Our business model consists of first building strong connections in the Orange County area – such as UC Irvine Medical Centers and local respiratory therapists. After gaining strong support and funding through grants and sponsorships, our market plan is to sell our product to consumers through the business to business to consumer method. We will directly sell our product to distributors that sell medical equipment and supplies to hospitals. Pulmonologists and respiratory therapists will then provide our product to patients. We will begin entering the market locally, then nationally and finally internationally.
Over the next 5 years, our team will continue device prototyping and software development. R&D validation will be ongoing and we hope to obtain future sponsporships. Once we have received FDA approval, we will then begin to obstruct the market for respiratory therapy devices through contracts. Our marketing consultants will introduce our product to respiratory therapists and their patients as well as collect feedback via survey to improve our product for the future versions. Because our target patient are those with COPD or asthma, finding demographic information that will help us select hospitals or clinics where our product matters to them will not be a problem. Scientific data obtained from the FDA regulation process is used to validate our product to the respiratory therapists.
We plan to distribute our product as packages – where it will contain the hardware, software and consumables. Because hospitals are transitioning to having all products disposable, all of our units will be disposable, minus the software. The revenue model will be subscription based for our consumers. We expect a 50% profit margin, after accounting for manufacturing and validation labor. Because our device will be a FDA class 1 product, we expect no large delays in releasing our product to the market.