Scale and how we will deliver it

Seven Elements to scale

• Demand will come from two areas 
  • The SEO strategy that will scale to the next level 
  • A Marketing Qualified Lead Factory (MQL)
• Costs will get eaten by three areas 
  • Grant Income - that will fund GTai - development 
  • Ai-GMi Income - from MVP1 & 2 that they will pay for from their grant income.
  • MDF Support £2-4.5k in Manufacturers Development Fund to drive sales , paying for the MQL factory , Google Shopping budget.
• Revenue will climb from a small number of smart glass, fleet sales. 
  • Pilots started in Q2 and will close in Q3
  • These sales are £50k & £114k with 30pts of margin    
  • From GTai income from GMi
  • Higher number of low volume pilot Education sales  

2. The Marketing Qualified Lead (MQL) factory

Whilst the SEO Google Search strategy gathers momentum we need more qualified leads.

To address this we will scale qualified enquiries via the MQL Factory. See below for the methodology metrics and funding.

How will we deliver this MQL factory ?   

The Construction Sector - a second Mark Gentry focus.

The GMi - Joint Grant win of £1m gives us great insight to develop the Construction Compliance SaaS MVP.

MVP 1 is funded by the SimplyVideo grant award to build CCai - the Building Safety Act Construction compliance bot

MVP 2 is to be funded by GMi , which is to integrate into some of their software vendors and extract data - resurfacing it in dashboards and compliance MVP 2

MVP 3 is to be funded by Simply Video integrating into the GMi partners that have scale and value added use cases of combining Building safety act data with the evidence of complying with the act.

These MVP's give us a SaaS revenue stream initially from GMi funded by the grant. However, below you will see the top 40 represent a sizeable addressable market. Those players will use some of the same software suppliers and they are obvious candidates for opening up first.

 We will map the right personas and contacts , import them to Hubspot via Apollo.io and start a nurture campaign to educate them on solving their Building Safety Act headache and threat.  

4. Manufacturers Marketing Development Fund (MDF)

The two key manufactures know us well.

We meet monthly to review annual and quarterly objectives. The first quarter was February to the End of May with Vuzix funding a Pay per click UK campaign. The Pipeline Generated is below.  

Vuzix will commit to the second quarter when 1 of 2 of the deals in the pipeline drop.

The two we are focused on: 

• Coleg Gwent - currently a Realwear customer has a 30 unit order resting on a successful June Pilot, the order 30 units worth £49,770 
• Probo Medical - currently has a successful 6 unit pilot in medical Instrument Remote Training, the 50 unit order is for there much larger field service engineers, 50 units worth £82,950.
• Both are reviewed daily to keep next actions and initiative momentum, with the entire Sales and Marketing team focused on these two deals.
• The ask for the second half £2k a month. See below. 

Magic Leap MDF

Magic leap are awaiting budget to be issued after a saudi investment of $580m in January.

• We have a good relationship and network and low volume , high frequency single orders for their Magic Leap 2 device go out every two weeks.
• Each device makes 30 pts margin on a device which retails at £3,780

The Campaign 

The campaign will target University professors who are looking at 2024/25 academic year.

• The same MQL Factory approach targeting the professors
• A LinkedIn Campaign targeting Higher Education talking and conversing in LinkedIn about Augmented Reality Smart Glasses 
• A Google shopping campaign that Expand Reality will fund

 The professors we have identified are a pool of 2,400 in the screenshot below that have searched for Augmented Reality devices in Google in the last 90 days.

Some will be for research projects funded by Corporate sponsors - identifying new processes that unlock huge productivity, cost savings and Carbon footprint saving opportunities.

Others are teaching and advancing Medical operations, Veterinary procedures, Construction use cases often with ground breaking results.     

5. GMi Ai opportunity 

We have demonstrated the Construction Compliance Ai engine (MVP 1) to GMi  

This unlocked an order for smart glasses hardware worth (check Hubspot)

The second order will be for the working MVP1 funded by GMi's first grant claim. This order is worth £6k in recurring monthly SaaS revenue.

The third order is for the MVP 2 integrating the CCai MVP 1 to their tier 1 software vendors upgrading them from Power BI to a full Ai dashboard.  This spend is outside the Grant and will be funded by GMi. A meeting is schedulled to define the requirement and gain commitment to the MVP2 order which covers a section of the vendors below.  

6. A small number of volume fleet deals 

Till the arrival of Mark Gentry, Simon Hunt, James Bolger and Alex are working on a small number of pilot deals to scale them to Fleet deals.  

These are:-

• Renishaw - successful pilot - expansion white paper with the board - fleet deal in Q3
• Edf / Accenture Hinkley point - pitched 10/6 down to final 2 - decision by September 1st - small 20 unit fleet deal Q4 - then scale order 2025 

7. Grant Income

The grant delivers a number of opportunities 

And these fall into two types:

• Microsoft Mesh Environments - this we will demonstrate at our investor open Q & A sessions
  • GMi have seen the MESH environment that we are creating for the Grant using Meta Quest 3 headsets.
  • They were impressed and see the need for their own Mesh environment for multiple purposes
  • They will ask us to build it for them, which will be paid from monies received from the grant award 
• Ai opportunities that are beginning to populate a separate Ai pipeline. These will be delivered by our partner Quantilus
  • To stay focused on CCai and the construction industry
  • We will outsource Ai requirements that are not core to Quantilus in India (HQ'd in America)
  • We will take a referral fee     

Summary

1. Probo medical & Coleg Gwent - will drop worth £132k revenue / £39.6k margin in Q2/3.

2. The Education focus will produce £420k  revenue / 84k of margin in Q4/Q1 - 2024/5 (MQL Factory).

3. We will receive £12-27k in Manufacturers Development fund in Q3/4 - this will add a Graduate, Apollo data engine, LinkedIn campaign at no cost.

4. We will receive a forecasted £30k in funding from GMi grant funds to build MVP2.  

5. MVP 1 of the Construction Compliance AI tool is funded by grant monies in Q3/4.

6. Renishaw & EDF we will quantify when device selection confirmed and deal details are solid.

7. SEO volume we expect to climb from todays level 1300 visitors a month to 3,000 by November week 3.