Transcript 123win! - Amazon Web Services

Contests. Deals. Rewards.
© 123win!
The Industry
Contests / Sweepstakes & Deals / Offers
are two of the most popular digital
marketing tactics worldwide used by
companies of all sizes
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The Competition
• Competition: Sweepstakes / Contests
- Destination sites / platforms (Spriza)
- Social media tools/apps (Woobox, Gleam, Tabsite)
- Marketing Agencies*
• Competition: Deals / Offers
- Destination sites / platforms (Groupon, LivingSocial)
- Social media tools/apps (Woobox, Tabsite)
- Marketing Agencies*
* Potentially, also a partner
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The Problems
SWEEPSTAKES / CONTESTS
Problem 1: Validity
Validity of contests/sweepstakes when organized “internally” by
merchants; especially SMEs (i.e. participation process, draw, etc.)
Problem 2: Local Marketing
Most sweepstakes platforms are not designed for local businesses
Problem 3: Social media platforms
Facebook, Twitter, etc. are not designed for contests/sweepstakes
Facebook no longer allows “Like to Win” contests/sweepstakes
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The Problems
DEALS / OFFERS
Problem 1: Perceived value of product/service
Big discounts (50-%70% off), without group-buying as a prerequisite
(minimum sales volume), affect perceived value of products/services
Problem 2: Consumers pre-paying full amount
Paying $20-$30-$100 for vouchers that may be redeemed weeks later
Problem 3: Merchant payments
Deal sites collect the money from deals; send cheques / wire money
to merchants several weeks later (in installments)
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123win! Value Proposition
VALUE PROPOSITION TO MERCHANTS:
• Synergistic “dual platform” (Contests & Deals)
• Brand-product awareness / Lead Generation / Sales
• Third-party contest organizer ensures validity
• National or regional/local contests/sweepstakes
• Deal discounts “justified” as part of group-buying
• Offering customers the option to buy or “secure” deals
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123win! Value Proposition
VALUE PROPOSITION TO MEMBERS:
• Free to join, trusted, and secure
• Enter contests for a chance to win fabulous prizes
• No need to be part of social networks to enter contests
• Option to a) “secure/lock” or b) buy deals
• Enjoy premium membership benefits (credits, etc.)
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123win! Differentiation
CONTESTS: WHAT MAKES US DIFFERENT
• Trusted platform (third-party organizer)
• National as well as local/regional contests
• No need to be part of social networks to enter
DEALS: WHAT MAKES US DIFFERENT
• Secure/lock deal option (on some deals)
• Premium Membership
• Money processing
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123win! Deals
SECURE / LOCK DEALS
On some deals, 123win! will enable its Members to pay a
small amount ($2-$10 depending on a deal’s total price) in
order to “secure” / “lock” a deal and pay the rest of the
deal’s amount when the voucher is redeemed at the
Merchant (i.e. 1-3 months later)
BENEFITS
• Consumers: Easier to become “frequent” shoppers
• Merchants: Potentially attract more customers
• 123win!: keeps 100% of amount (deal commission)
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123win! Deals
PREMIUM MEMBERSHIP
Premium Membership will enable 123win! Members to:
• Gain access to exclusive deals
• Easily buy or secure deals with 1 click
• Get credits / use funds towards deal purchases
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Deal Sites: Payments
PAYMENT PROCESS OF DEAL SITES
(i.e. Groupon, LivingSocial)
Consumer pays Deal site
Deal site sends cheque(s) or bank wire to Merchant*
(revenue-share less cancellations & credit card fees)
* Either within 10-30-60 days after deal ends or as vouchers are redeemed
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123win! Deals
123win! will use PayPal’s
Delayed Chained Payments solution*
and pay Merchants immediately after a
voucher’s cancelation period expires
(i.e. 14-day standard refund policy)
* Link: http://bit.ly/PayPal-AdaptivePayments
© 123win!
123win! Sources of Revenue
• 123win! Contests / Sweepstakes
- Contest set-up fees
- Opt-in Leads (pay-per-lead)
• 123win! Deals / Offers
- Buy deal commission: 10% - 20% of deal sales
- Secure deal commission: $2 - $10 per secured deal
• Premium Membership: $10 & $20 membership levels
• Banner Advertising
• Affiliate Marketing
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123win! Facts & Figures
• Launched contest platform in Greece and Canada
• Over 150 daily entry contests organized
• More than 1,500,000 contest entries
• High member loyalty
• High contest entry frequency
• 20%-25% opt-in rate (lead generation)
• Viral growth / very low acquisition cost
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123win.gr Contests
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123win.ca Contests
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123win.gr Facebook Page
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123win! Member Value
Each Member who joins 123win! adds value
to the company throughout their “lifecycle”.
Value is determined by the following:
- Opt-in (Lead from Contests)
- Buy / Secure Deals
- Ad clicks / actions
- Inviting New Members
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123win! Member Value
$10 - $20
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123win! Use of Proceeds
• Launch deals platform in Greece
• Acquire Greek deals site
- 1.2M Euros in sales in 2 years
- 300,000+ vouchers sold
- 200K e-mail subscribers
• Product Development
- Integration of acquired deal platform to 123win!
- Mobile app (iPhone & Android)
• Hires
- C Level, Business development, Tech / Product development, Customer support
• Marketing / Advertising
• Expansion in the US, UK, India and other markets
© 123win!
123win! Revenue Projections
Sources of Revenue
Contests
Deals
Membership
Ads/Affiliate Marketing
Total Revenues:
2015
2016
2017
2018
2019
$10,000
$50,000
$100,000
$200,000
$250,000
$100,000
$500,000
$1,000,000
$1,500,000
$5,000,000
$10,000
$100,000
$500,000
$2,500,000
$5,000,000
$1,000
$5,000
$10,000
$25,000
$50,000
$121,000
$655,000
$1,610,000
$4,225,000
$10,300,000
© 123win!
123win! Inc.
Head Office
1233 de la Montagne, suite 101
Montreal, Quebec
H3G 1Z2 Canada
E-mail: [email protected]
© 123win!