Final Project for Marketing and Innovation MBA course.

1. Game On!
Your game is just few taps away!

2. Challenge
Life is on-demand
Game On!

3. Challenge
Life is on-demand
▪ Everyone is on the go
▪ People want to be healthy
▪ No one wants to play alone
▪ Everyone has a mobile device
Game On!

4. Challenge Solution
Life is on-demand “Xbox Live” for real-life sports
▪ Everyone is on the go
▪ People want to be healthy
▪ No one wants to play alone
▪ Everyone has a mobile device
Game On!

5. Challenge Solution
Life is on-demand “Xbox Live” for real-life sports
▪ Everyone is on the go ▪ Play pick up games on-demand
▪ People want to be healthy ▪ Proprietary ranking system
▪ No one wants to play alone ▪ Find players, trainers or courts
▪ Everyone has a mobile device ▪ Mobile interface
Game On!

6. Is there a Market?
Game On!

7. How many times would you PREFER to play?
5+ times a week
3 – 5 times a week
1 – 3 times a week
< 1 a week
0% 10% 20% 30% 40% 50% 60% 70% 80%
Game On!

8. How many times do you play sports in a
week?
5+ times a week
3 – 5 times a week
1 – 3 times a week
< 1 a week
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Game On!

9. What are your main constraints?
No Constraints
Court availability
Logistics
Finding a partner
0% 5% 10% 15% 20% 25%
Game On!

10. Initial Focus
▪ Busy, active professionals
▪ Want to play but don’t have time to bother with logistics
Tennis Basketball
▪ Smaller group sports
▪ Easier to coordinate details
▪ Based around time, sport, location, and skill level
▪ Single match and tournament capabilities
Future Growth*
▪ Casual players
▪ Coordinate board games, workouts
▪ Formal group sports coordination
▪ Become database of “available fields/courts”
Game On!

11. The Landscape
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12. BuddyUp.com TennisHound
• Poor browser and mobile • No mobile app, no ranking
experience
Competitors
FindaGolfer.com Leagues
• No membership base and confusing • Can’t do impromptu games
Game On!

13. Customers & Collaborators
Players Tournament Coordinators Instructors Retailers
Description Individual trying to Need game-matching Target/reach players Sell sporting goods to
quickly coordinate platform to help administrate looking to hone their audience based on
logistics of a complicated ranking aspect skills in the specific sport, skill level, and
spontaneous pick-up of tournament. sport. geographic location.
game on demand.
Collaboration Provide game data Provide game data and Provide tips, tricks to Promote application in
Proposition and information on information on players and users and feedback local establishments.
players and sports in sports in order to populate loop on the app.
order to populate the the member database.
member database.
Game On!

14. How much would you be willing to pay?*
Over $5
Between $.01 - $5
Zero
0% 10% 20% 30% 40% 50% 60%
* Pay to play a sport on-demand where player and logistics were coordinated for?
Game On!

15. Player Offering
Basic - Free Premium -$7 per month
▪ Matching through proprietary ranking ▪ Additional player related information
▪ Game reminders before games ▪ Ability to add/view more of your
information
▪ Schedule instructors when players
unavailable ▪ Instructor discounts
▪ Achievements based on activities that build
▪ Sports-related offerings from local retailers “ego”
▪ Opt-in weekly sports related tips and news ▪ Better chance of finding a partner (higher
on player availability list)
▪ Points based on activities that build the
business ▪ Ability to create tiered game tournaments
▪ Ability to play in tiered game tournament
Game On!

16. Advertiser Offerings
Retailers/Brands – PPC Instructors - % of training
Revenue class
▪ Advertise products based on the ▪ Provide services based on
following demographics (preliminary) demographics or volume
▪ Sport ▪ Sport
▪ Location ▪ Location
▪ Skill Level ▪ Skill Level
▪ Revenue generated through PPC ▪ Revenue generated through
model commission
Game On!

17. Compelling Experience
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18. Scheduling a Game
When &
Sport? Open Games
Where?
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SelSele
or
Sign Up Today!
Add Location
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19. Accepting a Game
Rate your
mates?
Skill
Punctuality
Friendliness
Game On!

20. Ranking
▪ Sports specific information
▪ Tennis: forehand, backhand, serve, etc.
▪ Basketball: hookshot, 3-points, lay up, etc.
▪ Everyone starts at same level, then scale ranks up based on feedback
▪ Trusted ranking individuals given more weight
▪ Opt-in to share rankings (except in tournament)
▪ Information used to better “match” players and provide advertising insight for
instructors and retailers
Game On!

21. Customer Retention & Rewards
Achievements – Ego Builders Points – Business Builders
▪ Completing certain community ▪ Completing certain value-added
building activities activities
▪ Getting a high skill ranking for certain ▪ Playing a certain number of games
sport/activity ▪ Adding reviews and player information
▪ Playing a lot of games at a certain
location ▪ Discounted on monthly premium fee
▪ Badge displayed on profile for other ▪ Discounted instructor lessons
users to see
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22. Critical Mass
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23. Total Addressable
Market
Bellevue
Kirkland
Redmond
Seattle
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24. Marketing Initiatives
▪ Online: Beta site and social community presence ▪ On court leave behind material: Seed
through a branded Facebook page, twitter branded basketballs and other sporting
account, and YouTube channel goods supplies at local sports courts
▪ Handouts to College Campuses, New ▪ Referral program: For every 5 players added
Residents, Retailers: Magnetic business cards to a free month of Premium service (assuming
help customers keep our service top of mind a 1.5 “stickiness” rate
TAM Expected Installs Needed Installs % Total
Seattle Area Colleges 110,369 5,518 7,183 14%
New Residents 63,000 1,103 4,100 8%
Tennis Court Players 103,488 5,174 6,735 13%
Basketball Court Players 71,400 3,570 4,647 9%
Retails 420,000 6,300 27,335 55%
Total 768,257 21,665 50,000 100.0%
Game On!

25. Marketing Expenses & CPA
Handout Expenses Cost/Handout # Needed Total Cost Expected Installs Cost/Install
College $ 0.65 130,000 $ 84,500 5,518 $ 13.00
New Resident $ 1.68 63,000 $ 40,950 1,103 $96.00
Retailer $ 0.65 420,000 $273,000 6,300 $ 43.33
Total 613,000 $398,450 12,921
Leave-behind Material Cost/Ball Days Courts Cost Expected Installs Cost/Install
Basketball $ 20.00 84 308 $ 1,680 5,174 $ 0.07
Tennis ball (Squeezies x 3) $ 3.00 84 85 $ 252 3,570 $ 0.32
Total $ 1,932 8,744
Game On!

26. Net Income (in millions)
$20
$15
$10
$5
$-
1 2 3 4 5 6 7 8 9 10
$(5)
Years
Game On!

27. Projected Timeline
Q3 2013 Q1 2014 Q2 2014 Q3 2014 Q1 2015 Q1 2016
Dev Schedule Private Public Beta Refine Features Launch Grow Expand
Beta Features
Supported Tennis & Volleyball & Baseball & Football & Soccer & TBD
Activities Basketball Golf Running Board Games Yoga
Locations Seattle Metro Portland Metro
College Handouts Handouts Handouts
Local Courts Leave Behind Leave Behind
New Residents Mailing Mailing
Instructors 25 sign ups 50 sign ups
Retailers 50 sign ups 100 signups
Game On!

28. Activity Logistics Breakdown
Site Reservation Popularity Group Size Weather Public Visibility
Related Needed
Tennis Yes No Medium 1-2 Yes Yes
Volleyball Yes No Medium 2-6 Yes Yes
Basketball Yes No High 2-5 No/Yes Yes
Racquetball Yes Yes Medium 1 No Yes
Frisbee Golf Yes No Low 1 Yes Yes
Board Games No No Medium 1 No No/Yes
Bocce Ball No No Low 2-4 Yes Yes
Golf Yes Depends High 1-4 Yes Yes
Baseball Yes Yes High 9 Yes Yes
Soccer Yes Yes High 11 Yes/No Yes
Cricket Yes Yes Medium 11 Yes Yes
Yoga Yes Yes High N/A No Yes
Running No No High N/A Yes Yes
Game On!

29. Game On!
Spend your time playing the game,
not finding the game!
Game On!

30. Additional Info
▪ Risks & Contingencies
▪ Customer Lifetime Value
▪ Addressable Market Research
▪ Financial Assumptions
▪ Year 1 – 10 Forecasts
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31. Additional Information
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32. Risks & Contingencies
▪ First Game Matching
▪ Request an instructor
▪ Discounted upgrade to premium
▪ Larger Players Entering the Market
▪ Meetup.com or EventBrite.com
Game On!

33. Lifetime Value of Customer
▪ Premium Customers:
▪ $7 per month x 12 months = $84 per year
▪ 95% Retention
▪ 10% WACC
▪ $336 per Customer
▪ Instructors:
▪ $100 revenue per session x 40 sessions a year = $400 per year
▪ 95% Retention
▪ 10% WACC
▪ $1,600 per Instructor
Game On!

34. Addressable Market Calculations – College &
New Residents
Seattle College Campus
Populations New Residents
School Students ▪ New Seattle Metro Residents per Year
University of Washington 46,653 ▪ Seattle city population: 620,778
(increased by 56,000 persons, or 8 %
Seattle University 6,616 from 2000 to 2011)
▪ Population in Seattle metro: 3,500,026
Seattle Pacific University 4,000 (increased by 1.75% from 2010
(3,439,809) to 2011)
Art Institute of Seattle 2,300
Cornish College of the Arts 800
Seattle Community Colleges, four campuses 50,000
Total 110,369
Game On!

35. Addressable Market Calculations – Sports
Retailers
▪ Seattle Metro Sports Retailers
▪ There are 50-100 retailers in Seattle metro
▪ Yelp with keyword of ‘sports shop in Seattle’ shows 204 results
▪ Google Map with keyword of ‘sports shop in Seattle’ shows 46 results
▪ Bing Map with keyword of ‘sports shop in Seattle’ shows 26 results
Game On!

36. Addressable Market Calculations – Sports
Courts
Courts in Seattle Metro Courts & Retailers Total
Courts Players Days of Locations TAM
per Day Promotion
Tennis ~1,000
Tennis 4 84 308 103,488
Basketball 46 half courts and 29 full courts
Basketball 10 84 85 71,400
Retailers 50 84 100 420,000
Tournaments in Seattle Metro Totals 64 84 493 594,888
Tennis Basketball
Tournament Participants 25 – 350 80 – 100
# of Tournaments 50-100 ~50
Game On!

37. Financial Assumptions
Activity Estimates Salary Expenses
Average Activities per month 4 Marketing/Sales Manager $80,000
Months in Year 1 6 Developers (2) $250,000
Tournaments (% of total) 0.50%
Interns (2) $70,000
Premium Estimates
Business Operations $100,000
Premium Membership $ 7.00
Premium Conversion 10%
Other Expenses
Training Estimates
Training Conversion 4% Administrative expenses
(Rent,Utilities) $250,000
Training session participants 5
Marketing Expenses $500,000
Cost/person $ 20.00
Total Training Revenue $ 100.00
Commission 10% Monthly Amazon Web Service Cost $1,553
Revenue per Training session $ 10.00
Advertising Estimates
CPC $ 0.50
CPC Conversion Rate 1%
Game On!

38. Year 1 – 10 Estimate Forecasts
Year 1 (6 months) Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Forecast Expected Needed
Basic Subscribers 50,000 22,000 75,000 112,500 168,750 253,125 379,688 569,531 854,297 1,281,445 1,922,168
Premium Subscribers 5,000 2,200 7,500 11,250 16,875 25,313 37,969 56,953 85,430 128,145 192,217
Activities per year 1,200,000 528,000 1,800,000 2,700,000 4,050,000 6,075,000 9,112,500 13,668,750 20,503,125 30,754,688 46,132,031
Training Sessions 2,000 880 3,000 4,500 6,750 10,125 15,188 22,781 34,172 51,258 76,887
Number of Tournaments 125 110 375 563 844 1,266 1,898 2,848 4,271 6,407 9,611
Fixed Cost (Annual)
Salaries
Marketing/Sales Manager $40,000 $40,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000 $80,000
Developers $125,000 $125,000 $250,000 $250,000 $250,000 $250,000 $250,000 $250,000 $250,000 $250,000 $250,000
Business Operations $50,000 $50,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000
Interns $0 $0 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000 $70,000
Administrative expenses (Rent,Utilities) $125,000 $125,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 $100,000
Marketing Expenses $500,000 $500,000 $125,000 $125,000 $125,000 $125,000 $125,000 $125,000 $125,000 $125,000 $125,000
Total $840,000 $840,000 $725,000 $725,000 $725,000 $725,000 $725,000 $725,000 $725,000 $725,000 $725,000
Variable Cost
Amazon AWS fees $9,317 $9,317 $13,976 $20,964 $31,446 $47,169 $47,169 $70,754 $106,131 $159,197 $238,795
Total $9,317 $9,317 $13,976 $20,964 $31,446 $47,169 $47,169 $70,754 $106,131 $159,197 $238,795
Total Cost $849,317 $849,317 $738,976 $745,964 $756,446 $772,169 $772,169 $795,754 $831,131 $884,197 $963,795
Revenue
Commission from Instructors $ 20,000 $ 8,800 $ 30,000 $ 45,000 $ 67,500 $ 101,250 $ 151,875 $ 227,813 $ 341,719 $ 512,578 $ 768,867
Revenue from Premium Subscribers $ 210,000 $ 92,400 $ 315,000 $ 472,500 $ 708,750 $ 1,063,125 $ 1,594,688 $ 2,392,031 $ 3,588,047 $ 5,382,070 $ 8,073,105
Revenue from Basic Subsribers $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
Revenue from Advertisements $ 250 $ 110 $ 375 $ 563 $ 844 $ 1,266 $ 1,898 $ 2,848 $ 4,271 $ 6,407 $ 9,611
Total Revenue $ 230,250 $ 101,310 $ 345,375 $ 518,063 $ 777,094 $ 1,165,641 $ 1,748,461 $ 2,622,691 $ 3,934,037 $ 5,901,056 $ 8,851,583
Net Income $ (619,067) $(748,007) $ (393,601) $ (227,902) $ 20,648 $ 393,471 $ 976,292 $ 1,826,937 $ 3,102,906 $ 5,016,859 $ 7,887,789
Game On!