Company presentation, january 2010


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Presentation of Bipper Communication AS

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Company presentation, january 2010

  1. 1. COMPANY PRESENTATION January 2010 © Bipper Communication AS Strictly confidential
  2. 2. INTRODUCTION BACKGROUND Bipper is the story about a young mother of three with a big heart for the most important things in life. Founder Silje Vallestad is a true idealist who planned for a career in international peace work but who ended up starting up a mobile venture when she found herself shocked to learn that children as young as 6 years old were mobile phone users. Realizing that her own then six year old daughter soon might want her own cell phone, she started doing thorough market research only to conclude that none of the products on the market satisfied her need to provide her daughter with a safe and secure solution. Motivated by wanting children to be ”safe while mobile” she founded Bipper Communication in 2007 to develop an innovative and safe mobile communication concept for children. She had no knowledge of either technology nor telecommunication, only a vision of the product she wanted for herself and her young family. Within few months she managed to secure the interest of respected investors and a •  !"#$%&'(#)*+# small team of industry experts, and the team has since grown stronger and stronger. All •  ,)-.%'#)/#-.'%%# have concluded that many would be more competent than Vallestad in setting up •  ,0#/')1#2.%#3)'4%56&7# and running a technology company, but her background and story gives Bipper a 89.))*#)/#:9)7)169(# competitive edge that hardly any can compete with. Bipper Silje is the young mother •  ;+%&*6(-#46-.#.65.#<')=*%# 7%-4)'># of three, an idealist with a highly respected network and the storyteller for Bipper. •  ?%1&*%#%7-'%<'%7%@'(.6<# &1A&((&+)'#/)'#:@')<%# Her vision is soon a reality!
  4. 4. MARKET RESEARCH A GENERATION OF MOBILE KIDS Children everywhere are getting their first mobile phone at a younger and younger age. The mobile penetration among children is increasing drastically, and it is estimated that all school children will have a mobile solution by 2015. IDC analyses has predicted that the 9-and-under market will increase to nine million users in the United States and $1.6 billion in revenue within few years. Market research has identified five issues relating to children’s use of mobile phones: •  Mobile bullying: Nearly 20 % of kids are bullied through mobile phones •  Contact with strangers: For 8 of 10 parents contact with unknown adults is their greatest fear! •  High bills: Content is expensive, and 70 % of kids purchase content •  Stress: Being available 24/7 causes stress symptoms •  Radiation: Parents fear radiation, but they still purchase phones Source: MobileYouth, 2008 report
  5. 5. MARKET RESEARCH PARENTS’ 4 NEEDS For three years Bipper has continuously carried out market research. Hundreds of parents have participated in market surveys, focus groups and interviews, and in addition, Bipper has had access to several international surveys and reports. Four main needs were identified: 1.  Communication & safety Parents want to be able to communicate with their children. This makes them feel safer, and their everyday lives easier. Cell phones makes this possible. International surveys conclude that parents’ own need for safety is the main reason for buying a mobile for their child (nearly 80 %). 2.  Control Parents view cell phones as ‘adult’ products not suitable for kids, but they are the only available option for easy communication. Parents want to be able to decide how the phones can be used. They want to be responsible parents in the new digital world. 3.  Location Parents want to be able to locate their children. Either by calling/texting them to find out where they are, or by location services. Over 70 % of parents are positive to location services. 4.  Family plans and cool phones Parents are concerned about the phone bill. They often prefer family plans. Parents are also concerned about their children fitting in. They want to give their kids the ‘right’ phone. If the phone is un-cool, it will be left at home!
  6. 6. MARKET RESEARCH CURRENT SOLUTIONS A small range of services to make mobile phones safer for children or enable tracking, are available: •  Kiddy phones A number of companies have developed mobile phones for children. All of these products have in common that they resemble toys. While most of these companies failed because they did not realize that kids don’t want childish phones, Firefly Mobile is still around. •  Children only Operators / MVNOs Operators or MVNO only serving the child and teen market offering phones and plans with safety features. US based Kajeet launched in 2007, and Danish Wigomo launched in 2009. •  Operator services Very few operators have targeted children, and Wireless analysts believe this is because they want to avoid looking like Joe Camel and preying on children. Two solutions existing now are Telenor’s ‘Bullying filter’ and AT&T’s smart limits •  Location Services LBS-based location services are offered by several providers to locate mobile phones Location solutions are typically priced at $ 10 per month, while the safety filters offered by Kajeet and operators are priced at $ 5-10 per month (positioning not included)
  7. 7. MARKET RESEARCH MEDIACLIPS Save the children has discovered that children view mobile phones and computers as adult free zones where grown ups do not know what is going on! 40 % of children state to have been contacted by strangers while using digital technology. When phone numbers are distributed online, there is a low barrier to personal contact.
  9. 9. BIPPER BIPPER – THE SAFETY SOLUTION FOR KIDS Bipper is a new software based safety solution making mobile phones safer and better adapted to kids by giving parents control of use. Through a user friendly and flexible online administration portal ( parents are enabled to program and monitor their children’s access to their mobile phones. The portal has an attractive Graphical User Interface (GUI) and is easy to use. All services are activated and programmed through, and no contact with the operator is necessary. •  The portal is available in several languages •  All children can be administrated from one website •  In addition to the main administrator (legal owner), Co- administrators and Guardians can be invited )*0+#!&(-./*#%)#'!&()*&+1-'# 0-(1#%'*&!(%&#+%%)#(%#,*# •  The portal is interactive allowing !""#$%&# "-+./%+*"# parents to distribute information '!&()*&# %'*&!(%&# with each other to enable easier +%%)#(%# communication ,*# "-+./%+*"# •  News about developments and children & cell phones are available on the home page
  10. 10. BIPPER BIPPER WHAT IS BIPPER ? CONTROL Who ? Bipper is designed for the global market, and our ambition is to become How much ? the leading and preferred provider of safety solutions for children’s When ? Block phone mobile phones serving both the parents and the operators. Time Out With Bipper, parents may decide: •  WHO the child can communicate with (calls / texts) •  HOW MUCH the child can call / text per week •  WHEN the child can use the phone BIPPER LOCATION They may also: Where is my child now ? •  Set up a SAFETY ALARM so that up to five selected persons are contacted when activated •  LOCATE the child through Bipper’s positioning service (LBS-based). Automatic location when safety alarm is activated •  BUILD NETWORKS and share contact information with other parents BIPPER •  Purchase CHILD FRIENDLY CONTENT (coming autumn 2010) SAFETY And furthermore they may: Safety alarm Combined with •  BACK-UP all contacts and settings syncing them back to every new localisation phone once Bipper is activated •  REMOTELY BLOCK THE PHONE when lost and unblock it once found •  SET TIME-OUT ON THE PHONE to avoid high bills when going abroad or simply to ground the phone instead of the child (Always contacts will at all times be open) AND : Back-up All settings are administrated through the easy-to-use online Build networks administration portal myBipper, keeping parents in control and children Child friendly content safe!
  11. 11. BIPPER SCREENSHOTS PHONEBOOK •  Drag-and-drop contact to each child’s Phone book from My Contacts •  Contacts are separated into two groups; Always and Limited; enable complete customization for settings SAFETY ALARM •  Select up to five persons you wish to serve as the child’s contacts on the alarm list •  These persons are contacted simultaneously or sequentially when the alarm is activated •  When activated all contacts receive the child’s position in text message
  12. 12. BIPPER SCREENSHOTS BIPPER CARDS •  All contacts have BipperCards containing information on name and phone number (required) as well as photo, other profile information, home address(es) with interactive maps, contact information for parents and other guardians of the child as well as other important information. •  The Bipper Cards can be shared with other Bipper users through Facebook and mail, and the parents can build an online and easily accessible contact database of all their children’s friends and their parents
  13. 13. BIPPER SCREENSHOTS CHILD LOCATOR •  Locate the child when needed, set schedules for automatic location and receive location automatically when Safety alarm is activated TIME CONTROL •  Select when the phone is blocked •  Only Limited contacts are affected by Time control •  Set the phone on Time Out if travelling abroad
  14. 14. BIPPER BIPPER 4 BIPPER CLIENTS OPERATOR Bipper can easily be used with any phone – no matter what plan the customer is on or where in the world he/she is located. Bipper is a software that can be installed through any of these four BIPPER clients: SIM •  BipperOperator Bipper is installed as a software application directly onto the operator SIM. This client requires a partnership between Bipper and an operator (launches April 2010 with first partner) •  BipperSIMs A thin sticker sims (0,5 mm) developed by Motorola that is placed under the ordinary operator sim-card (launches August 2010). The BipperSIM fits on nearly all phones. •  Handsets As a preloaded application •  AppStores HANDSETS Application in the various AppStores (iPhone, Symbian, Android). Either as a full App or an add-on app to be used in combination with BipperSIM or BipperOperator to enable control of incoming traffic. When Bipper is installed on a phone, the user of the phone will regularly be notified that it is a Bipper phone. APP-STORES
  16. 16. POTENTIAL AND STRATEGY MOMS AS KEY CUSTOMERS Moms and dads views on kids and mobile phones, and their need to control usage differs significantly. Moms are Bipper’s key customers. They make the decisions about what their kids need. They love the idea of Bipper, and they will tell all their friends! moms dads Mothers like control, and they want Fathers are not particularly found of control, control. Knowing what their kids are up to, but they are concerned about their whom they communicate with and that children’s safety while using mobile phones. they in general are safe, is very important to them. As the dads most often are the financial chief in the family, dads are very concerned They are very positive to all services Bipper about the bill. will offer, and have a high willingness to pay. Fathers recognize that the key customer of Bipper is Mom – if Mom wants Bipper, their Moms are Bipper’s key customer. They will child will have Bipper. be the main administrator, and they will talk about Bipper with other moms.
  17. 17. POTENTIAL AND STRATEGY CASE 1: EUROPEAN OPERATOR Bipper was contacted by a European operator in June 2009 to discuss a partnership. This operator is known as a low price aggressive operator, but have a long term strategy to establish INFORMATION themselves as a Family Operator. The operator needed a good ON THE and unique service for parents and children, and Bipper was viewed as the best solution. PARTNERSHIP WITH THE For the operator the choice of partnering with Bipper was not EUROPEAN only a choice of technology, but a choice of partnering with a company giving them the legitimacy of targeting the family and OPERATOR WILL child market. For the operator gaining access to the founder of BE MADE PUBLIC Bipper and Bipper’s social profile were key factors in entering into a close partnership. DURING MOBILE WORLD The contract for the Norwegian market was signed December CONGRESS 2010 18th, and the contract for more countries is being negotiated. Key points of the contract are a minimum number of guaranteed customers, all sales and marketing expenses (high volume) covered, first-line customer service covered and donation of money to Bipper’s DoGood Foundation based on achieved subscribers. The operator will gain a 50/50 revenue share of subscription prices and gains 6 months exclusivity for the Norwegian market. The minimum value of the contract for the Norwegian market only over a one year period is $ 3 million. The estimated value is $ 5 million.
  18. 18. POTENTIAL AND STRATEGY CASE 2: MOTOROLA Motorola is Bipper’s developer and supplier of the very thin sim- cards to be inserted under the normal operator sim-cards SHORT FACTS (referred to as BipperSIM) as well as the servers for the Bipper MOTOROLA: platform that the BipperSIMs communicate with. •  Founded in 1928 These BipperSIM stickers are thin enough to fit into most GSM •  American phones, and will work with any GSM operator. The sims will be multinational Fortune branded BipperSIMs and will be distributed in boxes containing 100 telecom company the sim, a user manual and a gift for the child. The boxes will also •  Three devisions: carry Motorola’s logo. 1.  Enterprise mobility Bipper and Motorola have entered into a close partnership and solutions will work together in launching the BipperSIM in the market. 2.  Home & Networks Motorola develops the Bipper platform and sets up servers at a Mobility highly reduced rates and charges a low premium on the 3.  Mobile devices delivered BipperSIMs. Innovation Norway takes a great interest in Bipper’s partnership with Motorola and will offer Bipper grants based on this. The minimum value of the developer and supplier contract with Motorola is $ 1,2 million. In addition to this the value of co-branding still unknown Bipper with Motorola in entering the market as well as access to Motorola’s network, has to be taken into account.
  20. 20. MARKETING & PROFILE BRAND BUILDING IN FOCUS Bipper targets the global market with its safe and innovative communication solution for parents and children. As there are currently still only a handful of extensive solutions for children available globally, Bipper has an early mover advantage. Furthermore Bipper is the only known solution flexible enough to serve both the end-user, the operator, the handset manufacturer and the AppStore. Still – the main advantage of Bipper is not the technology platform or software. The number of competitors will without doubt increase rapidly over the next few years, and any technology concept is easily reproduced once publicly known. Bipper’s main advantage is the story, and through its idealistic and inspiring founder as the front person Bipper will build a strong and credible brand. Bipper is about safety, trust and community involvement. It’s about the story of a young idealistic mother with a highly profiled network who gave up her career in international peace work to create what her and other parents needed. Bipper aims to build a brand that parents identify with. A brand that speaks to them and offers safety. A brand that is not corporate but speaks from the heart to the heart. Bipper is unique!
  21. 21. MARKETING & PROFILE IN SHORT : Bipper is about safety, trust and community involvement. It’s about the story of a young idealistic mother with a highly profiled network who gave up her career in international peace work to create what she and other parents needed. It’s about building a brand that parents identify with. A brand that is not corporate, but speaks from the heart to the heart. In short: •  Bipper's founder will be the company's front person in the media nationally and internationally, and the marketing strategy will focus on active interaction with the media. •  Bipper will engage in active viral marketing by focusing on the use of Facebook, Twitter, and other social networking sites. Both the company and the founder will blog and be active to respond to articles about children, mobile phones and security. •  Bipper aims to be a social entrepreneur combining business with idealism. We are doing business the new way. Customers are no longer attracted to glossy and fake CSR profiles. Bipper’s founder is a true idealist, and Bipper will reflect this! •  Bipper has established it’s own foundation called Bipper’s DoGood Foundation to involve, empower and support children and young people doing projects to create a better world •  Paid advertisement will be kept to a minimum, and mainly be carried out with partner operators.
  22. 22. MARKETING & PROFILE BIPPER SPONSORS KARANBA In 2004 former professional footballer Tommy Nilsen travelled to Rio de Janeiro to say goodbye to soccer. His career as a top division player in Norway had suddenly come to an end due to a serious knee injury. He fell in love with both a girl and the country, and has since devoted his life to giving over 200 poor young boys from the slums of Rio a new life. He provides food and soccer practice, but demands that his boys stay away from crime and drugs and attend school. It’s about social training! His dream is a large soccer center for poor boys and girls providing safety, food, education and soccer practice. Bipper and our DoGood foundation will help make this happen. $ 1000 per DoGood project carried out and registered on our website, plus ¢ 50 per month per Bipper subscriber will be given to Karanba until the Soccer Center is fully financed. BCD2DE:#F;G:C8#0ECD2#H0I03E0J# WHAT’S IN IT FOR BIPPER? •  .K<JLL444M$)@-@A%M9)1L4&-9.N •  Media attention when the tv-series (8 episodes) about Karanba OPQ2'20&%%R);# starts airing in Scandinavia 2010 •  Product placement in the Karanba book •  .K<JLL444M$)@-@A%M9)1L4&-9.NOPS •  3000 copies of a special Bipper edition of the book T5U/20,VBW# •  A great project that inspires and involves the kids doing DoGood [[[MH0I03E0MC,# projects •  .K<JLL444M$)@-@A%M9)1L4&-9.N OPA>:7XHQ@F?;Y/%&-@'%P'%(<)7(%Z4 &-9.#
  23. 23. MARKETING & PROFILE BIPPER ON ”PERFECT DAY” Perfect Day (formerly New Scandinavian Cooking) is one of the world's most popular TV formats within food and travel. The show started airing in the US in 2001, and has since reached 250 million viewers in over 100 countries making it the single most successful Nordic media production ever. Each season contains 13 episodes, and season eight will be shot summer 2010. In the US Perfect Day airs on PBS, and each episode makes an average of 1000 airings. The most popular ones close to 7500. Bipper has teamed up with Perfect Day as a partner, and will receive: •  10 sec of commercial both before and after every episode (season 7) aired in the US and Canada. For the US alone this adds up to 260 000 seconds or close to 4 500 hours •  Product placement in one episode of season 8 (broadcasted worldwide) Analysis by Cision of product placement in former episodes conclude that the value of a 30 second high visibility exposure is worth $ 2,75 mill and a 60 second exposure is worth $ 6 millions in the US market alone.
  25. 25. THE COMPANY BIPPER COMMUNICATION AS Bipper Communication AS ( 991823522) is registered in Norway with headquarters at the VilVite Centre in Bergen and Sales and marketing department in Oslo. Bipper USA Inc. is currently being set up with headquarters in New Jersey. Bipper’s management team currently consists of four people, a professional board, a team of 10 developers, high profile partners, as well as a number of professional advisers. Inspired by the founder’s idealism, Bipper strives to be a company reflecting social entrepreneurship. 8]0I:]CVG:I# 8]0I:8# ^# Main address: F&**%(-&+#])*+675# 2#334#543# 67879# Bipper Communication AS ]0H#;7O%(-# 794#:94# 25879# Thormøhlensgt. 51 ])'7#E@**# 767#:;6# 2482;# 5006 Bergen Norway 8<&'%A&7>%7#F%(-# 25;#;26# 9896# 2Y2Y2# :<#7;<# 6837# Mail: H675#])*+675# 67#2:<# 7897# 07-)7#_&O'&6*)O##`# 76#<;3# 2845# E&*&7+67#;7O%(-## 76#333# 2843# R)7#:'6>#:O%7(%7#`# 25#;;2# 389;# 2)'7$#0&'A&>>%#`# 24#<::# 3892# 36*(#H7&5%7.a%*1#`# 27#:2:# 38<9# 2C20V2# "#b"b#cde# "QQfQQ#
  26. 26. THE COMPANY THE FOUNDER Silje Vallestad is a young mother of three, and highly educated within economics and management. She was voted the Economics Student of the year in 2004 based on her academic excellence and her volunteer work. Vallestad has since the age of 14 been a driving force within several volunteer organizations both on a local, national and international level. Innovative thinking and conceptualizing new ideas has been a central part in all her engagements. She developed an extensive international network while she was studying at United World College of the Atlantic (1995-1997) which has played an important factor in her work. In 1997 she and Jonathan Robinson founded an International organization called World Voices and she received the coveted Ole Vig’s Award for her work with the book “Do you have a moment?” which was one of the organizations initiatives. In 1998, she played a vital part in establishing Students Forum 2000 (Prague) under the guidance of President Vaclav Havel. She has participated at several prestigious international conferences as a youth delegate and through her engagement has had the opportunity to collaborate with people like The Dalai Lama, Hillary Clinton, Fredrik Willem De Klerk, Arne Naess, Vigdis Finnbogadottir and Anita Roddick. Silje is an entrepreneur minded innovative thinker by nature, and has extensive experience as a communicator and project manager. She has repeatedly proven that she can successfully execute on the projects and initiatives she starts. Silje was appointed Female Entrepreneurship Ambassador for Europe by the European Union in October 2010. More information about Vallestad can be found on:
  27. 27. Founder Silje Vallestad has a background as an NGO entrepreneur, and has founded a number of large scale international youth organisations and projects and represented the young generation at several prestigious conferences.
  28. 28. THE COMPANY MANAGEMENT Silje Vallestad Karen Heidel Olav Balandin Nils Knagenhjelm Founder / CEO CFO / COO CTO USA Manager Silje Vallestad (b. 1978) is the Karen Heidel (b. 1967) holds Olav Balandin (b. 1975) Nils Knagenhjelm (b. 1970) founder and CEO of Bipper. 22 years of experience within holds seven years of has many years of She has extensive national and international experience from experience from both the international experience companies; her main focus Telecommunication serving American finance and from project management areas being management, as CEO of Combitel AS and mobile phone business. and idealistic business development, MTU Link AS and later as Knagenhjelm will be entrepreneurship and a finances, negotiations, director of sales, products responsible for introducing large international network. contracts, analysis and and marketing in MTU Nett the Bipper solution to the US She holds an International administration. Heidel is the AS. He was responsible for market. He’s currently Baccalaureate from United former CFO of bringing several technical completing market and World College of the Møllergruppen,, solutions to market in business analysis and Atlantic, and a Master in Tiscali Norge and Telenor Norway. implementing different Strategy and Management Bedrift.! Heidel most recently arrangements as part of the from the Norwegian School served as business developer preparation for launch of Economics and Business for Telenor Nordic Administration Distribution.
  29. 29. THE COMPANY BOARD Svein Johnsen – Chairman Broad experience from top management of several IT- and telecommunication companies in Norway. Among others Merkantildata (now Ementor) and Telecomputing. Co-founder of highly successful MVNO Chess together with Idar Vollvik serving as the president of Vollvik-group until 2005 when they sold the company to Telia Sonera for 1,8 BNOK. Morten F. Krohnstad Manager and partner of Advokatfirmaet Schødt DA in Bergen. Krohnstad was responsible for the sale of Chess (Vollvikgruppen AS) to TeliaSonera. He also has extensive experience listing companies on the stock exchange Birgitte Horn Bull Horn Bull is one of the largest investors in BC, as well as being a member of the board of several other companies. She has an extensive network amongst potential investors both nationally and internationally. Roy Westbye Over 12 years of experience from telecom with experience within sales/ marketing and distribution. Former Sales & Marketing director of ComHouse (Klart Svar and Telebutikken). Broad experience working with sales/ distribution for operators, such as Telenor, Nordisk Mobiltelefon (ICE) and NetCom. Arvid Torset CTO of ComCom ( and founder of Tendo Tech AS – a technology company specialized in mobile telecommunication platform development. Tendo Tech is Bipper’s technology manager in partnership with Sirma Solution