Pattern seed pitch deck: Xpanceo’s $40M deck

Xpanceo is betting huge on turning us all into cyborgs with sensible contact lenses, securing a cool $40 million to make our sci-fi goals a actuality. Co-founders Roman Axelrod and Valentyn S. Volkov are on a mission to ditch conventional devices and make everybody’s eyes the brand new screens. Who wants smartphones when you’ll be able to blink to browse? As they push the boundaries of what’s doable with optoelectronics and new supplies, one can’t assist however surprise if we’re heading towards a future the place shedding your contacts may imply lacking your subsequent Zoom assembly.

We’re on the lookout for extra distinctive pitch decks to tear down, so if you wish to submit your individual, here’s how you can do that. 

Slides on this deck

Xpanceo has shared its full presentation deck, consisting of 19 slides, with TechCrunch. Though the slide record means that the group has coated every thing, a more in-depth take a look at the deck’s contents reveals that some areas may not be as complete as they appear.

1. Cowl slide
2. Problem
3. Answer
4. Product
5. Worth proposition
6. B2C: Use instances
7. B2B: Industries
8. Traction
9. Contact lens customers
10.  Market measurement
11.  Income forecast
12.  Competitors
13.  What’s Xpanceo? interstitial 
14.  Overview
15.  Applied sciences
16.  Pioneering R&D in optical evaluation
17.  Workforce
18.  Roadmap
19.  Closing slide

Three issues to like about Xpanceo’s pitch deck

There’s a whole lot of actually good storytelling occurring right here.

A slice of historical past

[Slide 2] A transparent downside assertion. Picture Credit: Xpanceo

The presentation successfully begins with a transparent downside assertion, setting the stage for a targeted dialogue on the challenges and alternatives within the realm of augmented actuality (AR) and wearable know-how. This rationalization is essential, because it instantly frames the problems that Xpanceo is addressing with its revolutionary sensible contact lens challenge. By articulating the issues upfront, the deck ensures that the viewers understands the context and significance of the know-how being developed, which is important for garnering help and enthusiasm for the challenge. I like that.

The inclusion of a timeline detailing the evolution of computing know-how throughout the presentation is especially intelligent. This historic perspective not solely educates the viewers concerning the development and milestones in computing but additionally situates Xpanceo’s work inside a bigger narrative of technological development — and plenty of of these developments made a whole lot of traders very rich certainly.

What’s the issue with AR?

Addressing the shortcomings of AR because it stands, the presentation acknowledges that the tech has not but achieved widespread adoption primarily on account of poor product choices which have didn’t resonate with shoppers. That is true, and it reveals that Xpanceo is conscious of the hurdles confronted by earlier AR applied sciences and is dedicated to overcoming these challenges.

[Slide 3] Easing into the “solution” is a good strategy. Picture Credit: Xpanceo

There’s an enormous distinction between a “solution” and a “product” slide. Xpanceo’s take right here is refreshingly clear on the variations.

The answer slide is strategic in nature, emphasizing a broader, extra adaptable strategy reasonably than focusing solely on the product. This strategic mindset is essential, because it shifts the emphasis from the specifics of the product to the underlying philosophy of problem-solving.

I like that the answer is articulated in a transparent and accessible manner, intentionally avoiding extreme element. This readability is important for speaking successfully with stakeholders, together with traders, potential clients and group members. By preserving the answer simple and straightforward to know, the group ensures that everybody concerned has a strong grasp of the core idea and targets. This stage of transparency fosters belief and alignment amongst all events, which is vital for collaborative efforts and the general success of the challenge.

From there, you’ll be able to drop into the small print: the product.

So right here’s what the corporate’s truly as much as

Once more, Xpanceo does a terrific job:

[Slide 4] This slide attracts traders in. Picture Credit: Xpanceo

The product slide does a superb job of presenting the product in a transparent and interesting method, avoiding the widespread pitfall of descending into overly technical language that may alienate or confuse the viewers. This strategy is especially highly effective given the advanced nature of the know-how concerned.

Good contact lenses that combine superior computing capabilities immediately into the person’s visible subject looks like magic. Nonetheless, by sustaining simple and accessible language, the slide ensures that the innovation will be understood and appreciated by a broad viewers, which is essential for producing curiosity and help amongst potential traders.

I notably love how this readability helps set the stage for deeper discussions, all with out getting misplaced within the advanced technological language that little doubt occurs within the lab. It strikes the precise steadiness between simplicity and informativeness.

Three issues that Xpanceo may have improved

This deck is basically good. However is it good?

Nope. Let’s dive in.

What are you elevating?

What? Picture Credit: Getty Pictures

The most important downside with the Xpanceo deck isn’t what’s in there, however reasonably what isn’t.

One crucial aspect lacking from the deck is the “ask” slide, which is important when looking for enterprise capital funding. It’s shocking how usually founders overlook this element of their pitch decks. When elevating cash, it’s not the time to be reticent or oblique. Clearly stating what’s being requested for — be it staffing, sources or partnerships — demonstrates to potential traders a well-thought-out plan and a critical dedication to the startup’s future. This helps traders rapidly perceive the wants and assess whether or not they align with their funding standards.

Together with a particular ask within the presentation additionally conveys that there’s a real looking understanding of what the startup requires to succeed. It reveals that cautious consideration has been given to how a lot funding is required, what it will likely be used for, and the way it will assist the corporate obtain its targets. This stage of element and transparency provides credibility to the pitch and instills confidence in potential traders concerning the administration and planning capabilities. It positions the entrepreneurs as critical people who should not merely experimenting however are dedicated to constructing a sustainable enterprise.

B2B or B2C: You’ll be able to’t have each

Slides 6 and seven make a case for each a B2B and a B2C mannequin. That’s not a terrific name.

[Slide 6] A use-case brainstorm is intelligent, but it surely’s vital to give you the true use instances that drive the funding determination. Picture Credit: Xpanceo

B2B and B2C enterprise fashions are essentially totally different beasts. Only a few corporations are capable of do properly with one technique, by no means thoughts each.

B2C gross sales are distinguished by direct interactions with particular person shoppers, specializing in emotional engagement, model identification, and creating personalised buyer experiences. This mannequin thrives on quick gross sales cycles and quick buy choices, making it essential for corporations to put money into understanding client behaviors and crafting advertising and marketing methods that resonate on a private stage. Even when corporations often buy beneath a B2C mannequin, they need to be handled as shoppers within the gross sales course of to take care of simplicity and effectivity in advertising and marketing efforts.

Conversely, B2B gross sales contain extra advanced transactions with different companies, characterised by longer gross sales cycles, greater transaction values, and a deal with sensible advantages and cost-effectiveness. This mannequin requires sturdy, credible relationships and sometimes entails custom-made options to fulfill particular enterprise wants. Whereas it’s much less widespread, shoppers might typically have interaction with merchandise designed for enterprise use, highlighting the pliability required in gross sales methods. In the end, specializing in a B2B or B2C gross sales group ought to align with the startup’s core capabilities and strategic targets, shaping the narrative of their startup pitch to draw potential traders.

Attempting to do each gained’t work, so choose one, and clarify why that’s the precise alternative.

The market sizing fallacy

[Slide 9] Certain, there are a whole lot of contact lens customers. However are they actually a proxy for Xpanceo clients? Picture Credit: Xpanceo

When assessing the potential market measurement for Xpanceo’s contact lenses, it’s essential to distinguish the character of the product from conventional contact lenses. Or, put in a different way: Is the marketplace for Xpanceo’s product people who find themselves already sporting contacts? The corporate appears to assume that everybody who wears contacts desires sensible contacts. However that’s in all probability not correct.

Xpanceo’s choices should not merely a substitute for spectacles for optical correction however reasonably operate as a wearable machine. This distinction is critical as a result of the goal marketplace for Xpanceo might not align immediately with the prevailing base of contact lens customers. As a substitute of evaluating the whole variety of contact lens wearers, a extra related metric could be the utilization of associated know-how akin to smartphones or smartwatches, which displays a tech-savvy client base extra more likely to undertake new wearable applied sciences. This strategy can assist in figuring out not only a broad viewers, but additionally one that’s extra more likely to embrace revolutionary merchandise.

Xpanceo’s go-to-market technique performs a pivotal function in figuring out its major client phase. If the product is designed for mass market consumption, the technique ought to deal with figuring out and interesting an early adopter group. This group usually consists of tech fans who’re eager on exploring and adopting cutting-edge applied sciences. These early adopters may present the preliminary traction wanted to penetrate the market, appearing as influencers and validators for the broader client base. Their suggestions can also be invaluable in the case of refining the product and enhancing its enchantment to subsequent consumers.

I feel the corporate is attempting to point out that its market is large, however I doubt that contact lens wearers are a proxy. I put on contacts, however solely once I’m doing contact sports activities (martial arts or scuba diving). However even when I had by no means worn contacts a day of my life, I’d be wanting to attempt the Xpanceo answer.

I feel the corporate is attempting to match oranges to Apple computer systems.

The total pitch deck

If you need your individual pitch deck teardown featured on TechCrunch, here’s more information. Additionally, try all our Pitch Deck Teardowns all collected in a single helpful place for you!