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John H. Ford
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For the past 30 years, I have been involved in startups, as a founder, and active investor. My first company was purchased by Johnson & Johnson, which set the foundation for future investments. My level of trading escalated after graduating from college, primarily as a result of my... More
  • An Oculus Shareholder Investigates Their Veterinary Business 4 comments
    Apr 27, 2010 11:22 AM | about stocks: OCLS

    The veterinary side of Oculus's business is booming. Their partner, Innovacyn, recently announced that they were expecting to book $6 million in revenue for their first year of operation. Remember, veterinary care is a $10 billion market. I wouldn't be surprised to see Innovacyn book $10-$12 million in revenue for their second year.

     By September 2011, Innovacyn will be 50-50 revenue sharing with Oculus. Thus far, Oculus has been receiving minimal payments from Innovacyn because in the partnership agreement, Innovacyn does not contribute significantly until they become profitable. That is expected to happen by no later than September 2011.

     I expect sales to be strong, increasing over time, especially once the public realizes that Cesar Millan, of Dog Whisperer fame is endorsing Vetericyn.

     Take a look at this TV commercial:

     www.youtube.com/watch?v=RGGpP3zl8oM

     The Dog Whisperer, Cesar Millan, with his popular TV show, has become the number one authority on dog training and care. To have his endorsement, is extremely valuable for Oculus. He only endorses products he has tried, and believes in. This adds a whole new level of credibility to Oculus and their product lines.

     I personally, have tried this product on my pets, and have found it to be extremely effective. Their wounds seemed to heal much faster than with other products. Also, because the product doesn't sting, they aren't as afraid of treatment.

     As part of my detective work, I began calling the Vetericyn 800 number, after they ran their infomercials. I discovered that much of the time, the lines were busy, and I could not even get hold of a representative unless I called back repeatedly. That suggests that the infomercials were effective and product demand was high.

     I also began calling stores that stock Vetericyn just to get a feel for how well it was selling and if customers actually liked it. From California to New York, the response I received from salespeople was positive. First of all, the product was selling well, but more importantly, customers were coming back for more and raving about the results. Many salespeople had tried it themselves on their own pets and also had achieved good results. After about two weeks of calling around, I was encouraged by the positive results.

     Another plus is they have priced the product fairly high ($28 for their small bottle). This gives them a tremendous margin. And, customers do not seem at all reluctant to pay this price because the product is so effective. I hope they can maintain that margin for years to come.

     It appears that Bob Burlingame is doing a good job marketing Vetericyn. I looked into his background and found him to be a powerful and effective entrepreneur, with a long string of successes. I will admit, I was skeptical at first when the partnership was announced, but my doubts have been erased.

     Now, imagine this possible scenario. What if Bob Burlingame were to begin marketing the Microcyn over-the-counter human products. He has proven his ability to market and sell products, and Oculus could benefit tremendously if he took over the Microcyn OTC line. The big advantage to Oculus is that they would not be responsible for any of the marketing costs, and could receive a 50% royalty. It's worked out very well with the veterinary line up, and I would love to see the same arrangement on the Microcyn side.

     I encourage all readers, to do the same due diligence I have. Get on the phone, and call the stores that are selling the product. Buy some and try it yourself. I tend to be conservative and not a big risk taker, but Oculus has won me over.

     I think Oculus is an excellent buy in the low two dollar range. As they receive more FDA approvals this year, it may be difficult to buy shares at this level.

    Coming soon: A Shareholder Visits Oculus Headquarters

     



    Disclosure: Long OCLS
    Themes: biotech Stocks: OCLS
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Comments (4)
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  • Great info! Ceasar Millan endorsement is huge. Thanks for the dd.
    27 Apr 2010, 11:39 AM Reply Like
  • I have several friends and acquaintances in the health care industry, both nurses and nurse's aids, who seem to contract the MRSA skin infection from contact with patients. OCLS's Mycrocyn ointment cures this highly contagious skin rash. They are all excited about the availability of this great new treatment for a heretofore treatment resistant skin rash.
    14 May 2010, 11:12 AM Reply Like
  • What's up with your dogs having so many wounds? Are you for real or exaggerating for effect?
    31 May 2010, 09:30 AM Reply Like
  • I have used the Vetericyn product to great effect. I have not however seen the Microcyn counterpoint product on any of the store shelves where I shop. Is the product available on store shelves in South Florida? If not, perhaps I could order online. I would like to have Microcyn sitting on my shelf at home just in case the need arises.
    3 May 2011, 04:37 PM Reply Like
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