Entrepreneurs of the Week: John Loncz, eStork

July 23, 2014

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Launch NY is proud to be working with some of the most promising start-up businesses in Upstate New York. Each week we will bring you an interesting story about people with whom Launch NY is working, and who are shaping the entrepreneurial landscape in Upstate New York.

John Loncz

Founder, eStork

eStork-John-Loncz.jpgJohn Loncz has spent the past 15 years selling medical supplies for some of world’s largest healthcare companies—Johnson and Johnson, and Baxter Healthcare. In 2013, John realized that there was opportunity to apply his knowledge of supplier price negotiations to help hospitals lower their costs. As he was fine-tuning his model to Steve Blank’s The Startup Owner’s Manual, he realized scalability was challenged with his model and he brainstormed an additional feature, which has become the focus of the business model. Loncz conceptualized a daily deal platform to bring medical supplies to hospitals. As hospitals are always looking to lower costs, the platform had merit, and acceptance into Rochester’s LaunchPad helped him develop his model.

eStork

www.estork.com

eStorkCurrently, there is an e-commerce void within the hospital procurement process. eStork hosts medical supplies for sale to hospitals in a daily deal format. Target products to be listed on eStork.com are used in the operating room and are sold direct from manufacturer. eStork’s patent pending technology consists of a unique system that allows the medical supply manufacturers to target which hospitals can access and purchase the deals. This provides a new stream of revenue for medical supply manufacturers as their discounted pricing attracts new business, while their existing revenue stream experiences limited price erosion. The hospitals that participate in the daily deal receive a significant savings over their existing contracted price, fulfilling the underlying goal to help hospitals lower costs. eStork is currently in negotiations with suppliers to launch a pilot this month. Proceeds from the pilot will be reinvested to scale eStork by hiring a lead generating call center and support staff. The pilot will also provide a limited access test of the platform to correct glitches and programming errors, and move forward with a full market launch in the fall of 2014. eStork is currently located at High Tech Rochester’s Lennox Technology Enterprise Center in Rochester.

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Launch NY is a non-profit venture development organization with a mission to create jobs by providing guidance, mentoring and investments to help emerging companies succeed within the 27 counties of Upstate New York.