HealthLoq

Let’s take a completely hypothetical situation—let’s just say there is a global pandemic and everyone is really freaked out about getting sick. So you go to your grocery store to get some supplements that will boost your immune system and keep you healthy. But you’re overwhelmed by the choices--how do you choose among all these products that all say they’re the best? Over 50% of supplements may not contain what’s on the label, and 73% of supplement consumers consider transparency as one of their buying decision points. 

 

HealthLoq is a cloud-based, blockchain-powered platform that consumers can go to for trusted, detailed information about specific nutraceutical, pharmaceutical and food & beverage products, all the way down to the batch level. HealthLoq partners with responsible companies to provide their consumers unprecedented visibility to the origins of the product they are holding in their hand, thus turning dollars spent on quality and compliance into marketing dollars. Our revolutionary technology works with systems they already have in place to quickly give them an unfair advantage against their competitors. HealthLoq is spearheading a new era where trust and transparency will take the nutraceutical industry to unprecedented heights. 

 

HealthLoq was formed as a limited liability company in the state of Arizona in February 2019. We began receiving revenue in April 2020 for the launch of our platform with a pilot partner and expect to formally launch in August 2020. We are seeking a $500,000 investment by July 31, 2020 for sales and marketing and to bring more features to the platform.

 

Since inception, the nutraceutical industry has been plagued with questions about its products, such as “is it safe?” and “does it work?”  To differentiate their products from the myriad of others in the marketplace, individual companies each try to assert the quality of their supply chain, manufacturing processes, testing procedures, efficacy, etc. However, without trusted information available through a third-party source, these claims ring hollow.

 

Nothing breeds product adulteration like the high demand and low supply situation that we are in with Covid19. More than ever, the industry needs an effective and efficient way to stand up to the challenges of product authentication and supply chain reliability.

 

A blockchain is a distributed, or decentralized, ledger—a digital system for recording transactions among multiple parties in a verifiable, tamperproof way. Data is created, received, disclosed, secured, and recorded differently, thereby establishing a new digital relationship at the network level where no one entity controls the data. The shared record is immutable and cannot be changed--this results in inherently more trustable and transparent data. The global blockchain market is projected to reach $20 billion by 2024. 

 

Market share for blockchain service providers is splintered among a few startup companies without distinct market leadership. The industry is primed for disruption and has a desperate need for a transparency platform, both to gain trust from consumers and to demonstrate compliance to regulators.

 

 

Seed to Health Outcome, not just “Seed to Shelf”

HealthLoq solves a real problem—we enable companies to prove to consumers that they are producing high-quality, safe products by telling their story on our blockchain-powered platform. It works like this: You scan the QR code with your phone and are taken to the HealthLoq platform, where you can quickly find a ton of data pertaining to the specific bottle of product t]hat you are holding in your hand: 

·        the quality control testing results of the ingredients provided by each supply chain partner,

·         third-party testing,

·         the dates and location of the manufacturing and assembling of the ingredients into the final product, 

·        all graphically displayed on a map; 

·        the appropriate licenses, certifications, and designations  for supply chain partners, such “minority or women-owned”, sustainability practices, as well as any source documents for 3rd party seals.

All of this information is much more credible than coming from a company’s own website because it is recorded and presented through our third-party blockchain platform. Blockchain data is not owned by a single entity, but rather it operates at an ecosystem level and it cannot be changed or manipulated, making it a more reliable single source of truth. Blockchain also allows you to verify the source of the information, making it inherently more trustworthy.

 

As a consumer who cares about what you put in your body, your trust in that product and in that company has just been greatly strengthened because they are willing to be transparent with you. So you buy that product and become a loyal customer.  HealthLoq pivots a company’s invisible dollars spent on compliance and quality control into highly visible marketing dollars.

 

Furthermore, as a consumer, I can give feedback on my experience with a product and my demographic information through the HealthLoq platform in exchange for a discount off of future purchases or monetary compensation. Our blockchain technology can tie the experiential data of an individual to the specific product lot and batch, thus enabling not only “seed to shelf” tracking capabilities, but “seed to health outcome” capabilities, providing invaluable data to manufacturers that they need in order to refine their product offerings with the best ingredients and processes. The fundamental question facing the nutraceutical industry of “Do they work?” will be able to be answered through HealthLoq.

 

Proven and Protected

We have successfully tested and proven our platform with a pilot partner who sells both nutraceutical and pharmaceutical products and we began generating revenue in April 2020. For a flat monthly subscription fee, our partners have the ability to publish an unlimited number of items on our platform. Our technology is protected through two patents (pending).

Customer Analysis

Anyone Who Values Transparency

The platform is valuable to any player in the nutraceutical supply chain, including farmers, extraction companies, third-party testing companies, contract manufacturers, regulators, distributors, retailers, and the brand owners.  Any high-quality, responsible company that desires to share some of the details of the provenance and quality of their products with customers and/or regulators is benefitted.  

Our Tech Sits Lightly on Top of Existing Systems

Our platform focuses on increasing the sales of our customers through transparency and incentives, and does not require a painful implementation of a new ERP or invasive software nor do we disrupt the existing process flow of our customers.  There are other companies who are using blockchain to make the supply chain of natural products companies more transparent, including Tagone, Bext360, and Ripe.io. However, these companies are all either full-blown ERP’s that require internal process change, are not focused on the consumer experience, or are industry generalists that are not focused on nutraceuticals specifically. 

 

Being the first to establish a transparent and trustable blockchain-powered view to consumers for a company’s products will be a significant defensive moat against competitors. It would be costly and inconvenient for a company to switch to another service as our platform will be embedded throughout their supply chain.

 

Supply Chain Reaction

We will collaborate with other organizations that provide complementary services to jumpstart market awareness. We will be an active participant and leader at industry events and conferences, engage an outsourced a  sales force (will provide focused and detailed training), utilize social media and search engine optimization, and incent large brands to engage their primary supply chain partners through discounted fees. 

 

Right Combo of Industry, Tech, and Entrepreneurial Experience

Derek Lurth, Chief Executive Officer, is an experienced executive with senior leadership experience at companies in a variety of stages, from startups to mid-market privately-held companies to large publicly-traded companies. Derek’s recent focus has been in the nutraceutical industry, where he has co-founded a botanicals extraction company and is helping lead a startup dietary supplement company as the chief financial officer. Prior to that, Derek led a virtual dispensary provider of nutraceutical products to over 200% growth in less than 3 years as the chief financial officer.

 

Todd Taylor, Chief Operating Officer, is a research professor and a recognized leader in business collaboration and integration technology, also the founder of the ASU Blockchain Research Lab and co-founder of GenBloq, a blockchain-as-a-service company that has successfully launched multiple blockchain products and projects. He is an expert in supply chain strategy and technology. Todd worked for HP and IBM for over 25 years and led IBM’s Supply Chain and High-Tech consulting practice in Greater China.  Todd earned an MBA from Thunderbird School of Management and has launched several successful startups including a supply chain analytics and optimization company that was purchased by Accenture in 2014.

 

Ken Staker, Chief Technology Officer, is the technology lead and co-founder of GenBloq.  He is an expert in enterprise resource planning systems.  Ken led SAP projects for Accenture, Starwood Hotels, and Motorola and was the CIO for MWA Intelligence which was acquired by Konica Minolta.  Ken graduated from Arizona State with a degree in Materials Science and Engineering and is earning a masters in Data Analytics from Boston University.

 

Our team is uniquely qualified to succeed in this endeavor through our experience in the nutraceutical industry, in creating and deploying private, permissioned blockchains, our supply chain expertise, and expertise in implementing new technologies. 

By 2024, HealthLoq has the potential to be over a $100 million company with 40%+ EBITDA margins. We are seeking $500,000 in funding by July 31, 2020. These funds will be used for sales and marketing to formally launch  the platform by August 2020, as well as to continue to add new features to the platform. We began receiving revenue in April 2020 for services provided to a pilot partner, and have received significant interest from a number of nutraceutical companies who want to be notified when we formally launch.