WRIST ASSURED MARKETING PLAN

EXECUTIVE SUMMARY

Our company’s purpose is to successfully create and sell a new piece of groundbreaking

technology known as Wrist Assured that replaces the old, traditional lock and key and combines

that with immediate access of requesting help all in one. Our product will be made up of four

main components: a lock that will be installed on doors of homes, a wristband for the

homeowner to wear that has a button which will be used to signal people, and an app that can be

accessed on smartphones to notify family members about the signal and location of where the

signal is.

We utilize near-field communication technology (NFC) and wearable technology, allowing for

customers to unlock the doors of their homes by simply raising their wristband to the lock on the

door. There will be no frantic searching of keys, no fuss about getting the key into the lock. Even

with their hands full, customers will still be able to unlock their homes. For safety, each

wristband is secured with fingerprint technology, allowing a minimal number of people access to

unlocking. Additionally, we will also implement Global System for Mobile communications

(GSM) networking to provide the data coverage needed to make use of the emergency contact

features that our wristband provides. Our target market is the middle class with income ranging

from at least 70k per year, between the ages of 34-44 years old who have elderly family

members 65 years old or above with any type of disabilities or conditions like Alzheimer's,

carpal tunnel, or etc. With our product, our goal is to eventually become the nation’s leading

provider of smart health and security solutions, while also maintaining positive company culture

and ethical business decisions. We are working in a very niche industry with high risk high

reward circumstances, but we believe that with our advanced business acumen and hard work,

our company will be successful.

SITUATIONAL ANALYSIS

Regarding our situational breakdown, we will first be utilizing a SWOT analysis to identify our

internal strengths and weaknesses, and our external opportunities and threats. By using this

framework, we will be able to clearly distinguish ourselves from our competitors, promote

ourselves as a niche product, and create a strategic marketing plan.

Some internal strengths of our business includes:

1) During early stages, we will operate with a maximum of 13 people at a time, 7 of these

people being chartering members that will contribute their own funds to get the business

off the ground, so our business will be minimizing costs in payroll so that more of our

funding goes towards R&D, app development, and thoroughly perfecting our product

2) We are the pioneers of combining a lifesaving medical product and a crucial security

feature into one technology, basically fulfilling the consumer needs of two separate

industries

3) We also utilize and combine various technologies like NFC technology, fingerprint

security, GSM , and wearable technology in order to make a very specialized and very

advanced product

4) Unique Selling Proposition (USP) - being able to ensure your elderly loved ones’ safety

and health, along with ensuring that they always have easy access to their home with little

to no risk of losing their product due to wristband technology

Some internal weaknesses of our business include:

1) The cost of creating our product will be fairly high due to our needs for patents and our

use of many technological features, so we will need to be very persuasive in order to

obtain a lot of funding from investors

2) It will take us some time to break even and to start making profit because our costs are

fairly high, so the company charterers will need to invest their own savings into the

business for some time

3) Although our product will prove to be very useful for our intended users, some customers

might think that the cost of purchasing it will be too high

4) Outside of our target market, there will be some people that do not see how our product is

useful because they either do not have any elderly loved ones that would use this product,

or they are not tech-savvy enough to recognize its usefulness

Some external opportunities of our business include:

1) We could potentially add more wifi capabilities to the wristband because we already

utilize GSM in order to make the call to emergency services, so we could add something

else that utilizes smart home technology like Google Home or Alexa

2) We could potentially add additional health features onto the wristband that include

monitoring vitals, measuring heart rate, keeping track of glucose, etc.

3) We could collaborate with popular health magazines like Women’s Health or Men’s

Health to further promote our product and perhaps come up with an incentive together to

increase revenue (example: buy one of our wristbands and get a one month free

subscription)

4) We could expand into B2B selling by targeting nursing homes and hospitals, where our

product would be used throughout the entire facility at a discounted rate

Some external threats to our business include:

1) There is the small chance that our device gets hacked and sensitive information gets

stolen (the customer’s health information, the secure fingerprint technology, the lock

associated with the wristband)

2) There is also the threat of a decline in wearable technology, a trend that would

undoubtedly heavily affect our sales.

3) We could potentially have a hard time keeping our patents up to date regarding the

constantly changing technology we would need to keep updating, therefore causing legal

issues

4) Because we are working in an extremely niche market at the sector of healthcare and

home security, our product could be too niche and be unsuccessful altogether due to

consumer unfamiliarity and lack of brand awareness

The second type of analysis we will be doing is industry analysis. Regarding the home security

solutions industry, from 2012 to 2017 sales have increased from 3.92 billion dollars to 4.69

billion dollars, showing a steady increase that seems to be exponentially increasing year by year

[9]. Regarding the personal emergency response system industry, it is expected to be worth $11.1

billion by 2025 [15]. We will be using the Porter’s Five forces to further analyze.

1. Competitive Rivalry - LOW PRESSURE

This force examines how intense our competition is in the current industry, which is determined

by the number of existing competitors and how successful they are. Our product is so niche and

exists at a crossroads between industries, so our main competitor would be Life Alert, which has

a similar form of personal emergency response, but they do not have the wearable lock and key

that our product encompasses.

2. Bargaining Power of Suppliers - HIGH PRESSURE

This force examines how much power a business's supplier has and how much control it has over

the potential to raise its prices. For us, this is very crucial because our product is very tech-savvy

and relies heavily on technology, which in turn can be very expensive. Our product is already

fairly expensive to make, so any further rise in prices would further affect our profitability.

3. Bargaining Power of Customers - MEDIUM PRESSURE

This force examines the power of the consumer to affect pricing and quality. There is a chance

that our product will be too expensive for some people outside of our direct target market, and if

we do not generate enough revenue in the early stages then we may need to lower the price of

our product. However, our product is fairly expensive because it utilizes various technologies

that will deem very useful for those who do purchase it.

4. Threat of New Entrants - LOW PRESSURE

This force examines how easy or difficult it is for competitors to enter the same marketplace as

us. We believe that our product is so unique and so niche that it would be hard for another

competitor to directly compete with us, unless they somehow found a way to make a product that

had more technological features than ours with a lower budget.

5. Threat of Substitute Products or Services - MEDIUM PRESSURE

This force examines how easy it is for consumers to switch from one business's product/service

to that of a competitor. Although we don’t have a direct competitor that sells the exact same

product as us, alternatives for our customers could include Life Alert for a personal emergency

response system and August Smart Lock for a smart home hands-free lock and key.

The last part of situational analysis we will be doing is a competitive analysis. For current

competitors, the first company we will be analyzing is Life Alert, because they are the most

similar to our product in terms of healthcare and a personal emergency response system. Their

product is a lightweight, waterproof pendant meant to be worn at all hours of the day, similar to

our wristband, that will dispatch a personal and private first responder to the set location. They

have a nationwide outreach, and have both a one time in home installation and demonstration fee

of $198, along with a $89 monthly charge [17]. We are also utilizing this personal emergency

response system but what sets us apart is that our product is a lightweight, wearable wristband

that also allows for seniors to unlock their homes with a wave of their hand. The second

competitor we will be looking at is August Smart Lock, a smart home security feature that also

uses GSM technology to allow customers to unlock the doors of their homes from their

smartphones with a touch of a button. It also utilizes Alexa and has an optional doorstep camera

as well. Our product is similar in that it gets rid of the conventional lock and key, but instead of

introducing complicated smartphone technology to senior citizens, we will encase it in a simple

wristband that is both lightweight and has maximum functionality.

MARKET OPPORTUNITY

Our target audience that we hope to adapt this technology will be people in the between 34 to 44

year olds who are more likely to be in their parenthood and have developed more caring

characteristics. We expect that these people would not necessarily use this product exclusively

for themselves, but mainly for the older generation such as their elderly relatives who would

benefit more from the convenience, security, and safety that our wristband offers. We will not

directly market towards the elderly age group because generally elderly are less adaptive towards

technology and to change their habits individually. Targeting the age group of 34 to 44 is more

willing to accept technological advancements. Also, adding the caring characteristic developed

in that age group, we see that they are the most effective target audience to advertise our product

towards.

The want is the convenience that the wristband and door lock brings to their everyday lives. The

wristband has the ability notify other people where they are with the touch of a button. The

wristband also goes in conjunction with the lock that we offer to have a relatively quicker and

safer time of opening a door. The need in this regards is the protection and safety the buyer feels

that comes with buying this product. When this product is purchased, the buyer is gaining the

emotional benefit of assurance because the technology in our product gives a sense of security

and no matter what happens, help is only one button press away.

Emergency response applications and apparel already exists that incorporate GSM technology as

well as keyless entry systems that incorporate NFC technology. However, neither of them have

been incorporated together and utilize wearable technology. By combining both of these two

concepts, we’ll stand out from the rest of the products in this market group. It’s convenient,

hassle free and safe while providing a sense of protection that gives the wearer incentive to keep

the wristband on.

One of the biggest benefits we believe our product gives is security. In this regards, we plan to

advertise ourselves as a reliable, innovative, and long-lasting product compared to similar

competitors in the market.

Similar products that can my classified in the same market are as followed:

● Life Alert: A personal emergency response company that makes equipment, such as

wristbands, necklaces, and house appliances that provide contact with their emergency

contact services at the press of a button [10].

● MyNotifi: A wristband that takes into account sensors to detect falling and notifies family

members or friends of the wristband owner if anything dangerous has happened through a

an app that is accessible through smartphones. A GPS location is provided of the

wristband wearer [11].

The 4Ps

The following discussion outlines some of the details of the proposed marketing mix for Wrist

Assured products and services.

PRODUCT STRATEGY

Wrist Assured is an innovative product that provides value to our customers and captures a

specific target segment. Our wireless lock system and lightweight bracelets are highly reliable to

bring home security and safety services for seniors. In most cases, the close relatives and their

adult children purchase the device for their piece of mind. However, our product also gives

seniors the confidence to live independently and have one less thing to worry about. Our high

quality and reliable product focuses on a pleasant customer experience to help us get referrals

and build our reputation within the community. Since we are branding ourselves as a premium

brand, and since we have a specific target market, we’ll be charging premium prices as well. Our

motto is: “Just a Simple Touch Away” - so you and your loved ones always have a piece of

mind, no matter where you are.

At present, the following are the main features of Wrist Assured product:

● Key Fob

● Wireless Wristband

○ Door Key

○ Waterproof

○ Embedded GPS

○ Two way voice built into the device that calls caregivers or 911 and allows users

to speak/listen directly

Our extra value added products:

● Add extra emergency contacts

● Remote Technology

● Lifetime warranty services

● Saved all medical/allergies/contact info for EMS use

However, our product won’t be limited to these features. As company grows, based on our

customer needs we will add more security protection, live cameras to track movements, vital

trackers, and etc.

PRICE STRATEGY

Wrist Assured products are priced with the competition in mind; however, we are branding

ourselves as a premium product and service. The firm is concerned with setting high prices to

signal prestige at start. For starters, our product will start with one bundle that include the lock

and the wristband. It will be advertised as one-time initiation fee plus monthly subscription.

However, as our company grows, we will add more features and create more bundles to give our

customers options and keep them satisfied.

Moreover, our target income range is between $70k-$200k which is above the median income in

San Diego County. Hence, we are expecting that our customers feel comfortable to spend a few

extra bucks compare to our competition due to the emotional appeal of our product. Based on our

first product bundle, we stand by our value pricing practices to offer 100% reliability of our

product or money-back guaranteed.

PROMOTIONAL STRATEGY

As a local startup in San Diego, Wrist Assured needs to rely on variety of strategies to

communicate with its target market and consumers. We need to keep in mind that even though

our consumers are seniors, the young children are going to purchase the service for their parents.

Therefore; we need to target the younger adults. Our company is utilizing digital marketing, sales

promotions, and public relations to raise awareness of our brand and establish a competitive

advantage.

One of our main focuses to promote is digital marketing to target the ages between 34-44. This

generation is more involved in using the internet in various places such as at home or work. Our

methods are placing ads on Facebook, Google AdWords, Youtube, and bloggers to reach out to

the caregivers.

An example can be seen on Google AdWords, where advertisers bid on certain favorite

keywords for their ads to come out through the Google search engine. This involves banners on

websites and the various Youtube ads. The ads are determined by different factors like the

popularity of by Maximum Bid times Quality Score also known as ad rank. Wrist Assured can

bid on words like “security”, “elderly”, and “health” to target its audience.

Moreover, Facebook is one of the most used social medias with 79% of Americans using FB,

and by placing ads on Facebook, we can reach a lot of people and benefit from it. Our age group

target is familiar with FB and use it daily to network with family and friends. This specializes

more in getting specific people due to user interest, age, and location.

The digital marketing budget for the first year is approximately $2000 monthly. This includes

pay per clicks for Google AdWords that cost on average $1-$2, and FB ads that CPC $0.58 for

healthcare keywords in 2017.

We are projecting to spend a lot of money in public relation events to build prestige and build

our reputation in the community. We will use direct-marketing campaign to reach out target

audience; meanwhile limit our expenses, too. Sponsoring events costs us between $1000-

$1500.00 per event. We are planning to hold events at least once a month at local churches,

community centers, and even physical therapy rehabilitations.

Sales promotions and public relations will also make up the bulk of Wrist Assured promotional

strategy. Because we are a small company, we can easily reach out to other small business and

offer them discounts and free products for testing. Our staff will work closely with the

community leaders and hold events and contests. Moreover, our new hires are in training in order

to engage in cause marketing through its contribution to environmental programs, good public

relations have followed to be established before the launch. The following are examples of

marketing efforts:

● Buy one get one free Wrist Assured bracelet for the first fifty customers that

comes to our grand opening event

● Samples to encourage new-product trial for testers

● Different contests that increase consumer purchases and build business inventory.

The contest can include a game of maximum of 30 people, such as musical chairs

or a scavenger hunt. And the 3 top winners get a free Wrist Assured product with

3 months of free service. These contests will be held once a month at a local

church or community center events.

In the future, Wrist Assured will hold educational seminar in community centers as well as

churches. It will also provide a hands-on workshop that will be beneficial for our customers and

will eventually lead to a bigger network. By holding these events and workshops, Wrist Assured

is trying to change our seniors’ negative perception about Personal Emergency Care in the

future.

PLACE STRATEGY

The plan for the first year is to start locally within San Diego County and expand each year based

on our client-tell.Wrist Assured will use a direct distribution system through the website. The

bundle comes with free-shipping, because because most seniors don’t have transportation and

even the loved ones are busy or live far, so we offer free-home delivery to address that issue.

Using direct-distribution will allow the company to keep track of its inventory and manufacture

based on orders, and also to build a community for our customers, a place they feel safe and

loved.

In addition, we will use exhibitions to demo, advertise, and sell our products. However, this

method is a secondary method of distribution. This can help the firm to engage in the community

and become a known entity within San Diego County. The goal is to build a strong reputation

locally, so we can expand to other cities and states faster.

Over the next four years, Wrist Assured seeks to reach and expand statewide customer base. To

achieve our unique target market, we will also use selective distribution. We would like to

customize our product towards the needs of our consumers, and give them unique care that no

one else offers (See Appendix B).

IMPLEMENTATION/EXECUTION OF MARKETING PLAN

Obtaining resources: Need to know how much of budget will be allocated towards the marketing

plan in order to know how much money we need to ask for by investors. If the financial data

below is correct, we will have roughly $660,000 of variable costs, part of which will be the costs

for marketing and promotion. Bottom line is we will need to ask for one million dollars from

investors. Considering that our product is for the technologically inclined, I believe it would be a

good strategy to create a gofundme or kickstarter with a detailed video overview of our product.

Promotion could also be done on these websites to reward early or major investors.

We will need to contract or hire full time designers in order to create a brand for our company -

an image that will be cohesive with what we are trying to sell (the idea of safety and security)

and a company that is trustworthy and reliable. This design team will be in charge of designing

the advertisements; this means they will need to be familiar with video directing, editing,

photography, and digital design. The different segments of the marketing team will need to work

in conjunction with the design team in order to create efficient and effective advertising that has

continuity across the different platforms.

It will be more effective if all advertising becomes active at once. Because we are a new

company that people are unfamiliar with, entering the market with promotion and advertising

that is active across all forms of media all at once will make a greater splash in the market than if

we just trickle in.

Promotional Events

● Host local and community events at retirement homes or just for the communities

themselves, bringing the community together (live music, food, and entertainment)

● Ordering within a certain time period earns you a certain discount or guarantee

Research

● 2.5 years of research

Digital Advertising

● Google AdSense: Smart ads targeted for people searching for certain things like

healthcare, technology, wearable technology, etc…

● Google AdWords:

Task Person Responsible

Due Date Implementation Date

Promotion Determine the financial logistics behind offering the promotions we offer in order for the promotion to make sense from the companies standpoint as well as the customers.

Public Relations Team

6/1/19 1/1/21

Google AdWords

Pick the specific words that people will search in order to come across our product.Pay the amount of money needed to Google.

Digital MarketingTeam

6/1/19 1/1/21

Facebook The digital marketing and design teams will work together to create the ads that people will see on their facebook pages.

Digital Marketing & DesignTeam

6/1/19 1/1/21

FINANCIAL DATA AND PROJECTIONS

Below is our five-year projected plan. Segment size for year 1 was determined with the

assumption that half of the PERS market share owned by Life Alert [4] in our target market of

adults ages 34-44 in the city of San Diego [19] will purchase our product. Segment sizes for

years 2 through 5 were modestly increased by 20% each subsequent year. Pricing of our product

was estimated based on comparative pricing of similar product offerings [20, 21] currently sold

in our target industries. Cost of goods sold or variable costs were approximated to include

materials and manufacturing, building the app [22], advertising, etc. Fixed costs included

research and development of hardware and software, app maintenance [23], legal and

accounting, payroll, etc. [24] (see Appendix C for full breakdown of these costs during year 1).

We anticipate a large portion of our GTM costs to go toward digital advertising and promotions

due to the dual industry nature of our product. These costs are also projected to increase as we

increase our segment size to span larger geographical regions.

Table: Five-Year Projected Plan for Wrist Assured Highlighting Total Revenue, Gross Profit,

and Net Contribution

EVALUATION, CONTROLS, AND CONTINGENCY PLANNING

After our initial cost of $214 with a monthly fee of $44.93, our baseline would be to have be

calculated with our current market of Medical Alert System and Personal Emergency Response

System (PERS) worth 6.61 Billion in 2017 [5].ADT Corporation recently had an IPO of $1.5

Billion [7] and is the most Prominent market share holder in the United States. Our closest

competitor life alert company, which has an estimated revenue of $12.5 Million [4], which puts

its market share at .019%. Our sales goal for the first year would be $1.6B Million and have a

20% growth per year. If these goals are not met, we can reassess our marketing plan and

formulate a new plan or realign our goals. Our technology isn't new, thus our product will get

adopted quickly.

There would be 3 major pivot points for our company:

1. If majority of sales is from the sales of the bracelet is purchased for the purpose of our

PERS service, we could switch our advertising plan to target the consumers of 65 yrs of

age and older. This would involve switching our advertising mediums to TV ads, or

radio ads. We would target during the times the elderly view or access these mediums.

We may want to a cheaper price point or offer 2 for 1 deals, so that we can target more

people to increase our revenue from the monthly services.

2. If the locking features drives our sales, we could target the younger generation of

homeowners that understand the technology. We may want to switch our plan to to target

34-44 yrs of age consumers. Our advertisements could choose mediums of internet ads,

and influential bloggers on instagram or youtube.

3. If our products do well equally, we can do surveys, group studies to figure out what

features we should add to our next generation models. (fingerprint, APP). We can also

target markets such as elderly homes, hotels, school dorms and formulate a B2B plan.

APPENDIX

A Target Market

Customer Age Gender Ethnicity Education Location Lifestyle Values Interests

{insert Target customer – choose a name}

{insert Customer’s Age}

{insert Customer’s Gender}

{insert Customer’s ethnic background}

{insert Customer’s education level}

{insert Customer’s location}

{insert Customer’s lifestyle}

{insert Customer’s values}

{insert Customer’s interests}

Target 1 34-44 M/F Any Bachelors San DiegoWorking Family Technology,

Money

Target 2 44-55 M/F Any Bachelors San Diego Working Time Relaxing

Target 3 65 & up M/F Any Bachelors San DiegoRetired Convenie

nce

Relaxing

Target 4 8-17 M/F AnyGrade

SchoolSan Diego

Student Fun Toys,

Technology

B Sales and Distribution Channels [12]

Channel type Products/services Percentage of sales (%)

Channel strategy

Internet-Based Wrist Assured Product

5:1 Ration We offer remote technology and the learning curve for our products is low; therefore, it won’t need a storefront. This is our main channel.

PR Events The bundle 10% Reaching our customers by blogging and call to action events

Exhibitions The Bundle 40%Demoing the productgames and contestsFreebies

C Initial Expenses (first year)

REFERENCES

[1] “CONSUMER'S WORLD; Concerns Grow About Marketing of Medical Alert Systems. “Available at: https://www.nytimes.com/1990/07/14/style/consumer-s-world-concerns-grow-about-marketing-of-medical-alert-systems.html

[2] “Learn How Sponsorship Is a Key to Powerful Marketing” Available at: https://www.thebalancesmb.com/sponsorship-a-key-to-powerful-marketing-2295276

[3] Desjardins, Jeff. “Chart: The Rising Speed of Technological Adoption.” Visual Capitalist, 14 Feb. 2018,Available at: www.visualcapitalist.com/rising-speed-technological-adoption/

[4] “Economic Development.”Available at: www.sandiego.gov/economic-development/sandiego/population.

[5] Medical Alert System/Personal Emergency Response System Market Worth 9.22 Billion USD by 2023.” Market Research Firm. www.marketsandmarkets.com/PressReleases/personal-emergency-response-system.asp.

[6] “Life Alert's Competitors, Revenue, Number of Employees, Funding and Acquisitions.” Available at: www.owler.com/company/lifealert.

[7] “Medical Alert System/Personal Emergency Response System Market by Type. Available at:www.reportsnreports.com/reports/443551-medical-alert-systems-personal-emergency-response-system-pers-market-by-type-landline-pers-mobile-pers-mpers-standalone-pers-by-end-user-home-based-senior-living-facilities-and-assisted-living-facilities-and-by-geography-global-forecast.html.

[8] Maggiealand. “Local & National TV Advertising Costs & How to Advertise.” Fit Small Business, 1 May 2018. Available at: fitsmallbusiness.com/tv-advertising/

[9] Home security solutions sales in the United States from 2012 to 2017 (in billion U.S. dollars)https://www.statista.com/statistics/525904/us-home-security-solutions-sales/

[10] “About Life Alert ®.” Life Alert® HELP Button, Life Alert Emergency Response, www.lifealert.com/about.aspx.

[11] “Two Ways to Stay Safe.” MyNotifi, MedHab, www.mynotifi.com/.

[12] “3 Ways to Measure the ROI of PR.”Available at: https://blog.hubspot.com/agency/measure-roi-pr

[13] “Market and Promotional Strategies.” Available at: https://www.smallbusiness.wa.gov.au/business-advice/marketing/marketing-and-promotion-strategies

[14] “Facebook Advertising Costs by Industry 2018.” Available at: https://fitsmallbusiness.com/how-much-does-facebook-advertising-cost/

[15] Personal Emergency Response System Industryhttps://www.grandviewresearch.com/press-release/global-medical-alert-personal-emergency-response-system-pers-market

[16] How To Write a Great Business Plan: Competitive Analysis https://www.inc.com/jeff-haden/how-to-write-a-great-business-plan-competitive-analysis.html

[17] Phone conversation with a Life Alert representative

[18] August Smart Lockhttps://august.com/

[19] “Population.” Available at:https://www.sandiego.gov/economic-development/sandiego/population

[20] “Life Alert Review.” Available at:https://www.medicalalertadvice.com/reviews/life-alert-review/

[21] “August Smart Lock Pro, 3rd generation - Dark Gray, Works with Alexa.” Available at:https://www.amazon.com/August-Smart-Lock-Pro-generation/dp/B0765LFNM7/ref=dp_ob_title_hi

[22] “HOW MUCH TO MAKE AN APP.” Available at:http://howmuchtomakeanapp.com/estimates/results

[23] “How Much Does App Development Cost?” Available at:http://www.businessofapps.com/guide/app-development-cost/

[24] “The Cities With the Lowest Startup Costs - 2017 Edition.” Available at:https://smartasset.com/mortgage/the-cities-with-the-lowest-startup-costs-2017-edition