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