www.SantiagoSolutionsGroup.com t: 818.736.5661 Carlos@SantiagoSolutionsGroup.com

May 22nd, 2013

Winning Under ACA New Entrants Are Key

Housekeeping

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• Submitting Questions – Just click the Q&A button on the upper left of your screen and type

them into the box

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• Archived Recording – An online archived video will be available to view after the meeting

• You are on Mute – As you all probably know by now, everyone else is on mute, so only

those of us in the presenting room can be heard

Carlos is a nationally-recognized business strategist. He is known for his innovative branding, segmentation and ROI analytics. Carlos founded Santiago Solutions Group in 2000, developing proprietary econometric methodologies for analysis of the multicultural segments. Over the last 12 years, he has guided strategic growth, corporate planning, product branding, consumer engagement, and social marketing strategies for organizations such as AARP, Campbell’s Soup, GMAC Mortgage, Health Net, HP, Humana, Johnson & Johnson, Nestlé, and many others.

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About the Presenter

Context

– Preparing for massive change

Greatest challenge and opportunity since Medicare Part D

– Extremely hectic time

132 days to Open Enrollment

– Even more limited resources

Teams are playing double duty

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Opportunity is Here!

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Hispanic 7.0 29%

African Am 3.2 14%

Asian 0.5 2%

White NH 13.2 55%

USA Total Uninsured Newly Eligible for Subsidies

100-400% FPL

Total = 23.9M

3 in 10 of Immediate New Growth Opportunity for

Uninsured under ACA originates from Hispanic segment

6 Sources: SSG Analysis of self reported data per Scarborough 2011-2012 and Census ACS

Hispanics represent an even greater source of growth in large markets…

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In Chicago metro, 4 in 10 uninsured eligible (100-400% FPL) are Hispanic

Hispanic 321K 44%

NH 403K 56%

Chicago Currently Uninsured & Newly Eligible for Subsidies

100-400% FPL

Total = 724K

Sources: SSG Analysis of self reported data per Scarborough 2011-2012 and Census ACS

57% 60% 76%

43% 40% 24%

0%

20%

40%

60%

80%

100%

Millennial (18-29) Gen X (30-44) Boomer (45-64)

Denver Uninsured Distribution within Generation

NH Hisp.

Millennials are also critically important

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126K 115K 100K

• Millennials represent a substantial portion of the currently uninsured

• In many large & medium-sized cities, such as Denver, Millennials are heavily Hispanic

Sources: SSG Analysis of self reported data per Scarborough 2011-2012 and Census ACS

Total = 341K

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• Younger • Socioeconomic level • Inexperience in health

insurance decisions

Non-Hispanic

Hispanic

Hispanics are Somewhat different

Foundational Similarity

Currently Uninsured & Newly Eligible for Subsidies 100-400 FPL

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• Younger • Socioeconomic level • Inexperience in health

insurance decisions

Non-Hispanic

Hispanic

Hispanics are Somewhat different

Foundational Similarity

Currently Uninsured & Newly Eligible for Subsidies 100-400 FPL

• Cultural imperatives

• Attitudes & behaviors

• Slow to trust

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Differentiated

Value

Proposition

Capturing Hispanics doesn’t require a different plan, it calls for an integrated plan

Distribution Messaging

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Differentiated

Value

Proposition

Capturing Hispanics doesn’t require a different plan, it calls for an integrated plan

Distribution Messaging

• Potential members and influencers

• Cultural know-how

• Emotional connection

• Wrap-around

• Customer Experience

Let’s get Started!

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Focused Approach

Capture Low Hanging Fruit

Simplify Communications

Nurture Customer Experience

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Foundation of Trust

Brand Trust is key in Attracting Previously Uninsured

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Tip # 1

Start with Low-hanging Fruit

a) Assess your strengths

b) Find critical mass

c) Leverage partnerships with established entities among Hispanics

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Tip # 2

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Tip # 3

Enhance your Customer Experience

Extremely Satisfied Members…

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Tip # 4

More likely to Recommend & Learn from Friends

Hispanics tell an average of 7 family members and friends about +

Hispanics tell an average of 5 family members and friends about -

Hispanics are more likely than NH to learn about Medicare Advantage plans from friends & relatives

Engage THEIR way!

Great opportunity for Word-of-Mouth…

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Tip # 5

Digital

An enabling tool for your

ACA strategy…

Capturing Hispanics Under ACA is

within your reach

Opportunity is knocking

1. Follow a Focused Approach

2. Take Short-Term efforts with

impact

3. Look for Aligned Impact &

Long-Term growth

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Winning the Hispanic Market – New Entrants are Key

Have a Question?

If you have a question, click the button above the presentation [Q&A] and type your question into the box

We will address as many questions as possible within our allotted time

If we are not able to answer your questions feel free to contact SSG at Tatiana@SantiagoSolutionsGroup.com

Key Takeaways

• 3 in 10 of the newly subsidized market will be Hispanic (total US)

• Millenials, many of whom are Hispanic, will also achieve critical mass in the new market

• The newly subsidized population shares many similarities; there are but a few key differences to address for successful outreach

• Tips – Establish trust

– Leverage relationships with cultural know-how

– Simplify all communications and touch points

– Enhance your Customer Experience

Q&A

About Santiago Solutions Group

The SSG team counts on decades of client experience working with national and regional health and wellness businesses. By incorporating econometric models and assessing a broad set of internal & external factors, we objectively discern the key drivers of growth.

We combine general market expertise with multicultural and generational segments to make our insights more precise and actionable. This knowledge reveals the total market opportunity and the drivers to profitable growth captured in a fitting roadmap.

As a partner we can guide your implementation across the organization with particular expertise on strategy, customer experience, marketing effectiveness, distribution and overall organization preparedness.

© 2012 Santiago Solutions Group Inc. 22

SSG Senior Team

Carlos Santiago – President & Chief Strategist

• Strategic planning expert coaching solutions for Fortune companies such as J&J, Health Net,

Humana, AIDS Institute, AT&T, PepsiCo, Wells Fargo, Campbell’s, HP, Principal Financial,

among others since 2000. Previously, Carlos led segment marketing for Bell Atlantic-Verizon, a

$3B business unit overseeing brand strategy, retail channels, direct response and loyalty.

Steve Moya – Senior Advisor • Immediate former chief marketing officer of Humana, a FORTUNE 100 company. Steve was

founding partner of LatinWorks and senior vp/partner at Manning, Selvage & Lee and Fleishman Hilliard. Steve brings decades of high-level corporate experience in the consumer products and healthcare arenas, with expertise in strategy, marketing, segmentation, and PR/communications.

Derene Allen - Partner

• Strategic and tactical expertise in Latin America, the Caribbean and US Multicultural markets,

Customer Acquisition, Customer Experience and Loyalty Programs including Humana,

Cigna, AARP, Ortho-McNeil-Janssen, AMEX, Dannon, and Verizon. USF Adjunct Professor.

Bessie Ramirez - Partner

• Seasoned strategist who specializes in the application of insights in the development of

strategic plans and the implementation of growth initiatives. Experienced in brand & category

management, product development, multicultural planning and change management for

companies such as Health Net, J&J Nutritionals, Nestlé, Home Depot, and Quaker.

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