VANCOUVER, Dec. 4 /CNW/ – HealthPricer.com, a leader in online Comparison Shopping for Healthcare Products and Services, has reported its financial results for the second quarter ended September 30, 2007.
- The Company’s Comparison Shopping Business – www.healthpricer.com – continues generating increasing commission revenues from facilitating the sale of Health and Beauty Products and Services of industry leading third party online merchants to consumers for; Vitamins and Dietary Supplements, Pharmaceutical Drugs, Contact Lenses, OTC and Beauty & Hygiene.
- 280% increase in commission revenue for quarter ended September 30, 2007 to $214,643 from $56,517 for the comparable quarter ended September 30, 2006.
- HealthPricer received two very significant industry awards: Outstanding Website by the Web Marketing Association and Bronze Medal and Winner in the Health Advertising/Marketing Information.
- The Company’s HealthPricer Comparison Shopping website surpassed 3,000,000 unique visitors.
- Completed initial development of its end-to-end tracking platform – tracking product sales by Google ad campaign.
- During the three months ended September 30, 2007, the Company raised gross proceeds of $1,500,000 through the issuance of 7,500,000 units related to a private placement.
For the three and six months ended September 30, 2007, the Company:
- Incurred a net loss of $1,724,954/$0.01 loss per common share for the six months ended September 30, 2007 (“Q2 YTD 2008”), compared to a net loss of $779,996/$0.01 loss per common share for the six months ended September 30, 2006 (“Q2 YTD 2007”). For the three months ended September 30, 2007 and 2006, a loss was incurred of $953,814/$0.01 and $404,426/$0.01 per common share, respectively.
- Recognized net commission revenue of $452,615 for Q2 YTD 2008 compared to $77,368 for the Q2 YTD 2007, representing an increase of 485%. For the three months ended September 30, 2007 (“Q2 2008”), the Company recognized net commission revenue of $214,643 compared to $56,517 for the three months ended September 30, 2006 (“Q2 2007”), representing an increase of 280%. The increases in commission revenue were a direct result of increased and successful targeted marketing initiatives and campaigns; increased traffic to the Company’s website; the appeal of a larger merchant base and broader depth of product offerings; and collaborating with merchants and successfully increasing referrals to sales conversion rates.
- Incurred total expenses of $2,177,569 and $857,364 for Q2 YTD 2008 and Q2 YTD 2007, respectively. Expenses incurred during Q2 YTD 2008 were comprised of $384,226 (Q2 YTD 2007: $281,970) for general and administration (G&A); $1,373,522 (Q2 YTD 2007: $352,088) for sales and marketing (S&M); and $408,718 (Q2 YTD 2007: $214,989) for research and development (R&D). S&M and R&D increased as the Company expanded its product offerings, technology development, increased its headcount and substantially increased its internet marketing campaigns.
- Total expenses of $1,168,457 and $460,944 were incurred for Q2 YTD 2008 and Q2 YTD 2007, respectively. Expenses incurred during Q2 2008 were comprised of $214,698 (Q2 2007: $127,467) for G&A; $732,402 (Q2 2007: $204,594) for S&M; $215,840 (Q2 2007: $124,519) for R&D.
- At September 30, 2007, the Company had cash resources of $636,840 and continues to raise capital to further support the development and acceleration of its business opportunities. In the quarter, the Company issued 7,500,000 units, each unit comprising of a common share and one share purchase warrant for gross proceeds of $1,500,000.
Today HPC has an industry recognized and award winning website in www.healthpricer.com which provides Health and Beauty Product Search and Comparison Shopping for the North American consumer. HealthPricer offers hundreds of thousands of Health and Beauty Products and Services across many categories including: Pharmaceutical Drugs, Contact Lenses, Vitamins & Dietary Supplements, OTC and Beauty/Hygiene. These products are aggregated and offered to consumers by HealthPricer from more than 100 trusted merchants health and
beauty merchants, including; Wal-Mart, 1800Contacts, Drugstore.com, Vitamin Shoppe, Amazon and Beauty.com.
Unlike most other product Comparison Shopping companies, HPC has completely automated all of its processes that facilitate its online business and developed proprietary intellectual property and technology. HPC’s technology consists of three major platforms: Data Collection, Transaction
Tracking and Information Serving.
HPC has three major traffic strategies: paid (primarily buying traffic from the big search engines, i.e. Google, Yahoo), direct (direct typing, bookmarks, organic search) and syndication (health, beauty and social network content websites). HPC syndication models include contextual Ad widgets driving consumers to HealthPricer or direct to merchants (i.e. Psychcentral.com) or the soon to be launched Marketplace Model (i.e. Qualityhealth.com) where HPC is delivering fully functional co-branded versions of HealthPricer for its syndication partners, through a “Customer eXperience as a Service” model. HPC is also developing other traffic and customer retention strategies around content and community building.
HPC is also exploring new ways to maximize the revenue per visitor. In addition to its present CPA success fee revenue, HPC is testing CPC based ads, CPM impression based ads and other revenue generating products, including a featured merchant area.
In summary HPC will focus on its syndication strategies to create incremental increases in traffic and to continue to bolster overall brand awareness and credibility. HPC will direct its customer experience attention towards improved customer retention strategies, striving to increase its customer growth as well as increase the number of pages viewed on every visit.
HPC will also focus on optimizing the revenue per page served up with the right combination of CPA conversion success matched with relevant supportive CPM brand advertisements. All of these broad strategies contributing to
Management believes HPC is the only on-line Product Search and Comparison Shopping Business that focuses exclusively on the vertical market of Health and Beauty Products and Services, and further that with its first mover advantage that it holds promise to potentially become to Healthcare what CNET is to computers and electronics – the preferred source and destination of consumers.
About HealthPricer Interactive
HealthPricer.com is a leader in online Product Search and Comparison Shopping for consumer healthcare products and changes the way business is done online in favor of the consumer. Led by a team of e-commerce professionals, the Company has applied its proprietary technologies to meet the needs of North American consumers looking for easy access to a choice of products and merchants online. Covering hundreds of thousands of products from the biggest, most trusted healthcare merchants, HealthPricer is the most convenient way for consumers to search for and perform side-by-side price comparison of healthcare products based on price, brand and other health related attributes. www.healthpricer.com.