U.S. Markets open in 5 hrs 58 mins
  • Crude Oil

    70.51
    -0.05 (-0.07%)
     
  • Gold

    1,768.40
    -9.80 (-0.55%)
     
  • Silver

    23.03
    +0.46 (+2.05%)
     
  • EUR/USD

    1.1696
    -0.0034 (-0.2924%)
     
  • 10-Yr Bond

    1.3360
    +0.0120 (+0.91%)
     
  • Vix

    20.87
    -3.49 (-14.33%)
     
  • GBP/USD

    1.3619
    -0.0045 (-0.3282%)
     
  • USD/JPY

    109.7800
    +0.5600 (+0.5127%)
     
  • BTC-USD

    44,651.30
    +484.11 (+1.10%)
     
  • CMC Crypto 200

    1,089.55
    +49.07 (+4.72%)
     
  • FTSE 100

    7,083.37
    +102.39 (+1.47%)
     
  • Nikkei 225

    29,639.40
    -200.31 (-0.67%)
     
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

On-demand-dental company Medbar pivots model to become COVID-19 medical service

In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Yahoo Finance’s Alexis Christoforous and Eva Sadej, Medbar founder and CEO, discuss how her business pivoted amid the pandemic.

Video Transcript

ALEXIS CHRISTOFOROUS: Dentistry startup FlossBar saw business dry up after it had to shut down its mobile dentistry operations during COVID. But that did not stop its founder and CEO, Eva Sadej, from pivoting the business and creating MedBar, which offers mobile COVID-19 testing services to its clients. Joining me now is Eva, and it's so good to see you. Thanks for being here. So tell us how MedBar works.

EVA SADEJ: Sure. So, thank you, everyone. Good afternoon. So how MedBar works is we're really a preventative care business. So we're trying to solve the problem of Americans not getting enough access to preventative care. There's a huge difference between supply available, people available, and actually care getting to the customer. So, what we do is bring it. We bring it to the employers. We bring it to the local community and pop up the methods.

And so, when it starts with dental, dental is just another one of those. And so, when you think about what are we, we're a preventative services brand. You've got people, things, technology, and compliance to get it done. The pivot was natural to the continuation of our business, and frankly, the saving of our business, as we had zero revenue when the pandemic hit. So it was a monumental effort.

ALEXIS CHRISTOFOROUS: So you have about 200 clients. Can you give us an idea of what the response has been like from them? And are these all corporations? Or are you doing these kinds of things-- and I'm thinking it would be a natural in places like schools and government offices as well.

EVA SADEJ: So it's corporations predominantly, but we do have a community program. And so, the corporations industrials have been hit very hard by this. We've seen about 60% COVID positive rates in some of the areas like Texas. So they've taken a bigger role. But also communities have been hit. So we implemented a program where we enable local dental offices and local pharmacies, your mom and pops, to compete better with the larger chains, who had been getting COVID tests first.

And so, we applied. We got a pathologist to oversee the program. We cut through all the red tape to enable those as well. So it's your, basically, hub and spoke system, going out to employers and having their employees come into the community, and not have to wait online, blocks deep outside urgent cares.

ALEXIS CHRISTOFOROUS: Can you give us an idea of who some of those corporate clients are?

EVA SADEJ: Sure, I can't list names because I don't want to tell everyone's COVID problems on the news, but a lot of industrials. And frankly, it ranges from industrial to, actually, luxury brands. Luxury brands want to bring their customers back. They're doing quite well these days. So it's been an interesting mix. We've been on factory floors. We've been next to diamond watches. We've been in the fish freezer. And so, it's really everybody looking to get these tests and everyone looking to get the vaccines.

ALEXIS CHRISTOFOROUS: Right, so would you be part of that as well? Are you going to be issuing the vaccines as part of your services?

EVA SADEJ: Oh, 100%. We're getting phone calls tremendously because they saw us do the testing and be a first mover on that. And so, being a first mover on vaccination for corporates is important to us. Because they're all calling. They all need help.

ALEXIS CHRISTOFOROUS: So what happens now with MedBar post the pandemic? I mean, it's going to be a while until these services perhaps might not be as prevalent as they are now, but do you see this as another vertical within the business?

EVA SADEJ: Oh, completely. I mean, we entered the market in dental, but fundamentally, we're a tech-enabled healthcare logistics company. So what's the dance we do on site? We've got nurses, doctors chiropractors, technicians. And so, that diversifies into biometrics programs, hearing programs, vision programs, annual physicals, telehealth. We've really spin up a healthcare arm in record speed because we needed to, and we wanted to in two years. But we definitely got a kick with the COVID pandemic.

ALEXIS CHRISTOFOROUS: What about FlossBar? I know that Colgate is one of the backers there. What are plans for FlossBar? And have you been able to get back to business to any extent with that mobile dentistry business?

EVA SADEJ: Oh, a little bit. Some of our clients are essential employers. So they've had clients-- I mean, patients on site the whole time through the pandemic. So that kept going. We're still doing dentistry. But in terms of any new business or continuation of contracts, it's been difficult. And so, we are unleashing services to kickstart dental, such as free rapid COVID tests with any dental appointment. Because then you're getting a combination. That idea of bundling to get back to the core business line is going to be our strategy.

ALEXIS CHRISTOFOROUS: Can you give us an idea of how much these services cost? I mean, can a company just do this with you as a one-off? Do they have to have some sort of a commitment with you that you're going to come back and do these kinds of services for a specific amount of time?

EVA SADEJ: We expect vast price competition to happen as supply floods the market of COVID tests. And so, we started pricing at about $175 a test, and we're down to $95 a test. And so it's about doing a high volume account. In our local headquarters area, we'll do under 50 people.

But in places where we are going to fly people, because they're having an outbreak, we do slightly larger clients. And people who have a mix of signing up for recurring, say, Monday morning screening type services, and then those one-offs, like come help me now. And if they're not planful, then the one help-me-now becomes one help-me-again, and then evolves into a recurring ad hoc versus a program.

So we try to get employers to understand, if somebody doesn't get COVID, great, they can get it tomorrow. And it'll be there for seven days. You won't catch it again. So we're trying to help that understanding of the recurrent need for testing and testing once you've got the vaccine. You're not automatically 100% immune when you have your first dose. So those parallel programs to keep people safe are very important.

ALEXIS CHRISTOFOROUS: Yeah, I have to think testing is going to be a part of our everyday lives for quite some time. Eva Sadej, MedBar founder and CEO, thanks for sharing your story with us.

EVA SADEJ: Thanks for having me. Take care.