Hi, this is Wayne again with a topic “Launch Pad – Cooki by Sereniti Kitchen”.
With that, we should bring up our first presenter. We have serenity kitchen with cookie. If you’re going to come up here, give us your best and we’ll be uh timing. You at five minutes bill here is going to be keeping the time and uh flagging you down and letting you know when you need to wrap it up i’ll, be over here in this chair, wonderful and if i have to wrestle you to the ground it’ll make For a great youtube moment – and everyone will know about your product, it sounds good to make that happen. Perfect great.
Well, thank you guys so much for coming this morning. My name is timothy, chen, i’m the ceo of serenity kitchen, and we make a robotic appliance that cooks, one pot meals with a push of a button. Think of it as a keurig for food. Where excuse me, i don’t have a clicker.
Do i or it’s in my pocket, i’m sorry, so we make a robotic cooking appliance that cooks, one pot meals with a touch of a button. You set it and forget it and it’ll tell you when your food is ready and my clicker decides not to work. Okay, so a lot of people love cooking, but millennials are growing up without the acuity, the time or the ability to cook great meals, but they still want to eat well. Another phenomenon that we’ve seen over the last five to ten years is that a lot of people are starting to deliver you ingredients and deliver you food.
It was a nascent business just five years ago, and now five million meals are being delivered into consumer households. People want the ability to actually eat better than they have ever before, so they’re, getting away from microwavable meals and getting away with from foods that are processed to fresh foods. Another phenomenon that we’ve seen is that in the last 10 to 15 years, do you remember having every one of these devices i sure did now? All of them are used less often because you have one device.
That’S able to achieve all of these things in communications. In gaming, however, look around your kitchen. There are a variety of devices that serve one singular purpose in one singular function: what’s the killer app, that’s going to enable cooking to be better with a touch of a button introducing cookie you’re a one-stop shop, one push device that cooks for you.
It makes one pot meal, so soups salads, pastas rice, you can scramble eggs sautes, you can cook curries, you can cook one pot meals and it it it. You use fresh ingredients. So, instead of k-cups, like the keurig you put in multiple trays of fresh ingredients, you pop it in you associate it with your smart device, which has a recipe, and it gives machine language instruction for the machine to actually make food for you. It’S perfect for busy professionals, because they don’t have the time or acuity to actually make every meal. Every week the machine will retail for four hundred to five hundred dollars and the meals will sell for four to eight dollars. If you think about the cost of a meal about ten to twenty percent, is actually the ingredients themselves, could you land somewhere in between that and compete with frozen meals, while still having amazing home-cooked food? We believe you can ingredients are wholesome.
They’Re naturally delivered directly to your door or, as we continue to build the eco ecosystem, you can pick them up directly in retail stores. Our goal is to transition what we’ve been doing from the microwave and instead of heating up preservatized meals that have a tremendous amount of sodium. Now you can get fresh ingredients delivered to you via the multitude of channels that currently exist today, and you can finish it directly into the device. This could be directly in your home kitchen or it could be in a workplace where you pop in some cartridges, a food, that’s 80 to 90 finished and it’ll finish it for you within five minutes.
So at that office lunch time you can actually have a fresh meal prepared instead of having leftovers and the result, it’s really good meals and we invite you to come and see how we actually make it we’re a team of roboticists machine learning, experts and ai specialists. That’S going to be able to make this a reality and we’ve supplemented our expertise in food logistics and we partner with highway one to deliver an amazing prototype and we’re planning to get this into production by 2016.. So far, we’ve built a working prototype. We have a tremendous amount of ip regarding this because we believe it’s time that food is a one button, pushing experience. We’Ve been featured in a variety of media. The question consistently that people ask us is: can you guys really do this? We’Re currently doing this and we’re gon na make it even better our strategy to go live is that, towards the end of this year, we currently have five of the top workspaces committed to us to launch this in their offices, taking a path very similar to how Keurig started we’re going to put a machine into their their their co-working space, put some fresh food, that’s delivered fresh daily and all that they have to do to cook. A meal is to put the cartridges in there and within five minutes.
Fresh food is actually made within their co-working spaces. We intend to show about a thousand dollars in revenue off of food per machine and the 3.5 million workspaces that have at least 50 people or more, and we think that in the offices we can already scale up on a consumer side. We plan to actually just go to a farmer’s market and just saute fresh vegetables. An average draw at a farmer’s market is about 500 000 people per weekend.
So we think that we can organically build a momentum to really take this forward to show that people could cook great food by just pushing a button, and since we are at maker faire, this is really a maker ecosystem. We’Ve all heard about keurig’s horror stories about not letting other people into their machine. Well, we want to do the exact opposite. People can actually assemble their own ingredients, they can make their own recipes and if you make an amazing recipe, socialize it out, because when you do that, other people can download your recipes. One of our partners will provide you the ingredients and then you, as the creator of that recipe, gets to monetize it’s a tremendous ecosystem that we liken to the music industry and by 2016, we’re going to be um. We’Re going to be uh, we’re going to be um shipping, our machines and we’re working with pgh aggressively to actually make that time low.
Sorry, the clicker’s giving me a little bit of problems here, all right so and we’re serenity kitchen. We really appreciate it. Please follow us at serenitykitchen.com and uh.
We love for your support. Thank you. So much stay up here, timothy. We out, thank you! Well, you can hold on to that for a minute all right.
Judges among you are there. Some questions for timothy on serenity, kitchen can’t go yet yeah yeah you’re, not out of here. Yet you said that uh the meals would be made in five minutes. Can you tell us a little bit more about that yeah? So the machine has the capability in making meals from hours at a time to reduce that five minutes.
It’S a matter of establishing food science around the ecosystem. So if you need something fast, ingredients could be par, cooked, meaning that chicken could be 80 90 cooked and delivered to you. So you get a refreshing experience instead of getting delivery of food, that’s at least an hour out of the pot. So this is where the restaurants can actually participate as well, because they can have a second tier system where they can get a lot more people interested in their food where their food is not served right away.
But they can create a pipeline of delivery that can get more people to eat their meals, so it’s actually an enhancement for people who want to make the meal to a certain extent and then and distribute it. Thank you, yeah hey, so i feel like i’m like the person that is your target market, like i probably eat 80 percent of my meals by delivery or i eat outside or whatever. So.
My major question is like. Okay, on the one end you’ve got like ramen like stuff. It’S super cheap, like boiling water.
It’S done right, you know it’s not great right and then the other side. It’S like some kind of sprig grubhub. Something like that. So how do you you’re saying you can actually get this in like how? What do you think the delivery time would be about these trays yeah, so the delivery mechanism will be in different stages.
So, typically, you can subscribe to a meal kit, so it mails you. Let’S say 10 meals that you can put in your refrigerator, so it’s literally just taken out a refrigerator putting into it within five minutes. Your meal is ready almost like a frozen meal. So how does something like sliced onions which have like a really you know? It’S gon na run out. Do you have some kind of preparation to keep them fresh? That’S a very good question.
So those are within the food sciences. So, on the tray side we found ip in our in our um. In our tray mechanism, you can actually uh suck to suction the air out of it. You can actually pump normal gases into it to actually keep the food fresh, but even better a lot of people are using food science to actually make food last a long time. A lot of the packaging companies will say, you know if i cook the onions directly into the sauce itself.
The acidity or the oil base will actually surround it and actually give it a longer shelf life so um, depending on what you want to have. There’S a time sensitivity to what you have, but there’s ways to actually make food last longer by food, science and recombination of ingredients, and so the idea is they’ll have like multiple trays that have been delivered at some point. Exactly okay, yeah typical shelf life is one to two weeks and uh. We intend to use food science to actually make that even longer. Please i will you need to use the trays um the pre-prepared food, or can you use your own food with the device you can both do both? You know this is where we provide, for if you want the ease and the convenience you get things delivered to you eating somebody else’s meals, but you can actually prepare and cook your own meals. We imagine a day where, let’s say if you cook an amazing chicken, cacciatore you’re able to pass it on for generations and say this is how i cook it and as we continue on the the technology path, it’s going to be able to actually recognize the data That you put into it because the kitchen is almost devoid of data and now every time a robotic arm moves, we actually know the xyz coordinates of every nanosecond that it travels.
So we generate data of the love of cooking and we aim to emulate that into a feedback loop so that you can pass that on for generations. You can share that food is supposed to be the most social experience in the world and we didn’t tend to make it so so um. My question is about kind of the chicken and egg problem of having a as it were, of having a um, a device that you have to get out into the world right and an infrastructure for delivering food. Pods, yes, which you also, which is very local.
Yes, so um, how do you scale up those for the consumer right space right, one city at a time you know so we’re starting out in the san francisco area. We want to make sure that we scale this up into san francisco area. Deliver good local food. You’Ll see that in the food delivery world, this is how they’re scaling up as well. It’S usually one city at a time: one distribution center at a time, mass food will come eventually, but we want to focus on the local, the sustainable foods, to start so to follow up.
But but does that work when you require that your subscribers buy a 500 piece of equipment which you also have to manufacture at scale right, so are you asking about the cost of the equipment? Are you asking about the food supply system? Now i’m asking about the businesses capability to grow and scale and keep on top of things in a combination. Hardware subscription business got it. So, as far as the hardware goes, the bill of materials is about 150 to 200, so we almost break even at retail. On the device, what we really monetize is the food we’re taking about a dollar to two dollars worth of ingredients, selling them for about five to eight dollars, depending on the delivery method, so that we have at least a 50 margin on the business. So that’s how you can actually continue to ramp up and everybody’s delivering. You ingredients these days. Whole foods, for example, partner with instacart to actually get you ingredients that could be a natural pipeline because they already prepare foods directly into the source. You can eventually just pick up pods directly from the source or you can actually get things delivered for you. So that’s where the model station engine comes all right, i think that’ll. Do it, timothy, chen next, one serenity, kitchen. Sorry, i butchered the name earlier. .