Balancing size, customer needs, acquisition strategies made market selection challenging…
Creating value for two stakeholders requires constant realignment and iteration… Becoming a SMS Gateway / Consumer Database eliminates part two sided market
Key things that had to happen… Text messaging had to get affordable (.001&gt;) Needed to achieve meaningful user base (2-3M to &gt;10M)
Jambo Berkeley Final Presentation
Jambo! is a mobile advertising
platform that enables advertisers to quickly and effectively target specific segments in Africa Week 10 Kris Cuaresma-PrimmJan Shelly Brown Nick KroshusAli Punjani Saman Kielty Jambo’s vision is to provide discounted/free text, talk, and data to Base of the Pyarmid users in emerging markets in exchange for consuming ads. Week’s Interviews Users 6 Mentors 2 Total Interviews Users 100 (10) Mentors 11 The Current PlanThe Original Vision
Kris Cuaresma-Primm Jan Shelly Brown
Nick Kroshus Saman Kielty Ali Punjani Leonard Annan Berkeley-Haas MBA Role: Picker Focus: Marketing & Sales Berkeley-Haas MBA Role: Designer Focus: System Design Berkeley-Haas MBA Role: Designer Focus: Mobile Carriers Asheshi University Role: On-the-Ground Partner Focus: Mobile Apps Berkeley PHD - Computer Science Role: Hacker Focus: Technical Development Berkeley-Haas MBA Role: Hustler Focus: Project Management Who Who is our team?
Total Available Served Available Target
India Ghana “African Lions” $13 Billion $4 Billion $195 Million $721 Million $288 Million $94 Million $5.7 Billion $2.2 Billion $734 Million Where Where is the right market? Learning… …Too Saturated …Too Small …Just Right
Who is our target market?
College Student • Female farmer • Mother of three children • Wants to talk to her sister that moved to town • Wants smartphone, buys soap, razors Rural Mother • 19 year old male student • Uses smart feature phone • Wants more minutes and credits to talk to his friends “Penetration” CPG • Brand Manager of penetration-focused CPG • Multinational basic marketer • Unilever country manager Who
What What is the right
value proposition for whom?What Base of Pyramid Rural Farmer Rural Mom Mass Market Rural Mom Urban Mom Urban Mom College Student Target Users Incentive Advertisers Mobile Minutes Mobile Minutes Mobile Minutes Sweepstake Relevant Content Relevant Content Content + Minutes Phone Upgrades Global CPG “Basic Good” Marketer “Penetration” CPG Media House “Penetration” CPG “Discretionary” Marketer Market Research New Product WEEK HYPOTHESIS 10 100 PIVOTITERATE Lack purchasing power desired by advertisers Women make purchasing decisions for household Valued information is an important aspect Trusted brands are a key for growing Reaching rural users is cost prohibitive Market Research budgets are minimal 594 INTERVIEW
How How can we operate
successfully? Customer Acquisition Cost : < $0.15 Conversion 1.5 - 7% Get Keep Grow • Facebook • Out of Home • Sales Force • Referral • SMS Gateway • Sweepstakes • Relevant Content • Improved Ads Customer Acquisition Cost : $60K per 1M customers • Customer data mining • Customer referrals • Country expansion through partnerships
WHY Why will we beat
our competitors? Proprietary customer database: •Seeded with ~10 Million basic mobile customer records •Enhanced customer information to include interests, spending patterns, etc. • Targeted consumer databases • SMS gateway technology for NGOs and CPGs • Periodic consumer incentives Jambo will not only offer NGOs & CPGs a platform to reach customers, but will mine the consumer information, enabling offering more targeted qualified leads to NGOs and CPGs Potential customer rewards: •Sweepstakes •Informative content •Airtime/credit
Today Is this idea the
best idea for tomorrow? Investment Readiness: Validated Product Market Fit There are key steps and assumptions that require validation: •Validation of both the left and right side of the canvas •High fidelity prototypes 5 8 6 4 2
Today What did we learn
about finding customers? Customer Interactions 0 105 Week Media & Advertising Mobile Users Cultural differences and an emphasis on relationships, made ongoing mobile user customer discovery increasingly difficult. “Media buyers only use vetted platforms” Media & Ad Agencies have an incredibly higher barrier to entry, which relies on personal relationships or “huge success.” “New platforms can’t be vetted unless it is used by media houses.”
Today What did we learn
about the process? It helps keep the team focused, but it also acts as an anchor, hindering the ability to pivot. 0 105 Week Cost Of Change (CoC) Bad Idea Commitment Curve Pivot Debt Actual CoC Optimal CoC A Clear Vision is like a Stake in the Ground The longer a team works on an idea the more difficult it is to pivot or start over because the they know how much time and energy it will take to change.