Acquisition project | Clearmind

Background

Clearmind is an AI-powered self therapy platform that provides CBT based insights for a positive mindset on daily journal entries, Music & Podcasts recommendations, actionable to-dos and generates real-time, context based meditation to calm the mind.

The mission is to harness AI and use proven techniques to bring a paradigm shift in the way people reflect on their inner selves - similar to how they maintain their physical health - and reduce the number of people that need access to costly and inaccessible traditional therapy methods like 1:1 sessions.

The Clearmind community began taking shape in November 2022. Contrary to popular belief, the conversations with the users on the MVP version revealed the need for a platform where there is no human at the end of the loop to judge raw emotions shared by the users. As a result of a research conducted with 86 users, some even suggested that it is better than traditional therapy.

Anika Beri, the founder, brings ten years of experience as one of India's top clarity coaches, where she utilized spiritual coaching, mindfulness, and community healing methods. These approaches were instrumental in building Clearmind and also acquiring the initial user-base.

Today, the web-based app has over 60,000 users across 106 countries, with Germany, the UK, and Iran being the top countries, and it has plans to expand into the B2B healthcare sector, which has already shown a lot of interest in the product.

Stigma: Two-thirds of those who need help avoid doing so due to stigma and cost. As per the UN, average time a person takes to seek help is 10 years! (source)

Shortage: The US has 1 expert for 30,000 needing mental care. (source)

Urgency: Every 40 seconds someone dies by suicide globally. (source)

1. Voice chat in 120+ languages: Dive into insightful chats, discover hidden emotional patterns, and get tailor-made strategies to better your well-being. Our mental health chatbot provides affordable therapy at your fingertips, anytime you need.
   
2. CBT based response: Clearmind's AI is built on Cognitive Behavioural Therapy technique to identify thought patterns in your words overtime, reshape your thinking and help you map your progress in your emotional journey.
   
3. Music and Podcast recommendation: Analyzing your current mood and previous interactions, Clearmind offers a variety of personalised suggestions to brighten your day. The more you converse with it, the better it understands your taste.
   
4. Daily To-do's: It automatically finds your perfect goal, breaks it into easy tasks that promise growth. The cherry on top? You can tick them off in less than a day!
   
5. Personalised meditation: Experience the future of mindfulness with Clearmind's real-time, hyper-personalized meditation. Our scripts adapt to your unique mood and life's narrative, paving your path to inner peace.

1. Personalization of Mental Health Care: The domain benefits from leveraging AI to provide personalized experiences adjusted to individual emotional states. This increases user engagement and effectiveness of interventions by adapting content based on real-time feedback.
   
2. Accessibility of Support: AI mental health apps make access to mental health resources easier, making them available 24/7.
   
3. Data-Driven Insights: These platforms utilize data analytics to offer insights into users' emotional patterns, helping them understand triggers and develop coping strategies. For instance, mood tracking features allow users to visualize their emotional journey over time.
   
4. Integration of Therapeutic Techniques: Many apps incorporate proven therapeutic frameworks such as CBT or mindfulness practices, improving their credibility and effectiveness.
   
5. Ethical Considerations: The use of AI in mental health raises ethical concerns regarding privacy, data security, and the potential for over-reliance on technology. Apps prioritize user data protection through encryption but must continually address these challenges as they evolve.
   
6. Community Support Features: Some platforms allow community engagement by allowing users to share experiences and coping strategies, creating a sense of belonging that can enhance emotional well-being.

https://www.youtube.com/watch?v=RXBqjMNQow4

-Social media and word of mouth are the star acquisition channels
- Payment has been an issue with the current users
- Users love dropping positive feedback after a good experience
- Security and privacy concerns are a thing while using the app
- More multi-lingual requests are seen
- Better and more accurate AI responses will help retain users
- When emotions are reflected back at users, they get more clarity and a 'aha moment'

Since Clearmind is a B2C mental wellness platform, the target customers are people who already take online therapy in some form across various demography and across all genders.

To calculate TAM, SAM, and SOM, we need to:

1. Understand the global and India-specific mental health market size.
2. Narrow it down to the number of online + AI therapy usage.
3. Consider Clearmind's potential market penetration based on competition and market demand.

Total Addressable Market (TAM)

TAM refers to the entire market demand for a product or service, assuming no competition and 100% market coverage.

Key Metrics to Calculate TAM:

1. Global Online Therapy Market Size

• Current Market Size (2024): USD 9.68 billion
• Future Projections (2031): USD 24.80 billion
  
  2. AI Therapy or Alternative Growth Market Size
• Current Market Size (2023): USD 0.92 billion
• Future Projections (2033): USD 14.89 billion
  
  Total TAM = USD 9.68 billion + USD 0.92 billion = USD 10.60 billion

Key Metrics to Calculate SAM:

1. If the TAM for online therapy is USD 10.60 billion, and assuming that busy professionals and students make up about 40% of this market, the SAM would be:
   
   SAM = 40%×USD 10.60 billion= USD 4.24 billion
   

Key Metrics to Calculate SOM:

1. If targeting a 5% capture of the SAM in the initial years post-launch, the SOM would be:
   SOM = 5% × USD 4.24 billion = USD 0.212 billion

Conclusion:
- The market is growing exponentially especially in the US and Asia-Pacific regions
- No two companies are using AI for the same reason, hence reducing direct competition while still validating the space.
- Clearmind stands out with its hyper-personalized approach, something that even users appreciate the most.
- Competitors like Wysa and Ginger emphasize hybrid models combining AI with human therapists.
- Understanding local cultural contexts is crucial for maximizing impact, a space where Clearmind is lacking.
- These tools are still meant to complement—not replace—human interaction in therapy settings.