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This Flying Selfie Drone Might Be The Next Big Thing!

A few weeks ago the fledgling startup tech company ‘IOT Group’ was trading at 3 cents on the Australian Stock Exchange. Now, it’s reached blistering heights of 18 cents (as of 10th May). A 6x increase in a short time is almost unheard of, so why is this company which has barely got a prototype for it’s product, valued at somewhere around $100 million?

 

roam-e

Meet the ROAM-e, a flying selfie drone. It will set you back $399 or more for this futuristic display of narcissism. Some fancy blades and a 20 minute battery life allow this thing to follow you based on facial recognition.

I’m sure it’s been done before in some capacity with GoPros, gaffa tape and a remote control, but this thing seems to make the whole self-obsession thing a little bit easier.

So again, why is this expensive selfie stick suddenly a $100 million idea?

Important info from their recent announcement that sent it skyrocketing:

The IOT Group has signed an exclusive Distribution Agreement with TOP TECH DISTRIBUTION LLC (’TOP TECH’) in the United States of America for the mass distribution of the ROAM-e and other IOT Group Products throughout the United States, Canada and Mexico.

TOP TECH clients include all of the larger US retailers such as Walmart, Best Buy, The Sports Authority and Fry’s.

IOT has engaged their manufacturer to increase production from 10,000 per week to 50,000 per week by September 2016.

So, in simple terms, large retailers in the US want to stock these, and the company thinks it will sell up to 50,000 of them per week. That’s millions of these things per year. Won’t the skies get a bit crowded with all of these hovering around the duckfaced girls below?

The other product IOT group will be offering for sale is their ‘OK Watch’, a Smartwatch which aims to undercut more expensive smartwatches in price (such as the Apple Watch and other similar Android offerings).

In case you want the editor’s opinion on the shares (not financial advice – consult an adviser please) – be careful as the hype may be a bit much in the short term compared to what the company can earn! It might pay to wait and see how sales pan out, as there is a big difference between selling a few or a lot of these.

Also, think about whether the product is easily replicated. I think Chinese companies will quickly come up with something similar. It doesn’t matter if they aren’t allowed to copy it – that doesn’t normally stop them.

Still, GoPro is a relatively simple concept which took off. It brought a product to the market at a premium, yet still affordable price, which was probably only available to professionals paying thousands for a similar thing before it came along.

Will this $400+ selfie stick be the hottest thing as well? Time will tell.

The ROAM-E is the product that IOT Group is probably going to be most famous for. But this is only the beginning. Perhaps the success of the company is riding on the drones however. What else is there? According to the recent investor presentation;

  • Virtual Reality (scarce on details, have the big players already got this stitched up?).
  • Home Automation – interesting when more details arise.
  • Smart watches with a whole range of niche safety features. Kid’s safety watches, driver fatigue alerts, senior’s ones with fall detection.

All of these have potential, so lets see how it pans out. More about selfie drones on the company’s website here – http://flyingselfies.com/

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