Somewhat similar to CALM but a Russian version of it, since we have worked there for so long and know the consumer. We will add a digital psychology service with Russian sleep clinics to differentiate. We are not meditation or audiobook service - we are only focused on helping adults fall asleep in time
Current Status
Angel round closed November 2019- MVP launched March 2020- Early revenue April 2020.
Scaling content and marketing as we speak
www.sagasleep.com for app download links
Market
Women, age 18-55, in capital cities in CIS region (former Sovyet Union)
Russians today spend 50mi USD on health and fitness apps (App Annie), a spending that grows 20% a year and will be 100mi by 2023. We then take 4% of that market (Our own business plan)
Problem or Opportunity
Problem
That people can not fall asleep in time in the evening. 16.9% of adults have problems 3 or more times per week in Russia (Bochkarev et al, St Petersburg Almazov institute, 2018). Today they solve this with reading offline books, listening to audiobooks or eating (Saga research among 300 adults in Russia, 2019)
Solution (product or service)
Saga offers instead specially written Russian sleep stores, 30-45minute long stories about something real, that touches the Russian soul, but is written in order to lull user to sleep in 15 minutes. They are narrated by celebrities. Russian users love the product, about 20% of all users are active any given week. CAC has come down from 1,3EUR to current 0,3EUR after iterating multiple times with ads and texts.
Russia is not crowded with sleep apps and we can win the top position, we are already showing traction towards that and we have caught the attention of Russian sleep professors.
Competitors
Meditopia - Russian meditation service
Calm and Headspace (Only English)
Advantages or differentiators
Only Russian localised content
Adding digital psychology service will create unique combo of sleep stories + sleep psychologist service
Finance
Freemium app - get some for free, sign up for subscription for 3 USD a month to get all premium content, get 1 new sleep story per month at least. Google and Apple consolidates and send money to our bank account monthly, after their 30% sales commission. In 2025 we have about 600 000 USD in monthly revenues
Costs over 5 years
Marketing is average 63% of all costs
Content is 8%
IT is 1%
Admin is 29%
Invested in previous rounds, $
$ 50.000
Business model
Freemium
New sales, Monthly active users, WAU, DAU, Retention rate are key indicators, among 20 that we track.
Money will be spent on
Marketing (180k)
Content scaling (70k)
IT and outsourced marketing (30k)
Admin (240k) 5 new employees and office mainly
