Specialist
Former Director at Allocate Software Ltd
Agenda
- Allocate's product portfolio, highlighting demand drivers and sustainability across the product set
- Competitive landscape across Allocate's solutions, including Softworks, Premier IT, Liaison Group, Kronos and Rotamap
- Allocate's points of differentiation and product innovation
- Commercial model, pricing structures and barriers to switching
- Allocate's expansion opportunities
Questions
1.
Could you roughly split Allocate’s revenue across geographies?
2.
Is there a way to split Allocate’s workforce by type? There is clearly a focus on medics and nursing in healthcare, but there are also AHPs [allied healthcare professionals].
3.
Are medics the majority of Allocate’s revenue or is it difficult to split revenue across the staff base?
4.
How would you segment Allocate’s revenue by product or solution type? Can you outline the rough weighting for each workforce type within those product lines or solutions, as you did for rostering?
5.
What are Allocate’s demand drivers in the UK? What is the market’s typical growth rate? Do we have to split that by product or workforce type?
6.
Do you think the spend drivers you alluded to are sustainable? Is Allocate in a multi-year growth market or is there an element of worry around that demand?
7.
You mentioned Allocate’s non-medic portion holds about 75% market share. How would you describe its penetration in the UK market? How much potential green space is left for the non-medic segment?
8.
How are NHS tenders awarded and what is the process for Allocate? Is it standalone hospitals or NHS trusts that purchase or put out tenders for software such as Allocate’s?
9.
Do NHS trusts typically purchase non-medic and medic solutions in one tender or framework or are these always separate purchasing decisions?
10.
How has the split between direct and on framework evolved? Is it increasingly shifting towards on framework? Could that disadvantage Allocate, appreciating it might differ between medic and non-medic?
11.
Allocate’s non-medic offering clearly holds a strong market share position. What is your retention outlook for that portion? How long do the contracts typically last? What proportion of its customer base or trusts could come up for renewal? How defensible do you expect Allocate’s position to be? Do you expect any market share erosion?
12.
Would you say the barriers to eroding Allocate’s market share for its non-medic solution in the UK are quite prohibitive, so this side of the business has a very defensible market share position?
13.
You mentioned the HealthRoster Optima, which you suggested was the bundling of individual products which are sold to trusts as an entire suite. Do you think this has maximised penetration in the installed base on the non-medic side and that minimal growth remains in shifting customers to it?
14.
Can you outline the dynamics for Allocate’s medic solution in the UK? There seems to be an element of declining market share due to the product not being quite aligned to demands as well as increasing competition. Why do you think there could be market share erosion?
15.
Is Allocate’s major issue that implementing its medic solution is much costlier and takes longer vs competing offerings? Can the company do anything here? Why is it harder or longer to implement than non medic solutions?
16.
You mentioned Allocate has about 50% market share on the medic side. Is that 50% in terms of installed users or would the market share be smaller than that for those who have been able to implement it?
17.
Could there be a large refresh cycle or a lot of trusts or customers using the medic piece coming to framework or tenders in the next couple of years? What market share could Allocate’s medic solution win in the next 3-5 years?
18.
Can you evaluate Allocate’s success in international expansion? Which markets has it struggled or been successful in? You mentioned the Australian market and it has shifted into some of the Nordics.
19.
What are your key takeaways? Which parts of Allocate’s portfolio are you confident or less confident on in the UK and internationally?
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