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  "documentTitle": "Twist Bioscience (TWST)",
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  "authorName": "Scorpion Capital",
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  "presentationDate": "2022-11-15 00:00:00",
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  "notes": "The slide uses aggressive, inflammatory language ('price junkies', 'crack den') to frame the competitor's business model as unsustainable.",
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      "text": "Twist’s entered the market based on price, targeting “price conscious” customers; “dug themselves a big hole” as no other value proposition; poor business model “if you don’t have an order of magnitude lower cost” of manufacturing “to accompany it”",
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      "text": "Key competitor: Twist could only pick off “price-sensitive” customers that didn’t care about quality and “turnaround time, reliability, low error rates” or “the most accurate DNA”",
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      "text": "Twist “dug themselves in a hole by pushing low cost as their primary value proposition.”",
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      "text": "As a result of its fire-sale pricing strategy, Twist now finds itself dependent on a bottom-of-the barrel customer base – price junkies that need bigger hits to stick around the crack den. A regional sales manager at IDT, who competed against Twist in a large east coast region, stated that Twist only picked off “price-sensitive” customers vs. ones that cared about “the most accurate DNA” or “turnaround time, reliability, low mutation rates” which they “had a hard time grabbing.” The predictable outcome: Twist “dug themselves in a hole by pushing low cost as their primary value proposition.”",
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      "text": "“I went up against Twist many times as a sales rep. For the customers that cared most about things like turnaround time, reliability, low mutation rates of dsDNA or many other metrics that are quantitative. Those customers, I think Twist had a hard time grabbing. But the more price-sensitive and/or the ones that didn’t care as much for one reason or another, depending on what research you’re doing, you might not need the most accurate DNA in the world, like it might not matter to what you’re doing. Twist would win. I lost to them many, many times as a competitor. That’s my experience.” –IDT ex-regional sales manager, left recently",
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      "text": "“Pricing was kind of their main thing if you’re wondering about that. That is basically how they entered the market. They said we are a low-cost competitor. Buy your DNA from us; buy your NGS panels from us because we’re cheaper. They didn’t suck, at least at the beginning. They weren’t awful. So, hey, if you’re a price-conscious lab manager, they had a compelling offering to customers. Actually, they got better on all of their product lines over the years, but I do wonder if they just dug themselves a big hole by pushing low cost as their primary value proposition. That’s not the greatest business model in the world if you don’t have an order of magnitude lower cost manufacturing to accompany it. That is what I experienced.” –IDT ex-regional sales manager, left recently",
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      "text": "“I went up against Twist many times as a sales rep. For the customers that cared most about things like turnaround time, reliability, low mutation rates of dsDNA or many other metrics that are quantitative. Those customers, I think Twist had a hard time grabbing. But the more price-sensitive and/or the ones that didn't care as much for one reason or another, depending on what research you're doing, you might not need the most accurate DNA in the world, like it might not matter to what you're doing. Twist would win. I lost to them many, many times as a competitor. That's my experience.” — IDT ex-regional sales manager, left recently",
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      "text": "Source: Scorpion Capital consultation calls with experts",
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