1. WHAT DOES THIS “REALLY” LOOK LIKE? Lean Launch Pad – fast forward 6 weeks 1

4. But, Realize They’re Hypotheses

5. 9 Guesses Guess

6. MammOptics Business Model Canvas 1 of 4 Radiation-free Earlier detection Non-invasive Pioneering radiologists in hospitals Direct sales to hospitals Strong clinical data Training Maintenance Product Development Clinical trials Operating Costs Capital equipment sales and disposable item Product Development IP Clinical trials FDA IP Leading doctors Technical Expertise Hospitals Leading doctors 3 rd party manufacturers Distributors Initial guess MammOptics Business Model Canvas 1 of 4 Test: Customer segment Value proposition

7. Finding the right customer From radiologists to gynecologists

8. How do you test these hypotheses? Research What type? Role of secondary….. Role of primary……qualitative – Observation – Interviews and focus groups Hypothesis Test Interpret Repeat

9. MammOptics Excursions into hospitals Leading doctors Patients Hospital Managers Technicians Debra Ikeda Jason Davies Jafi Alissa Lipson Sunita Pal 6 women >40 8 women <40 Alicia X-ray mammography Paul Billings Holly V. Gautier

10. MammOptics Hospital purchasing decision tree

11. MammOptics Hospital purchasing decision tree Hospitals Complex purchasing decision tree. Several saboteours

12. MammOptics Private practice purchasing decision tree

13. MammOptics Private practice purchasing decision tree Private practice Faster adoption rate Attractive value proposition ✔

14. Pioneering Doctors Hospitals OB/GYNs PCPs Direct Sales to doctors Strong clinical data Training Maintenance Product Development Clinical trials Operating Costs Capital Equipment Sales and disposable item Product Development IP Clinical trials FDA IP Leading doctors Technical Expertise Hospitals (Capital Spending Committee) Leading doctors 3 rd party manufacturers Distributors Research Hospitals Doctors: Earlier detection Price Accuracy Patients: Radiation Free Non-Invasive MammOptics Business Model Canvas 2 of 4

15. Pioneering Doctors Hospitals OB/GYNs PCPs Direct Sales to doctors Strong clinical data Training Maintenance Product Development Clinical trials Operating Costs Capital Equipment Sales and disposable item Product Development IP Clinical trials FDA IP Leading doctors Technical Expertise Hospitals (Capital Spending Committee) Leading doctors 3 rd party manufacturers Distributors Research Hospitals Doctors: Earlier detection Price Accuracy Patients: Radiation Free Non-Invasive MammOptics Business Model Canvas 2 of 4 How do we get to our customer? Need sensitivity and specificity

16. Getting to our customer The world of direct sales and medical marketing

17. MammOptics Interviews Breast Cancer Advocacy Groups OB/GYNs FDA/Clinical Trials Medical Sales Be Bright Pink Jennifer Glover Dr. Cindy Woo Dr. Jags Powers Dr. Aaron Shuvkan Katrina Bell Tanay Dudhela Jed Hwang Phyllis Whitely Carl Simpson

18. Market Adoption Key Opinion Leaders (KOLs) Medical Journals Continuing Medical Education Conferences Breast Cancer Advocacy Groups American College of Obstetricians and Gynecologists (ACOG) MammOptics Marketing

19. ACOG ACS Doctor specialty committee Hospital Administration Technician Radiologist Mammography MammOptics Customer Workflow Current market Insurance

20. ACOG ACS Doctor specialty committee Hospital Administration Technician Radiologist Mammography MammOptics Customer Workflow Current market But what would happen if we replace mammography? Insurance

21. ACOG ACS Doctor specialty committee Hospital Administration Technician Radiologis t Mammography MammOptics Customer Workflow Breast Radiologists Technicians Hospitals Loss of jobs Eliminates loss leader Puts emphasis on biopsies Insurance

22. ACOG ACS Doctor specialty committee Hospital Administration Technician Radiologis t Mammography MammOptics Customer Workflow Insurance Same cost as mammography ($140) Reduced number of biopsies ($1000) ACOG/ACS Improved healthcare (mammography weak technique) Insurance

23. OB/GYNs PCPs Direct Sales to hospitals Distributor Strong clinical data Training Maintenance Conferences CME courses Product Development Clinical trials Operating Costs Marketing Costs Capital Equipment Sales and disposable item Per use fees Product Development IP Clinical trials FDA Publishing IP Leading doctors Technical Expertise Leading doctors Key Opinion Leaders 3 rd party manufacturers Distributors Breast Cancer Foundations ACOG ACS Doctors: Earlier detection Price Accuracy Patients: Radiation Free Non-Invasive MammOptics Business Model Canvas 3 of 4

24. OB/GYNs PCPs Direct Sales to hospitals Distributor Strong clinical data Training Maintenance Conferences CME courses Product Development Clinical trials Operating Costs Marketing Costs Capital Equipment Sales and disposable item Per use fees Product Development IP Clinical trials FDA Reimbursemen tPublishing IP Leading doctors Technical Expertise Leading doctors Key Opinion Leaders 3 rd party manufacturers Distributors Breast Cancer Foundations ACOG ACS Doctors: Earlier detection Price Accuracy Patients: Radiation Free Non-Invasive MammOptics Business Model Canvas 3 of 4 Learned how to reach the customer How do we build a company based on this?

25. What did the team learn? To pivot on their lead customer segment That the customer decision process has multiple players That the marketing ecosystem and sales channel in the industry has established rules and many players That the required partners and key activities are different and more than the first hypotheses That all of the above changes the cost structure and revenue model

26. Process of customer discovery Aim for several fast short cycles Be prepared to – validate – pivot – or stop on a direction Aim is for evidence based support for your target market, value proposition and the b- model and strategy that enables this.

27. Version 1 Version 3 Version 2 Version 4 Time as a dimension

28. 28 Customer Discovery Customer Validation Customer Creation Scale Company Scale Company Customer Discovery Stop selling, start listening – There are no facts inside your building, so get outside Test your hypotheses – Two are fundamental: problem and product concept

29. 29 Customer Discovery: Rules Rule 1: Facts are outside the building, opinions are inside. Rule 2: Solve a problem that customers say is important and valuable Rule 3: Does the product concept solve that problem?

30. 30 Customer Discovery: Exit Criteria What are your customers top problems? – How much will they pay to solve them Does your product concept solve them? – Do customers agree? – How much will they pay? Can you draw a day-in-the-life of a customer – before & after your product Can you draw the org chart of users & buyers

31. 31 State Your Hypothesis One-time writing exercise All other time is spent in front of customers Assumes you’re smart – ( but guessing )