Cyber Sport Problems Nowadays, there are three major problems in the industry of cybersport. The first one is that a large number of parents consider cybersport to be dangerous, harmful and unpromising in our country. This opinion was caused a ripple by misconception about computers. Most parents believe that computers and everything connected with them to be extremely damaging to a child's psyche. Moreover, our society still does not see a real financial perspective in cybersport. Second issue is the lack of specialized institutions that can professionally train future cyber athletes. Most of the already existing legends of domestic eSport achieved all heights themselves. The last, but not the list is future prospects after the end of cybersport’s career. Many ex-sportsmen fail to find a place for themselves after their careers end, starting to work regular jobs, losing their potential. Solutions To solve these problems, we propose our own project- Сyberschool. It will support us to hone on one initiative instead of spreading thinly across many causes. It will be an official facility which will be in concert with current trends where any child can become a cyber athlete under the guidance of industry experts. We are sure that you are wondering how this will help solve the above problems. Firstly, cyberschool will be promoted by Buzz Marketing. We will use provocative slogans that will show the benefits and prospects of the industry in SEO and social networks. Such is: The biggest prize pool is $40 million! The youngest cyberspotter is already earning more than many adults at the age of 13! You only need 1 year of training to have a steady income of 100,000 rubles a month! Computer games help with education! The creator of SPACEX considers computer games beneficial and plays them himself! Second solution kills two birds with one stone. We plan to invite former cyber athletes to train future ones. We will not only catch someone’s eye, but also gain traction in the eSport industry. Products Now I would like to go into our product deeply and tell you how it works. We plan to have three different programs based on the main and most popular eSports games. 1. League of Legends 2. Dota 2 3. CS GO For each program, we plan to select different pre-vetted specialists with high success in eSport, who will help to focus on core activities. Our school will display following group categories: 14-17 years 18-21 years 22-25 years All groups will not exceed 30 people for optimum productivity within the team. We will have an internal ranking to be voted by an independent jury which will count as the most valuable net effect of taking part of individual students and reward the most successful ones. This will create healthy competition within the school, which will increase productivity. Furthermore, it builds real connections with them. At the end of the education, our school will award certificates of completion. Market size It is very difficult to assess the real size of the whole sports audience. However, I want to show that sport is always developing and attracting more and more new customers. Let us look at the last trend. I mean cybersport. The most interesting thing to notice is the increase in the ratio of loyal fans to casual spectators. It makes up 109 percent in 2019. We would also like to draw attention to the constant growth of general viewings ensuring quick growth and development for the whole industry. According to NewZoo estimates, Russia is also in fourth place in the world for the number of "cybersports enthusiasts" - those who watch broadcasts of tournaments by professional teams and streams (video broadcasts of individual players' gameplay) more than once a month. There are about 6.8 million of them in Russia. Market participants believe NewZoo's estimates are exaggerated. According to the head of the cyber sports organization Winstrike Yaroslav Komkov, the audience of eSports in Russia is now about 10-12 million people, of which about 4-5 million people are «enthusiasts". Business Model We are planning to have 3 different rates for 3 age groups to manage funds flow easier. Understanding that the youngest group will be at school we will only have classes at weekends. They will pay 3000 rubles for one couple of weekends. Our team decided to charge for a year's tuition for the second and third age groups. The oldest group will pay 210000 rubles a year and the other 180000 rubles. Moreover, we will have special food vending machines that will bring us a steady income. We believe that it unleashes a cultural phenomenon and draw thousands of walk-up participants. Competition Talking about competition, we can divide our competitors into 2 categories. Firstly, since inception of cyber industry there were some solo cybersportsmen, who organize their business process themselves and give personal lessons. Examples of such businesses are Zeus Cyber School and freeGame Club. However, there is another category, where we can find our main competitors. There are some cyberschools or even cyberuniversities, who sign contracts with professional cybersportsmen or professional trainers and they give personal lessons to groups of students. Examples of such businesses are Faculty of gaming industry and eSports of Sinergia university; CTRL PLAY academy; Quazar School and many others. Advantages, underlying magic And now let’s move to advantages. We would like to present especially innovative business model, which differs from business models of our competitors. Firstly, we are going to give certificates to our students who finished our program and passed all exams. These certificates will help them to find job in our partners’ companies and make their career in future. Secondly, we will have brick-and-click business and flexible schedule. Our students will be able to choose any interesting lesson and connect both online and offline. Next advantage is that there will be opportunity to take lessons not just in big groups where approximately 30 students of students, but in teams of 5 players. This format will help to target team’s resources more effectively and reach their potential. One more thing is that our students during the program will take part in real competitions with a chance to earn the Gold Winner award. Finally, our advantage is that we guarantee wages of our trainers and personnel in general. 9. Go-to market plan Talking about promotion tools, firstly, we will use social media marketing. We will advertise our company in VK, Facebook, Twitter and Instagram and it will help to attract new customers. Secondly, we will use guerilla marketing. Launching a guerilla campaign will be possible, because we are going to make our own cyber competitions. Next, buzz marketing is very important in our business. We will make some videos, where celebrities of cyber industry will promote cybersport and our company as a lifestyle. Finally, ambush marketing will help us to strike a consumer at a more personal and memorable level. This type of marketing will help us to make a big splash without busting the wallet. Professional in cyber industry will promote our brand when they are watched by millions of their fans. Milestones Revenues for the 1 year (rubles) 5000000 3750000 2500000 1250000 0 January March May July September November Revenues Total revenues: 34330000 Students for the 1 year 350 280 210 140 70 0 January March May July September November Students Profit for the first year (rubles) 3250000 2600000 1950000 1300000 650000 0 January March May July Profit Total Profit: 21756000 Fundraising September November Now let's talk about fundraising. On this tablet you can see our one-time expenses. We will spend a lot of money on computer components. We will also buy gaming mice, headphones, and chairs for them. We will have a total of 90 gaming seats for our students. Next, we will buy 3 magnetic marker boards because this will help the coaches explain game strategy to our students. Another thing is that we will spend 600,000 rubles on our website and we need 6,000,000 rubles to pay our regular expenses for the first few months. Finally, we need you to invest about 22 million rubles, which is about the same amount we plan to make in the first year. Now let's talk about our regular income and expenses. Students ages 14-17 will pay us 3,000 rubles per weekend, which is about 144,000 rubles per year. Students 18-21 years old will pay 180,000 a year, and students 22-25 years old will pay 210,000 rubles a month. One more thing - we will have 6 coaches with a salary of 48,000 rubles. Then we will have an additional income of 1 500 000 rubles per year and we will spend 300 000 rubles per month on marketing. Our maximum profit per year will be about 30 million rubles, and the ideal income is 50 million rubles.
