A $3,949 Gadget To Sleep Better 😮

There are unlimited ideas for business.

I have been working on finding new business ideas a lot recently. This made me do a lot of research about different types of products and services. Recently I came across EightSleep a company that makes something you add as an accessory to your bed. This made me go “Wow, do such things even exist?”

This product helps you sleep better by running cold/hot liquid through pipes and adjusting the temperature of your bed.

It also goes up and down, at the head or foot level to give you a better posture. A market for such a thing actually exists, making us wonder how deep niches can go.

This product is not for show off. It has some utility value. I have seen entrepreneurs who can afford it buy it and they claim that it increases their sleep quality. I would say that such a product is definitely a better investment than a car.

They have also found out that you need to make 2 people comfortable in a bed. They have customizations for each side.

I am not sure if I will ever be able to convince my wife to buy such a bed. Heck, it’s not even available in India yet. Maybe someday such a gadget will become part of my life.

I’ve also looked at their marketing strategy. They do not advertise in the traditional way. Obviously. Most of the buyers of such a product will be digital natives. Digital Natives spend most of their time on digital devices and do not watch cable TV, read the newspapers, or listen to the Radio.

It’s not possible to tap into SEO traffic or SEM traffic because people are not looking for such a product. They can tap into SEO by writing about good sleep as a topic but they can’t target any keywords where people are looking for such a product because they don’t know such things exist.

They do influencer marketing.

They understand that the kind of people who will buy this product are not just rich but also sharp and educated.

High prices and billionaire endorsements are a turn-off for me, so I approached the Eight Sleep Pod 3 with a healthy dose of skepticism. Turns out rich people have nice things. Closing in on a month with the Pod 3, I’m a grudging convert. It is far too expensive, and I don’t need another subscription in my life; not to mention there are some quirks I’m not keen on. But my wife and I have both been sleeping better, and that kind of trumps everything else. - Wired.com

Eight Sleep raised an $86 million Series C in August 2021 at a valuation of close to $500 million. They have positioned themselves as the iPhone of sleep.

I will be analyzing more such crazy business ideas in this newsletter. Would you like to see more of them?