OfferSavvy is a tech startup that provides awesome software tools that help small businesses and online retailers increase traffic, engagement, conversions, and sales both On-site and Offsite. Our OfferSavvy.com marketplace is currently in live beta, and allows people to easily share their inventory with our community of users, driving new and qualified traffic. Our first B2B tool, called SavvyFeed, which is a simple tool for moderating and aggregating user generated social media content into your website, will launch next month at Techweek LA Launch competition and expo in Santa Monica, CA.
1. shopping evolved.
TM
A Social Commerce Marketplace
Discover. Collect. Socialize. Shop & Earn.
Contents Private & Confidential – Social Rewards Network, Inc., 2013/14
2. This presentation is being furnished to you on a confidential basis and may not
be reproduced or distributed without the prior written consent of Social
Rewards Network, Inc.
This presentation includes plans that the founders and management of Social Rewards Network, Inc. (the
“Company”) have created to develop the business and technology of the Company over the next several
years. The Company cannot and does not represent or warrant that its plans, future technology, sales or
profits as discussed and projected in this presentation or our business plan will develop or occur as
projected here. As with any business plan, ours is a work in progress and is subject to revision at any time,
without notice to anyone viewing this presentation, based on market conditions, changes in technology,
the actions of competitors, vendors and customers and numerous other events and conditions, many of
which are outside the control of the Company and its management.
This presentation is not an offer to sell or a solicitation of an offer to buy any securities of the Company.
3. Disrupting current ecommerce & emarketing models with data, economics
and "social" innovation
Strong and experienced team in place
Initial seed funding bootstrapped in excess of $800,000 for concept/platform
development & launch
$1T+ addressable market with growing demand
Forecast to achieve profitability 2015
Peak incremental funding needs estimated at $3.250MM
Multiple potential exit strategies
4. Apps / Tools / Services
On-Site
Enables social engagement where
shopping is occurring
Retain consumer attention
Potential to influence final
purchase
Leverage fan base
On-Site tools developed to create merchant direct
channel that will both drive marketplace success
and accelerate path to revenues & value
Marketplace
Off-Site
Enables shopping where social
engagement is occurring
Attract consumer attention
Influence product discovery
process & ZMOT b4 purchase
Leverage fan base
Off-Site social marketplace to create product
discovery communities for engagement and
customer acquisition channel for merchants
Parallel efforts to speed time to revenue and ability to innovate with market requirements
5. E-commerce 1.0: The web store
Digital analog of the strip mall:
Impersonal
Isolated
Fragmented
Utilitarian
Merchant-driven experience
E-commerce 3.0: The OfferSavvy Marketplace
Digital analog of festivals and markets:
Social
Connected
Co-created
Personalized
Energizing
Consumer-driven experience
6. 634 million est.
websites worldwide
Consumers spend
$1.1 trillion
worldwide
Advertisers spend
$62 billion in the
US alone
connecting the dots
and $330 billion in
the US alone
2.4 billion online
worldwide
1.7 billion people
active in social
networks
7. Content
The OfferSavvy Opportunity
Commerce Advertising
Social
Socially engaging… Relevant to your needs… Fun to do… and Personalized
8. Private, Invitation Only and
Public Circles & Collections
Consumers:
Holiday Wish Lists
Special Events
Shopping with Friends
Big Date Ideas
Big Trip
Favorite Hobbies
Merchants:
Flash Sales
Special Offer Collections
Customer Engagement
Differentiated Loyalty Sales
9.
10.
11. “Productize” embed technology to offer app services on hosted ecommerce platforms
Strong market validation for product demand
Social media curation
Product feed to OfferSavvy
Social threads
On-site product collections
Shopify, Wix & Magento all support app marketplaces
TintUp running at 500 downloads per day on Wix w/$290k monthly billing
CouponPop promotion tool has 50k installs in Shopify w/$500k monthly billing
Mutually reinforcing model for providing both on-site tools and off-site marketplace
Enhance depth and breadth of catalog
Promote merchant engagement
Improve visibility to consumers and merchants alike
Utilizing technology investment for multiple potential revenue streams
12. “Competition generally designed as “digital closets” and wish lists, with true social interactivity, and frequently commerce, as an after thought.”
Company
OfferSavvy
Wish
Fab
Wanelo
Fancy
OpenSky
Pinterest
Centricity
Social, Style & Shopping
Collections
Style Shopping
Style Shopping
Style Shopping
Style Shopping
Style Shopping
Personal Style Boards
Collections
Dynamic Collections
Static “Wish Lists”
Static “Lists”
Static “Collections”
Static “Fancy Lists”
Follow Product “Feeds”
Dynamic Collections
Social
Internal, Integrated &
Post
Reviews & “Wish”
Post & “Like”
Comment, Save & Post
Comment, “Fancy” & Post
Comment, “Love” & Post
Comment, “Pin” & Like
Ecommerce
Central Catalog, Integrated
Stores & Bookmarklets
Central catalog
Central catalog & stores
Affiliate & Bookmarklets
Central catalog
w/bookmarklets
Central catalog & stores
Affiliate
Value Estimate
$1.5 million
Unknown
$1 billion
$100 million
$600 million
Unknown
$3.8 billion
OfferSavvy is creating a wildly social discovery & shopping experience with our customers’ collections and social activity at the center of the experience
13. Deep complimentary knowledge and business experience across ecommerce and emarketing technology spectrum
Justin Boggs — Co-Founder
Started Papa Santi's pizza shops while in college. Founded Bridge Capital Partners - a FORBES Finalist for America's Most Promising Companies 2011 with
over $100 million of annualized client volume on the platform. Bizdom U Entrepreneur.
Alex Danzberger — Chief Executive Officer
Numerous global executive leadership roles in finance and operations, most notably as strategist and M&A executive for market leading SaaS
e-commerce platform Digital River that drove greater than 50% of 8x revenue growth to $400 million through 20 acquisitions over 5 years.
Kevin Raison — Chief Technology Officer
Master computer scientist, architecting systems, networks, and artificial intelligence platforms. An early engineer at Amazon.com and Zillow,
DARPA-sponsored AI projects, and recently published on novel methods for designing recommender and information retrieval systems.
Ed Raison — Lead Programmer
Lead technologist with ZoomCulture.com, built workflow systems and a technology platform delivery of streaming video. UI engineer and JavaScript
programmer for Thrillist.com, Elle.com, and Caranddriver.com -- a site that now produces over $30k in weekly advertising revenue.
Troy Martz — Product Manager & UI/UX
Best-in-class UI designer, pushing open standard technologies, such as HTML5, CSS3, and JavaScript. He has spearheaded efforts with Red Lobster,
Sprint PCS, Dominos Pizza, and many others. Designed telephony system which now logs over 6 billion minutes every month...
Scott Giovanini — Marketing & Business Development
A Decade of experience creating and managing high end campaigns in such competitive markets as entertainment, professional sports, and retail. His
work has been featured on ESPN, FOX Sports, and the first ever Super Bowl player sponsored digital sweepstakes.
Taner Halicioglu — Advisor
Renowned technologist, entrepreneur and investor, first non-founder hired at The Facebook and also major contributor at eBay and Blizzard
Entertainment with an expertise in technology innovation, scalability and performance.
Tim Marusich — Advisor & Investor
Entrepreneur, leader/owner in a variety of businesses, trainer and speaker. After years at Microsoft, he co-founded BlueHornet.com and became its CEO.
After it was acquired by Digital River, Tim stayed on as VP to oversee the transition and growth for an additional 4 years.
14. API
Graph Database
Collections
Social Feeds
Bookmarklets
Mobile
Advertising
Rewards
E-Commerce
Recommender
Q1 ‘14 Q2 ‘14 Q3 ‘14 Q4 ‘14 Q1 ‘15 Q2 ‘15 Q3 ‘15 Q4 ‘15
V2
V2
V2 V3
V2
V1 V2
V1
V3
V2
V1
V1
V1
V1
V3
V3
V3
V3
V2
V2
V2
V2
V3
V3
Built to scale and for rapid development
15. Architecture:
API-based for rapid development & operational flexibility
Search friendly – Every product & collection has a unique URL
Socially viral feature set
Go to Market:
Two-way integration with leading social platforms
Grass roots activity
Bookmarklet launch – motivates merchants to participate
Search benefit of back-links
“Claim” store & social presence to engage with consumers
“App” services launch Q3/Q4 2014
Paid marketing activities building in 2015
Performance Metrics:
Core profitability 2015
6,000 paid monthly subscriptions for tools @ $7.5/month
Marketplace critical mass mid-2016
1.3 million average monthly users @ 16 pages per month
$381 thousand monthly revenues vs. $327 thousand operating expenses
16. E-Commerce
Successful creation of a social marketplace and community platform will create a ready market in which merchants can
and will congregate to reach our consumers
Potential acquirers: eBay (Magento), Yahoo! (Yahoo! Stores), Oracle (ATG), SAP (Hybris), Digital River
Social Web
Successful creation of a social marketplace and community platform will create a commerce specific marketplace through
which social platforms can further monetize their user base
Potential acquirers: Facebook, Foursquare, Yahoo!, Pinterest
Payment Processing
Successful creation of a social marketplace and community platform will provide an interesting supplemental service for
payment processors to offer their merchants for growing sales
Potential acquirers: Visa, MasterCard, Merchant e-Solutions
Independent Route
Reaching critical mass as a social marketplace and community platform will yield strong, demonstrable cash flow and
growth characteristics that would allow for leveraging through a private transaction to accelerate further growth and
potentially roll-up complimentary platforms/products in advance of an IPO
17. Multi-billion dollar market opportunity to disrupt current “traditional” social
engagement, marketing and e-commerce models to make the experience more
purposeful, targeted and rewarding for both consumers and merchants
OfferSavvy will make shopping fun and more engaging and rewarding for our users
and merchants through the full social commerce funnel, from discovery through
purchase
Seeking to raise up to $500,000 of new money on a $3,101,899 pre-money valuation
Initial seed investors converted $555,988 into Series A Preferred
Keshif Ventures invested $300,000 in Series A Preferred
Proceeds applied to approximately:
50% current requirements
30% staff expansion
10% marketing and operating expenses
10% capital expenditures
19. Traditional
Product
Sales
Funnel
Top
of
Funnel
“Product
Awareness”
Middle
of
Funnel
“Inspire
&
Engage”
“AcAvate”
“Transact”
Traditional
View
Ends
at
Sale
Stage
Behavior
Consumer
is
aware
(or
made
aware)
of
a
“need”
and
begins
the
journey
to
find
the
soluAon
Consumer
acAvely
researching
products
to
saAsfy
a
need
Consumer
finds
the
desired
product
or
sAmulated
by
environmental
factors
to
act
Consumer
enters
into
purchase
cycle
to
buy
the
product,
though
sAll
prone
to
final
influence
on
purchase
decision
20. OfferSavvy
Functionality
Map
Top
of
Funnel
“Product
Awareness”
Middle
of
Funnel
“Inspire
&
Engage”
“AcAvate”
“Transact”
Offer
Wall,
CollecAons,
Social
PromoAon,
InvitaAons,
TransacAonal
Circles
(Cause
Campaigns),
“Wish
List”
Circles,
#Tags,
RecommendaAon,
AdverAsing
CollecAons,
InvitaAons,
Social
PromoAon,
3rd
Party
Content,
Item
Sharing,
Role
Ranking
(Discoverer,
Creator,
Collector),
CollecAon
Forums/
Discussions,
gamificaAon
Merchandising,
RetargeAng,
AdverAsing,
Cash
Rewards,
Social
Bonuses
Affiliate
Links,
3rd
Party
e-‐Commerce,
Integrated
e-‐Commerce
Engagement
InVluences
Buyer
Consumer
Behavior
OfferSavvy
Features
21. Engagement
Doesn’t
End
at
the
Purchase
Loyalty
Consider
Purchase
The
“Funnel”
Paradigm
is
Dead
Transact
Social
Engagement
Influence
Experience
•
Purchase
Process
•
Fulfillment
•
Product
Experience
•
Customer
Support
•
Customer
Service
•
Social
•
Feature
Alignment
•
Popularity
•
MarkeAng
Collateral
•
Sales
Support
TRUST
TradiAonal
“Funnel”
focused
through
the
transacAon
22. OfferSavvy
Platform
Business
Model
VALUE
PROPOSITION
COST
STRUCTURE
CUSTOMER
RELATIONSHIP
TARGET
CUSTOMER
(s)
DISTRIBUTION
VALUE
CHANNEL
CONFIGURATION
INFRASTRUCTURE
CORE
CAPABILITIES
PARTNER
NETWORK
REVENUE
STREAMS
•
Mutual
&
Targeted
Discovery
•
Shopping
convenience
•
Reduced
Discovery
Cost
•
Social
Feedback
•
Savings
&
Rewards
•
CommuniAes
of
Interest
•
Fun
&
engaging
user
experience
to
achieve
necessary
ends
•
Natural
merchant
concentraAon
points
•
Social
pla6orms
•
Payment
processors
•
Community
&
collecAon
architecture
relevant
for
micro-‐
markets
across
demographics
as
well
as
offering
highly
effecAve
adverAsing
across
merchants
For
consumers,
the
social
web
depends
upon
open
connecAvity
which
we
plan
to
leverage
for
both
originaAng
users
and
allowing
them
to
broadcast.
•
For
merchants,
we
will
provide
a
toolset
for
easy
catalogue
integraAon
from
their
commerce
system
of
choice
as
well
as
ulAmately
offer
our
own
when
needed.
•
Consumers
access
and
build
personal
“collecAons”
of
interest.
•
Merchants
are
able
to
have
visibility
into
consumer
desires
and
engage
directly
through
the
pla6orm
•
Consumers
receive
variable
rewards
for
their
acAvity
Establish
an
“habitual”
relaAonship
with
consumers
desiring
to
stay
current
with
their
communiAes
and
related
products
and
also
benefit
from
rewards
•
High
operaAng
leverage
•
Self
service
w/minimal
necessary
support
•
Low
customer
acquisiAon
cost
•
Low
overhead
•
Scalable
infrastructure
•
Revenue
share
on
sales
•
Various
adverAsing
models
•
Sponsored
content
•
Merchant
access
fees
•
Technology
services
•
TransacAon
processing
•
Data
moneAzaAon
•
Proven
development
team
•
Lean
model
•
Proprietary
technology
elements
OFFER
CUSTOMER
FINANCE