Update #36 - Manufacturing and Retail Launch
This is an update about our shipping progress, on-going plans and distribution.
We’re continuing to fulfill as many units as possible to backers in the U.S., Australia and New Zealand. Those of you that have received them have sent us valuable feedback and we really appreciate that feedback. We’re nearly out of inventory from our first production batch and are in the process of placing another order for more units. In addition to the Classic and White units, the next batch will include the Black Instacube as well.
The production order will, however, still be limited in terms of how many units we can finance and build. This upcoming production run will include plugs for the rest of the international markets including the UK, EU and Asia. However, fulfillment to backers will continue to be staged so shipments will be prioritized based on the timing of the backer contribution, and not necessarily based on country. As much as we’d like to build all Kickstarter units in one batch and fulfill to everyone at once, we simply can’t financially do that yet as we continue to raise more funds to build more units.
We would like to communicate a clear timetable to all backers about the launch plans in every country, but it's difficult to do so as we concurrently raise money from investors and generate revenue to actually fund those units. We do not, at this time, have a large cash reserve to finance all Kickstarter units in one go so the organic process of concurrently selling/fundraising/building/fulfilling means it is inherently difficult to set and communicate a detailed timetable.
Some of you have noticed that Instacube is already available in retail and we want to help you understand why. A key part of the startup process means that we have started to sell online and in retail via our distribution partners in order to drive additional revenue to fund more manufacturing of Kickstarter units. Our initial launch markets where you will see Instacube in retail is in Australia and New Zealand. While this may be frustrating to some of you, we hope you understand that the revenue from these sales goes directly towards funding the production of additional Kickstarter units and the faster that we scale, the faster that we can complete fulfillment to ALL backers. Our immediate priority as a company is about completing the Kickstarter shipments and investing in the organization to further support you, not about near-term profit.
The timing for the next batch of units to be completed and ready to ship is approximately mid-June. Each order takes between 40-45 days due to component and material lead times. We will announce the additional countries as soon as we have confirmed the available date, but we plan to be able to start shipping to all markets by end-June.
As a reminder, if you are in the next round of shipping we will again reach out to you with an email to confirm the shipping address. If you are an international backer, you will also receive a private link to pay the shipping charges, which is USD $20.00 per unit. When your shipment goes out you will then receive a tracking number.
We want to be transparent and inform you that we will continue to grow our sales and marketing worldwide, which means you will see us launching in retail stores and other sales channels worldwide. Expanding our sales and our revenue is a necessity of our company at this stage, but we would like our backers to understand that our revenue is prioritized to fulfill our obligations and commitments to our Kickstarter backers.
We’re also trying to improve our customer experience to better serve you and will consolidate inquiries on our email@example.com email. Please contact us there to better enable us to better respond.
The Instacube Team