Stockrock I have a totally different view on these sales costs.
We are not selling a commodity, where we will have to continuously market and out-sell our perfectly substitutable competitors, like toothpaste.
Once Doctors/hospitals have been introduced to BTM, they seem to accept its market leading qualities, and that is what many PNV investors are buying into.
The follow up marketing is then likely to be subsumed by higher level Global thought leaders, and conference presentations and medical journals, and the like. Thus freeing up our sales teams to chase new leads and broaden the process.
With the disappointing non-US sales, I am hoping that once the US hits a critical market share ( and we may be close in late 2022), we may start to see direct enquiry from leading UK and other surgeons, making the sales effort a little easier. I expect this might be one of the considerations in reassessing our global distribution model. Other markets may be slower to follow the US lead. I for one would love to see a plan for a 20 person crack Indian sales team. And the rumoured Chinese approach is intriguing.
In any event, I see the sales cost as far from a permanent cost, and the strong margins will be maintained for hopefully a very long time.
In terms of revenue growth, another mistake I think is being made is seeing/modelling growth percentages in a static way over the next 5/10 years.
I believe we will actually see a number of years of exponential and quite staggering growth, as BTM takes leading global market share. The last few months in the US suggest to me we may now be close to this take-off point, and yes it has been frustrating, but hey COVID is a bastard, and most global disruptors would kill for PNV's recent growth in the US.
PNV Price at posting:
$1.02 Sentiment: Buy Disclosure: Held
(20min delay)