1. hmLife
http://www.ohmlife.net
Final Presentation
Amit Kanda
Raghu Kopalle
Joel Minton
Michael Ruehlman
2. Simplify Home Energy Management hmLife
Home energy management Our service-based approach is Market
Massive
is complicated and easy and convenient Opportunity
confusing…
50 M Residential
Customers
(of 130 M total US
households)
$750 M market
opportunity by
2015
3. Team Members hmLife
Amit Kanda Raghu Kopalle
Product Manager, Brocade Product Development,
and Program Management, Juniper
• Product alignment with emerging trends, Networks Inc.
penetrating high impact growth markets • Enterprise branch office products that
• Business Development, Product integrate routing, switching, WLAN and
Management and Marketing security features
• Product Development, Technical marketing
and Global management in
telecom/networking markets
Joel Minton Michael Ruehlman
Director of Fashion Co-founder of BrightGrid Renewable
Technology at eBay Inc. Energy Finance
• Data driven platforms driving extensive • Channel strategy and structured finance
value across eBay Inc. • Traditional and emerging distributed energy
• Internet Marketing, SEO, Big Data, and and power markets
data driven optimization.
4. Business Model Canvas Version 1 hmLife
Energy efficiency Data analytics Energy efficiency Privacy, community, <Two Sided
rating agencies, algorithm awareness leading to ease of usage. platform> Home
auditors and utilities
development cost savings and owners (non paying
Software platform value appreciation. customer)
Household equipment Alliances to get initial
manufactures data set. Pre-qualified and Business side
searchable target customers (Paying
market segment. customer)
Providers/retailers of
Mass proliferating of energy efficient
energy scores. goods/service
Sources of energy Home owners - Direct
usage/efficiency data via internet
Platform equipment Business side – Direct
and management or indirect
Human resource
Platform development costs
Channel development and advertisement costs [Business side] Origination/transaction fees, search fees
Incentives to the retailers, energy auditors, builders etc Target advertisement on the website
5. What We Did hmLife
• Not well informed energy consumers
Initial
• Motivated by net savings, esp. when making “big ticket” purchases
Customer
• Driven by social networking, monetary and social incentives
Hypothesis:
Action: Survey Residential Customers
• Online survey
• Face-to-Face interviews
Goal: Verify Initial
Hypothesis Action: Survey Contractors and Distributors
• Consumer and Contractor • Inbound calls
Value Proposition • Surveys
Action: Survey the Market for Existing Algorithms
• Berkeley Energy and Resources Collaborative LBNL
• Home Energy Saver
• Home efficiency scoring algorithm homeenergysaver.com
6. What We Found hmLife
Customer Value Drivers
Residential Homeowners:
Do not understand their energy bill
Incented by monthly ~25% savings
Maximum Payback Time Horizon Do care about environmental impact
Skeptical about enhanced home values
Distributors and Contractors:
Will pay for pre-qualified homeowner leads
Customer Buying Preference Do not spend on advertising
Value brand, convenience and quality of
support
8. What We Did hmLife
• Selected US DOE’s Home Energy Score (HES) ✔ as a proven energy scoring
methodology piloted in thousands of households!
• Continued talking to remaining players in Energy Efficiency Market value chain -
Partners (5), Contractors (12), Distributors (15), and our mentor from clean energy
industry to understand
• Customer segmentation based on energy scores and the value of a pre-qualified
customer base
• Consumer perception and spending preferences for energy efficiency
upgrades
• Retail channels through which customers prefer to evaluate and upgrade
• Channel relationships and partnerships in the green technology industry.
• Built Ohmlife.net website that shows energy heat map and drives excitement among
customers
9. What We Found hmLife
• Customers do not like to answer long questionnaires as part of their home profile
creation. They would like to the energy saving experience to be a simplified 3-
step process:
• Step 1) Analyze – Gives their current energy usage, along with a energy score
comparison with neighbors
• Step 2) Upgrade – Provides recommendations for improving efficiency and
price-based options
• Step 3) Realize – Allows customers to monitor their reduced bills over time to
realize their $$$ savings
• Increased home values and significant cost savings (>25%) continue to be
drivers in investment of time and energy.
• Neither customers or distributors want to pay subscription or upfront service
fees
• Building a financial model is critical to understand our value prop to respective
consumer segments
10. Where We Ended Up hmLife
What we learned
• Ohm-life, instead of being a 2-sided intermediary platform or a platform with a subscription-
based revenue model, will have much better acceptance as a one-stop affiliate platform and
provide a seamless experience to customers.
• Providing an end-to-end experience is vital.
• Collaboration with other established channels (Zillow, Amazon, Lowes) can really help
• Consumers love to do energy analytics with easy-to-use web interface and healthy “competition”
between consumers by leveraging social networks (Facebook, Google+).
• Consumers are comfortable with online purchasing and financing, but must be reliable
Is this a viable business?
• Viable business in under served market
• Significant market capture opportunity. Question becomes: when does mass adoption occur?
Will pursue after class?
• We fundamentally believe in our product and want to pursue this opportunity
• Will require “taking the big leap”
11. Business Model Canvas Version 1 hmLife
Energy efficiency Data analytics Energy efficiency Privacy, community, <Two Sided
rating agencies, algorithm awareness leading to ease of usage. platform> Home
auditors and utilities
development cost savings and owners (non paying
Software platform value appreciation. customer)
Household equipment Alliances to get initial
manufactures data set. Pre-qualified and Business side
searchable target customers (Paying
market segment. customer)
Providers/retailers of
Mass proliferating of energy efficient
energy scores. goods/service
Sources of energy Home owners - Direct
usage/efficiency data via internet
Platform equipment Business side – Direct
and management or indirect
Human resource
Platform development costs
Channel development and advertisement costs [Business side] Origination/transaction fees, search fees
Incentives to the retailers, energy auditors, builders etc Target advertisement on the website
13. Business Model Canvas Version 3 hmLife
Auditors Analyze: Calc Simple Experience An end-to-end Home owners
energy score Mass proliferation of energy saving Renters
Affiliate Providers Upgrade: energy scores experience over time
Recommend Net zero cost for
Manufacturers and upgrades energy
distributors of home Realize: Monitoring improvements
hardware
Positive
Contractors environmental
specializing in impact
energy retrofits
Ohmlife employees Paid Marketing
Public Resources - Direct Web Traffic
Energy Star, Utility Email
companies, LBL Social Websites
Home Energy Score
Platform development costs We take a small affiliate cut of every energy efficient
Channel development and advertising costs appliance and hardware purchase.
Editor's Notes
Slide 1 – Team Name, with a few lines of what you initial idea was and the size of the opportunity
Slide 2 – Team members – name, background, expertise and your role for the team
Slide 3 - Business Model Canvas Version 1 (use the Osterwalder Canvas do not make up your own).Here was our original idea.
Slide 4 - So here’s what we did (explain how you got out of the building)
Slide 5 – So here’s what we found (what was reality) so then, …
Slide 6 - Business Model Canvas Version 2 (use the Osterwalder Canvas do not make up your own).We iterated or pivoted… explain why and what you found.
Slide 7 - So here’s what we did (explain how you got out of the building)
Slide 8 – So here’s what we found (what was reality) so then,
Slide n – “So here’s where we ended up.” Talk about:what did you learnwhether you think this a viable business, whether you want to purse it after the class, etc.
Slide 3 - Business Model Canvas Version 1 (use the Osterwalder Canvas do not make up your own).Here was our original idea.
Slide 6 - Business Model Canvas Version 2 (use the Osterwalder Canvas do not make up your own).We iterated or pivoted… explain why and what you found.
Slide 9 - Business Model Canvas Version 3 (use the Osterwalder Canvas do not make up your own).We iterated or pivoted… explain why and what you found.
