How much does EES pay Applied each time an excell trocar is bought. Come on young gun do you really have any idea what you are saying . Granted the excel trocar is by far the best disposable on the market but do you think at your level your little 125 ( maybe) makes a difference when you have %90 percent margin. Oh and your real good when you have a contract .
Ahh the contract argument, if Applied only had the contract...blah..blah..blah. Hmm, you boys are on the Novation contract with a separate carve out trocar agreement and I don't see you taking any of my business there either. The fact of the matter is that for a system conversion, the Applied trocar might get 30% of the biz, mayb 40% but you rarely get a total conversion of a large system. Now that the Novation contract is enforcing compliance for trocars, the hospitals are seeing that maybe the Applied trocar isn't such a money saver after all because now their XCEL trocars that are in the system are going to list. So what do hospitals do? Switch everything back to XCEL because they have a much better chance at making the surgeons happy with an XCEL trocar vs. the Applied trocar. If the rest of the GPOs follow the Novation contract, your business will take a nice shot to the chin.