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[eric]

PR is gone thats why the forums ain't online theirs no one to look after them


Ugobe, the company behind the Pleo, is struggling to save itself from extinction as it tries to raise fresh funding and keep its pipeline of products alive.

Over the last six months, the company has seen a host of top management departures, run through two CEOs, closed down its office in California and pared down its marketing and PR staff in an attempt to weather the current economic storm. Emails to the company's media contact info on the its website bounce back. And good luck trying to get someone to pick up the phone when you call its corporate office.

But as consumer spending has slowed down and competition from other consumer robotic companies has intensified, Ugobe has found itself in a tough spot. The Pleo, which cost $350 when it was introduced and now goes for $280 on Amazon, looks increasingly pricey for a toy that does little more than make you go "Awwwww."

In July, Ugobe CEO Bob Christopher stepped down and former CFO Liz Gasper took the reins. Christopher says he left the company to move on to other ventures he was interested in. Gasper focused on cutting down the company's burn rate and finding fresh funding.

With the collapse of the credit environment, though, fund raising came to a halt. Meanwhile, the company's entire board of directors resigned before Christmas to give control of Ugobe back to the co-founders, says Swanson.

Ugobe also closed down its Emeryville, California office and moved all operations to its other outpost in Boise, Idaho. The company has only about 20 employees now.

So is Ugobe still alive? Yes, says company President and COO Doug Swanson. "Believe me, we are still in business," he says.

http://blog.wired.com/gadgets/2009/02/ugobe-dinosaurs.html

[49er]

Thanks Eric,
Good to know the company's status, and thank you for the Wired link.

[justbede]

wow thats pretty upsettling darn credit crunch. looks like we might be the owners of a dieing breed

[fancyfont]

Thank you Eric for the post. I still think Ugobe has a great future. Just the darn economy righ now. Pleos are just too cute to go extinct! I'm sure we will see a lot more great things that Caleb Chung and his team come up with.

[Junkroxy]

I think the new the PR voice is right and speaks clear about the company's situation. I dont think they're extinct like the article said at the end, but still working about their future life forms and pleo's evolution. Like Fancyfont said i really think their products are too cute and amazing to die too young, and 100.000 pleos sold are not a poor thing compared to the Aibo'story

[gucci_boi7782]

Aww man! This seems to confirm our worse fears. Ugobe might not be able to make it through the rough economic time. Thanks though for sharing this news, even though it is not the best news-it's still the news.

[mweed]

I though the paragraph on sales seemed rather odd.  It states that 60% of sales were to europe (I'm assming that's the big bunch in Italy! ), 30% in asia (Taiwan & Japan, as Malaysia is a brand new market), which leaves only 10% for the US and the rest of the world.  Are there that few in the US?  Hard to believe.

[fancyfont]

Maybe advertising would have made a difference. I was always waiting to see a commercial of pleos on TV.

[Junkroxy]

I though the paragraph on sales seemed rather odd.  It states that 60% of sales were to europe (I'm assming that's the big bunch in Italy! )

uhm... i think it's global  mweed we're in the worst economic-situation, really bad here

[ScribbleMonkey]

Its disappointing, if not unexpected to see the company facing tough times. I feared the credit crunch would strike Ugobe, as I’ve seen several smaller companies within my own field fold recently as a result of failed benefactors .

I think this might be a self fulfilling prophecy. Pleo is very much a “word of mouth”  kind of product. A lack of updates and communication is only going to hurt them. They need to drum up interest in Pleo and get people talking again.

It is interesting that supposedly only 10% of Pleo sales are from the US. I wonder if the overseas distributors advertised more?

[Pleotonic]

Hmm maybe this could be a possibility? see here->  http://www.theedgedaily.com/cms/content.jsp?id=com.tms.cms.article.Article_dc89ef61-cb73c03a-10bbd420-9e1cf24f at least if this happens then Ugobe wont go extinct!

[eric]

interesting seems that last report states " for the next fiscal year, Pensonic would focus on research and development as well as market penetration"

"market penetration" would that consist of marketing that would explain pleoroom.com maybe the two forums will merge

[mweed]

"market penetration" would that consist of marketing that would explain pleoroom.com maybe the two forums will merge

Sure, why not.  I'd be happy to merge them into here!

Just let me grab my pirate hat and grappling hooks . . .   
Avast ye scurvy dogs!  Prepare to be boarded!

Oh, wait.  You said merge, not hostile takeover . . .
Gee, now what do aI do with this parrot on my shoulder?

[fancyfont]

Have a diaper under it.

[InmemoryofRomeo]

Wow, just wow... I hope they make it through 'cause I want another Pleo 

[fancyfont]

Check around. They are still very much available. Amazon has them.

[justbede]

I always thought that ugobe seemed a bit small to survive in the harsh world of business and i think it would help if another company not necessarily took over but "helped" them out abit. I do think there was a lack of decent advertising certainly here in the UK where i for one have Never seen a pleo advert. An advantage of a bigger better off company is that they could do research into lowering pleos manufacture and in turn retail price. All that aside i do think what ugobe is doing is the smart thing to do resources that aren't necessary are dead weight in the current economic situation and need to be cut lose to survive.

[InmemoryofRomeo]

Check around. They are still very much available. Amazon has them.

I meant another Pleo in the future I can't afford one just now 

It would be good if they could find a way to keep their manufacturing costs down but they would have to be wary of quality slipping.
Advertising would help a lot I think, D Rex seems to have far more publicity and that is definitely a major competitor for Ugobe. There has been some private advertising done here in Australia by the only store which carries Pleo at the moment but nothing substantial, if it weren't for the fact that I saw the little guys on a news report six months ago I wouldn't know what one was and wouldn't own Matilda today