D3O         Business Model AnalysisBy: Chung Wing Tai, Julian Koo, Justin Lin, Jason Yeo, Ryan Wee, Tham Kai Sheng
D3O and a Shovelhttps://www.youtube.com/watch?v=9VDeJ7rLUYU
D3O Technology
What is D3O?• D3O is a patented protective material that  utilizes enhanced chemistry to produce high  performance impact ...
How does D3O work?• D3O comprises a shear-thickening compound, whose molecules reversibly lock together on impact.
How is D3O better?•   Less force is transmitted on impact                                          Less transmitted force ...
How is D3O better?        •   CE Level 2 Certification        •   D3O passed Level 2 of            prEN1621-1, making it  ...
Price Comparison•   D3O is premium priced but not exorbitant
Who would use D3O?•   People looking for dependable protection that is    lightweight and flexible.    o Professional Athl...
Professional Athletes                   • virtually all           • Covers High speeds &             parts of Dangerous   ...
Professional Athletes           • Covers virtually all             parts of the body           • Breathable             pr...
Military, Law enforcement &     Industrial workers          • High risks of injury due            to exposure to hazards  ...
Tech Gadget Users • Expensive Tech Gadgets   like Apple products    • Risk of damage due to      accidental dropping/ knoc...
Other Applications   •   People looking to harness D3O’s advanced       properties   •   For example, tennis racquets with...
D3O Labs
The Big Picture
Value Proposition of    D3O Labs
Value Proposition to Partners• Access to the D3O  technology• Engineering, research  and design services        Open• Assi...
Partner Selection
Partner Selection•   Consumer firms:    o Protective gear    o Sports equipment• Industrial firms:    o Safety shoes• Defe...
Technology Adoption Strategy• Targeting early adopters  o E.g. Pro-athletes and special    forces• Why?  o Most willing to...
Value Capture      andScope of Activities
Methods of Value Capture• Licensing & Partnerships• Services for Partners• Internally-Developed Products - XERGO
Licensing & Partnership•   Sales have been growing ~100% annually
Services for Partners•   D3O captures revenue through customized    engineering and design services
Sales & Production•   XERGO – Limb Protectors for motorcyclists•   No 3rd parties involved in the design
Research & Development•   D3O is constantly improved via R&D to improve its    features, so as to maintain D3Os relevance ...
Strategic Control
Current Barriers to Entry•   Intellectual property protection    o   Patenting of chemical formula    o   Patenting of the...
Current Barriers to Entry  •   Controlling the manufacturing of D3O products      o   Partners not involved in the manufac...
Current Barriers to Entry•   Reputation    o Premium reputation in the field of protective      materials    o Control of ...
Competitors
Poron XRD•   Poron XRD    o It is based on a urethane based polymer foam which      solidifies momentarily on impact    o ...
Case study comparing            D3O and Poron XRD•   Specific offering in motorcyclist protection
D3O Flo1 vs Poron XRD B-Guard •   Comparing two back protectors for     motorcyclists:D3O:                                ...
D3O Flo1 vs Poron XRD B-Guard•   Comparing two back protectors for    motorcyclists using spec sheets          D3O:       ...
Strategy Canvas:D3O Flo1 vs Poron XRD B-Guard          Dimensions of Performance
Strategy Canvas:D3O Flo1 vs Poron XRD B-GuardSafety    User Comfort                Others          Dimensions of Performance
What can D3O do better?
Value Proposition•   D3O is a thermosetting polymer•   Synthesizing process is toxic•   Life expectancy of 2 to 3 years
Value Proposition•   D3O as a recyclable material•   Reduce the toxicity of synthesizing process    of D3O•   Increase dur...
Customer Selection•   Military    o   A market that is worth approximately US$16 million        per country per year    o ...
Customer Selection•   Elderly     o Focus on gerontechnology     o Shock absorbent clothing for the aging       population...
Customer Selection•   Children    o   child apparels infused with d3o technology    o   eg. Impact resistant beanies for k...
Scope of Activities• Partner with bigger brands, especially the popular  mass-market brands, so as to capture market share...
Scope of Activities• Constant R&D in different fields to improve D3O and  its complementary technologies. (e.g. D3O incorp...
Strategic Control•   Create greater barriers to entry    o   Exclusive contract agreements with partners    o   Develop a ...
Strategic Control•   Scaling up operations    o   Has a team of less than 100 employees    o   D3O works on 20 to 30 proje...
Thank youBy: Chung Wing Tai, Julian Koo, Justin Lin, Jason Yeo, Ryan Wee, Tham Kai Sheng
FAQs
What is D3O composed of?•   It comprises a dilatant compound known as    Polyborodimethylsiloxane (PBDMS),    distributed ...
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Biz Model for D30 Material

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These slides describe a biz model for D30 material that is based on ideas from my (Jeff Funk) class on business models. D30 is a new material that is flexible until it absorbs and impact and becomes rigid. This characteristic makes D30 useful for clothing and gear used by athletes, motorcycle riders, and the military. the parent company profits from D3O by partnering in development with many manufacturers of final products and licensing the technology to them

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Biz Model for D30 Material

  1. 1. D3O Business Model AnalysisBy: Chung Wing Tai, Julian Koo, Justin Lin, Jason Yeo, Ryan Wee, Tham Kai Sheng
  2. 2. D3O and a Shovelhttps://www.youtube.com/watch?v=9VDeJ7rLUYU
  3. 3. D3O Technology
  4. 4. What is D3O?• D3O is a patented protective material that utilizes enhanced chemistry to produce high performance impact protection solutions.
  5. 5. How does D3O work?• D3O comprises a shear-thickening compound, whose molecules reversibly lock together on impact.
  6. 6. How is D3O better?• Less force is transmitted on impact Less transmitted force = Less pain
  7. 7. How is D3O better? • CE Level 2 Certification • D3O passed Level 2 of prEN1621-1, making it safe for motorcyclist protection
  8. 8. Price Comparison• D3O is premium priced but not exorbitant
  9. 9. Who would use D3O?• People looking for dependable protection that is lightweight and flexible. o Professional Athletes o Those facing occupational hazards (eg. Military, law enforcement & industrial workers) o Users of expensive tech gadgets
  10. 10. Professional Athletes • virtually all • Covers High speeds & parts of Dangerous the body terrain • Breathable • Prone to serious protection injuries from falls and tumbles • Flexible pads • Comfort helps improve focus • Confidence in • Mobility required protection for performance
  11. 11. Professional Athletes • Covers virtually all parts of the body • Breathable protection • Flexible pads • Confidence in protection
  12. 12. Military, Law enforcement & Industrial workers • High risks of injury due to exposure to hazards • Fear of injury may impede operations • Flexibility and mobility required for top performance • Injuries delay work progress and incur costs
  13. 13. Tech Gadget Users • Expensive Tech Gadgets like Apple products • Risk of damage due to accidental dropping/ knocking • Potential financial, time, emotional loss as well as major inconveniences
  14. 14. Other Applications • People looking to harness D3O’s advanced properties • For example, tennis racquets with adaptive rigidityHead YouTek D3OSeries Tennis Racquet
  15. 15. D3O Labs
  16. 16. The Big Picture
  17. 17. Value Proposition of D3O Labs
  18. 18. Value Proposition to Partners• Access to the D3O technology• Engineering, research and design services Open• Assistance in the Innovation manufacturing process
  19. 19. Partner Selection
  20. 20. Partner Selection• Consumer firms: o Protective gear o Sports equipment• Industrial firms: o Safety shoes• Defence: o Protective gear
  21. 21. Technology Adoption Strategy• Targeting early adopters o E.g. Pro-athletes and special forces• Why? o Most willing to try new technology and to pay a premium for it o Strong influence on market opinion• Hence, D3O needs to choose premium partners that would appeal to these early adopters.
  22. 22. Value Capture andScope of Activities
  23. 23. Methods of Value Capture• Licensing & Partnerships• Services for Partners• Internally-Developed Products - XERGO
  24. 24. Licensing & Partnership• Sales have been growing ~100% annually
  25. 25. Services for Partners• D3O captures revenue through customized engineering and design services
  26. 26. Sales & Production• XERGO – Limb Protectors for motorcyclists• No 3rd parties involved in the design
  27. 27. Research & Development• D3O is constantly improved via R&D to improve its features, so as to maintain D3Os relevance & edge in the market• For example, D3O released three unique composites to general customers (XT, ST and Shock+)
  28. 28. Strategic Control
  29. 29. Current Barriers to Entry• Intellectual property protection o Patenting of chemical formula o Patenting of the design of protective products o Allows them to protect and appropriate their IP, and lock-in customers for a period of time via contracts
  30. 30. Current Barriers to Entry • Controlling the manufacturing of D3O products o Partners not involved in the manufacturing of D3O o Proprietary knowledge remains with D3OD3O manufactures D3O delivers to Partner sells to spec partner completed product
  31. 31. Current Barriers to Entry• Reputation o Premium reputation in the field of protective materials o Control of marketing communications and product launch strategies, even by partners
  32. 32. Competitors
  33. 33. Poron XRD• Poron XRD o It is based on a urethane based polymer foam which solidifies momentarily on impact o Uses the amorphous properties of urethane molecules, which become rigid on impact.
  34. 34. Case study comparing D3O and Poron XRD• Specific offering in motorcyclist protection
  35. 35. D3O Flo1 vs Poron XRD B-Guard • Comparing two back protectors for motorcyclists:D3O: Poron XRD:Flo1 B-Guard
  36. 36. D3O Flo1 vs Poron XRD B-Guard• Comparing two back protectors for motorcyclists using spec sheets D3O: Poron XRD: B-Guard
  37. 37. Strategy Canvas:D3O Flo1 vs Poron XRD B-Guard Dimensions of Performance
  38. 38. Strategy Canvas:D3O Flo1 vs Poron XRD B-GuardSafety User Comfort Others Dimensions of Performance
  39. 39. What can D3O do better?
  40. 40. Value Proposition• D3O is a thermosetting polymer• Synthesizing process is toxic• Life expectancy of 2 to 3 years
  41. 41. Value Proposition• D3O as a recyclable material• Reduce the toxicity of synthesizing process of D3O• Increase durability of the product
  42. 42. Customer Selection• Military o A market that is worth approximately US$16 million per country per year o Prospective customers, Eg. US, Germany, France, Israel, Singapore
  43. 43. Customer Selection• Elderly o Focus on gerontechnology o Shock absorbent clothing for the aging population o Produce hip and back protectors for the elderly
  44. 44. Customer Selection• Children o child apparels infused with d3o technology o eg. Impact resistant beanies for kids o child-safe house appliances o eg. D3O sharp corner protectors
  45. 45. Scope of Activities• Partner with bigger brands, especially the popular mass-market brands, so as to capture market share• Acquisition or partnership with competing technologies to improve D3Os competitive edge
  46. 46. Scope of Activities• Constant R&D in different fields to improve D3O and its complementary technologies. (e.g. D3O incorporated into health care products like prostheses)
  47. 47. Strategic Control• Create greater barriers to entry o Exclusive contract agreements with partners o Develop a family of complementary products to harness indirect network effects
  48. 48. Strategic Control• Scaling up operations o Has a team of less than 100 employees o D3O works on 20 to 30 projects at any one time o Hire more people to meet demand and maintain quality service
  49. 49. Thank youBy: Chung Wing Tai, Julian Koo, Justin Lin, Jason Yeo, Ryan Wee, Tham Kai Sheng
  50. 50. FAQs
  51. 51. What is D3O composed of?• It comprises a dilatant compound known as Polyborodimethylsiloxane (PBDMS), distributed in a foam matrix

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