idcee 2014: business of hardware startups - ales spetic (ceo @ cubesensors)
TRANSCRIPT
Hardware StartupsThe business of
Aleš Špetič, 2014
Aleš Špetič, CubeSensors 2
sketching
MVP
scaling
launch-2
iterating
Aleš Špetič, CubeSensors 3
sketching
prototyping
production
manufacturingscaling
launch-6-12
Aleš Špetič, CubeSensors 4
hardware engineering
design engineering
firmware engineering
logistics
manufacturing
backend
software engineering
product management
user support
product managementusability
marketing
selling
frontend
ops
safety & compliance
Aleš Špetič, CubeSensors 5
SOFT ltd
1MM users, 4% conversion @ $10/year
$400k/ year
HARD ltd
1.500.000
1.000.000
500.000250.000
12.000 units/year, @ $100, 30% margin
$400k in margin
2.5001.5002.000
6.000
Aleš Špetič, CubeSensors 6
consumer
business tech
Aleš Špetič, CubeSensors 7
R&D
LOGISTICS
MARGIN
60% 10% 30%
Aleš Špetič, CubeSensors 8
R&D BOM
MAR
GIN
WHOLESALERETAILERLO
GISTICS
20% 10% 10% 10% 25% 25%
direct
online retailers
distribution channels
Aleš Špetič, CubeSensors 9
0
75
150
225
300
Aleš Špetič, CubeSensors 10
barriers to entry:
HW has great exits:
customer loyalty: PC 3y
phone 2y
service 1y
app 3m
limited iterations
working capital
production risks
Aleš Špetič, CubeSensors 11
@alesspetic
hwguide.spetic.si