were aware of the specific product type eventually became the user of the product. This indicates that a good product awareness exercise is crucial to entice new product users.

• Eventhough there was limited responses received which lead to the inconclusiveness of findings in this section, we could still use the feedback to gauge potential or area of opportunity that could be tapped by the Client.

• Dipstick main disadvantages are on its reputation in terms of reliability and non-user friendly product. There is no exception to the cassette type as it is also dealing with handling issues but is known to be more reliable than dipstick.

• It can be seen that mid-stream is relatively new to the local consumers due to the limited choices in the pharmacies. Based on the random audit at local pharmacies, the mid-stream are available under the brand name of Dip ‘n’ Tell and Clearblue with price ranging from RM15.00 to RM38.00.

30

RECOMMENDATIONS (1)

• SCIENTIFACTS’ Mid-Stream Pregnancy Test Kit is to be made available Over the Counter (OTC);

Penetrate the local pharmacies either by promoting the products directly under SCIENTIFACTS’ brand name or to penetrate indirectly by using the respective pharmacies house brand. The need for OTC is based on the findings that only 14% of respondents go to the private or government clinics to perform pregnancy test.

• Create Product Awareness and Educate the Market

must not only make customers aware of its new product but must also educate customers as to what the product is, how it works and what benefits are derived from its use.

31

RECOMMENDATIONS (2)

• Adoption of Market-based Pricing Strategy;

SCIENTIFACTS need to pay attention to what the competitors are doing and then act accordingly. Depending on the branding strategy, the price of the product can be slightly above, below or even with the competitors’ pricing.

• Joint Promotion with Complimenting Products

In the case of SCIENTIFACTS, the joint promotional effort can be done together with the marketers of non-competitor products such as woman’s sanitary pad, and items that are related to pregnancy – vitamins, cocoa butter oil etc.

32

THANK YOU

a market survey on pregnancy test kit - presentation slides

Documents