The document discusses a proposed personal emergency response system (PERS) for seniors in Russia. Some key points: - Over 18 million Russians are over 65 years old, and falls are a major cause of death for seniors. A PERS could help reduce hospitalization and death rates by providing immediate emergency assistance. - The team proposes a PERS gadget priced at $200-300 that detects falls and has a panic button for voice contact with an emergency call center. Monthly subscription fees would be $30-100. - The Russian PERS market is estimated at $250 million currently serving around 500,000 people, but there is potential for over 1 million users. - The team plans

1. 28 October 2010 Moscow School of Management
SKOLKOVO
1
mHealth
Irina Linnik
Dmitry Yurchenko
Sergey Pavlovskiy
Alexander Khomenko
Personal Emergency Response System

2. Do you know that?!
29.01.2015 Moscow School of Management SKOLKOVO 2
Could Live

3. Do you know that?!
>18 mln Russian are over 65 years old
40% will fall this year
Fall is #1 cause of death
29.01.2015 Moscow School of Management SKOLKOVO 3

4. Do you know that?!
29.01.2015 Moscow School of Management SKOLKOVO 4
1-st four hours are the most critical
Immediate assistance reduces
hospitalization by 26%
death by 80%

5. 29.01.2015 Moscow School of Management SKOLKOVO 5
Keeping your family safe
wherever you are

6. PERS - Personal Emergency
Response System
29.01.2015 Moscow School of Management SKOLKOVO 6
Old family
member
WeYou
Monthly payment
“Selling the Guilt”
SOS
Check
call
Call
Visit
Call to neighbor
Web-Camera
Emergency call
Nurses
Care
agreement
fee per visit
Call
Visit, emergency call

7. Cash flows & Breakeven
You We
Gadget sale, 1 Unit
$200
Monthly fee, 1 client
$30 * 12 = $360
Maintain costs
$8 * 12 = $96
Annual Revenue
$560, per client
Annual variable costs
$280, per client
Annual profit per client $280
Fixed costs $200k * 12 = $2400K / $280 ≈ 8500 clients

8. Market size estimation
29.01.2015 Moscow School of Management SKOLKOVO 8
680K potential clients
$250 mln potential market size
0
10
20
30
40
50
60
70
2010 2025
Russia
USA
0
500
1000
1500
2000
2010 2013
Quantity of Seniors over 65 yo, mln Annual revenue, $mln
3.75%
Seniors
9.5%
Seniors
3.75%
Seniors

9. Is your car
safe?
29.01.2015 Moscow School of Management SKOLKOVO 9
Key players
Current users
Value
proposed
What about your
parents?
>10 companies in 10 years
0.5M in Moscow
10% growth per year
Distribution
channels
Auto dealers
Insurance companies
No
NO, with >1M potentiality
Price $0.5–3K unit price
$30-100K monthly
$0.1–3K unit price
$20-50K monthly
Doctors, Senior care comp,
Insurance companies
Alarm, GPS + call
center
Alarm, GPS + call
center

10. Competitors or Partners?
29.01.2015 Moscow School of Management SKOLKOVO 10
Features Philips Car security REDKLEVER
Auto Fall Detector ✔ from 03/2010 - ✔
Panic button ✔ ✔ ✔
Voice-to-Voice ✔ - ✔
Fix line/mobile Fixed ONLY Mobile ONLY Fixed & Mobile
Geo-location - ✔ ✔
Additional services - - ✔
Installation required - - ✔
Battery duration 14-18 months > 2 years 1-2 days
Quantity of Clients
& Annual Revenue
(#1) ≈750’000 &
Est. ≈$370 mln
>500’000 &
>$700 mln
150’000 &
$60 mln

11. 29.01.2015 11
Potential partners
Infrastructure Sales ChannelsProduct
Technological partner Skolkovo team

12. The Team
12/10/10 Moscow School of Management SKOLKOVO 12
Dmitry
Yurchenko
Sergey
Pavlovskiy
Irina
Linnik
Alexander
Khomenko
- Marketing professional
- 6 years in banking retail
- 5 years in Investment Banking
- Co-founder of AdOffer Company
- Finance professional
- Serial entrepreneur: AdOffer, Mayka
- Strategic management proff.
- Start-ups experience
Partner with Tech
infrastructure, IP, CTO

13. Go-to-Market strategy
29.01.2015 Moscow School of Management SKOLKOVO 13
Jun 2011
Dec 2011
Dec 2012
Dec 2014
Partnering
Product
Packaging
Certification
$3M Invested
$0.5 revenue
500 clients
$1.2M Profit
$7M revenue
10’000 clients
First Sales
(insurance co,
doctors, direct)
Moscow
High segment
Partnering with
mobile operator
St. Petersburg
Mid segment
$12.5M Profit
$30M revenue
40’000 clients
Expansion &
Scaling
Remote health
monitoring
Health Life-Style

14. Financial Estimations
29.01.2015 Moscow School of Management SKOLKOVO 14
-10,000
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
2011 2012 2013 2014 2015
Sales, units
Revenue, $000
Net profit, $000

15. Call for action
Now: Team, Initial product, Partners’ network
Need: $3M of venture capital
For: Marketing & Sales, Product Development
2015: $100M company value
Exit: Sales to strategic investor (Phillips, …) / MBO
29.01.2015 Moscow School of Management SKOLKOVO 15

16. Customer segmentation
29.01.2015 Moscow School of Management SKOLKOVO 16
- Economizing
- Optimizing
- Buying the best120K 350K
100K 290K
30K 90K
65-70 Over 70
0.85–22–5>5
Relativessalary,$000permonth
Senior’s age
37%30%9%
Number of potential PERS users in Moscow

17. 29.01.2015 Moscow School of Management SKOLKOVO 17
Product packages
Base Alarm System:
- Panic button
- Fall detector
- Voice-to-Voice
- 24/7 call-center
Advanced functions:
- GPS tracking
- Vital signs sensors
- Fire, gas sensors
VIP services:
- VIP emergency
- Web camera
- Smart phone app
Gadgets are available We tested products and going to submit patent