Team Embrace

Jane Chen, Razmig Hovaghimian, Linus Liang, Rahul Panicker May 9, 2007

Agenda

Next Steps

Marketing and Distribution Plans (WIP)

Market Sizing & Economics

Incubator Design

Who the Customer Is

POV & Big Idea

Background and Opportunity Gap

80% rural

85% births take place in the home

21% infants have low birth weight

~50,000 babies with low birth

weight are in need of an incubator

Incubator access is limited:

– Main city hospitals have them

– Rural hospitals do not

– Cost is factor

– Many are in disrepair

– Can’t even get to the incubator

Background: Nepal

Typical Nepalese Parent

– Rural villager

– Annual Income < $200

– Illiterate

– Has access to local rural clinics (~30 minutes away), but not to major health facility

• Doesn’t have enough funds to travel to a major hospital

– Baby delivered at home, unassisted

User

Desperate

parents in a

remote village,

without

resources to

access a major

hospital…

Need

…the means to

save their dying

premature

baby.

Point Of View

– Primary functionality: generates and maintains heat

– For use with babies that are born less than 10 weeks premature

– Easy to use / intuitive

– Can be used in the home and is easily transferable

– Affordable (< $200)

– Easily distributed

Opportunity Gap: An Incubator for the Masses

Tent Hot Water Incubator

Maternity Vest Sleeping Bag

Early Prototypes

TentMaternity

vestHot water incubator

Sleeping Bag

Temperature

regulationGood Poor Moderate Good

Usability Good Good Poor Good

80/20 cases Good Poor Good Good

Portability Poor Good Poor Good

Isolation Good Poor Moderate Poor

Minimal detachable parts

Good Good Poor Good

Allows for interaction

Poor Good Poor Good

Prototype

Metric

Post Iteration Assessment

Heats w/o electricity

– Heat supplied by warm water

Allows close interaction of baby

and mother

Expected to work in home setting

Allows transport of babies to

hospital, if necessary

No chamber - minimizes need for

humidity

Functionality

Intuitive

Has few parts

Can be used with minimal

healthcare infrastructure

Low cost

Usability

Our Design: Embrace V1

Our Design: Embrace

Right PCM to use?

Best material for sleeping back?

Amount of material?

Circulate water vs. remove and heat PCM?

Frequency of reheating?

Impact of ambient temperature?

Test temperature regulation?

Feedback on usability?

Outstanding Design Questions

Potential lives saved (endgame):

1 incubator needed

for a village of:

Affordability range (for a

village):

Endgame # of incubators

needed:

~ 34,000 / yr

~2,000 people

~9,500 people

$85~341

Market Sizing & Price Point (Bird’s Eye View, Nepal)

Estimated Cost Range

$30~74 per unit

COGS (per unit)

• Insulation / Bag material: ~ $10 - $30 (based on comparable baby sleeping

bags, with thick insulation)

• Phase Change Material: ~ $10 - $15 (based on the information from MIT’s

incubator project)

• Water Pouch: ~ $3 - $5 (if needed, based on the cost of similar product)

• In/outlets: ~ $1 - $3 (if needed, based on the cost of similar product)

• Miscellaneous Pieces (i.e. zippers, velcro, etc): ~1$

VERY PRELIMINARY

Manufacturing/Assembly: ~ $5 - $20 (based on 5 to 10 hours man hours or work

at $1~2/hour)

Back-Of-The-Envelope Cost Components

Target Customer

How to Reach

Distribution

Rural Villagers living on less than $1/ day

Concern: Don’t have the resources or knowledge to care for

premature babies

Health care workers

Village elders / leaders

Midwives

Educational pamphlets / local media (puppet show, etc.)

Channels

– Rural health care clinics

– Local pharmacies

– NGOs

– Government

Target #s: Aim to distribute ~2,000 incubators in Yr 1, post launch

WORK IN PROGRESS

Marketing Plan & Distribution Plane

Week 10Week 7 Week 8 Week 9

Prototype Iterations

Business Plan

Final Presentation

Conduct final iterations

with wax PCM

Stress test heating

PCM vs. adding boiling

water

Test usability and

functionality

Conduct a deeper dive into economics

Develop plan for educating and

marketing to the customers (research

where customers obtain information)

Determine best distribution plan

Next Steps & Timeline