Case Analysis for "MedNet.com confronts 'Click-Through' Competition" by Chandra Has Dondapati for an internship under Professor Sameer Marthur (www.iiminternship.com)
2. Table of Contents
MedNet – A summary
Challenge 1 - Marvel
Challenge 2 –
Cholestrol.com
Possible Solutions
Recommended Solution
3. MedNet.com A Summary
The goals with which it was launched..
The characteristics of the company and brand image
Competitors in the market
Business Model
5. Goals
To provide scientifically based medical information to non professional audience
To provide the above information for free to consumers
1
2
3 To generate profits from advertising sales
6. Goals
To provide scientifically based medical information to non professional audience
To provide the above information for free to consumers
1
2
3 To generate profits from advertising sales
7. Goals
To provide scientifically based medical information to non professional audience
To provide the above information for free to consumers
1
2
3 To generate profits from advertising sales
9. Characteristics and Brand Image
Accessibly Written; Easy to navigate and Trustworthy
Considered the best website for trusted ,evidence based consumer information
Includes an active community of bloggers, community chats and virtual reality enthusiasts
10. Qualıtıes
Easy/Quick
to Navigate
Very Easy and
Intuitive to use
Accessibly Written
Very accessibly
Written
All content is
written/reviewed by
Experts
personable
With expert reviewed
peer content
Professıonal
15. Business Model
Pays them by Cost per thousand Impressions (CPM) method
Offers all other content for free
Traditional Banner advertising ; primarily by pharmaceutical companies
17. The Marvel Story
Pays for clicks instead of impressions
Higher click through rate…
Seemingly a cheaper alternative for the
companies…
18. The Marvel Story- Solution
Click ≠Sale.
But this throws up another issue….Cholestrol.com
MedNet “click”ed customers tended to buy the product more than
customers of general purpose marvel….
20. Characteristics..
Focussed only on one CHRONIC condition
Provided Interactive tools….
1
2
3 Came dangerously close to actual prescription / Diagnosing
21. Characteristics..
Focussed only on one CHRONIC condition
Provided Interactive tools….
1
2
3 Came dangerously close to actual prescription / Diagnosing
22. Characteristics..
Focussed only on one CHRONIC condition
Provided Interactive tools….
1
2
3 Came dangerously close to actual prescription / Diagnosing
24. The Alternatives
1
Take a more
prescriptive role
• Charge for content
• Treat customers
as almost patients
• Less dependent
on revenues
Include Alternative
Health info
2 3
• Start
conservatively
• Then turn Liberal
• Will it help
advertising ?
Be a manager of
employer websites
• Use Integrity to
their advantage
• Would advertising
continue ?
• Is it good overall ?
25. The Alternatives
1
Take a more
prescriptive role
• Charge for content
• Treat customers
as almost patients
• Less dependent
on revenues
Include Alternative
Health info
2 3
• Start
conservatively
• Then turn Liberal
• Will it help
advertising ?
Be a manager of
employer websites
• Use Integrity to
their advantage
• Would advertising
continue ?
• Is it good overall ?
26. The Alternatives
1
Take a more
prescriptive role
• Charge for content
• Treat customers
as almost patients
• Less dependent
on revenues
Include Alternative
Health info
2 3
• Start
conservatively
• Then turn Liberal
• Will it help
advertising ?
Be a manager of
employer websites
• Use Integrity to
their advantage
• Would advertising
continue ?
• Is it good overall ?
28. Which one ?
1
Take a more
prescriptive role
• Charge for content
• Treat customers
as almost patients
• Less dependent
on revenues
Include Alternative
Health info
2 3
• Start
conservatively
• Then turn Liberal
• Will it help
advertising ?
Be a manager of
employer websites
• Use Integrity to
their advantage
• Would advertising
continue ?
• Is it good overall ?
29. The Recommended Solution
1
Take a more
prescriptive role
• Charge for content
• Treat customers
as almost patients
• Less dependent
on revenues
Include Alternative
Health info
2 3
• Start
conservatively
• Then turn Liberal
• It will help
Advertising
Be a manager of
employer websites
• Use Integrity to
their advantage
• Would advertising
continue ?
• Is it good overall ?
32. Reasons..
Statistics show people are not willing to pay for content/ register..1
2
3
Will only lead to loss of customers
A prescriptive / diagnostic approach would harm MedNet’s image of trustworthiness,
Integrity in case of any (highly plausible) legal issue.
Will harm MedNet in the long run.
A lot of people browse general health information not just condition specific pages. We
would lose all those customers…
33. Evidence 1
6 out of 10 people wouldn’t want
MedNet to store personal information
36. Clearly the adoption of this move will
only harm the existing customer base
and also will hinder potential users..
Analysis
!
37. Reasons..
Statistics show people are not willing to pay for content/ register..
A prescriptive / diagnostic approach would harm MedNet’s image of trustworthiness,
Integrity in case of any (highly plausible) legal issue.
1
2
3
Will only lead to loss of customers
Will harm MedNet in the long run.
A lot of people browse general health information not just condition specific pages. We
would lose all those customers…
38. ‘…were at risk of violating state and
federal regulations that require medical
advice to be delivered in person by a
licenced physician’
Evidence
39. The benefits(if any) of this move are
clearly not worth the gamble that this
move is. In the long run it’ll only serve to
destroy the strong trustworthy image of
MedNet.
Analysis
!
40. Reasons..
Statistics show people are not willing to pay for content/ register..
A prescriptive / diagnostic approach would harm MedNet’s image of trustworthiness,
Integrity in case of any (highly plausible) legal issue.
1
2
3
Will only lead to loss of customers
Will harm MedNet in the long run.
A lot of people browse general health information not just condition specific pages. We
would lose all those customers…
47. Reasons..
Will dent their integrity and trustworthy image… Sends out a slightly
image
1
2
3
The Pharmaceutical company may not let them advertise … even if they do they would
e subject to control and regulation …
Will harm MedNet in the long run.
Loss of Independence …Factors like driving down healthcare costs will now be a
priority …
48. ‘ We’ll be inviting a perception that we
abandoned our hard nosed scientific
independence in morphing from a
information content business to a human
resources services for hire… ’
Evidence
- Heather Yates
Vice President,
Business Development
MedNet,.com
49. Reasons..
Will dent their integrity and trustworthy image… Sends out a slightly
image
1
2
3
The Pharmaceutical company may not let them advertise … even if they do they would
be subject to control and regulation …
Will harm MedNet in the long run.
Loss of Independence …Factors like driving down healthcare costs will now be a
priority …
50. Reasons..
Will dent their integrity and trustworthy image… Sends out a slightly
image
1
2
3
The Pharmaceutical company may not let them advertise … even if they do they would
be subject to control and regulation …
Will harm MedNet in the long run.
Loss of Independence …Factors like driving down healthcare costs will now be a
priority …
52. Reasons..
Will expand and diversify the visitor/ customer base a lot..1
2
3
Help MedNet be more stable , and ensure it can afford to reduce income form some
companies
For all non staunch supporters, MedNet will now serve to be a transitory,
comprehensive, trustworthy source of all kinds of medical methods. Will increase it’s
own viewership from these new class of customers.
Starting conservatively and then slowly turning liberally will help
the customers adapt to the change. Hence no viewership is lost.
It’ll help diversify the income ensuring it doesn’t depend on any one company majorly
53. ‘It’s audience was larger than MedNet’s
and it’s advertising sales more robust… ’
Evidence
- Description of
Alternativehealth.com
54. This class of staunch supporters of
alternative medicine will now ultimately
turn toward MedNet because of it’s trust
worthy image..
Evidence
!
55. The staunch supporters of Western
medicine will not have a problem
because of the slow transition
prescribed; their needs will still be
continued to be served in the same way
Evidence
!
56. Reasons..
Will expand and diversify the visitor/ customer base a lot..1
2
3
Help MedNet be more stable , and ensure it can afford to reduce income form some
companies
For all non staunch supporters, MedNet will now serve to be a transitory,
comprehensive, trustworthy source of all kinds of medical methods. Will increase it’s
own viewership from these new class of customers.
Starting conservatively and then slowly turning liberally will help
the customers adapt to the change. Hence no viewership is lost
It’ll help diversify the income ensuring it doesn’t depend on any one company majorly
57. ‘It’s audience was larger than
MedNet’s and it’s advertising sales
more robust… ’
Evidence
- Description of
Alternativehealth.com
58. Such robust sales will help MedNet
ensure it’s income comes from
variable sources….
Evidence
!
59. ..ensuring an incident like Windham
wouldn’t have much impact on the
company ….
Evidence
!
60. Reasons..
Will expand and diversify the visitor/ customer base a lot..1
2
3
Help MedNet be more stable , and ensure it can afford to reduce income form some
companies
For all non staunch supporters, MedNet will now serve to be a transitory,
comprehensive, trustworthy source of all kinds of medical methods. Will increase it’s
own viewership from these new class of customers.
Starting conservatively and then slowly turning liberally will help
the customers adapt to the change. Hence no viewership is lost
It’ll help diversify the income ensuring it doesn’t depend on any one company majorly
61. The non-staunch supporters of either
medicine will now have an unique
website that’ll let them compare and
help find the right solution across the
spectrum..
Evidence
!