GN Store Nord A/S · OMXCOP:GN
GN Store Nord A/S — American Academy of Audiology (AAA) 2008
37 slides from GN Store Nord A/S's conference presentation, Apr 3, 2008
Slide 1: GN ReSound Group Product launches AAA 2008
GN ReSound Group Product launches AAA 2008
Slide 2: Today's program
GN ReSound at AAA April 2008 Today’s program Today’s program Introduction Introduction –– Jens Jens Bille Bille Bergholdt, Bergholdt, VP VP Investor Investor Relations Relations && Finance Finance GN ReSound GN ReSound and and our our industry industry –– Mike Mike van van der der Wallen, Wall
Slide 3: GN ReSound at AAA
GN ReSound at AAA CEO GN ReSound, Mike van der Wallen April 3, 2008
Slide 4: This is GN ReSound
This is GN ReSound Worldwide #4 hearing Revenue: – DKKm 3,155 (2007) instrument EBITA: manufacturer – DKKm 300* (2007) – Global market share of R&D Spending 16% (unit terms 3500 400 2007) 350 3,400 employees 3000 300 Incurred R&D spending Revenue DKKm Increased R&D 2500 250 spending 200 20
Slide 5: Our brands – and their history
Our brands – and their history Founded: Danavox Founded: 1940, Founded: 1962, 1943; ReSound 1984, Chicago, IL, USA Germany Redwood C., CA, USA Acquired: 2000 Acquired: 2005 Acquired: ReSound 1999 Flagship brand Network brand Value brand Innovative edge People and care focus S
Slide 6: Very attractive industry
Very attractive industry Demographic trends in main markets: Ageing population ageing population » increasing demand for hearing aids World hearing loss prevalence expected to Higher prevalence increase Estimated Estimated actual actual Improving Adoption rates to be boosted as main market market ad
Slide 7: Current market size
Current market size ••Market Marketvolume volume~~ 8.5million 8.5 millionunits units ••Developed Developed countries(Western countries (Western North America; Europeand Europe andUSA) USA) 31% represents70%70% Western represents Europe; 39% followedby followed byAsia, Asia, EasternEurope Eastern Eur
Slide 8: Turn-around program initiated 2007
Turn-around program initiated 2007 Accelerate profitable growth Means Means •Recapture customers •Recapture customers andand orders orders lost lost •Expand distribution •Expand distribution •Capitalize on •Capitalize on launching launching innovative innovative products products •New, flatter •Ne
Slide 9: Turn-around program initiated 2007
Turn-around program initiated 2007 Increase cost efficiency Means Means •• Full Full integration integration ofof Interton Interton into into the the GN GN ReSound organization ReSound organization •• In In Germany, Germany, the the Interton Interton and and GNGN ReSound ReSound organizations are
Slide 10: Henrik Wiboltt, SVP, Product Management & Marketing
Henrik Wiboltt, SVP, Product Management & Marketing
Slide 11: ReSound, Beltone and Interton Product Launches 2007-2008
Resound, Beltone and Interton Product Launches 2007-2008 Resound Azure Marq 17 Dot 30 Beltone Top Pulse CRT Interton Pulse LT Dot 20 Plus Marq 9 Sparx Dot 10 Basic Snap Force Trim flex 2 Budget Eztrim 2 2007 2008 11
Slide 12: dot by ReSound
dot by ReSound - Improving your quality of life, automatically -
Slide 13: Dot - the market's smallest hearing instrument
Dot - the market’s smallest hearing instrument • It’s an amazingly small hearing aid - it sets new standards for hearing • It has the most advanced sound technologies for a unique hearing experience – Sound by ReSound™ • Dot is available in 3 price points
Slide 14: Sound by ReSound
Three solutions, based on carefully matched sets of our absolute latest sound processing technologies Sound by ReSound™ dot 30 dot 20 dot 10 17-band Warp™ Sound Processing z z 9-band Warp™ Sound Processing Dual Stabilizer™ II DFS z z z Impulse Noise Smoother z z z Environmental Optimizer™ z Natura
Slide 15: We have had a strong start
We have had a strong start • We have been on the market for 2.5 months • The dispensers have reacted very positively to the size and the 3 price points • The end users have reacted very positively to size and sound • The marketing campaign the strongest since ReSoundAIR • We have implemented an even
Slide 16: Product launches AAA 2008
Product launches AAA 2008 Be by ReSound – Entirely new and revolutionary Hearing Instrument Concept – It is neither a Behind The Ear (BTE) nor an In The Ear (ITE) hearing instrument – We have developed a new category: Invisible Open Technology (IOT) ReSound Ziga – A new and very strong product i
Slide 17: In 2003 GN Resound launched ReSoundAIR
In 2003 GN Resound launched ReSoundAIR GN ReSound created a new industry segment End user benefits Completely new design – Invisible solution No ear mould Patented tube – Very comfortable and dome Strong anti- – Great sound feedback system – Superior Speech understanding It’s small- 24 m
Slide 18: ReSoundAIR has lowered the average user age and addresses key user needs
ReSoundAIR has lowered the average user age and addresses key user needs Average user age of trials Comments Industry • First time average user age, overall average 69 average age is higher user age USA • 60% new users 1.000 63 • 80% of existing/rejecters were ITE users persons • 57% still professio
Slide 19: The product received a wide recognition for innovation and design
The product received a wide recognition for innovation and design ReSoundAIR has won several prestigious awards: –Red Dot Design Award 2004 – Germany –Good Design Award 2004 – Japan –The Janus design prize 2003 – France –The Danish Design Prize 2003 – Denmark* –The Danish Engineering prize 2003 – D
Slide 20: There are 2 different end user segments
There are 2 different end user segments Needs for Needsfor Needs for new hearing aid users existinghearing existing hearingaid aidusers users • Invisible solution •• Speech Speechin innoise noise • Removal of stigma •• Sound Soundquality quality o Users feel that a hearing •• Less Lesswhistling/buzz
Slide 21: 2 different product solutions are addressing new hearing aid user needs
2 different product solutions are addressing new hearing aid user needs Micro BTE’s CIC’s CIC’s Pro’s Pro’s Pro’s ––Very Verysmall, small,ititisisremoving removingStigma Stigma – Very small, it is removing Stigma ––More Moreinvisible invisiblethan thanmicro microBTE’s BTE’s – Wearing comfort • Occlu
Slide 22: be by ReSound
3 ai Cc: 53 ? oO wn 3] oe be by ReSound
Slide 23: Try it on
3 ai Cc: 53 ? oO wn 3] oe
Slide 24: Dispenser evaluation
3 ai Cc: 53 ? oO wn 3] oe Dispenser evaluation Video ” e|
Slide 25: First Impression – Overall Favorites
First Impression – Overall Favorites End-user focus group participants were shown Micro BTE, Be by ReSound and CIC first on the table and afterwards on a picture in the ear. They were asked to rate the three aids from 1-3. On the On the table: table: ••Overall Overallfavorite favoriteisisBe Beby byR
Slide 26: Be by ReSound in the ear
medio avian Be by ReSound in the ear | TG c a3 a Vi a x Triangular fossa- Scapha Concha wg Cymba- @ Lavum- Helix Antihelix
Slide 27: Be by ReSound
Be by ReSound Benefits Stylish appearance – Unique design – Unique form factor – Preferred by new users Very invisible solution Great wearing comfort – Open & occlusion free High convenience – Instant fit (non-customized) – No hassle – one hand operation – No fumbling with eye glasses 27
Slide 28: Launch planning
Launch planning AAA the most innovative launch In USA Be by ReSound will be launched in July 2008 In the rest of world Be by ReSound will be launched after the summer vacation 28
Slide 29: ReSound Ziga
ReSound Ziga
Slide 30: The basic segment – 34% of the market
The basic segment – 34 % of the market Global market size 2007 (units) 15% 36% Europe North America 3.0 mill units APAC 2.5 mill units 15% 1.6 mill units 34% Rest of World 1.4 mill units Budget Basic Plus Top The global market: app. 8.5 mill units Source: GNR
Slide 31: Who is the typical customer in the segment?
Who is the typical customer in the segment? • 71 years old • 53% women, 47% men • Perceive themselves as having a passive lifestyle • 38% experienced users • 50% binaural fittings • Easy-to-use technology • Cosmetics taken into consideration Source: Laureyns, Study with 600 end-users, Belgium, 2007
Slide 32: We designed ReSound Ziga with this in mind
We designed ReSound ZigaTM with this in mind Instant good sound experience and smooth process Hear Feel A cosmetic, comfortable solution Fit Automatic speech comprehension in noise
Slide 33: Key Benefits - Features
Key Benefits - Features • Adaptive directionality and soft switching – Better speech understanding • Warp sound processing – Clear and comfortable sound – Fast and high resolution • Efficient noise reduction – Excellent listening comfort 40 35 Measured Gain in dB • Open fitting with the best feedbac
Slide 34: Rooted in Scandinavian design tradition
Rooted in Scandinavian design tradition Clean lines Exclusive color and material combinations Functional design
Slide 35: Presenting one of the most beautiful BTEs ever designed
Presenting one of the most beautiful BTEs ever designed
Slide 36: Natural Design in Natural Hearing
Natural Design in Natural Hearing Dual microphones placed Reconfigurable for great focused between hook and directionality thin tube Output 138 dB, Gain above 63 dB – “Easy to use” true standard-BTE program button performance Industry leading Easy exchangeable slim design over panels the “back” Stra
Slide 37: Questions & Answers
GN ReSound Questions & Answers
GN Store Nord — American Academy of Audiology (AAA) 2008 on 6ix