10 Step Marketing Plan - Chan, Oliver S.

1. 10 Step Marketing Plan
for Maxicare
Chan, Oliver S.
November 2010

2. Maxicare’s Primary Target Market and
Postitioning
1. Maxicare’s PTM are large corporations with social class A, B, C
employees.
2. Who want to feel secure of healthcare financing and delivery.
3. Can choose Intellicare, Medicard, etc.
4. Gap is all other companies focus on savings.
5. Market size is P13.15 Billion. Maxicare niche is P5 Billion.

3. Maxicare’s Marketing Mix and Strategy
6. Pre-paid health delivery system.
7. Maxicare is priced at a 10% premium compared to Medicard.
8. Uses sales agents, doctors, events, Maxibears, and company website.
9. Available nationwide.
10. Uses a best in service approach to win.

4. 1. Maxicare PRIMARY TARGET MARKET (PTM)
are corporations
 Large corporations (ex. San Miguel, BDO, Call Centers) who take care of
their workers (executives, managers, regular employees)
 Social Class A, B, C
 20s – 50s, M/F
 Lifestyle: Working individuals, employed
 Behavior: Premium healthcare at its finest

5. 2. PTM’s Needs, Wants and Demands
(Maslow’s Heirarchy of Needs)
I want to feel medically safe
when I get sick.
BIG companies deal with BIG
companies (status)

6. Corporations choose Maxicare because…
 Corporations need…
To provide health insurance for their employee’s safety.
 Big corporations want an equally, or even more successful corporation as
their partner in healthcare.
 Maxicare is one of the largest HMO in the country = small chance of closing, big
pool of clients to spread and minimize risk, nationwide coverage.
 Corporations expect excellent service with Maxicare. Safe with Maxicare as
a partner in financing healthcare.

7. 3a. Direct and Indirect Competition
 Direct:
 Indirect:
 Variables: Coverage, Price, Accessibility, Convenience, Brand.

8. 3b. Competitive Position Map
Price / Coverage Matrix Minimal Coverage Wide Coverage
High Price
Average Price
Low Price
PhilHealth
Medicard
Maxicare
Cocolife

9. Accessibility /
Brand Matrix
PhilHealth Medicard Maxicare
NCR
Luzon
Visayas
Mindanao
3b. Competitive Position Map

10. 4. Maxicare focuses on healtcare at its finest.
Best in Product / Service
 Maxicare is priced higher than its rivals and did not follow the trend of
sacrificing services to offer lower prices.
 Some insurance companies were not able to serve clients because of the
very low priced rates hence had to close.

11. 5a. Based on competitor data, HMO market is
P6.3 B / yr with a membership base of 2 M.

12. 5b. Market Size using Company’s Data
 Market size of healthcare plan holder is 2 million.
 Maxicare’s has over 500,000 members as of December 2009 – 25%.
 Average cost per plan is P50,000 / yr.

13. 5b. Based on Maxicare data, where Maxicare
share is 25%, total market size is P20 billion
 Maxicare Data: Membership base is 500,000
 *average annual fee of P10,000
 (500,000 * P10,000 = 5 Billion)
 Maxicare claims market share of 25%
 Then total healthcare market size is 5 billion / 0.25 = P20 billion.

14. 5c. Estimate market size using customer data
 Data usage still cannot be determined due to high variability in usage of
healthcare insurance.

15. 5. Concluded that healthcare insurance market is
P13.15 Billion
 Competitor data: P6.3 Billion
 Company data: P20 Billion
 (6.3 + 20) / 2 = P13.15 Billion

16. 6a. Healthcare Insurance is dominated by 3
major brands

17. 6b. Product Description
 Maxicare, established in 1987, serves as a prepaid health care system that
finances and delivers healthcare services. It has nationwide coverage with
its main offices located in NCR.
 It is a healthcare insurance partner with top hospitals in the country such as
The Medical City, St. Luke’s, Asian Hospital, and Makati Medical Center.
 Membership types available are Silver, Gold, Platinum, and Platinum Plus
with annual fees ranging from P8,000 to P1 M.
 They offer corporate and individual packages.
 Services are offered 24/7 via telephone hotline or SMS.

18. Maxicare Services

19. 7. Price
Prices range from P8,000 – P50,000 per annum depending on the
customer’s demographics and plan type. It is priced at a premium of
around 10-20% compared to other Healthcare Insurance.
There is a “quick plan computation” in Maxicare’s website to cater to
pricing queries. Above is an example of such.

20. 8a. Promo

21.  Maxicare promotes its products mainly
through sales agents closing deals with
corporations.
 Other promotional avenues are through
doctors bringing in their patients,
sponsoring events, Maxibears, and
company website
8a. Promo

22. 8b. Competitor Promo

23. 8b. Competitor Promo

24. 9. Maxicare is accessible nationwide
 Directly apply with Maxicare’s Sales Department;
 Leading hospitals have an office for Maxicare clients and new applicants;
 Through Corporations like San Miguel, BDO, BPI, People Support,
Teleperformance, Sitel, Etelecare, AIG.

25. 10. Maxicare is a Best in Healthcare Service Provider
 Maxicare’s main strategy is to provide finest healthcare available to
executives and employees in social class A, B, C, aged 20 to 50 years old.
 It is accessible nationwide and available 24/7 through website, hotline,
SMS.
 Has an excellent, premium priced healthcare insurance, serviced by the
leading hospitals and doctors of the country.

26. SUMMARY

27. Maxicare’s Primary Target Market and
Postitioning
1. Maxicare’s PTM are large corporations with social class A, B, C
employees.
2. Who want to feel secure of healthcare financing and delivery.
3. Can choose Intellicare, Medicard, etc.
4. Gap is all other companies focus on savings.
5. Market size is P13.15 Billion. Maxicare niche is P5 Billion.

28. Maxicare’s Marketing Mix and Strategy
6. Pre-paid health delivery system.
7. Maxicare is priced at a 10% premium compared to Medicard.
8. Uses sales agents, doctors, events, Maxibears, and company website.
9. Available nationwide.
10. Uses a best in service approach to win.

29. 10 Step Marketing Plan
for Maxicare
Chan, Oliver S.
November 2010