LittleOne.Care Q3 2024
Dear investors
Welcome to LittleOne.Care
We hope you are all well. The ongoing war affects each one of us and our family members. Like everyone in Israel, our routines changed on October 7, impacted by personal harm, calls to the reserves, or community volunteering.
We all wish for the successful achievement of the war's goals, primarily the return of the abducted. Despite the difficulty in foreseeing outcomes at such an early stage, we aspire to emerge stronger from this terrible event. A strong Israel, in every possible sense, is our collective hope.
"Israel is strong" begins with a robust and independent economy.
The team at LittleOne.Care is doing its best to keep "eyes on the ball" at all times. Despite the complexity and challenges we face, we must continue to act for the benefit of the company and its investors, irrespective of the disruptions in our daily lives. We must remember that although LittleOne.Care's core business is Israeli, our U.S. customers and Hong Kong production continue unabated.
Light is our way to fight the darkness
By bringing more light into the world, we aim to enhance the quality of life for every newborn.
Finance
- On March 24 we raised an additional $220K in SAFE investment.
- During Q3, the IIA transferred 200K NIS to the company, completing its grant.
- We are seeking the right investment opportunity that will enable us to penetrate and scale up sales in the US.
Mass production and product standards
- Regulations - Elora received the UL certificate (American Laboratory standard). This is the most famous regulation in the American market, which many retailers demand. That is beside the next regulations:
- ASTM for baby products in the USA.
- FCC for products containing electronics in the USA.
- Additional standards that are common in retail sales in preparation for the future.
- Production of boxes and printing materials.
- The production of the first 1000 units:
- The first 500 were used for regulation, manufacturing tests, needed examples for standardization, etc.
- The other 500 are manufactured in small batches and sent directly to the US warehouse for door-to-door distribution. and These are to be shared with Journalists journalists, PR proposes, UGC, Baby baby experts, and Influencers influencers.
Product feature and design
After receiving feedback from parents who participated in the beta test in the US, we have added new capabilities to the device.
- Instant voice tagging: as parents requested, they are now able to make a voice tag that is instantly uploaded to the parents' application.
- Extended battery - the energy consumption was improved by x1.5 factor.
Pregnancy and Birth - First 1000 days
We have extended the capabilities of the Elora monitor to track both the mother’s and baby’s journey from pregnancy through the first 24 months – a critical period for their overall well-being.
From a marketing perspective, this allows us to engage with mothers earlier, during pregnancy, reducing competition by addressing both maternal and infant needs throughout this vital phase.
Application updates
- The current version of the application includes all the main features we promise the parents.
- Full baby diary
- Access to experts (Chat with Experts via the application - coming soon)
- Ability to add other family members to the application
- Ability to track Elora's device status
- Real-time presentation of the speech-to-text functionality
- The application follows the US privacy policy and is updated accordingly
Baby Care Specialist As LittleOne.Care Affiliates
Background:
For the first time, we are allowing baby care specialists, with the parents' consent, to review the data on the baby's well-being in conjunction with the parents' observations.
We enabled every baby expert to become a LittleOne.Care Affiliates and earn up to 20% from the Elora sales.
At this stage, we do not charge the baby experts for the exposure in the LittleOne.Care app and their ability to recruit potential clients.
Our goal is to introduce diverse baby experts to the applications. Our focus at this stage is on Birth doulas who are the very first experts os of the moms meet during the pregnancy.
Important Notes:
The product is not intended for medical use and the baby experts can not rely on its data to provide their advice and insights.
Operation:
- We are conducting regular shipments of the product to the USA for experimental use.
- Integration with a distribution infrastructure, which has proven capabilities and a full connection to our store, is in the scale-up stage.
- We are validating the product's entry into the USA against American customs regulations.
- Since the product is manufactured in China and shipped to the US, LittleOne.Care is paying 25% import tax. We are currently researching other possibilities, that will reduce this tax.
Company technological marketing and operation structure:
- Website - Shopify
- Internal Admin system to manage the experts and the users
- ShipBob ( shipments)
- Jira - mission management and support issue documentation
- Gorias - Support system
- Klavio - Emailing
- Hotjar - UI - User experience
- Esp-id - microcontroller infrastructure
- freeRTOS - microcontroller infrastructure
- Tflite - AI infrastructure
- GCP - Google cloud platform
- Application Web Server
- Data Storage Servers (MySQL, Redis, firebase, and more)
- Central Authorization Server
- Push Notifications Service
- Device Real-Time Notifications Service
- Data & Reports API Services
- Secure Data Storage for baby photos and device data/logs
- CDN Proxy for App and Web assets (images/videos)
- Voice Annotations Web Services and Database
Product sales in the USA:
Advertisements- After several months of negotiation, we decided to collaborate with Warshavsky Digital Agency in New York to create a digital campaign. The campaign ran for five months, according to their initial estimates for the budget, timeline, and expected results. However, we achieved only a few sales, and there were some product returns. Toward the end of the campaign, they revised their budget estimate, requesting an increase in the paid ads expenditure - an adjustment we could not accommodate. Additionally, they extended the projected timeline from a few months to over a year to achieve the desired sales results.
Public Relations - We are working with a PR agent who is doing his best to introduce LittleOne.Care to different publishers. No effective result yet.
Affiliate Marketing - We are working with an affiliate marketing agent who is responsible for the recruitment recruiting of Baby baby experts using email marketing and social media. Limited results because of a very limited budget.
Social Media - We hired a USA-based mom of a newborn as a content creator for our social accounts. Her activity contributes to the organic exposure of our brand.
Micro-influencers - we worked with a few USA-based micro-influencers who published posts about the use of our product.
Maga Influencer - We work with Caitlyn Shcollmeier, a leading person in the baby market as a business developer.
Most of the activity and networking are driven by her efforts. However, this support should not be overused to prevent burnout and to maintain the creator's credibility and reliability.
Insurance benefits - We established relationships with Flex to enable parents to purchase the product using their insurance funds. No results yet.
Business development and B2B sales
- We started negotiations with a mid-size electronic company in the area of smart home applications and devices.
- We started a negotiation with a Health Insurance Entity (Not in the US)
- We started a negotiation with a family office that knows the B2C market in the US to execute corporations and channel development.
- We started a negotiation with a big American baby distributor.
HR & Outsourcing
Israel
Two founders
Two Israeli employees
USA
Business development
One PR person
One student
Affiliate manager
Content Creator (New)
Contact and Questions
We are deeply grateful for your participation and investment in this project.
Our primary objective is to exceed your expectations.
For any inquiries, please review all information before calling.
Feel free to contact us by phone, preferably with a message beforehand.
shauli@littleone.care