Date post: | 22-Jan-2017 |
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CONFIDENTIAL
95% of travellers used the web for inspiration and information
In 2015 4 out of 5 bookings were peer-led, increasing the need for brands to generate trusted reviews
4 out of 5 of the most influential information sources are peer or expert generated
Online recommendations were more important than advertising for the 18-34 year olds
Close to 40% of travellers never booked a holiday without visiting a review site
Source: Holiday Trends 2016 BDRC Continental
Bloggers perceived as peer reviews with expert opinions, combining trust with quality
KEY FACTS (travel)
CONFIDENTIAL
THE PROBLEM
• No online searchable resource dedicated to blog and vlog content
• Search engines dominated by retail heavyweights so independent content is hard to find
• Videos and written content require separate searches and don’t intuitively respond to a single search query
THE SOLUTION
• www.blogilicious.com: A search and discovery blog and vlog only platform, that satisfies all of one’s inspirational and information needs
• Highly customisable to ensure readers’ get the content that they are looking for
• Article count at launch: 425,000 and to grow rapidly
BACKGROUND
CONFIDENTIAL
To become the most widely read and trusted source for discerning readers of travel and food blogs.
MISSION
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DirectorPrivate equity and corporate finance professional with start up experience across software, media, energy, and finance.Hidden talent: Digital Marketing
Henry Emson Alison BurghBusiness Angel InvestorIndustry leader in the travel and tourism sector with clients including the World Bank, UNWTO, and Ministries of Tourism and regional tourism bodies in Africa, Asia, the Middle East, the Americas and Europe.Position: Board non-exec.
Alexander GraySales Head: UKA consummate travel sector professional with a wealth of contacts in the trade and media and experience with agency, consumer and blogger networks. Favourite Hideaway: Gusti’s Bungalows, Bali.
JAPA GHOSH, CEO15 years of marketing and business start- up experience, handling multi-million dollar consumer goods, e-commerce and fashion brands in India and overseas. Obsessed with execution and creativity.Motto: Creativity, Speed, Frugality.
Yusuf ShabbirChief EngineerTechnology evangelist with 12 years of experience in building solutions for enterprises from across the globe.Favourite Food: Code
THE TEAM
CONFIDENTIAL
MILESTONES – FY 16
Founding Team
Formed
Co. Set
Up
IT Dev.
Starts Seed Funding
(US)
Trademark Reg. (India)
Beta Launc
h
Seed Funding
(UK)
Full Roll-out
Launch Mobile
Site
Start of Advt.
Campaign
Series A
Funding
Intro. Of Admin
Module
Intro.
Travel Vlogs
.
Intro.
Food Blogs
SITE VISITS: 1MN.
Billing Sys. Int.
Android App
MAR. '16 APR. '16NOV. '15 JUN. '16MAY '16 JUL. '16 AUG. '16 DEC. '16 JAN. '17SEP. '16OCT. '16
FEB. '17 MAR. '17
CONFIDENTIAL
FINDING THE RIGHT CONTENTBloggers with high quality posts find disseminating their content difficult as they can’t compete with big budget SEO and Pay-per-Click advertising
GET THE FULL PICTUREIt’s not enough to just find one article, the full picture requires multiple perspectives.
TRUSTReaders rate independent content as more credible with established follower audiences.
UNIQUEAs online content consumption moves towards videos, no singleplatform combines vlogs and blogs within a single search result
SEARCHING THE WEB FOR RICH CONTENT IS CHALLENGING…
CONFIDENTIAL
COMPETITION
Short commentaries Not professionally
written Limited use of image
content Accommodation rather
than destination focused
Focused on fashion & beauty
US Focus
Dominated by SEO heavyweights
Resource expensive (SEO & PPC)
No category search function
Rich content – written imagery and video content
Not only validation but also inspiration Convenient
categorisation Regular updates from
bloggers of interest See trending
destinations, top activities
CONFIDENTIAL
UK
60.1 million visits abroad in 2014 616.5 million nights Majority of trips are holidays
E-COMMERCE (UK) 2015 - $111 .55 Bn. 2020 - $144.4 Bn. CAGR - 5.3%
Source: PwC eCommerce in India report 2014
INDIA
Middle class households: 80 Mn. India domestic trips: 1 Bn. + (2014) India overseas trips: 22 Mn. (2016)
E-COMMERCE (INDIA) 2015 - $14 Bn. 2020 - $55.26 Bn. CAGR - 59%
Source: Office of National Statistics (UK)
TARGET MARKETS
China US India Japan Brazil Russia
641
279 243
109 107 84
Internet users by country: In million (2014)
China US India Japan Brazil Russia
46%
87%
19%
86%
53% 59%
Internet penetration as percentage of population (2014)
CONFIDENTIAL
TRAFFIC ESTIMATOR
Predominantly first paid traffic at £0.03 per click, as repeat users return and refer, dependence and cost per visitor diminishes
Dec-99
Dec-02
Dec-05
Dec-08
Dec-11
Dec-14
Dec-17
Dec-20
Dec-23
Dec-26
Dec-29
Dec-32
Dec-35
Dec-38
Dec-41
Dec-44
Dec-47
Dec-50
Dec-53
Dec-56
Dec-59
Dec-62
Dec-65
Dec-68
Dec-71
Dec-74
Dec-77
Dec-80
Dec-83
Dec-86
Dec-89
Dec-92
Dec-95
Dec-98
Dec-01
Dec-04
Dec-07
Dec-10
Dec-13
Dec-16
Dec-19
0
1
1
0.000
0.005
0.010
0.015
0.020
0.025
0.030
Traffic Growth vs. Net Cost of Acquisition
Paid Traffic Organic Traffic Referral Traffic Repeat Traffic Net Cost of Acquisition
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June '16 Oct '16 June '17 Dec '16 Dec '17 Dec '18 Dec '19 Dec '200.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
0.50 0.52 0.56 0.58 0.64 0.77 0.91 1.070.00
1.001.16 1.28
1.52
1.78
2.03
2.30
Travel Food
1.51
2.47
3.173.66
4.33
5.03
5.80
MIL
LION
ARTI
CLES
CONTENT BUILD UP
CONFIDENTIAL
HOME PAGE
Focus on search function for 500K + articles Carousels of trending articles and
vlogs, categorised into topics of interest for inspiration
Social reading
SEARCH RESULTS
Offers multiple perspectives and experiences with diversity of blogs and vlogs
Results display managed by in-house self-learning algorithm
CORE UX
CONFIDENTIAL
ARTICLE (IFRAME)
Display housing original blog article, top & tailed with Blogilicious features.
Carousel (Top) articles that share the same search terms as the main article.
Carousel (Bottom) articles from the same blogger.
Comments for inter-user engagement and between the blogger and audience.
Advertising/Affiliate Advt. Intelligently inserted advt. material for maximum visual & call-to-action impact
CORE UX
CONFIDENTIAL
MY ACCOUNT Curated content without having to enter
search criteria.
Manage profile settings to prioritise with latest interests.
BLOGGER PAGE Bespoke page for displaying all their content
in one place.
Follow option
CORE UX
CONFIDENTIAL
MARKETING (users)
OBJECTIVE Create brand awareness amongst potential visitors Grow first time visitor numbers and generate repeat visits to achieve 20Mn
monthly visits by FY 20
TRAFFIC GROWTH Generate post reach through paid and organic broadcast on Facebook,
Twitter and Pinterest User referral programme with innovative brand tie-ups Social media based contests to generate user engagement
GROWING REPEAT USERS Bespoke mailing programme based on users’ geography, reading history and
interests Email notification supplemented by app based notification Emphasis on social reading content by highlighting what friends and people
like you are reading Co-sponsored special offers for Blogilicious’ users
CONFIDENTIAL
MARKETING (industry)
OBJECTIVE Create brand awareness amongst bloggers, advertiser and affiliate marketing
partners
PUBLIC RELATIONS (Digital and Traditional) Focus on conveying brand USP to advertisers and benefits for them Focus on driving visibility in the VC community Partner with brands and Govt. to highlight and support social causes
COMMUNITY BUILDING: Bloggers Reach out to bloggers through Twitter, Facebook and Pinterest Build community of partner bloggers to generate user interest stories and
videos Drive influencer marketing programmes using partner bloggers
CONFIDENTIAL
REVENUE OPPORTUNITIES
AFFILIATE MARKETING
• Develop custom affiliate marketing platform for bloggers to be able to partner with brands easily and receive payments in a quick and hassle-free manner
• Partner will leading affiliate marketing partners in selected industries such as Booking.com, Amazon.com, Open Table etc…
ADVERTISING
• Partner with brands in the travel & hospitality space & brands operating in adjutant areas such as (Outdoor & Travel Gears | Books & Magazine | Clothing | Photography equip etc.)
• Advertising opportunities: native advts., display advt., email marketing, blog promotion and bespoke brand partnerships
INFLUENCER MARKETING
• Build influencer marketing platform and work with blog partners to promote and amplify brand campaigns
• Proprietary platform will be developed that will track social media influence & reach of bloggers in various geographical and demographic niches
CONFIDENTIAL
MONETISATION
Traffic Increasingly derived from organic, repeat and referral sources progressively separates revenue performance from PPC marketing
Oct-16
Dec-16
Feb-17Apr-1
7Jun-17
Aug-17Oct-
17
Dec-17
Feb-18Apr-1
8Jun-18
Aug-18Oct-
18
Dec-18
Feb-19Apr-1
9Jun-19
Aug-19Oct-
19
Dec-19
Feb-20Apr-2
0Jun-20
Aug-20Oct-
20
Dec-20
£0
£200,000
£400,000
£600,000
£800,000
£1,000,000
£1,200,000
Revenue Vs. PPC Marketing
PPC Marketing
Gross Revenue
CONFIDENTIAL
FINANCIALS 2016 2017 2018 2019 2020
Website Performance Paid Traffic 1,166,667 17,040,000 20,720,000 20,720,000 20,720,000Organic Traffic 41,339 1,495,108 4,145,238 9,667,906 37,049,811Referral Traffic 34,318 1,179,095 3,203,588 7,403,543 28,227,313Repeat Traffic 83,460 3,391,190 9,795,135 23,254,082 89,984,800 Total Traffic 1,325,783 23,105,392 37,863,961 61,045,531 175,981,924 Product CT 53,031 924,216 1,514,558 2,441,821 7,039,277Conversion 2,121 38,817 66,641 112,324 337,885
Revenues Affilaite Revenue £22,273 £407,579 £699,726 £1,179,400 £3,547,796Advertising £19,887 £323,475 £492,231 £732,546 £1,935,801
Gross Revenue £42,160 £731,055 £1,191,957 £1,911,946 £5,483,597
Cost of Revenues COGS £4,972 £61,460 £68,912 £80,580 £193,580
Gross Profit £37,188 £669,594 £1,123,045 £1,831,366 £5,290,017
Costs General Opex £10,305 £57,755 £67,724 £76,313 £85,992PPC Marketing £35,000 £511,200 £621,600 £621,600 £621,600Staff & Directors £17,400 £128,640 £164,697 £185,585 £209,121Office Cap Ex £10,650 £8,479 £1,373 £1,548 £1,744Web & App Development £5,000 £24,921 £34,677 £39,075 £44,030 Total Costs £83,326 £792,455 £958,983 £1,004,700 £1,156,067
EBITDA -£41,166 -£61,400 £232,974 £907,246 £4,327,530 Cash B/Forward £132,444 £571,044 £775,055 £1,500,852 £4,962,876
Investor Equity £130,000 £500,000
CONFIDENTIAL
BELOW IS OUR AGENDA POST SERIES A FUNDING:
Marketing campaign for traffic and user acquisition
Build and launch Android & iOS APP Hire relevant support staff Increase blog article coverage Receive revenue metrics from
marketing and pivot the business towards greater performance
Sign advertisers for repeat revenue
1-5 YEAR PLAN
LONG TERM OBJECTIVES:
Diminish reliance on paid traffic
Develop affiliate marketing platform
Build influencer marketing platform
Create in-house OTA
Explore expanding into Fashion, Health & Wellness
POST FUNDING 6-9MONTH PLAN