While Kickstarter is a great place to start selling products online, and Amazon is a good next step, you’ll often see hardware companies begin shipping their products to local retailers like Best Buy.
There’s a good reason for that — online commerce may be increasingly eating away at shopping offline, but that doesn’t mean people aren’t spending a ton of money at big box retailers. And it’s also why Hello, the makers of a sleep tracker called Sense, will be following in the same route. This fall, the company is selling its sleep tracker in Best Buy and Target. “Both are clearly two of the strongest, largest, and most relevant retailers for our target market,” CEO James Proud said.
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All these updates are necessary heading into the holiday quarter — where sales generally spike and the performance of a product can make or break a company, giving it enough cash to continue operating and growing. Hello also has to ensure that it’s able to continue making enough trackers in order to not only meet shipment demands for stores, but also its online demand.
“That’s always the age old question around Christmas,” Proud said. “We’ll be continuing to do whatever we can to ensure supply can keep up with demand.”
For now, Walmart — the largest retailer — isn’t going to be on the table. But then again, rolling out a hardware product in big-box retailers will require some learning. For example, certain metro areas may be more likely to pick up some new piece of technology like Sense than others, so the company needs to figure out the right number of units to ship and where so they aren’t sitting around on a shelf unsold.
Hello has raised $40 million total, including a $30 million financing round last year led by Temasek that valued the company between $250 million and $300 million. Hello raised $2.4 million in its Kickstarter campaign prior to launching.
Featured Image: Hello
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