Well I guess it’s better late than never, but anyways here are...

Well I guess it’s better late than never, but anyways here are my thoughts/analysis on Spacetalk (Kids & Life), and general company outlook.

Kids product has shown great potential, which has been backed by online reviews. It has been a little while since last unit sales were disclosed so I won’t get to heavily into numbers. Heavy inferior competition within this space, is challenging and should be addressed. I am also concerned with the design of the watch, frankly I hope Watch 2.0 hasn’t got a bulky case (just my 2 cents). I am interested in the waterproofing and battery enhancement progress which does or hopefully will come with 2.0.

Spacetalk life in my opinion is a whole new business, the company should use this product to grow it SaaS model, and offer patient monitoring services and distress communications. Something along the lines of integrating the watches to their text system. Meaning a nursing home could buy 300 watches and have them linked to a nurse’s work phone or central patient/tenant system, which could improve distress response time. Marketing should/could be done via PoC (proof of concepts) through these institutions. Online marketing while effective will not reach target audience (when was the last time you thought mmm I think I want to buy my grandmother something, stop, think, not you Goblin, and now answer).

The Allmytribe app, is our real golden gem here too, it is recurring revenue, and accounts (at a fee of $12/per month to roughly 1/3 of the price of the watch. I would watch this space, as it will be a major indicator of device satisfaction.

At current share price/market cap, minimal watch sales would result in good revenue figures, some ballpark-figures. Based on current reviews (on Spacetalk website, despite being a slight gap between 2019 and 2020), being 10% of total watches sold, there are about 200 reviews since 10/03/2020, lets add another 200 to account for January – March gap in reviews and let’s assume that is 6 months’ worth of sales for total 8000 units sold FY2020.

Looking into the next 12 months – some ballpark figures

Kids watch - 8000 units = (@$299 online price) = $2,392,000

Let’s add a measly app subscription of about 10,000 users @ $12 over 12 months.

12 months @ $12, with 10,000 subs = $1,440,000

Spacetalk life

500 pre-orders @ $499 = $249,500

2000 units sold in next 12 months @ $549 RRP = $1,098,000

Assuming 50% of sales in app subs, 12 months @ $12 = $180,000

So going forward the wearables area of the business plus the usual 2,000,000 we generate from the SMS business, could lead to about; and I am guessing here. At least;

$7,359,500 in revenue to MWR, I personally think this figure could be 20-30% higher. Happy to come back to this in 12 month’s time.

Also, next steps;

Create watches for mining/security industries, and create watches that are slightly more stylish, maybe a professional looking watch in a metal case or something like this.