106_2_Shooger BusinessPlan- FIU Submitted Aug 15 2011

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Presenting
Instant Smartphone Deals
Copyright © 2011
Mobile Promotions Network, LLC
Confidential - Do Not Distribute
Executive Summary
The Business
• Special access and great local deals
to millions of mobile shoppers.
Business Model
• Consumers buy and redeem local
deals instantly on their phones.
• Shooger shares revenue with local
merchants.
Copyright © 2011
Mobile Promotions Network, LLC
Confidential - Do Not Distribute
How it Works
http://youtu.be/EBeLO_pkwIE
Copyright © 2011
Mobile Promotions Network, LLC
Confidential - Do Not Distribute
The Team
CEO
Co-Founder
Alex Stancioff
CIO
Co-Founder
Milen Mishkovsky
• Co-founder SugarShack Animation, the studio behind Comedy Central’s “Lil Bush”.
• Co-founder of two local marketing technology companies - Click Forward and CodeSpring, both sold
to YellowBook USA (LON: YELL) in 2006.
• Director of M&A, Wayne Huizenga‘s Republic Industries, Inc.
• MBA with high honors from Georgetown’s McDonough School of Business.
• Judge: 2011 South Florida Business Journal's 2011 Entrepreneur Awards.
Milen manages the company’s software development, infrastructure and technology strategy.
In 1997, Milen co-founded CodeSpring, an enterprise software development company. In 2004,
CodeSpring began specializing in online advertising systems for small businesses.
That same year, recognizing the emerging need for small businesses to advertise easily on search
engines and elsewhere online, Milen co-founded ClickForward. The award-winning platform of this
search engine advertising company was one of the first of its kind. CodeSpring and ClickForward were
both acquired by YellowBook USA (YELL:LN) in 2006.
President
Co-Founder
Anand Narasimhan
Prior to founding Shooger, Anand was a founder and CTO of Voxiva, where he currently serves on the
Board of Directors. Previously he was the founding Chief Technology Officer of j2 Global
Communications, a leading global unified messaging provider (EFAX, Nasdaq: JCOM).
Anand has advised many global organizations on several aspects of technology, markets and strategy
and has numerous patents and publications on mobile communications.
Executive
Producer
Co-Founder
Donick Cary
Emmy-winning writer and producer Donick Cary got his start writing for “Late Night with David
Letterman.” After five years in late night, Cary moved to “The Simpsons,” where he served as a coexecutive producer for four seasons. In 2006 Donick created the animated series “Lil’ Bush”.
Cary has just wrapped the second season of the HBO series “Bored to Death” on which he serves as a
co-executive producer and is currently consulting on the Fox series “Family Guy.”
Copyright © 2011
Mobile Promotions Network, LLC
Confidential - Do Not Distribute
Status of the Business
•
•
•
•
•
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World class technology platform in place
Management team in place
Offshore tech center live – 16 employees
Miami HQ staffed – 20 employees
Sales team hired
Digital Animation pipeline live
Launched in Miami
Launching NY, LA, Chicago Sept./Oct 2011
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Mobile Promotions Network, LLC
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Scalable Infrastructure is Live
Infrastructure built to scale:
• Mobile applications
– iPhone (m-commerce enabled), Android, Blackberry
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•
•
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Website (e-commerce enabled)
IT systems
Digital animation pipeline for viral video production
Sales force automation/CRM
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Mobile Promotions Network, LLC
Confidential - Do Not Distribute
Mission: To provide special access and great
local deals to millions of mobile shoppers.
Users suggest places
where they want
deals.
Shooger sells deals
to consumers on
smartphones.
Sales team gets deals
& special access at
these places.
Shooger’s iPad Sales
Automation System
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Mobile Promotions Network, LLC
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Our pitch to merchants
http://youtu.be/kfcFMUlexRo
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Mobile Promotions Network, LLC
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Merchant videos that consumers love
• Offer free animated viral video
• Merchants agree to post video on their social
networks and email to existing email list
• 7 day turn around
• All digital, low cost animation pipeline in
Bulgaria
• For examples see
youtube.com/user/ShoogerMobile#p/u
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Mobile Promotions Network, LLC
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Our pitch to Consumers
• Listen to experts who share inside info on
great places around you
• Watch our fun animated merchant videos
• Get huge savings at lots of places around youinstantly
• Come to our local events and promotions
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Mobile Promotions Network, LLC
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Market: Mobile Growing Faster than TV or Web
First 10 Years of Ad Share Growth by Modern Media
16%
Mobile (F)
Percentage of Total Ad Dollars
14%
Broadcast TV
12%
Web
10%
Cable TV
8%
6%
4%
2%
2011
0%
Source: Borrell Associates
1
2
3
4
5
6
7
8
9
Years Since Inception (Starting at 0.5% Ad Spend)
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Mobile Promotions Network, LLC
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10
Market: Mobile Commerce and Deals
• U.S. consumers spending more using their smartphones.
– U.S. Mobile commerce expected to grow to $25B by 2015.
• The “daily deal” market alone is surging on mobile and online.
– U.S. Daily Deals sector is expected to grow to $4B by 2015.
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Market: Local Businesses shifting spend from
traditional to digital advertising
BIA / Kelsey
• Local business digital advertising is expected to be $32B by 2013.
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Mobile Promotions Network, LLC
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Key Differentiators
• For Merchants
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Create animated viral videos- sharable content promoting merchant.
Promote consumer loyalty- not one time deals.
Create mobile phone customer list.
Access to mobile shoppers nearby.
Offer multiple, instantly redeemable deals that last longer than a day.
• For Consumers
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Users interact directly with merchants.
Shooger Experts curate content and attract new users.
Focus on density/multiple deals live per city.
Instantly accessible deals and tips.
Fun animated videos
Build engagement through UGC, social tools, and Experts.
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Mobile Promotions Network, LLC
Confidential - Do Not Distribute
Competition fierce in the daily deal space BUT just
beginning in instant smart phone deals.
Large Competitors
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Groupon
• Market Leader
• Groupon Now! Is mobile instant
deals solution
Living Social
• Second place deal site
• Living Social Instant is mobile instant
deal solution
Facebook
• Slowly rolling out Deals on web and
mobile
Google
• Slowly rolling out Offers on web and
mobile
Yelp/OpenTable
• Rolling out purchasable deals
Copyright © 2011
Niche Competitors
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GiltCity
• Focused on high end clients
YipIt
• Deal aggregator not focused on
sourcing but providing relevance
Approximately 450 local/regional daily
deal sites
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Goals and Objectives
• Acquire users
– 2.5 million users by end of 2012
• Acquire deals for sale
– 600+ new deals per month by end of 2012 across
all markets
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Mobile Promotions Network, LLC
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Sales Projections
Gross Monthly Revenue
$1,400,000.00
$1,200,000.00
Existing
User
$1,000,000.00
$800,000.00
Viral
Views
Target
Users
$600,000.00
$400,000.00
$200,000.00
Dec-12
Nov-12
Oct-12
Sep-12
Aug-12
Jul-12
Jun-12
May-12
Apr-12
Mar-12
Feb-12
Jan-12
Dec-11
Nov-11
Oct-11
Sep-11
Aug-11
Jul-11
$-
Gross Revenue
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Mobile Promotions Network, LLC
Confidential - Do Not Distribute
Financial Highlights
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Mobile Promotions Network, LLC
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Challenges
• Merchants are overwhelmed with digital options.
– Shooger provides a unique way for a merchant to highlight themselves
through a short cartoon, and on mobile, and through social media.
• Deal fatigue, low relevance.
– Build relevance through social connections, deal reviews, and Expert
recommendations.
• Marketing and user acquisition
– Need to aggressively pursue users in existing and new markets.
Copyright © 2011
Mobile Promotions Network, LLC
Confidential - Do Not Distribute
Press
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Mobile Promotions Network, LLC
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