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‘Figuring’ out mobile PortoLynx Networks Inc. [email protected]

Figuring out mobile advertising

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Page 1: Figuring out mobile advertising

‘Figuring’ out mobile

PortoLynx Networks [email protected]

Sept 2012

Page 2: Figuring out mobile advertising

Urgency – Markets grows $2b to $2.5b every 6 months

Source : 4 Strategies for news companies as mobile ads displaces Desktop exposure

Do media groups have the 1 to 2 years to ‘figure out’ mobile ?

Page 3: Figuring out mobile advertising

Mobile, too small to worry about ? Online group don’t think so.

Millions

Page 4: Figuring out mobile advertising

Do online groups have the right mobile model ? No?

Criteria commonly used for Mobile

Google Twitter Facebook Groupon eBay

Transactional No No No Yes Yes

Targeted Loosely Loosely Loosely Loosely No

Measurable results

Yes, conversions No No Yes Yes

Local SMB focus Yes No Yes Narrow No

Location Based No No No No No

Page 5: Figuring out mobile advertising

Are they moving to address these issues in the next 18 months ? Yes.

$3b in acquisition over last 2 years

$1.5 b for 11 acquisitions

12 acquisitions – value unknown

14 acquisitions – value unknown

23 Acquisitions for over $1.5 b

Page 6: Figuring out mobile advertising

PortoLynx attacks the weaknesses of online groups by building on your strengths.

Local : 80% of spending on products occurs locally, 100% of services

Local: 80% of consumers want to support local businesses due to recession (up from 55%)

Local: Over 40% of consumers want local deals from small businesses they know

Local: Over 50% of local consumer ‘Trust’ their community newspaper.

Page 7: Figuring out mobile advertising

We are a white label mobile platform aimed at the media market.

App distributed simply via SMS download link to subscribers, readers, online users

Immediate, self serve, flexible and cheaper

Buy Local Markets – access to local products

and services

Page 8: Figuring out mobile advertising

Our revenue model is based on access and results

Real Time Referrals

Click Through

Secondary Action

SMS enquiry

Real Time Referrals

Criteria PortoLynx

Transactional Yes

Targeted Yes

Measurable results

Yes

Local SMB focus Yes

Location Based No

Media Group App.

Page 9: Figuring out mobile advertising

We add value by,

Consumers Location based shopping

Support for Local business

Cash rewards

Small Business Targeted to real local consumers

Cost linked to targeting and results

No work no investment mobile strategy

Media Groups New & independent revenue stream

Potential to monetize subscribers, readers, online traffic

Expansion of advertiser base

Groups Value Added

Page 10: Figuring out mobile advertising

Where it leads – aggregates Mobile pennies

2012 2013 2014 2015 2016$0.00

$0.10

$0.20

$0.30

$0.40

$0.50

$0.60

$0.70

$0.80

$0.90

$1.00

PrintMobile

Revenue per Circulation Unit

2012 2013 2014 2015 2016$0.00

$0.05

$0.10

$0.15

$0.20

$0.25

$0.30

PrintMobile

Profit per Circulation Unit

Print figures will vary with markets while mobile will vary with assumptions made. An interactive model is available to test individual cases.

Page 11: Figuring out mobile advertising

What it would take to replicate our platform,

SMB online network – 4 years

Buy Local Marketplaces – 18 months

SMS – Enquiry engine – 12 months

Final Prep for Mobile Pilot – 2 months

Up to 20 pilot sites – 2 months

Implementation of Mobile Pilot – 2 monthsMedia Partners

Start Here

Full scale Rollout – starting in 6 months

Page 12: Figuring out mobile advertising

What can we give you? Knowledge and time.

Your Stop Go decision points

Detailed Briefing.Cost equivalent – 2 man weeks

Series of 4 briefing sessions tracking continuing development, implementation& operating metrics. Cost equivalent - 4 man months

Work with you to implement your own pilot. Cost linked to scale.

Page 13: Figuring out mobile advertising

Is mobile a bubble or a revolution ?

If a revolution, what can you do in the next 6 month that would be as cost effective as taking up our offer ?