ECVC WakeSmart

Arun GuptaGreg Nemeth

Making you a morning person

• Arun Gupta – Yale University, Applied Physics and Economics

• Greg Nemeth – Boston College Honors Program, Finance and Information Systems

• Dr. Robert Stickgold – Harvard Medical School, “Leading REM Sleep Researcher in the nation”

Founding Team

Painpoint

• Everyone has experience waking up and still feeling tired

• Alarm clock is the #2 device people ‘hate, but can’t live without’

• 80-90% of American drink caffeine in the morning in order to function

• 94% of travelers crossing time zones experience jet lag

Value Proposition

By exploiting the science behind your sleep cycles, the WakeSmartTM will not only eliminate jet lag, but leave you feeling

optimally refreshed and energized every time you wake, whether from a full

night’s sleep or nap, for just $30.

Science• It has been scientifically proven that waking at

the optimal point can eliminate grogginess.• Our algorithm, developed with Dr. Stickgold,

analyzes motion of the user’s wrist to find the optimal point to wake the user.

References:Bonnet, M. H. 1983. Memory for events occurring during arousal from sleep. Psychophysiology, 20, 81–87.Bruck D, Pisani DL. The effects of sleep inertia on decision-making performance. J Sleep Res 1999; 8: 95–103.Muzet A, Nicolas A, Tassi P. Implementation of napping in industry and the problem of sleep inertia. Journal of Sleep Research 1995; 4: 67–69.Tassi, P., & Muzet, A. (2000). Sleep inertia. Sleep Medicine Reviews, 4, 341–353.

The Product• WakeSmart is a cell phone ‘smart alarm’ application which utilizes a

Bluetooth wristband accessory to monitor your sleep cycles and wake you up at the optimal time according to your body’s natural rhythms.

• Our motion based algorithm to wake the user was developed in conjunction with Dr. Robert Stickgold of Harvard Medical School, the leading REM Sleep researcher in the nation.

• The WakeSmart will leave the user feeling optimally refreshed and energized as if they’ve already been awake for hours.

• It is also includes a feature to let the user experience the ‘perfect nap.’ Either a 20-30 minute power nap or a 60-90 minute full nap.

The user inputs their desired wakeup time into the WakeSmartTM

cell phone application.(Ex. 9:00 AM)

The wristband gathers data overnight and finds the optimal

point to wake the user within the 20 minute window. (8:40 to 9AM)

The wristband pings the cell phone via Bluetooth to sound the alarm at

the optimal time. (Ex. 8:55 AM)

The alarm sounds and user wakes feeling optimally refreshed and

energized and ready to start their day.

USER EXPERIENCE (Wristband Version)

Product Extension

• Because the iPhone, and other smart phones, have built in accelerometers we can use these to monitor the users sleep cycles if it is in their pocket. While this is unappealing for a full night, it is perfect for naps for example on a train or plane when your phone is already in your pocket. We will then upsell the app into the full wristband version.

• The second is the online analytics platform. We can analyze their data to provide personalized suggestions to the user on how to get a better night’s rest. Additionally scientists have been using motion of the wrist to evaluate insomnia, circadian rhythm sleep disorders, sleep apnea, and restless legs syndrome for years and we can provide this service at a fraction of the current cost.

Intellectual Property

Provisional Patent FiledFull Patent Underway

Key Claims:

• Algorithm to isolate ‘periods of arousal’• Processing the data on the device

Competition

WakeSmartTM SleepTracker AxboAxon Labs(now ZEO)

Happy WakeUp ArousalClock

Product Description

Cell phone application with

a Bluetooth wristband to

measure motion

Large digital watch with built-in accelerometer to measure motion

Stand-alone alarm clock with

wireless wristband to

measure motion

EEG sensor worn on the

head to measure

brainwaves

Cell phone application that

utilizes microphone to

analyze breathing patterns

Price $49.99 $179.00 $300.00 $1,000 + $79.99

Accuracy ~90% ~60% ~70% 100% Does Not Work

Wakeup Window 20 minutesAdjustable (30

minutes recommended)

30 minutes N/A 30 – 40 minutes

Integration with cell phone

X X

Unobtrusive to sleep X X

Nap Function X X

Widespread availability

X

Aggregation of user data

X X

Online community to improve sleep

X

Additional InfoSee Competitive

Advantage

Bulky and uncomfortable

Has design flaws that make it

virtually unusable

Works well, but very high price

and only available in

Europe

Have refocused product as a

medical device

Cell phone must be placed on the user’s pillow and remain there for

the duration of the sleep

BETTER Science - 20 min wakeup window

- Nap function - Personal sleep management system

FASTER Distribution

- Through mobile application storefronts

90% CHEAPER - Retail price $30

Competitive Advantages

College Students

80% use phone as alarm

75% have downloaded with

cell phone

Initial Market Total Market

Sleep Industry$24 billion

Mobile Application Market

$1.2 billion

Young Professionals

Target Market

Medical Residents

TravelersPilots

Distribution Strategy• Initially launch virtually

- Advertise heavily through mobile application storefronts - sell through our own website, Amazon.com, cell phone and cell phone accessory websites

• Expand from the consumer market to institutions - Mattress companies - Hotel and spa chains - Airlines - Armed Forces

Sales Projections

Assumptions 1–Year

iPhone sales = .01% of average total monthly sales on iPhone App Store

Wristband Units = .1% of estimated and distilled target market (college students)

Assumptions 3–Year

Year 2 Wristband Units = .001% of 2012 Smartphone Market

Year 3 Wristband Units = .005% of 2012Smartphone Market

2012 Smartphone Market = Projected worldwide cell phone subscribers * Projected % of Smartphones * Current average application sales per iPhone user

For simplicity we are assuming a constant price and sales distributed evenly over each year.

iPhoneApplication

Beta Prototypes

Revenue

MobileApps

Testing

Tooling

Production Version

Manufacturing500 units

Ecommerce Website

OnlineAnalyticsPlatform

WristbandDesign

$100,000$10,000

iPhoneApplication

w/ Accessory

Revenue

Full Patent Application

Pilot Program

User Data

$500,000

Re-iterationManufacturing10,000 units

Revenue

Holiday Launch(virtual)

Viral Marketing

Hire for Sales, Marketing,

Management

• Rich Miner – Founder of Google Android

• Carl Yankowski – Former CEO of Palm Inc. (during IPO) and VP of Sony, GE, Pepsi, Memorex and P&G

• David Galper – Founder of Ruckus.com

Key Advisors