Shark Tank India 2 Exclusive! Neo Motion discuss the debate on their price range, reveal Peyush Bansal’s contribution so far

Shark Tank India season 2 got some fabulous pitches but at the same time, many pitchers could not crack the nut with the Sharks. One such player who worked till the very end were Neo Motion. They eventually got support from Peyush Bansal and while they had to alter the terms for him, Peyush and the brand are now partners.

Neo Motion is an umbrella company that produces wheelchairs but with a twist. We at OTTplay caught up with them to discuss the whole debate on their price range since the show aired and what Peyush’s contribution to the brand is so far, among from the many other things.

Excerpts from the interview…

The Sharks were confused whether Neo motion focuses on business or good cause. What would you say at this point?

It’s a chicken-and-egg problem, right? We also want to create a sustainable enterprise. While NeoFly and NeoBolt are our first two products, the journey doesn’t stop here. There are multiple disabilities and wheelchairs that need to be developed. So there is a lot of cost in R&D and setting up infrastructure. So unless you don’t have a profitable and sustainable business where you can fund your own R&D – we have been fortunate that ITT gave us the ground and support but it won’t be forever – the cause is also not mean much. We will again fall into the trap of producing sub-standard wheelchairs which will be used by beneficiaries. It’s not going to help anyone. So it has to go hand-in-hand. Our focus is on running an enterprise but it’s also on developing good, quality products and not sub-standard products which actually have side-effects for the users.

Was the topic of price range discussed among you guys when you decided on the price initially? How did you'll work that out?

The price is determined by multiple factors. The first is our own cost of goods. Right now, we’re making 150-200 units per month. Only if we come to a scale where we can produce 500-1000 units a month, can we actually brings down the price. Secondly, if we say something is expensive, it has to be related to something. So, if you have to consider the entire set – NeoFly and NeoBolt with the scooter attachment, the normal scooters with side attachments also land up to Rs. 90-95,000. What we provide in addition is that you carry your wheelchair along with your bike. You don’t have to load and unload the wheelchair with someone’s help. Almost at the similar price range, we’re providing additional functionalities and benefits to the users. Even related to the current products, our prices are not extremely high and secondly, it is because of our own cost of goods and the capacity we have right now. On that note, something that was missed during the show was that we provide EMI solutions at 0% interest. Somebody who is working, they can purchase the product with an EMI of 12 months. We have financial tools so that it is accessible financially too.

Apart from the two products we saw on the show, what are we expecting from the brand currently?

Great! We wanted such discussions also to happen on the show but of course, it didn’t. We are currently working on two-three more products. In the next six months or one year, they’ll be launched. We are working on Rs. 1,200-1,500 wheelchair. That’s an entry-level wheelchair for any person who has recently become physically challenged. That is one product. Second is for people who are not as active. There are conditions where the hand and fingers don’t have much strength. For that, we’re making a joystick wheelchair on NeoFly itself. There’s another product at the R&D stage too. We decide on products basis the queries that we get. We’ve interacted with 20,000 users and on that basis, we decide the product according to the demand.

Have you started working with Peyush already?

It’s on a very nascent stage right now. We are working on certain initiatives. He has promised to contribute and give back certain set of wheelchairs. We are trying to identify the right kind of beneficiaries for that. We’re looking for the right, deserving candidates who can improve life with the help of the product. He’s also busy with the show and its shoot. Once the show ends, we’ll probably change the gears.

What changed your mind to take this Shark's offer, especially after all others were sure you guys wouldn't budge?

Our ask was basis numbers, revenue and the order books that we have. The deal came into existence because we could provide. We were playing the bargaining chips and knew our value. I’m sure deep down even they knew the value that we have in terms of our own design and engineering. It requires five-six years to develop a product to this stage. That’s how long it has been. They understood the value and how we want to bring down the cost. The cost will come down with volumes – additional infrastructure, marketing linkages, governments, exports. They knew that if they come and provide their support then we will be able to jointly achieve the goal of bringing down the cost and making it more accessible. So I think probably our value and definitely to join this cause and benefit the fraternity of the physically challenged, that’s what probably made them change their mind and Peyush finally approached us.

How has life changed post Shark Tank India? Has it?

(Laughs) It has been three days. I went to a restaurant and now people recognize that I came on Shark Tank India. I’m more familiar to people. The other good things that have come out are our own userbase. We did get messages from our existing customers. They showed their support that no matter whatever the discussion about the price, they know the quality of the product. They share that if this wasn’t there, they might have had to cater to foreign-made wheelchairs. While they are also of great quality, the price is much more. It’s almost two-three times the price of our wheelchair. The support from the user community has been very encouraging for us.

Since this is a niche market, we need platforms like Shark Tank India. For us to reach out to our market and customers is a lot of effort. Not everybody uses a wheelchair. Out of 1000 people, 3 use a wheelchair. Such a platform gives us the wider audience thanks to which we’re able to find our customers and even vice-versa. Even our customers can find that such a product exists. So, post the show, people have come to know that such a product exists and that there is hope for them to go out independently. They don’t need to be stuck at home. They’ve seen Shivaji’s story on the show and such stories need to go out. That’s what Shark Tank has done. The awareness created post the show is great for us and our users.

Are you looking at finding more partners to invest in your company at this point?

Yeah, in terms of taking the product abroad. We’d like to tap into Africa and South-East Asia. A couple of people have approached us from the Middle East. Definitely we’re looking for such partners, if they want to expand to these countries. In fact, some people also approached us to help reduce the cost of the product. They’re ready to help in terms of engineering and fabrication. The major point is taking the product out of the country. We were looking for such queries because we want to take this product to other countries too. We met PM in 2019 and he said that this should be a contribution from India to the world.

What about the price range? Will that be the same?

We still have to discuss what kind of partnership will it be. Whether we have to export the products or train their staff and they take the responsibilities of producing the products and selling it there, that still needs to be discussed. It all depends on how the venture would pan out. Many from Dubai suggested that we immediately start selling the product there. The wheelchairs are given through insurance and government support and so, the price range is nothing. The price will fluctuate, especially given the value of the product.