Genkiji Robert Alexander Nancy Douyon Devin Kerr Ajay Patel Lisa Rogers

An Informal Survey Who engaged in physical exercise last week? Who would like to exercise on a more regular basis?

We provide motivation to exercise more We believe exercise opportunities are often overlooked or avoided

The Genkiji A wearable device Tracks day-to-day physical activity Back light fades from blue to red as activity increases Full functionality of a wrist watch

Specifications Price: $ x 128 pixel resolution Rechargeable battery supports 1 day of constant use 6G accelerometer 6 different user selectable display/mode options: Watch, Activity Intensity Monitor, Long-Term Activity Graph, Goal Management, Stop Watch, and Date/Alarm.

GENKIJI PROTOTYPE

ECONOMICS ANALYSIS

Target Market Genkiji competing for share of $9.25 million market Translates roughly into 72,000 customers Optimization claims we can achieve 9% of this market “Gym and Exercise Equipment Manufacturing in the U.S.” – IBIS World, November 2010

Market Expansion “According to a recent report from ABI Research, wearable wireless sensors are set to grow to more than 400 million devices by 2014” – Mobihealth News “sports and fitness market represents more than 90 percent of the wireless sensor market today” – Mobihealth News

Conservative Economic Assumptions Target market is 5% of ‘other exercise equipment’ Market expansion results in target market increase of 600,000 customers per year Of optimal 9% market share per year, we assume we only achieve fraction of this number (increases yearly) Investment interest of 5%

Economics Market Size Year1 (30% optimal) 2 (40% optimal) 3 (50% optimal) 4 (60% optimal) 5 (70% optimal) Total Consumers72,000672,0001,272,0001,872,0002,472,000 Our customers Profitability = Revenue - Costs Year12345 Revenue $ 251,717 $ 3,132,476 $ 7,411,662 $ 13,089,275 $ 20,165,315 Costs per Unit $ 179,477 $ 2,233,496 $ 5,284,610 $ 9,332,821 $ 14,378,129 Year Costs$ 1,302,000 Profit $ -1,229,761 $ -403,020 $825,052 $2,454,454 $4,485,187 Break Even!

Investmentand Return Initial Investment Required: – Year 1: $1.3 million – Year 2: $.40 million Return on Investment – Return $1.785 million (interest) by year 4

Future Market Expansion Watch Market Preventative Health Measures – Insurance Companies – Corporate Health Coordination with In-Home Fitness Devices Free Weight/Weight Machine Market

Wha questions do you have?