Catalyst SF

… an Introduction Developed: July 2007

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State Of The Industry

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“Marketing services includes some media offerings, such as online ads. But much of marketing services doesn't fit in the box of an ad to be sold. For companies in the business of selling media space and time, a shift to non-media forms of marketing poses a fundamental challenge.”

• Ad Age article June 11, 2007• http://adage.com/article?article_id=117247

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Observation Of Trends Shaping The IndustryMarketers• The audience is highly fragmented and the majority of the audience is shifting their

attention towards niche media (The Long Tail).• Paid media can only go so far to reach the audience, that marketers need to find

more innovative ways to speak to their audience.

Publishers• Niche sites and niche services are difficult to develop, difficult to monetize and rarely

aggregate a large, singular audience.• Emerging Media technologies rarely succeed without strong marketing assistance

and large fund-raising efforts.

Marketplace• There is more demand than supply for highly effective, targeted inventory (more

dollars than inventory for key audiences).• There is a gap in the marketplace for helping marketers utilize emerging media and

integrate them into their standard opportunities to reach their objectives.

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Hypothesis A

There is a significant role for strategy and matchmaking between marketers, publishers and emerging media technologies as these represent a new opportunity for media strategy.

• Marketers: looking to reach the fragmented audience will consider emerging media opportunities to supplement paid media.

• Publishers: looking to provide new services and touch points to reach their audience will invest in emerging media opportunities.

• Emerging Media: are looking to build audience quickly but lack relationships and funding to do so in an effective manner.

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Hypothesis B• There is a significant portion of the marketer’s

budgets that are available for creating new types of relationships.

• 100% of dollars are spent online• 40% of these dollars are spent against search• 60% of these dollars are spent against display

• 50% of these dollars are against networks and portals• 50% of these dollars are available for other

opportunities

• Approximately 30% of online $ are available to be spent against emerging media opportunities.

• Translates to approximately $6 billion in 2007.

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Hypothesis C: The Catalyst Model

• Businesses’ looking to expand their marketing dollars beyond paid media and non-paid media in the digital space will need a Catalyst.

• A Catalyst for growth.

• A Catalyst for success.

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Proof: Holding Companies Invest in Digital Media

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The Catalyst SF Model

• Our Marketing Capital model supplies a service to companies looking to reach a fragmented audience using emerging media formats via supportive marketing dollars (investment sponsorships).

• Effectively we use marketing dollars and proven strategy to reach a targeted audience with emerging media technology.

“Mass” or Broad-Reach Media

Emerging Media

Agencies

Catalyst Strategy

Marketers Publishers

Paid Media

Non-Paid Media

New Media

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Catalyst SF

• Definition• Services

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Definition a: “Marketing”

mar·ket·ing          m r k  t ŋ/ Pronunciation KeyShow Spelled Pronunciation[ˈ ɑ ɪ ɪ mahr-ki-ting]

1. the act of buying or selling in a market. 2. the total of activities involved in the transfer of goods from the producer or seller to the

consumer or buyer, including advertising, shipping, storing, and selling.

Source: Dictionary.com, June 2007

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Definition b: “Capital”

cap·i·tal1          kæp   tl/ Pronunciation Key - Show Spelled Pronunciation[ˈ ɪ kap-i-tl]

4. the wealth, whether in money or property, owned or employed in business by an individual, firm, corporation, etc. 5. an accumulated stock of such wealth. 6. any form of wealth employed or capable of being employed in the production of more wealth. 8. any source of profit, advantage, power, etc.; asset: His indefatigable drive is his greatest capital.

Source: Dictionary.com, June 2007

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Definition c: “A Marketing Capital Firm”• A company or group of people that can provide a source of

profit, advantage, power, in the form of strategy or assets, to benefit the total of activities involved in the transfer of goods from the producer or seller to the consumer or buyer

Creates strategies and assets that:• Organically attracts its own stand-alone audience• Provides marketing message opportunities• Provides evergreen availability• Does not represent a singular strategy, but is part of a whole

Source: A Mash-Up of Dictionary.com, June 2007

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The Marketing Capital Pitch…

Strategically allocate dollars to two areas:

• Strategic Capital• Asset Capital

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Marketing Budgets Can Create Assets, Not Expenses

Paid Media: Advertising, Sponsorships, and others.

Non-Paid Media: Buzz Generation, Distribution, etc..

Emerging Media Investment Sponsorships: Create assets and own partnerships for perpetual media opportunity.

1.

2.

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Strategic Capital

Asset Capital

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Digital Media StrategyCatalyst can assist companies of all sizes to develop strategies that allow them to find the most effective, most efficient and most direct means of conveying their message to their intended audience in order to drive measurable results and impact their business growth using digital media.

Specific deliverables and services offered here include:• Online and Digital Marketing or Media Strategy• Digital Trend Analysis• Online and Digital Media Training

• Branding and Direct Marketing Online• Emerging Media Integration• Internet TV & Digital Video• Social Networking & Digital Communities• Search: Web 2.0 and Web 3.0• Mobile: The Moving Target• Gaming and In-Game Marketing

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Marketing Asset DevelopmentCatalyst has developed a unique Investment Sponsorship Model whereby marketing dollars are utilized to create tangible assets such as websites, online services, games and widgets. These Investment Sponsorships are created by bringing together multiple brands to create a singular asset which they own.

• As the asset develops and achieves critical mass through our cooperative marketing efforts the brands continue to gain exposure to their intended audience, creating a perpetual media value for the brand.

• These Investment Sponsorships typically include anywhere from 1 to 5 investment brands.

• Examples of Marketing Assets we create through our Investment Sponsorship Model include:

• Content Sites, Games & Widgets• Digital Services and Platforms• Digital Video(s)• Podcasts and Audio Content• RSS Subscription• Community and Social Networking• Mobile Applications

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For More Information, Contact:

Cory R TreffilettiPresident, Managing Partner

415.218.5441cory@catalystSF.com

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