Survey results, Reboot or Hibernation

For those of us who remain in love with the vision, but skeptical about the road ahead, can you elaborate on what this means?

  • How many working units are expected to be produced?
  • Are retail / reseller channels established? Will inventory need to be stored and managed?
  • What will be the benchmarks for success in terms of number of units sold over time and minimum viable revenue to keep production running? What needs to happen financially to make it to the 2nd batch?
  • Will there be a community involvement and/or an ability for users to: host or help maintain plugins, host and share pedalboards, contribute fixes or new features to the codebase?

I also have some open questions related to execution and accountability but I don’t think it’s a good idea to try to present them in this format. I believe that in order to succeed, the team will need a talented Product Manager, and a focused CTO. It could be that those roles are already well covered but visionaries don’t always make great captains (said from some personal experience). Before the pandemic there were unfinished products, missed deadlines, and marketing efforts around features that were never delivered (typical of a startup, I"ve been there myself). It is important to hear what was learned during these times that be can taken forward.

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Yep. We are in constant contact with him working out a solution.

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Hi Brian @unbracketed

Thanks a lot for the straighforwardness. I’d be happy if you guys use this topic to challenge me and Andreas @friedsilence on the planning for these next months.

To avoid confusion, in the quote you took, I was referring to the Expression Pedal question from @plutek

But your questions still apply :slight_smile:

In these initial 6 months, only 350 for retail plus the crowdfunded units that backers decide on getting via the additional payment.
As part of the assets, we have around 1600 enclosures already here in Germany, including the Founder edition units.
Our contractor in Germany is very flexible and can handle up to 150 units per week.
We have confirmed the availability of SOMs and there are no components in the Dwarf PCBs under scarcity.

We have sales confirmed channels for Europe and Japan, plus a relationship with multiple smaller dealers in other areas. In these 6 months, we plan to give the first steps towards opening the US.

Only at a small scale, as we mostly “build to order” when working with the bigger customers we are working with.

I do not have a benchmark for the sales at this point and the priority is to put production back on track to make sure we can deliver. I will really not be impressed if we surpass the 350 units forecast as we have already sold more than that in the same amount of time, but I do not want to be surprised by low sales, so I only have added sales numbers that were either confirmed in writing or smaller than previous orders.

The company requires much more to break even than the monthly volume that we are forecasting for the next 6 months. At this insolvency stage, I first need to prove that I can bring the company back to life before investors put big money in, but as for the previous plan, we will need to raise funds again in 6 months. Until then we need to show investors that we can produce according to sales, and scale it if needed.

I understand 2nd batch as production above these 1600 units to which we already have enclosures. We will need confirmation from bigger customers, especially in the US, in order to trigger the transition to higher-scale suppliers which we have already qualified in Q2.2021 and Q1.2022.

I’d like a lot to have the involvement of the community but not really for the development of our assets. There are discussions related to Open Souce that we need to have, including with the community, in order to proceed with a bigger involvement of the community in our core assets.

On the other hand, I want to involve community members in the improvement of plugins, creation of pedalboards, and also content. We had quite some responses on the form regarding help on these topics and I will release specific forum topics for them.

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So my extra 150€ dont count to reach 200k?

No. That will be needed to be paid in case you want to receive your unit in these 6 months

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Just to manage people’s expectations a bit (*): do not expect this counter to go up hour by hour, the process is a bit slower.
When chiming in with a bit of invest, there is a two-step process of electronically signing an agreement to commit to that amount and I would assume that @gianfranco would only add proposed funding when that commitment was signed.
So specifically don’t treat this as an indicator that nothing is happening if it takes a while for that to climb up. Excessive polling of that page will not be required :wink:

Having said that, it’s on all of us to make that happen, so if you can (and have enough trust), chime in! Go, MOD, go!

(*) I am not affiliated in any way with the MOD team or have any inside knowledge, just having gone through that I thought that tis would help to set people’s expectations…

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You assumed right :slight_smile:

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I filled the form during the first reboot attempt and immediately received an e-mail with the investment information for the first reboot attempt. I am yet to receive an e-mail with the updated information for investing in the second reboot attempt. Am I supposed to receive it?

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In these initial 6 months, only 350 for retail plus the crowdfunded units that backers decide on getting via the additional payment.

Have I read this correctly? The original kickstarter folks need to pay an additional 150€ to get the expression pedal?

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I thought it was to get the dwarf they backed but hadn’t received

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Yeah I believe that’s for the Dwarf. Also, I may be making an assumption here but I’m pretty sure the payment is just if you want to recieve it in that period. Otherwise, you will get it later. I think, hopefully the guys can confirm

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Me to.

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I’m pleased that the survey results are leading you down the path of hybrid Open Source and Proprietary. I realised in my survey feedback I should have emphasised:

1. Enlarge the pond
In previous posts people alluded to the fact that MOD and other providers are fishing from the same pond for customers. The “pond” is pretty small but the answer isn’t to squabble amongst each other and talk about Rip-off devices. Everyone would benefit from a world where plugin developers see a larger market for Linux based plugins. Work together with the other suppliers to standardise and share where possible so there truly is the kind of eco system that you’ve been talking about for years.

2. Differentiate and Monetize
That should still leave space to differentiate your own product. Android phone makers still manage to differentiate their phones through software (their own launchers etc) and hardware despite most phones being almost identical - far more of an issue than with linux audio devices.

If you can get the monetization of, say, the pedalboard store right you could be the equivalent of Google Play Store: used by and making money from the software used on competitors’ devices.

3.Ultimately focus on Hardware
Yes it’s incredibly hard to bring a hardware product to market but you’ve already done so several times and in the Dwarf you have a compelling product, with the potential to be a killer product. There’s all sorts of fancy software out there but it was the Dwarf’s hardware that gave it the wow factor for me (and many others I’ve shown it to). It’s easy for people to rip-off your software ideas, even if they’re proprietary, but much harder to do so with a good hardware design.

It may be that your supply issues are fixed (for now at least) and you can just push ahead if funding permits. If not you may have to keep your heads down until availability comes good, but either way it seems to me that focusing on shipping hardware (focusing on the Dwarf for the short to medium term) is your key differentiator from the likes of MODEP etc.

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Some thoughts regarding the subscription model, where I would like to express the kind of things I would be willing to pay for. Sorry in advance for the long post.

This is coming from somebody that hates the idea of renting my device (the device loses functionality once I stop paying) or software licence subscriptions (the software cannot longer be used once I stop paying). I am also an enthusiast, playing some music for myself, not an intensive user, so I am here for the long run. If my device is not usable without subscription, I would probably not invest in trying to master it, and write it off and store it somewhere or resell it. Such an approach is not for me.

The kind of subscription model I would support includes:

  • I get some feature in advance (e.g. early (earlier) upgrade (*), exclusive access to new (opensource) plugin in the store), e.g. 3-6 months
  • I get some feature in exclusivity (e.g. curated pedalboard of the month, 6 months before it becomes accessible to all)
  • I get access to some cloud service (e.g. pedalboard sharing (but not the plugin store, which is a core functionality), a temporary 1-month full access to a paid-for highlight-plugin-of-the-month (e.g. to give opportunity to try some new paid-for plugin, the plugin is selected by the company, not choosable by each user))
  • I get some small incentive (e.g. 5-10% discount on plugin store, maybe )

Possibly other non-essential (virtual) goodies or privileges, that cost nothing to the company, that are not depriving others from essential functionality (e.g. some premium access to whatever, some insigna besides the forum name to show the active subscription, have a right to vote for some community polls regarding future priorities, etc). Maybe some giveback mechanism to reward long-term subscribers (e.g. after 12 months of continuous active subscription, 1 coupon worth 1-month subscription as plugin store discount).

Once I get access to something, I should never be deprived of it in the future (e.g. if one month, you decide to offer a premium plugin to subscribers, then that plugin is now mine). Of course, this would not apply to access to cloud service or such thing, which would of course be disabled. Basically, any upgrade (plugin, software, etc) I got during subscription should be still working after 5-10 years of having stored the device in a box.

As you can see anyway, most of what I propose is about “early access”, i.e. non-paying users will eventually get access, but would have to wait. Also, regarding exclusive access to an open-source plugin, the poor-but-wanting user could still get it off the github repo, possibly without the nice skin at first, so it is more for getting it conveniently directly from the plugin store.

(*) Regarding core functionality upgrades (i.e. new releases) with exclusive access: this means having to maintain 2 branches (the “free” upgrades, with just bug fixes, and the “premium” upgrade, the “premium” becoming the free branch after a while, and a new premium being put in place - premium may include “beta” access as well). In itself, this is adds also trouble, beside doubling the maintenance, as the beta users will be limited to subscribers. Also, plugins cannot rely on new functionality being present in all devices (it is less a problem if such plugins are also exclusive to the subscribers for the same period).

I am aware that some of this functionality would require development (especially user rights management) to be put in place, so it is not really easy at first, but maybe it can be developed over time. At the same time, it should be able to provide a steady income without much more investment than what was done until now.

PS. One example of subscription model that works for me is Humble Bundle’s: I get free games every month (even though there is generally only 0-1 game that I’d care to try, at most, and often actually, I already own these ones :frowning: ) and a discount that rewards my long-term loyalty (increased discount after a few months of continuous subscription). If I stop subscribing for a month and restarts the next, I lose the long-term bonus, and even though most games are not quite interesting to me, I’ll never know if next month’s rewards are useful, therefore, I have an incentive not to put my subscripion on hold. In MOD case, there is even the incentive that this helps the company to stay afloat. That is, if the subscription is not too high, keeping the subscription alive even at times where it brings little benefit is rewarding.

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Hi @Chen_Gershuni

Yes. An email is following today.

Hi @Dave_Parker

the mentioned reply is generating a bit of confusion between Tier 3 Dwarf units and Expression Pedal units.

The 150€ additional payment is meant to receive a Tier 3 Dwarf unit plus a 150€ rebate coupon.

A Dwarf production batch will immediately start if we manage to make the reboot and backers that decide to pay the additional 150€ will receive their units as soon as production is ready, which shall take between 4 and 6 weeks.

The Expression Pedal has the design ready and approved samples from qualified suppliers, but it was not yet mass-produced.

If the reboot happens, we will immediately run a pilot batch of about 10 to 20 units to prepare for initial mass production before the end of these 6 months. The funds for this pilot batch are included in the reboot budget.

There is not yet a decision on how we will proceed with delivering the owed Expression Pedal units. In the worst case, we will resort to a solution similar to the Dwarf, where we request additional payment in exchange for vouchers, so to adjust the cash flow.

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I keep my fingers crossed that you will manage to make the reboot.

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I simply can’t afford to make another contribution.
The company I work for has also suffered through the pandemic and may not survive the winter …and I shall be out of work.
But I wish you all the best, success with the reboot, and hope that the toll on the physical and mental health of you and yours is kept to the absolute minimum.

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Hi,
i want my Tier 3 Dwarf. Where can i do my additional payment.

why you have deleted this morning’s messages?

another thing:
If we don’t want to pay those 150€ do we still have chances to have our tier 3 dwarfs?