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B2B MARKETPLACE FOR VIRTUAL & AUGMENTED REALITY Matthew Papish Founder & CEO March, 2017

PipelineVR investor overview March-2017

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Page 1: PipelineVR investor overview March-2017

B2B MARKETPLACE FOR VIRTUAL & AUGMENTED REALITY

Matthew Papish Founder & CEO March, 2017

Page 2: PipelineVR investor overview March-2017

Exploding, Global Market

Still Nascent & Fragmented

•  Connects Buyers & Sellers •  Facilitates Transactions •  First to Market •  Focus on Enterprise segment

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Buyers Confused on How to Participate

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B2B Marketplace Solution

Highly Scalable Revenue Model

Experienced Leadership with Deep Domain Expertise

World-Class Advisors

WHY PIPELINEVR?

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Sellers Desperate for Sales Channel

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Page 3: PipelineVR investor overview March-2017

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Doesn’t Know the Capabilities

Doesn’t Know How to Build the System

No One-Stop-Shop Exists

THE BUYER’S PROBLEM

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Doesn’t know How to Get Help

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Page 4: PipelineVR investor overview March-2017

THE CHALLENGES SELLERS FACE

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Page 5: PipelineVR investor overview March-2017

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THE SOLUTION

Page 6: PipelineVR investor overview March-2017

THE SOLUTION

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Matches Buyers and Sellers of Professional VR & AR Products & Services

Facilitates Transactions

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Provides Critical Information

Collects Powerful Data & Analytics

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Page 7: PipelineVR investor overview March-2017

MARKET SIZE

140

120

100

80

60

40

20

0 2017 2018 2019 2020 2021

VR & AR Revenue Forecast in $Billions

Digi-Capital Goldman Sachs

400

200

600

Citi Research

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Page 8: PipelineVR investor overview March-2017

WHO ARE THE BUYERS?

Source: Goldman Sachs Global Investment Research 8

Half of the VR & AR Market will Include Enterprise/Industrial Applications by 2021.

EntertainmentHealthcareReal EstateEngineeringMilitary

EntertainmentEngineering

RealEstate

Military

Healthcare

Page 9: PipelineVR investor overview March-2017

USE CASE – MEDIA / ENTERTAINMENT

BUYERS SELLERS -  LA Times decides to

create an advertiser supported Academy Award “red carpet” VR experience.

-  Doesn’t have a network or the know how to execute.

-  PipelineVR matches LA Times with Immersive production company & equipment vendors.

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Page 10: PipelineVR investor overview March-2017

BUYERS SELLERS - Berkshire Hathaway uses VR to showcase properties for clients moving from abroad. - After submitting a project request via PipelineVR, BH settles on VR real estate specialist Matterport. - VR has been adapted as an important competitive advantage for BH

USE CASE – REAL ESTATE / LUXE

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Page 11: PipelineVR investor overview March-2017

PAY-PER-MATCH MODEL

MATCHES AGAINST OUR DEEP DATA BASE AND NOTIFIES THE TOP 5 CANDIDATES.

$25

EACH SELLER PAYS $25-$50 FOR A DIRECT CONNECTION WITH THE BUYER.

$25

$25

$25

$25

COMPANY SUBMITS A PROJECT REQUEST FOR A VR DEMO FILM

1 2

3

Spa$alSoundSpecialist

S$tching/Edi$ng

HeadsetRentals

Experien$alProducer

360DroneOperator

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USE CASE:

Page 12: PipelineVR investor overview March-2017

COMPETITION

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DOMAIN EXPERTESE

GENERAL/ DO IT

YOURSELF

OTHER

VR & AR

Page 13: PipelineVR investor overview March-2017

Registered Sellers

Active Sellers (60% of Registered Sellers that submit bids)

Average Number of Bids per Active Seller/per Year

Revenue per Bid

Gross Revenue

940,000

564,000

$61M

$24

4.5

How We Reach $61M by 2021

BUSINESS MODEL

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Page 14: PipelineVR investor overview March-2017

SERVICEABLE MARKET (US only)

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Page 15: PipelineVR investor overview March-2017

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CUSTOMER ACQUISITION PLAN

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Identify top 3 verticals for demand generation testing

Develop hypothesis on “Who” the key decision makers are In each vertical, and “How” each decision maker engages in the “buyers journey”

Size “Opportunity/Demand” by marketing channel i.e. # of US based monthly searches for AR/VR by key word

Execute small “Signs of Life” tests across SEM, FB, Email, Affiliates

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Page 16: PipelineVR investor overview March-2017

Year 1 Year 2 Year 3 Year 4 Year 5

Revenue $1,156,500 $5,146,000 $12,075,000 $31,500,000 $61,940,000

Sales & Marketing $922,230 $3,302,250 $5,792,000 $9,323,000 $12,743,750

G & A $542,400 $1,125,950 $2,211,600 $3,927,925 $7,193,950

EBITDA $ -308,130 $717,800 $4,071,400 $18,249,075 $42,002,300

REVENUE PROJECTIONS

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Page 17: PipelineVR investor overview March-2017

ADVISORY TEAM

Paul T. Kim Content and Services Partnership OTT Video & VR

Heads Samsung’s partnerships with leading content partners and brands to develop unique VR content offerings, in areas of games, real estate, healthcare, education, and b2b solutions.

Idealab Director, Managing Director at Mayfield Fund focusing on investments in the consumer internet, partner at Latham & Watkins and Wilson Sonsini Goodrich & Rosati.

Allen Morgan

Darren A. Denenberg Ph.D. Lecturer in the Donald Bren School of Informatics and Computer Sciences, UC Irvine. Developing online Master’s program to begin in 2016.

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David Lebow YP Holdings from 2013-2017 most recently as Chief Revenue Officer. In that time, YP had over $2b in annual revenues with more than $1B of digital revenue, making it the ninth largest digital media company in the U.S.

Page 18: PipelineVR investor overview March-2017

LEADERSHIP

Matthew D. Papish, Founder & CEO •  Founder & CEO at Enstigo; built platform that automates mobile ad creation. Attracted capital from a strong group of

individual and institutional investors.•  CEO at Cinsay; SaaS platform enabling distributed online video/eCommerce. Attracted $45M of investment capital •  Head of Branded Entertainment at AOL. Formed in-house division to sell online video platforms to AOL’s largest advertisers.•  Founder & President at Gold Coast Entertainment. Oversaw creative studios and Video equipment services. Grew sales to $150M.•  Senior Advisor/Consultant at MySpace; Classmates.com; Spark Networks; and John Templeton Foundation.

•  IBM Corp, large computer sales lead at BofA. •  Staff Assistant to the President, The White House•  SVP, Commercial Office Development, Arden Realty, Inc. (NYSE) (largest SoCal REIT), Sold to GE Capital; •  Founding Director, Marine National Bank, Irvine, CA•  USC, International Business•  Captain, USMC

Bart Porter, Finance

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•  Chris has spent the majority of his career selling, managing and delivering large-scale consulting engagements for Fortune 1000 clients. Founded Irvine based Verys in 2012.

•  Oversees all aspects of project delivery, portfolio management, finance, HR and legal.

Chris Antonius, Development lead and CEO at VERYS

Page 19: PipelineVR investor overview March-2017

EXIT STRATEGY

CORPORATE ACQUISITION/

PE BUYOUT(3-5 Yrs.)

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Page 20: PipelineVR investor overview March-2017

THE OPPORTUNITY

FUNDRAISE •  Fundraise Goal: $850,000 ($350k raised to date)•  Seeking: $400,000~$500,000•  Anticipated Series A raise: $5M~$7M

TERMS •  Convertible note:

•  Automatic conversion upon qualified equity financing of at least $500,000.•  20% discount•  Conversion at investor’s election. •  $3M valuation cap.

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Page 21: PipelineVR investor overview March-2017

Exploding, Global Market

Still Nascent & Fragmented

•  Connects Buyers & Sellers •  Facilitates Transactions •  First to Market •  Focus on Enterprise segment

1

7

6

5

Buyers Confused on How to Participate

2

8

B2B Marketplace Solution

Highly Scalable Revenue Model

Experienced Leadership with Deep Domain Expertise

World-Class Advisors

WHY PIPELINEVR?

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Sellers Desperate for Sales Channel

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4