https://www.kingscrowd.com/deal-to-watch-when-tech-brings-families-together-through-reading/

The Caribu team has been selected as a “Deal to Watch” by KingsCrowd, a Moody's type rating agency for equity crowdfunding investments. This distinction is reserved for deals in the top 10%-20% of their due diligence funnel.

Why We Like it

• First-Mover Advantage: Given the lack of direct competition, Caribu will likely be a first mover to cater to the relationships between grandkids and grandparents through education. This advantage may ensure that Caribu sustains its current competitive advantage within the market.

• Seasoned Team: Sabido’s strong business and engineering background, coupled with Tuchman’s background in education makes for an ideal knowledge base in understanding market pain points and expanding the product. This, along with the tech-savvy group of designers, and credible advisory board grounds trust in the team.

• Product-Market Fit: An anonymous Product-Market Fit survey was released in January with optimistic predictions that 40% of users would claim to be disappointed if the app disappeared. 46% of grandparents reported they would be disappointed if Caribu went away, indicating a direct demand for the product in a niche market.

• Positive Response: Caribu now has a 4.5-star rating on the iOS store. The most recent update has been reviewed by 188 people. Reviewers say they “Love it as a traveling parent!” Other comments compliment the customer service. This suggests the product works and is effective at doing what is advertised.
• Philanthropic Mission: “Doing well” and “doing good” aren’t necessarily mutually exclusive. You can do both, and Tuchman proves this with Caribu. Her goal is to help kids but also run a business. Her partnership with Blue Star Families now donates free subscriptions of Caribu to all active duty US military members, meaning that 1.5M families are eligible.

• Celebrity Endorsement: Several celebrities including Alex Rodriguez, Nick Lachey, and Howie Mandel have freely endorsed the app in articles and videos. People tend to follow what famous people do– and that’s free marketing.

The Rating: Deal To Watch

Caribu is a Deal To Watch. Caribu presents a differentiated product with a small but happy following of users that indicate initial product-market fit in a market of customers that have a propensity to spend. This early traction coupled with a dynamic founding team provides an intriguing investment opportunity.

For these reasons, we at KingsCrowd believe Caribu to be a Deal to Watch.

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