- Felipe Ribeiro
Company: Facebook
Me (M): Why is FB interested in creating a smart shoe? What is the definition of “smart” ?
Interviewer (I): Facebook wants to generate a connected community of athletes. The shoe will have embedded sensors and also connectivity via a short range radio.
M: Followup: Is FB planning to develop this inhouse or are you going to license the technology? I need to understand whether I also need to think about a potential make vs. buy decision? Will it be a dedicated app for this?
I: Assume that the FB app can communicate with the shoe. We are still open about make v. buy. How would you go about making that decsion?
M: Well, I would first understand whether the product fits with the overall mission of the company. Second, I would see whether creating a vertical would be in FB’s current wheelhouse of expertise. The answer to the first question (based on my initial thoughts) is potentially yes, feeding data from the sensors into the user’s FB page could increase the engagement and also be a valuable resource that could be used by groups associated with various types of physical activity (running, walking, hiking). The answer for the second question would definitely be a no for me, based on what I know of FB’s expertise. I would therefore develop the technology and license it, thereby also creating a licensing revenue (as an option). I will also focus on the shoe for this discussion. Would that be ok?
I: Ok that sounds good.
M: So what kind of sensors are you thinking of putting in?
I: What do you think should be in?
M: For deciding that we need to look at the customers and their pain points. In other words, I will do discovery and prioritize their needs and then bring it back to the technical team to decide the associate sensors.
Customers can be segmented as follows:
Companies who will be our partners
– Licensing deal (H) – exclusivity , royalty etc
– Cost of components (H)
– Advertizing help (M)
– Professional athletes
Pain points (issues)
Measuring performance –
– speed, calories burned, distance travelled, measuring impact on various parts of the feet. (H)
– lightweight – (H)
– make sure that the shoe fits well all the time while the activity is happening (H)
– injury prevention (H)
– dynamic arch support a (M)
– Fashion (M-H)
– Send information to trainers/team doctors etc (H)
– Price (L)
– Active amateurs
– Speed, calories (H)
– Lightweight -(H)
– dynamic arch support and inury prevention (M-L)
– Fashion statement (M) – Colors,
– Connectivity to FB via phone, potentially connect to doctors (H)
– Detect various foot diseases (L)
– Odour removal (L)
– Price (M – H )
– Power supply (M-H)
– Less active amateurs
– Casual people.
Of these four categories, active amateurs are likely to be more involved in participating in a social network and engage with their peers.
So I would focus on that segment initially.
Prioritizing
– Speed, calories – the shoe has sensors to measure weight and in conjunction with the app on the user’s phone, measure distance. (MVP)
– Shoe will be made out of a range of materials so that we can cover a reasonable spectrum of purchasing power. (MVP). We will support at least three skus
– Connectivity to phone: BlueTooth (MVP)
– Power supply: Low powered sensors which are powered by the amateur’s movement. (MVP)
– Price: 3 skus, based on the material and color options – $100, $150, $200. This is not a major issue for FB as we are going to license it. But, I have it more as a way to describe the market viability to our partners.
– dynamic arch support – a minature pump that automatically inflates the insole of the shoe based on the user’s feet to provide optimal arch support. (post MVP). Injury prevention. Detect and support ankle when it is about to twist so that injury is minimized (post-MVP)
– Odour removal – sensors that detect odour and use a minature capsule filled with Febreeze or something like that to neutralize the odour or create ozone to neutralize the odour, (post-MVP)
Risk: People are concerned with privacy and potentially not want all details to be captured and viewed by FB. Shoe partners decide to create their own apps and not push data to FB. We need to make siure that the licensing deal has detail to mitigate this risk.
Pre-launch, will contact channel partners Nike, Adidas, Reebok and potentially give them exclusivity in regions NA, Europe, Asia etc.
Post-launch will track metrics – Improved engagement, increased specialized FB group, stories, Live activity, checkins, messages,

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