Directi Case Study Contest - Team Goodfellas from ISB Hyderabad Business Plan for an Online Dating Portal

1. Indian School of Business, Hyderabad
Team: Goodfellas

2. Table Of Contents
DateRide‐ The Inception
• Why Join this Ride • Home Page Mock Up
Value Propositions
• Personalization • Experiential Dates
• Security and Control • Feature Mock‐Ups
Monetization Strategies
• User‐Based • Corporate Focused
• Monetization Mock Ups
Marketing Strategies
• Roadmap
• Pre‐Launch • Launch Phase • Long‐term
• Hygiene Factors
Organization Structure
Revenue & Cost Projections

3. DateRide‐ The Beginning of the Ride
Primary Research
Secondary Research
‐Industry Data DateRide’s Target ‐Consumer Studies
‐Interview and validation
‐Competition Scrutiny
‐International Data ‘India’s bright eyed Youth’ with tech experts
(LinkedIn,xbox, Orkut,
Market Analysis
Amazon experts)
Key Findings
Key Findings
Current online dating community is
lacking an experiential dating INDIAN YOUTH WANT MORE Given the positive effects of the
platform Internet on social life, there is a great
1. Personalization potential for the Internet to improve
India’s online dating community is romantic life as well
apprehensive of the existing concept
2. Experience of a real date
People spend too much time
and is not comfortable sharing 3. Secured platform for searching for options online for too
coordinates with people online
control & privacy little payoff because users desire
Daters wish to screen potential information about experiential
romantic partners not only by attributes, but online dating Web
objective qualities (income ,height) sites contain primarily searchable
but by experiential attributes (sense attributes
of humor or rapport) DateRide BEGINS As Indian marriages move from an
Most online dating sites use a economic exchange arranged
“shopping” interface like that used between families—based on
by other commercial sites, in which observable attributes—to a falling‐in‐
people are classified much like any love experience— based on
commodity emotional attributes—the limited
information in profiles is more likely
to be insufficient.

4. DateRide‐ Why join this ride
Chatting is old school‐
Experience your date
Explore your virtual and make it fun
date potential
Keep your secrets and
have complete
control over your
Use virtual and real information
tools to win over
your date
Use various DatetRide
interactive tools to judge
compatibility, combined
with fun activities

5. Home Page

6. Value for you‐ The Ride Offers Personalization
Create the Virtual ‘U’
Find Your Best Match
Date Ride’s smart Algorithm can
Create and Maintain a Date List
develop a virtual you
Play a game
Create yourself • Answer wacky questions and
Chose your hairstyle, eye DR will recommend dates
color, face cut, body whose answers match with
structure, skin colour and yours and suit your profile
so on to create your Date • You can then explore the list
Persona and add interesting profiles
to your date list and send
Upload Pic
them date requests
Alternatively, you can
upload you picture and we Simply search
will create your virtual search matching profiles by
avatar entering preferences

7. Value for you‐ The Ride Offers Experience
Fix the Date Destination Suit Up for the Judge Compatibility
Choose your ChatRing Date Use DR’s interactive tools
Chat Rings include Real Interactive & Engaging
World Interfaces such as • Play games like cross words with love
Malls, coffee shops, movie words, scrabble, music guess
halls, restaurants, beaches, • Watch clips from our Youtube library
museums, ballroom, night while chatting
clubs Express your feelings
Music‐ Once in the chat‐ring, • Your avatar can smile, blush, show
users can also select a anger and many more emotions
background soundtrack to be • Virtual gifting to dates
played during the date Add your Friends to
enjoy group dating
Select from a range
of casual, formals,
colors, even brands

8. Value for you‐ The Ride is Secured
Controlled and Abuse‐Free Environment Ensures user Privacy
‐ Points system: To impose control over users’ ‐ Confidentiality: All profile
activities, prevent them from abusing the characteristics are kept
services, we allow users to perform activities confidential; the user has the
by using ‘beats’ allotted to them through a liberty to allow which
point system described under monetization characteristics he / she likes
‐ Blocking: Users can can be dumped/blocked to make public and to whom
from a partner’s list. Unless this partner un‐ ‐ Crush list: Crush lists are
dumps the user, (s)he will not be able to chat private & revealed only upon
with this partner again mutual addition
‐ Users can reports abuse cases and immediate
measures will be taken by our team
Date
Specific
Privacy
Features

9. Key Features Mock‐Up (1/4)
Date Specific Privacy Settings Both Users need to decide on a common Date location to proceed.
The Red and Yellow borders around the profile images,
indicate the user’s “interaction color” The same colored
border is applied to all interactions within the virtual
environment and will be visible to the partner to let
him/her know of interactions.

10. Key Features Mock‐Up (2/4)

11. Key Features Mock‐Up (3/4)
• Users can move around and interact with elements in the environment
• Chat Box picks up on internet lingo terms like “lol” and “smilies” and displays relevant
emoticons in the avatar’s thought bubble.

12. Key Features Mock‐Up (4/4)
• Date Games are very interactive. For Eg:‐ The Crossword game above “highlights” clues that
each user is working on.
• Emoticons “pop ups” appear above avatars based on activity.

13. Strategies to extract the Economic Value
Monetization Activities
User‐Based
Corporate Sponsors
The Freemium Model
Point Gift Wardrobe
Interface
System Deliveries (Sponsorships) and Activity
(Microtransactions) (E‐commerce) (Sponsorships)
2nd Year Revenues (INR ‘000)
12,000 3,000* 10,000
* DateRide’s commission

14. User Based Monetization‐ Point System
Points
Examples of Activities Bought With
Required For
1 Beats
‒ Choose/Change ChatRing, Wardrobes ‒ Initial inventory of free coins
Free ‒ Joint Activity‐ Games, Videos, Music ‒ Earned by daily visits,
‒ Invite a friend competition of activities,
Activities If Beats
‒ Give ‘Bonus Gifts’ such as shells, love acceptance of gifts sent exhausted, you
notes ‒ Deducted if gifts rejected or can convert
on irritating a date Gold Coins to
buy them
2 ‒ Give premium virtual gifts such as Gold
Paid accessories, rings, perfumes, cars, etc
Coins bought through
‒ Access to video/voice features
Activities Payment Gateway
‒ Detailed analytic on who visited ur profile
‒ To send more than 10 date requests
Additional Benefits Revenue Model
‒ Creates user engagement and exclusivity Year‐1: INR 700K Year‐2: INR 12,000K
‒ Impose a control over users’ activities ‒ Paid Users: 2% to 3% of active users
‒ Prevent them from abusing the services ‒ ARPU (paid users): INR 500 to 750 (monthly)

15. User Based Monetization‐ Gift Deliveries
Cakes & Flowers
(Home Delivery)
Users have the option to securely register
Address Database their address with DateRide to allow
receiving gift deliveries by other users
Users have the option to send gifts to other users who have registered their
Sending Gifts addresses through ‘gold coins’ or online payment gateway
DateRide ties up with several established gift delivery vendors – orders are
Supply Chain &
transferred automatically to vendors along with the payment after
Commission deduction of commissions
Additional Benefits Revenue Model
‒ Natural progression for users to offline / real life Year‐1: INR 200K Year‐2: INR 3,000K
interaction through DateRide ‒ 5% ‐ 10% users buying an avg. 1 – 2 gifts per month
‒ Creates user engagement and exclusivity ‒ Avg. transaction value: INR 400; Commission: 5%‐30%

16. Sponsor Based Monetization‐Corporates
ChatRing & Activity Six‐month contracts with popular brands for placement on chat‐ring
scenario backgrounds, e.g. CCD for coffee shop, Pantaloons for mall, etc.
Sponsorships
Avatar and gift sponsors could be wardrobe / accessories brands – users
Wardrobe and Gift have the option to choose branded inventories for their avatars & gifts and
Sponsorships these link to the brand’s website if users like particular inventory
Additional Benefits Revenue Model
‒ Opportunity for mutual marketing tie‐ups Year‐1: nil Year‐2: INR 10,000K
‒ Monetization opportunity by enabling e‐commerce ‒ Six‐month charge for a chat ring: INR 2,000K to 4,000K
facility for brand’s products through DateRide ‒ Effective rate: INR 1 to 2 per user per date session

17. Point System Mockup (1/4)
User Receives “Beats” once per login in a day. The value of daily reward beats
increases as the number of consecutive logins increases.

18. Point System Mockup (2/4)

19. Point System Mockup (3/4)
Upon Successful completion of a “Date Game” activity, Reward Beats are given to both
the users.

20. Point System Mockup (4/4)
User can also Buy Gold using Real Cash and Convert his Gold to Beats

21. Marketing Plan – Focus on low‐cost, high‐
reach, viral & strategic initiatives
Months 0‐2 (Beta) 2‐6 6‐12 12‐18 18‐24
1. Engaging Focus Groups & User Seeding Official
1.1 College road‐shows and event sponsorships Launch
1.2 Focused online buzz & user feedback
2. Online Advertising Blitz
2.1 Affiliate marketing
2.2 Targeted advertising – media buy sites
2.3 Google & social media ads
3. Offline & Strategic Promotions
3.1 Promotion Through Collaboration – strategic tie‐ups
3.2 BTL – Campus invasions & road shows
3.3 ATL – Print, cinema and radio
3.4 Contests & games – mobile apps & web
4. ‘Hygiene’ Activities
4.1 Viral features – Social media connect, invite incentives
4.2 On‐site promotions – Virtual video tour, Date doctor
4.3 E‐mail marketing
4.4 SEM / SEO
4.5 Articles based promotion
Expected User Base by Period End 500 5,000 15,000 50,000 150,000

22. ‘Pre‐Launch’ Marketing Initiative‐ Beta Phase
Engaging Focus Groups & User Seeding
1
•Help to get the initial and popular
Engage Focus Groups traffic on board
•Helps to test the website and
1. Identify 4‐5 colleges across high internet penetration opportunity to improve
•Create a sense of ownership and
regions (HR college, Mumbai, IIT Bombay, Symbiosis
belongingness amongst the early
Pune, SRCC, Delhi) adopters
2. Phased roll‐out (2 weeks per college) through Road
Shows, sponsoring events (getting a stall) and campus
representative programs
3. Create focus groups & give them access to DateRide
Creating Online Buzz & User Feedback
1. Create the quintessential community builder FB/Twitter
page
2. Add Focus group participant to the FB group
3. Use the page to gain Consumer Feedback and improve
4. Create Youtube videos/ads & games that would go viral
5. Create exclusivity by restricting entry only though invites

23. ‘Launch’ Marketing Initiative
Online Advertising Blitz (1/2)
2 Affiliate Marketing Affiliate Marketing Growth
Leverage online marketing power of “the crowd”
DateRides revenue sharing model with
affiliates
−Affiliates get 20% of Revenue generated by
User (by purchasing virtual “Gold Coins”)
−User needs to have been referred to
DateRide by affiliate
Clickbank Related Keywords on Growth
−Commission lasts for 2 months from date of
registration. (Affiliate Cookie duration=2mth)
Affiliate Marketing adopted by a large number
−DateRide will employ services of affiliate
of top firms in the world including Dell;
management platform like
Overstock.com; Home Depot; Zappos; Bed,
CommissionJunction , Clickbank
Bath, and Beyond; and Yahoo! (All of whom
• Ensures high visibility among affiliate
are clients of Commission Junction)
marketers community
• Trusted platform among affiliate Worldwide network of affiliates can be
marketers leveraged for a product even in India.
• Platform handles affiliate fraud like “cookie
stuffing” etc

24. ‘Launch’ Marketing Initiative
Online Advertising Blitz (2/2)
2 Targeted Advertising
We created a list of
media buy sites which
are popular amongst
youth. We can use
these platforms to
conduct niche
marketing
Google & Social Media Ads
Use current ad
platforms like FB/google
based on demographics,
keywords, time range,
likes, and so on

25. Long Term Marketing
Strategic Focus on gaining credibility and user base
3 Promotion Through Collaboration Campus Invasions & Road Shows at
Right Tie‐ups can help in promotional efforts Popular Hangouts
‐ Organizing games, events at popular
hangouts such as malls, pubs, movies of
target segment
‐ Role playing at such hangouts by putting
up a virtual environment (chartings),
dressing up real people as avatars
‐ Bus Tours‐ Open Air bus with a set‐up of a
virtual date, taken around popular places
‐ All the above will create curiosity as well
help with word of mouth publicity
ATL Advertising
Contest and Games
(TV, Print, Cinema and Radio ads)
‐ Identify metros with maximum likelihood of the concept working; ‐ Dating games/contests on DateRide for
where search volume has been high‐Chennai, Delhi single and couples with winners getting
‐ We target these cities first in ATL advertising free gift vouchers to popular hangouts,
‐ Target on Print ads (Bombay times) , radio in the near term and shows or even get an interview for an MTV
possibly TV ads in the long term (4‐5 yrs down) or channel V show
‐ We can also run ads in theatres playing movies that appeal to our ‐ Create date games/puzzles for web, mobile
target audience and FB that generate user interest

26. Marketing Hygienes
Critical factors (1/2)
4 Virtual tour Email marketing
Uploading a virtual tour of DateRide ‐Email date requests,
on website and Youtube with profiles of suitable
animated FUNNY stories of how dates, gifting idea &
couples met through online dating other updates directly
& found love would create visibility to users can bring users
and may create a viral effect on DateRide
‐Based on user activity
Leveraging Social media Incentivize Users customized emails can
be sent
Incentivize users to invite friends ‐Also helps to convert
Use FBconnect to build more Fans ‐By giving free ‘Beats’
and link your website closely to FB passive users to active
‐By granting ‘super powers’ buyers. (Emails captured
‐By giving Gold Coins when in registration phase)
referrals make purchases (in‐effect ‐Use email marketing
Online Help making them affiliates) solutions like Aweber to
Use the ‘Date Doctor’ Online Chat ‐By giving them special ranks‐ Eg‐ optimize email
on website for Consumer DateRide King marketing campaigns
Engagements/stickiness and access ‐Free DateRide Sponsor for 2 to go using their analytics
to quick online help and resolution on an actual date‐ Movie tickets,
of issues free coffee coupons, etc

27. Marketing Hygienes
Critical factors (2/2)
4 There are about 400k searches of the word “dating” and its
various forms in Google India. Thus, we believe a strong
SEM / SEO
presence on search engines is absolutely critical and both
Organic Search Engine Optimization and PPC Search Engine
• Use image/Optimize tags: Marketing deserve a thorough emphasis.
Keep unique tags in titles and
headers. Also use images inside the Articles based marketing
page and optimize the name of the
image with relevant keywords ‐ Creating interesting and funny articles can build
consumer stickiness and also brings others looking
• Use Bookmarking Websites: for such information on the website
Tag ‘related sites’ on sites like ‐ Examples of articles include: ‘The dos and don'ts
Del.icio.us. If people find the sites you on a date’, ‘How to handle awkwardness at a
tag to be interesting, emotionally date’. ‐ These can be used to promote the website
engaging, or timely they may follow features and its sponsors.
the trail back to your site. ‐ They can also be placed on article directory
Ask friends to tag the website. If the websites such as knol.google.com, ehow.com.
site gets on the front page of Digg, ‐ This can help improve website’s rank and bring in
stumbleupon or on the Del.icio.us more users.
popular list, hundreds more bloggers ‐ Articles on website can be synced with FB/Twitter
will see the site, and potentially link page and interesting article can generate a lot of
to it user interest through viral effects

28. Organization Structure
Creating a Clique Network
Flat and Simple Organization Structure will foster an Entrepreneurial Culture
Clique Networks promote
CTO CEO COO • Creativity
• Diversity in Knowledge
Marketing Engineering Business Dev • Diverse talent pool
Manager Manager • Rapid Growth
Manager
• Informal power
• Promotes healthy
Web Developer Web Designers System Admins competition
• Rewards based on
Performance
‘Venture Groups’ would be created in the As the company expands, the
organization based on functional diversity entrepreneurial environment
which reflects completeness of skills required needs to be strengthened and the
and implies a better match between task concept of ‘venture teams’
requirement and member skills needs to be introduced

29. Income Statement Projections (INR 000’)
Development
Year 1 Year 2 Year 3 Year 4
Phase (6‐months)
Registered Users 50 15,000 150,000 250,000 350,000
Revenues
Sponsors paid ‐ ‐ 10,000 25,000 35,000
Transaction commissions ‐ 199 2,968 23,100 31,500
Micro transactions ‐ 710 11,925 72,000 144,000
Total Revenues ‐ 909 24,893 120,100 210,500
Operating Costs
Cloud Servers & System 180 300 300 600 1,000
Personnel (Managers, developers,
3,600 5,500 11,300 13,000 17,000
designers, admin etc.)
Rent/Lease 3,000 6,000 6,000 6,000 6,000
Marketing & Sales ‐ 2,200 3,650 2,490 3,150
Depreciation 90 180 234 288 288
Total Operating Cost 6,870 14,180 21,484 22,378 27,438
Operating Income (6,870) (13,271) 3,409 97,722 183,062
Taxes 0 0 1,023 29,317 54,919
Net Profit After Tax (6,870) (13,271) 2,386 68,405 128,143
Capital Expenditures – Software lic. 360 ‐ 720 ‐ ‐
Cash Flows (7,140) (13,091) 1,900 68,693 128,431

30. Thank You and See You on DateRide Soon☺