Business Revolution

Important Factors in Starting Business

1. Product Market

2. Product Background

3. Product Marketing Strategy

4. Timing

5. Revenue & Earning

** time: 15-30 min

1) Product Market

Haven’t we all recommended our friends & family …

• some great restaurants? • some nice holiday destinations? • some excellent hotels to stay in? • some exciting movies? • etc, etc

But have we ever received any commissions from those retailers/businesses???

WHY NOT?

Why are the referrers not rewarded?

STINGY

DON’T KNOW HOW Answer:

- A marketing practice where businesses employ a systematic approach to reward affiliates who promote businesses’ products/services.

– Widely applied and practiced among e-commerce merchants/businesses and affiliates, esp. in North America, Europe and China

(Report shows affiliates worldwide had earnned up to US$6.5 billion commission through affiliate

marketing in e-commerce in 2006.)

– Affiliate Junction (AJ) is The FIRST Affiliate Marketing Network in Malaysia, offering offline multi-merchant affiliate program through Mykad Smart Shopper Program.

The Solution:

Multipurpose Usage of Mykad (Smart Card)

(Identity Card)

(Driving License)

(Passport)

(ATM/cash)

(Touch N’ Go card)

(Discount Card)

(Affiliate Marketing)

Mykad Flagship application No.50 Officially launched since Nov 2010 (Please refer “More with MyKad” Latest edition, published by MDeC)

How do Affiliates get paid – Scenario #1

2) Enjoy

discounts &

privileges when

shopping

Affiliate

Members (Activated

MyKad Holders)

Retail Outlets

2) Enjoy

discounts &

privileges when

shopping

Retail Outlets

Affiliate

Members (Activated

MyKad Holders)

How do Affiliates get paid - #2

Summary Affiliates

Customers Merchants

Spend with discounts/ privileges

Earn extra RECURRING income

Promote merchants to customers

Enjoy discounts & privileges when shopping

Increase revenues & minimise A&P cost

Ultimate “Win-Win-Win” Situation

Incentivize affiliates

Product: AJ License (A)

• License Fees - MYR 1,000 for 3 years

Benefits & Rewards:

• Renewal fee @ MYR100/year for 4th years onwards

• 1,000 customer referral credits (additional credits available @ MYR50/ 100 credits) and

• Merchant referral credit (Unlimited)

• 1% commission from ALL valid transactions (of referred customers/ merchants)

MARKET • Alternative ways to generate extra Recurring Income are:

– Freelance in MLM, insurances, real estate…

– Invest in stock market, where large capital and high risk are involved

• Now, how many would want a business that generates recurring income?

– TOO MANY!!! Who wouldn’t want?

– Thus the market is HUGE !

2) Product Background

Affiliate Junction (AJ) Background •Project owned and managed by the leading affiliate marketing company, I Synergy Universal S/B (ISU),(812120-V) founded by Mr. Lawrence Teo (Group CEO) in April 2008 with RM5mil group authorized capital and RM2.5mil group paid-up capital.

•Corporate office is strategically located at prestigious commercial address in Mid Valley City, KL

• Company is officially awarded as MSC status company since December 2011 via its innovative ICT integration in Affiliate Junction’s Platform

ipade

MSC Malaysia Status

ASEAN Most Recognized Brand in Affiliate Marketing Sector 2010

Awarded “INTERNATIONAL STANDARD QUALITY AWARD IN QUALITY BRAND AFFILIATE MARKETING 2012”

Awarded “11th Asia Pacific International Entreprenuer Award 2012 – Excellence Product”

Media Accolades: IS

Media Accolades: Affiliate Junction

Media Accolades: Affiliate Junction

Media Accolades: Affiliate Junction

Media Accolades: Affiliate Junction

Media Accolades: Affiliate Junction

Strategic Partner of Keusahawan Jabatan Pengajian Kolej Komuniti – Ministry of Higher Education

Strategic Partner of TEKUN NASIONAL

Corporate Social Responsibility (CSR)

1% from retail transaction which generate by Affiliate Junction will donate to National Cancer Society

Malaysia (NCSM).

3) Product Marketing Strategy

Product Marketing Strategy

Affiliate Junction Corprate

Authorized Agency/Dealer

Affiliates (Product)

Merchant + Customer

Increase Retail Transaction & Commission

Register

Register

Register

Current Stage

Produce

*** Only Authorized Agency/Dealer is eligible to sell this product.

Type 1: Standard Dealer (AD)**

Earns $X

Dealer License Fees : RM 10,000

Entitlement: • License valid for 5 years (renewal @ only

RM100/year from year 6 onwards). • 5,000 customer referral credits.

Benefits: • Customer & Merchant Referral Rewards 1% • Affiliate Referral Rewards 20% • Business Development Rewards 2% • Retail Overriding Rewards 75%

** For business entities (companies) only

Affiliate

Earns 75% $X (Recurring)

Bonus 20%

Type 2: Premium Agency (AA)**

Earns $X

Agency License Fees: RM 40,000

Entitlement: • Lifetime license validity • Unlimited customer referral credits.

Benefits: • Customer & Merchant Referral Rewards1% • Affiliate Referral Rewards30% • Business Development Rewards 2% + 10% • Retail Overriding Rewards 100% • Global Affiliate Bonus*** 3%

** For business entities (companies) only *** Insentive paid every Jan & July

Affiliate

Erans 100% $X (Recuring)

Bonus 30%

4) Timing

1) Amazing discounts up to 50% for now

Standard Authorized

Agency (AD)

Premium Authorized Agency

(AA)

Original Fees RM 10,000 RM 40,000

NOW RM 5,500 RM 20,000

*** Disclaimer: All discounts shown are accurate at the time of

press/print, and is subject to evaluations and reviews quarterly at company’s discretion.

2) Incubator Program – AA Only

Monthly 6% from Program’s Turnover (PTO) will be shared equally among all Premium Agency (AA) as AJ business development incentives.

Each AA can received up to RM30,000 from such incentives*

* Disclaimer: All discounts shown are accurate at the time of press/print, and is subject to evaluations and reviews quarterly at

company’s discretion.

5) Revenue & Earning

Potential Earning of AD Potential Bonus 1 1. Acquire 2 Affiliates (A) a month, hence 24 Affiliates in a year.

2. Among 24 Affiliates, 6 become AD and 6 become AA

Affiliate Referral Rewards = 20% x (12x$1,000)+(6 x $5,500) + (6 x $20,000))

= $ 33,000

Potential Bonus 2: 1. On average, each AD generates sales of $5,500/month and each AA generates

sales of $20,000/month

Business Development Rewards = (6 x $5,500 + 6 x $20,000) x 2%

= $3,060/month

= $ 36,720/year

Potential Earning of AD Potential Bonus 3: 1. Each Affiliate register 500 customers who spend $200 every month

Retail Overriding Rewards = 24 Affiliates x 500 customers x $200 x 1%

x 75% (Retail Overriding rewards)

= $ 18,000/month

= $ 216,000/year (RECURRING)

In this scenario, AD’s potential earnings :

Affiliate Referral

Rewards Business

Development Rewards

Retail Overriding Rewards

Total of Potential Earnings

$33,000 $36,720 $216,000 ≈ $285,720

Potential Earning of AA

Potential Bonus 1 1. Acquire 2 Affiliates (A) a month, hence 24 Affiliates in a year.

2. Among 24 Affiliates, 6 become AD and 6 become AA

Affiliate Referral Rewards = 30% x ((12 x $1,000) + (6 x $5,500)

+ (6 x $20,000))

= $ 49,500

Potential Bonus 2: 1. On average, each AD generates sales of $5,500/month and each AA generates

sales of $20,000/month

Business Development Rewards = (6 x $5,500 + 6 x $20,000) x 12%

= $18,360/month

= $ 220,320/year

Potential Earning of AA Potential Bonus 3: 1. Each Affiliate acquires 500 customers who spend $200 every month

Retail Overriding Rewards = 24 Affiliates x 500 customers x $200 x 1%

x 100% (Retail Overriding Bonus)

= $ 24,000/month

= $ 288,000/year (RECURRING)

In this scenario, AA’s potential earnings :

Affiliate Referral Rewards

Business Development

Rewards

Retail Overriding Rewards

Incubator Program

Global Affiliate Bonus

Total of Potential Earnings

$49,500 $220,320 $288,000 $30,000 3% > $587,000

Thank You