Patience, once again you get to step to the "head of the class", pal. Stand your ground because your analysis and assessment of the marketing effort is "on the money".
CEO Pernock stated categorically, that the "promotional effort in conjunction with the launch" will be a one year discount to all physicians once they receive FCSC's "training stamp of approval". It's like a "quid pro quo" -- if you will. Also revealing, was the information from the CEO himself, that "head count" was added to the manufacturing mix. If you have your "bean counter" hat on straight, you will realize that all this adds up, eh.
Ergo, increase in head count, means: (payroll + benie$$$$) + (product delivered at manuf. cost, or below$$$$) = CA$H BURN-RATE increa$e in the neighborhood of $2.75 to $3.25 Million$$$$.
I've worked on numerous product launches in the Biotech space and, in all honesty, Pernock's "marketing-promo-plan" is not unusual for a launch in an "intensely competitive" space like Facial Aesthetic. It takes time to launch a business and build product support structure within this sector because "The Phycians-customer" represent an important, if not, the main rung in the delivery and sale of the product to the end customer.
You, mon/mes ami, are the "A" student in the "FCSC-Bear-trap". The question is why did YOU wait to be trapped before doing such excellent "DD"? Ay Madre! At least YOU have both eyes "wipe open" to ensure clarity of thought... Good luck to all...
The problem is Lavis is Free for now. Docs will charge there fee. But FCSC is providing their service for FREE. CEO stated in the CC.
The CEO is still thinking like a marketing director. I can see a discount but not Free. You can tell he has no game plan. If you ask when does he anticipate charging for the service he doesn't even know himself. What will happen is when he starts to charge he will get push back from the Docs. on the price.
I understand 105 treatments is not alot. But he is not informative to the shareholders
You know that you are misstating what the CEO said, right?
What he said was that they are providing a small amount of laViv at a discount and sometimes free to the doctors and their family and staff workers. Other patients have to pay full price and I know some did. The number of discounted treatments will be limited as it is proportional to the number of prescribing doctors.
This small cost is a good marketing strategy. There is nothing better than having doctors and their staffs use laViv then talk about their experience when patients come into their office.
The real significant article with much "gravitas" was published in the respectable Journal "Science". It contains information that all "intelligent investors" in FCSC-stock should read. It's excellent for it's eloquence, clarity and covers the real competitors in this space and most of all: free of pumping and marketing glitz.
Skip the "pot-boiler",(payola marketing), type journals aimed at "housewives and working women" who can't afford the "extortionately expensive" $$4500 - $$7500 Laviv treatment.
These women along with soccer Moms will balk at the "Extortionately $HIGH-PRICE$" coupled with: 11 to 22 weeks, WEEKS, and bolt for Allergan's Aesthetic Market leading Botox and Juvederm that will be delivered "on the spot" and make customers marvel at how beautiful and ultra-fabulous they look.
And with their "$avings$$$" they can go Christmas shopping with their friends for "Louis Vuitton Bag, plus pay for a vacation on the Mexican Riviera or Maui, Hawaii" with all the money$$ they save by side-stepping the "extortionately expensive laviv".
Just a rational voice here, mis amigos todos... happy investing and may the Markets winds be at your sails. PEACE OUT!
1. That was a "news" piece written by Charles Schmidt, a freelance writer, for Nature Biotechnology, not a scientific article written for Science. http://www.schmidtwriting.com/
2. Even so, Mr. Schmidt was balanced in comparing laViv to other wrinkle treatments. If you actually read the article, you might see this statement from Dr. Munavalli:
"There's a certain comfort that people take from using their own constituent cells instead of some artificial approach, and the effect also seems to longer lasting."
"Indeed patchy regulatory oversight of the field means that cosmetic cell therapy faces an uphill battle for legitimacy. In this respect, Jeffrey Kenkel, president of the American Society for Aesthetic Plastic Surgery, says that Fibrocell's FDA approval marks a step forward for the industry."
The article also mentioned that, in the entire history of FDA, only three cellular therapies were approved, Carticel for knee injuries, Provenge for prostate cancer and now laViv for wrinkle treatment. This stamp of approval set laViv apart from all other questionable therapies such as fat cells or stem cells transplants.
laViv is the only known therapy of wrinkles that actually keeps on improving with time unlike any other dermal filler that starts fading as soon as the treatment finishes. Here's a patient's testimony that her laViv treatment lasted 7 years: