Will the key revenues from such a service will come from advertising on the kiosks?
With placements in major retail chains throughout the company (Walmart, etc) I can understand why there should be a real attraction to this type of information provider.
Offie, from what I learned speaking to the VP of Marketing and Sales, there are a number of ways the kiosks can generate income, but the primary are these: payments from the retail chain to have the kiosks
placed throughout it's stores, revenues from the companies that place
ads on the kiosks, and in some cases, revenue from the user of the
kiosks. In theory, I can think of other ways to generate income
from them, but it's dependent on the complexity of the computer system
within the kiosk, the programming of it and it's connection to
other systems.
Most of the modern kiosks have a flat screen which the user simply
touchs with a fingertip to enter info. A typical transaction
might go this way on your second use of the device. You step
on to a platform, insert your arm in a cuff, enter your name
on the touch pad and the kiosk screen reads back at you,
"Hello, Offie! Holidays are rough on the waistline, aren't they?
Since your last visit on Dec 18th, your weight has increased
12lbs to 210 lbs. this is 40 lbs more than a man 5'10" normally
weighs. Rexall Drugs has NutraSweet on sale this week. Push
here for a rebate coupon. Bing! Your blood pressure is 160/110.
This info is being sent to your electronic file at the Podunk
HMO. The Desk Nurse will contact you for an appointment to see
Dr Fisheye, your physician of record.Is your phone number still
555-1234. If "no," enter your number now...Bing! Visit the small
appliance section of Rexall and take home Deepak's Deep Meditation Feed-back Machine for deeper sleep and lower blood pressure!
Thank you for visiting your local Rexall kiosk today, Offie.
Rexall..where you stay healthier through modern science."
Well, ok ok , maybe the dialogue isn't quite like that, but you get
the idea of the data stored, links to product sales, and data
links to HMO's.. The possibilties are endless and the revenues
streams are multiple. (1)Rexall happily pays Avalon let's say $7500
per kiosk each year for 200 stores. Why? Because people go out of their way in malls to use them.(esp. the elderly and those without health coverage) It increases traffic in the Rexall store. "Oh Harry, by the way, as long as we're here, we need some
more calcium tablets and I saw on the blood pressure machine
they were on sale this week." (2) Other advertisers such as
NutraSweet pay directly to Avalon for the space and targeted
audience (3) Podunk HMO pays Avalon for the service because
it reduces inconsequential, unprofitable visits to their
facilties, and increases the potential of uncovering health-
threatening conditions which could be extremely expensive
to the HMO. (Meantime the HMO also has an permanent ad on the side
of the kiosk)
This, incidently, is one reason I am betting that AVAL was
addressing several hundred physicians from a well-known HMO in
the mid-west a few weeks ago.. because the tie-ins with HMO's
are stupendous and mutually advantageous. Some clinics are
even interested in having the kiosks IN their premises.
Anyway, to end this ramble, I like the way AVAL's management
is looking at all the possiblities for the kiosks, and hope
they get the financing approved soon so revenues can flow from
the acquired kiosk company. Another 5000 kiosks couldn't hurt!;-) |
