Gramicon slide deck as of November 5, 2012

1. Short, Valuable Messages
Joseph Colangelo | Steven Swan
November 2012

2. Gramicon gives online messages real value,
helping people cut through the noise and
clutter of their inbound messages and earn the
attention of anyone.

3. Online messages have no inherent value, so it’s hard to
get attention from non-acquaintances
Gramicon
Communicate Privately to Friend ✓ ✓
Communicate with a Stranger ✓ ✓ ✔
Publish Public Communication ✓ ✓
Mass Communication with a
✓ ✓ ✓ ✔
Group
Demonstrate Value of Message ✓ ✔
Incentivize a Reply ✔

4. Add value to messages,
Incentivize reading and responding
Recipient replies to
Recipient previews
Sender attaches a message, Sender
message and
virtual currency to gives feedback
decides to claim or
a message rating based on
discard
response
Market mechanism: Recipient determines Feedback rating lets
Sender has to decide if reading and recipient command a
how much to spend responding is worth better price for
on recipient’s the sender’s price responsiveness
attention

5. Traditional Messages Online Messages
Telegrams: brief & urgent Twitter & Facebook: brief,
urgent, non-private
Mail: private & personal Email: private and personal
When everything is free, how
Overnight: private & valuable do you demonstrate value?
E-mail made messages free
Now there’s a missing market: the valuable message

6. Many have identified the problem
• Mike Arrington wrote about email overload on TechCrunch in 2008
• Paul Graham wrote an essay about solving email overload in March
of 2012, called it a “frighteningly ambitious […] billion dollar idea”
• Pranav Dharma wrote a blog post in July 2012 that posited a
hypothetical solution very similar to Gramicon’s business model
Other platforms have approached the solution
• Sanebox, OtherInbox help filter emails
• Centmail, Attn.me tried a “paid-email” solution
• LinkedIn’s InMail uses a value-based message in a narrow sense,
doesn’t pass value to recipient
GRAMICON WILL BE A LEAN FIRST MOVER – SPEED IS CRUCIAL

7. Our customers communicate via the internet
1 B Users
$ 3.28 B
TAM $3.28 ARPU
SAM
510 M Users
$3.28 ARPU
$ 1.68 B
250 M Users $ 820 M
SOM $3.28 ARPU
*Displayed as potential annual revenue

8. Q2 2012 Q4 2012 Q1 2013
• Messaging system • Charities • Professional redesign
• Attach credits • Auto-donations • Open API
• Inbox auto-sorted • Charity badges • Metrics
• Create replies • User Profiles • Charts
Q3 2012 Q4 2012 Q2+ 2013
• Reviews • Mass messaging • Site-wide redesign
• Ratings • Intro Video • Professional rebranding
• Mailers • Blog
• Stripe (Payments) • Personnel Blurbs
• Email Confirmation
• Front end redesign

9. Gramicon sells virtual credits
Willing to pay for quality impressions
Mass to selected demographics
Marketer
Wants to connect with new people
Active User Enjoys increasing his ranking
Will pay for credits
Uses Gramicon occasionally
Casual User Doesn’t pay for credits
Builds a reputation

10. Gramicon gains critical mass by incentivizing popular
people to promote their profiles to fans
Channel Details
Access to over 100 million fans
Sponsored Tweets
Pay flat fee for celebrities to join and share profiles
Black Sheep Media Arianna Garande, Paris Hilton, over 40 other celebrities
Group Pay CEO $0.25 per credit
$0.30 per credit if twitter profile includes Gramicon profile
Individual Celebrities
$0.10 per credit otherwise
Charities Charities promote profiles to increase credit revenue

11. Tweet
“Wanna Talk? Message me on
Gramicon.com and I will personally
reply! Gramicon: Sponsored
Conversations http://spon.tw/t1yENA”
Response
1279 clicks
412 new members
211 messages sent
Christi Lukasiak
@DanceMomChristi 3 purchases
Followers: 217,602
Customer Acquisition
Cost: $1.08

12. Joe Colangelo Steve Swan
U.C. Berkeley West Point
United States Navy United States Army
TroopSwap.com Wharton MBA ’14
Booz Allen Hamilton

13. BALANCE
• Gramicon’s only accounting asset is its cash on hand: $ 4,000
• Gramicon has no liabilities
• Gramicon is wholly owned by three equity partners, with the CEO in majority
INCOME AND CASH FLOW
• Gramicon has been operating since 1 August 2012
• Initial capitalization was $13,000 from equity sales to partners
• No significant revenues to date (less than $10 during live beta testing)
• Expenses to date:
• $ 6,000 towards product development
• $ 2,000 towards business development
• $ 1,000 towards general and administrative
Our approach is lean, and our results have been been efficient.

14. (In thousands)
Q1 Q2 Q3 Q4 Q5 Q6
Salaries/Personnel $69.00 $76.00 $76.00 $87.00 $87.00 $87.00
Legal/Insurance $21.90 $1.90 $1.90 $1.90 $2.00 $2.00
Hosting/Add-ons $1.80 $1.80 $1.80 $1.80 $1.80 $1.80
Advertising $27.00 $48.00 $60.00 $90.00 $90.00 $90.00
Rent/Utilities $5.10 $5.10 $5.10 $7.10 $7.10 $7.10
Travel/Incidentals $3.80 $3.80 $3.80 $3.80 $3.80 $3.80
Total $128.60 $136.60 $148.60 $191.60 $191.70 $191.70

15. Investment amount
• $1.5MM in cash
Investors Receive
• Minority voting seat on Gramicon board
• Convertible note for purchase of shares with 25% discount at
subsequent liquidity event
• 10% interest earned beginning 6 months following investment
Alternatives to VC fundraising:
• Continued bootstrap
• Equity based crowd-funding
• Family and Friend seed round

16. Tweet
“Wanna Talk? Message me on
Gramicon.com and I will personally
reply! Gramicon: Sponsored
Conversations http://spon.tw/t1yENA”
Response
1279 clicks
412 new members
211 messages sent
Christi Lukasiak
@DanceMomChristi 3 purchases
Followers: 217,602
Customer Acquisition
Cost: $1.08