Odontoprev‘s strategy is to lead the consolidation of the healtcare sector generating attractive rates of return for Odontoprev‘s shareholders.
We seek to achieve this objective by implementing the following strategies:
Maintain our focus on dental care plans: We believe that as a result of our experience and specialized management team, we have a thorough understanding of the Brazilian dental care market, maximizing the quality and reliability of our services, which is essential for the continued success of our business and also allows us to benefit from the lower costs and greater predictability inherent to the dental plan sector.
Present throughout the value chain: We are constantly seeking economies of scale and heightened cost efficiency, allowing us to maximize the quality and reliability of our services, which are essential for ensuring the sustainability of the business.
Multiple growth vectors:
-Inertal Growth: increasing our current member base through increased enrollment in our plans by employees of clients who have open enrollment plans. In addition, we expect to benefit from additional growth as our clients´ businesses continue to expand and through the increase in the number of beneficiaries of our current clients.
-Organic Growth: enrolling new clients through marketing and sales initiatives and through our in-house sales team and independent sales people present throughout Brazil.
-Selective acquisitions: We concentrate our efforts on acquiring investments in the dental plan sector, seeking potential synergies and the addition of value, thereby accelerating growth and anticipating the generation of results.
-Commercial partnerships and new distribution channels: We believe that the formation of strategic partnerships is the best means of gaining access to markets with low penetration and high potential growth, such as clients of health plans and affinity groups and including credit card companies that issue cards for retail chains and insurance companies.
Quality recognition: our client portfolio include a wide variety of Brazilian and multinational companies recognized for their achievements in their respective fields, including financial and other services, heavy industry, pension funds and care providers with their own portfolios of members. We believe that our client portfolio is well diversified throughout various segments of the Brazilian economy. The expansion of our clients´ workforce represent an attractive opportunity for further growth. As a result of the quality services we provide, we retain a very high portion of our clients and maintain a strong brand in Brazil.
The Company was elected, for the 13th time, “Top of Mind” by HR professionals on dental plans suppliers category, in 1999, from 2001 to 2009, 2011, 2014 and 2015.
Proprietary, unique and world – class IT platform: in order to keep abreast of growing demand for accurate, high-quality health information, and based on our 30-year actuarial history, we have developed a proprietary IT platform allowing us to: (i) manage logistics and relations with our Accredited Network; (ii) monitor the performance of each surgeon dentist; (iii) monitor the oral health of our associates and their relations with our Company; (iv) adopt a pro-active approach to managing the clinical and behavioral risk of associates and dentists; (v) closely monitor the quality of the services provided; and (vi) control the actuarial behavior of our client portfolio, keeping claims down to appropriate levels.
Portfolio of diversified and high-quality products: one of the key factors in our success has been the capacity to offer a wide variety of high-quality customized dental plans to meet the different needs of our clients. We also offer plans with around 100 benefit structures, designed to attract companies and associations of all types and sizes through an appropriate cost-benefit ratio.
Management team with a proven track – record: our executives are dental plan specialists, most of whom have been involved in the oral health area for almost 21 years. As a result, the Company is able to offer specific products and services to each of its market segments.
We charge monthly fees to our members through medium- and long-term contracts and therefore our revenues are not subject to significant seasonal oscillations. However, the following aspects of our business are seasonal:
–Revenue growth: over the last ten years, we have seen revenue increase resulting from new contracts occurred mainly in the second half of the year; and
–Dental cost of services: The dental loss ratio (cost of services divided by net renevue) is subject to seasonal trends, impacting OdontoPrev´s results. Quarters with holidays, festivities and school breaks usually present lower dental care ratio than other quarters.