Tweetalicious investor presentation

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Connecting consumers & brands February 29, 2012

Transcript of Tweetalicious investor presentation

Page 1: Tweetalicious investor presentation

Connecting consumers & brandsFebruary 29, 2012

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“I’ve been using Tweetalicious since its

beta launch because it’s an easy and fun

way to discover content from the brands I

love.”

- @minderblender

“Like any mass media with growing

content, the key to unlocking value is

giving the consumer a way to tune in

content. Tweetalicious was smart enough

to apply that thinking to commercial

content as well.

- VC or Analyst

“Tweetalicious has been an effective

complement to our search and email

marketing spend, and as a result, helps us

compete with the Amazon juggernaut.”

- Retailer

“Our CPI and CPE ad model is starting to

gain traction now that we’ve crossed

500,000 users. We’re on the edge of

massive scale.”

- CFO

18 months from now…

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What we’re solving

Relevance and control: Connecting consumers & brands

100+ MM active Twitter users

250+ MM Tweets a day

Thousands of retailers on Twitter

79% of consumers use social for offers and discounts

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This is Tweetalicious

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What is Tweetalicious?

First shopping discovery engine on Twitter

Creating a new category on Twitter

Retailers can engage directly with shoppers

Discovery is huge on the Web and no one is doing it on Twitter• Like StumbleUpon only discovery on Twitter

• Unlike StumbleUpon focused on shopping vertical

Targeting new Main Street Twitter users, not geekorati

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Strong founding team

Founding team with success working together • CEO experience w/ LinkedIn, eBay and GSI Commerce

• CMO & CTO successful building a SaaS application from zero subscribers and revenues to a 7-figure run rate

Board of advisors experience:

Don Albert Siva Kumar Brock Weatherup Brad Stevens

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A big market: discovery on Twitter

20 MillionStumblers

Twitter’s first year serving promoted tweets in 2010 made $45 MM in revenue

• Expected to reach $150 MM in ad revenue this year and projected to be $400 MM in 2013

Roughly 500,000 new Twitter users daily 100 MM+ active users

• 10% using Tweetalicious 18 MM annual users $40 MM

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How do we win?

Address the need for discovery on Twitter

Target the promoted Tweet market

Build the right advertising model

Move fast to keep 1st mover advantage as lifestyle Twitter channel where shopping is social, recreational and fun

Improve content offerings in Clothing, Shoes & Accessories category and other important shopping categories

Invest in new products that attract the widest audiences

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Financial projections

Hybrid ad model: $0.10 Base CPI + $5.00 CPE

Advertising triggers once we reach 500,000 users in Year 2

Year 1 Year 2 Year 3 Year 4 Year 5 $-

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

$300,000,000

Expense Income

Year 1 Year 2 Year 3 Year 4 Year 5Income -$ 5,038,786$ 40,826,021$ 111,383,895$ 282,421,546$ Expense 881,472$ 3,868,344$ 9,911,102$ 19,704,152$ 31,683,919$ Net Income ($881,472) $1,170,443 $30,914,920 $91,679,743 $250,737,627

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How do we win?

Address the need for discovery on Twitter

Target the promoted Tweet market

Build the right advertising model

Move fast to keep 1st mover advantage as lifestyle Twitter channel where shopping is social, recreational and fun

Improve content offerings in Clothing, Shoes & Accessories category and other important shopping categories

Invest in new products that attract the widest audiences

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Product pipeline

Mosaic• Scrapbooking approach

to snacking on Twitter content

Merchant Portal• Brand, retailer, merchant

and media partnerships to drive unique content

Mobile apps

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Asking$500,000for 15%

…Today