BbOne
SM
– Built for Success
Presented by
Dan Gretz, Sr. Director, BbOne Operations
April 13, 2005
A word from our lawyers…
•
Any statements in this presentation about future expectations, plans
and prospects for Blackboard and other statements containing the
words "believes," "anticipates," "plans," "expects," "will," and similar
expressions, constitute forward-looking statements within the meaning
of The Private Securities Litigation Reform Act of 1995. Actual results
may differ materially from those indicated by such forward-looking
statements as a result of various important factors, including the factors
discussed in the "Risk Factors" section of our most recent 10-K filed
with the SEC. In addition, the forward-looking statements included in
this press release represent the Company's views as of April 11, 2005.
The Company anticipates that subsequent events and developments
will cause the Company's views to change. However, while the
Company may elect to update these forward-looking statements at
some point in the future, the Company specifically disclaims any
obligation to do so. These forward-looking statements should not be
relied upon as representing the Company's views as of any date
subsequent to April 11, 2005. Blackboard, in its sole discretion, may
delay or cancel the release of any product or functionality described in
this presentation.
2
Welcome
• Session Objective:
– Learn how BbOne generates incremental
university revenue and expands student services
• Innovation
– Students may pass easily between campus and
the local community while maintaining the
convenience of one cashless transaction system
• Results/Outcomes
– Institutions are improving the total student
experience and their bottom line using BbOne
3
The Path to the
Networked Transaction Environment™
EXPLORATORY
INSTITUTIONAL GROWTH
• A single department
solution
Phase I
SUPPORTED
• Multiple
departments
supported by a
dedicated
administrator
Phase 2
STRATEGIC
MISSION
CRITICAL
TRANSFORMATIVE:
THE NETWORKED
TRANSACTION
ENVIRONMENT
• When any student,
teacher, or member
of the university
community can use
a universal account
• A central account
on campus, off
for all members of
campus, and online
the institution that
• Institution wide
can be utilized both for all commerce
support for
transactions,
on and off campus
all campus
activities and
and maximum
transactions and
facilities access and
student and faculty
event access with
web services.
convenience.
back-office systems
Phase 3
TIME
Phase 4
Phase 5
4
The Benefits of a
Networked Transaction Environment
EXPLORATORY
SUPPORTED
STRATEGIC
MISSION
CRITICAL
INSTITUTIONAL BENEFITS
Phase I
Phase 2
Phase 3
TIME
Phase 4
TRANSFORMATIVE:
THE NETWORKED
TRANSACTION
ENVIRONMENT
Phase 5
5
The Products for a
Networked Transaction Environment
EXPLORATORY
SUPPORTED
STRATEGIC
MISSION
CRITICAL
TRANSFORMATIVE:
THE NETWORKED
TRANSACTION
ENVIRONMENT
INSTITUTIONAL GROWTH
Blackboard
Commerce Suite
Bb Transaction Sys
BbOne
BbOne
Bb Community Sys
Bb Community Sys
Bb Community Sys
Bb Transaction Sys
Bb Transaction Sys
Bb Transaction Sys
Bb Transaction Sys
(institution wide)
(institution wide)
(institution wide)
(institution wide)
(1 department)
Phase I
Phase 2
Phase 3
TIME
Phase 4
Phase 5
6
BbOne Overview
BbOne Overview
• Seamlessly integrates with the Blackboard
Transaction System™
• Easily expands the purchasing utility of the ID card
to off-campus vendors
• Utilizes existing campus discretionary accounts
• Manages merchant recruitment, terminal
deployment, funds settlement, and merchant
support
• Provides marketing and account management
resources dedicated to maximizing program
performance
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What We Are Solving For?
• Increasing number of schools expanding offcampus
• Need to offer greater student services
• Desire to generate incremental revenue
• Universities lack the resources to recruit, manage
and settle their own merchant network
• Successful in-house programs strain current
resources and hinder performance and service
• Need for safe, cashless transactions off-campus
• Need for effective marketing support
9
Blackboard’s BbOne Partnerships
10
Program Benefits and
Success Factors
BbOne Program Benefits
University
 Generate revenue from
off-campus sales
Increase depositing
levels and interest float
Offer an enhanced
student service
Enhance town-gown
relations
 Maximize the
investment in your
transaction system
Parents &
Students
 Safe, secure and
convenient payment
platform
 School-endorsed
program including
approved merchants
 Private local network
Merchants
 Access to proprietary
funds, otherwise not
available to merchants
 Access to official
university channels such
as card program web
sites and deposit mailers
 On-campus promotion
 Valuable student
budgeting tool
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BbOne Program Impact
Depositing & On-Campus Spending During the First Three Years After the
BbOne Implementation
•
•
•
•
Discretionary deposits
grow by more than 85%
over the 3-year period
Deposits increase an
average of 25% in the first
year
Deposits & On-campus Spending Increase
200
186
DEPOSITS
180
ON-CAMPUS SPENDING
164
160
Discretionary on-campus
spending increases by 25%
during the 3-year period
140
The first year sees a slight
decrease in on-campus
spending but subsequent
years offset that with near
straight-line growth
100
125
125
120
113
100
98
80
Year 0
Year 1
Year 2
Year 3
* Average results are based on discretionary depositing and spending data provided
by current BbOne clients.
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BbOne Program Success
Factors
• Robust on-campus card program including laundry,
vending, copying, and door access
• Multiple depositing channels including web and deposit
mailings prior to each term
• Concise online and offline marketing of the card
program and account functionality
• Balanced off-campus merchant network including food
and service vendors that complement on-campus
offerings
• Include key categories such as grocery, convenience,
pharmacy, bookstore, and gas
14
Program Elements
Program Elements
4
BbOne Account Team
Marketing Manager
Expert marketing of university card
programs
Operations Support
Provides fast, professional terminal
services and back-end merchant
support
Program Manager
Monitors program performance,
manages results and executes
program components
Merchant Sales Specialist
Skilled at efficient negotiating with
local and national businesses
16
Merchant Management
• Merchant research &
recruitment
• Terminal Set-up &
Support
• In-store signage
17
Funds Settlement
• Automated secure settlement process using bankcard
technology and best practices
• Daily ACH processing of payments from University
Clearing Account
• Monthly fee collection & university royalty payment
• Merchant and university reporting
• Dispute management and resolution
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Funds Settlement Reporting
Monthly University Report
Merchant Periscope Report
19
BbOne Marketing Services
• Clients can leverage our marketing expertise and
economies of scale to achieve their ROI objectives
• Geared toward the core strategic goals of:
• Increasing cardholder deposits and usage
• Educating cardholders
• Building a card program brand
• Blackboard provides strategic development and
creative support of collateral such as:
• Pre-term deposit mailings, card program brochures, flyers,
and card office signage
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Marketing Menu
Flyers
Market on- and off-campus
locations and other card program
information with this useful piece
that can be posted on campus,
used as a mailbox stuffer, or
passed out at events.
Brochure
Deposit Mailer
Pre-term mailings to parents
have proven to be the most
effective way to stimulate
deposits. BbOne manages all
aspects of production and
fulfillment.
Brochures provide information
about new spending options
available and promote the
entire card program.
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What’s New?
IP Connectivity
Merchant need for fast processing drives
development of high speed device for offcampus transactions.
National Partners
Growing scale of BbOne to 40+ client
sites is attracting national partner interest.
Online Merchant Application
Coming soon, merchants will be able to complete their
BbOne application online, making for faster more
efficient set-up of new vendors.
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Related Presentations
“The Journey Off Campus”
DATE: Wed. April 13th
TIME: 3:05 – 3:55 pm
“The George Washington
University and Bb One”
DATE: Wed. April 13th
TODAY: 4:05 – 4:55 pm
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Closing Slide
• Innovating Together in ‘05:
– BbOne provides a cost-effective, revenue-generating solution for
expanding card programs off campus
– BbOne has the program management and marketing experience to
help grow your overall card program, including on-campus spending
and dining
– BbOne provides parents the level of control they desire and students
the flexibility they need
• Follow up Contact(s):
– Dan Gretz, Senior Director of Operations, BbOne
• E-mail: dgretz@blackboard.com
• Phone: 800-424-9299, ext. 2230
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