Team Members

1

• Team Members

Julia Brazas Ben Lorch Achyuth Hassan
Matt Howard Ryan Malone Sean York
2
Digital Divide

• 92 of schools online (2002)
• 7.87B school tech spending (2003-04)
• 1.5B for integrating technology/software into
  curriculum
• Fastest growing segment
• 24 CAGR in spending (since 2000-01)
• 61 of teachers said internet essential to
  classroom learning
• Majority of teachers still dont use it Why?

3
Lack of Quality

• Many educators lack practical web skills
• 66 cite ease-of-use as a problem
• Software not interactive enough for students no
  animation, sound
• No evaluation tools quizzes, parental links

4
How Do We Fit In?

• Online learning company
• Established web product
• Dynamic experience
• Strong management team
• Addresses the issues
• Lack of high-quality online content in schools
• Easy-to-use, incorporate for educators
• Delivers vast, unique resources from museums

5
How Do We Fit In?

• Online learning company
• Established web product
• Dynamic learning experience
• Experienced team
• Addresses the issues
• Lack of high-quality online content in schools
• Easy-to-use and incorporate for educators
• Delivers vast, unique resources from museums

You neednt take our word for it ...lets hear
what the customers say!
6
Sample Sales Video
7
What is eFieldTrips?

• Online learning company
• Supplemental, web-based curriculum
• Subscription revenue model
• Popular subjects, relevant topics
• Established, tested product
• Successful CPS pilot
• Kids love the dynamic material
• Easy for educators to incorporate
• Credible content by teachers, for teachers
• Platform is a virtual field trip experience
• Strong museum partnerships

8
How do we know all of this?

• University of Chicago WebDocent Pilot
• CPS test bed
• 100 hours of material
• Existing partnerships
• 8 renowned cultural institutions
• Letters of Interest
• Experienced management team
• Strong advisory board

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Management Team

• Benjamin Lorch
• Managing Director, CPS UC Internet Project
• Julia Brazas
• Director, Chicago WebDocent Project
• Sean York
• Creative Director, Chicago WebDocent Project
• Matthew Howard
• Senior e-learning strategist, web producer
• Achyuth Hassan
• GSB, focus on business, new product development
• Ryan Malone
• GSB, focus on sales, marketing

10
Advisory Board

• Don G. York
• Professor of Astronomy and Astrophysics,
  University of Chicago
• Founder, CPS UofC Internet Project
• Tom Berkshire
• Chief of Staff, IL Dept. of Children Family
  Services (DCFS)
• Scott Clegg
• Former President, Nobel Learning Communities
• Mary Cullinane
• Technology Architect, Microsoft School of the
  Future
• Sharnell Jackson
• Chief eLearning Officer, Chicago Public Schools
• In progress the presidents of our eight partner
  Chicago cultural institutions

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So where do you come in?

• Stage 1 Investment 900,000
• Operational, start-up expenses through 2006
• Stage 2 Investment 900,000
• Continuation of Stage 1
• Grow to revenue positive
• So what does that buy you?

Great Company, Solid Strategy!
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Going-to-Market Strategy

• Revenues generated through subscriptions
• Quantity discounted to large districts
• Individual subscriptions for home use
• Customers involved to reach student (3rd party
  buyer)
• Major metropolitan school districts
• Smaller districts, individual public or parochial
  schools, classrooms
• Homeschools, individuals, parents buying for
  children
• Slightly different processes for each

Lets take a look at the Unit Model
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District Purchasing Process
1-1 ½ Year Pilot Sell Build Relationship ?
Sales Presentations ? Buyers include
District Tech Coordinators, School
Administration, Principals, Teachers ?
Submit Pilot Proposal
Fall
Winter
Spring
Summer
Fall
Summer
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District Purchasing Process

• 1-1 ½ Year Pilot Sell
• Build Relationship
• ? Sales Presentations
• ? Buyers include
• District Tech Coordinators,
• School Administration,
• Principals, Teachers
• ? Submit Pilot Proposal
• Gain Acceptance
• ? Facilitate Trials
• ? Teacher Acceptance Key
• Possible Training Session
• ? Refined District Proposal
• ? Board Budget Decision

Fall
Winter
Spring
Summer
Fall
Summer
15
District Purchasing Process

• 1-1 ½ Year Pilot Sell
• Build Relationship
• ? Sales Presentations
• ? Buyers include
• District Tech Coordinators,
• School Administration,
• Principals, Teachers
• ? Submit Pilot Proposal
• Gain Acceptance
• ? Facilitate Trials
• ? Teacher Acceptance Key
• Possible Training Session
• ? Refined District Proposal
• ? Board Budget Decision
• Launch Pilot

Fall
Winter
Spring
Summer
Fall
Summer
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District Pilot Details

• Districts want to ramp up pilots
• Proves worth and eases into investment
• Y1 10, Y2 25, Y3 50, Y4 100
• Volume discounted pricing schedule
• Based on customer and competitive research
• Ex CPS, 500 schools 300,000/yr
• 600 per school or about 1.20/student
• Ex Milwaukee PS, 150 schools 210,000/yr
• 1,400 per school or about 2.80/student

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Gaining District Adoption

• Hire Sales Executive
• Prior textbook or edu-software sales
• Leverage existing content
• DVD/CD-Rom sales video mailings
• Loss leader interactive, free trials
• Video testimonials
• Conference presentations, booth
• American Assoc. of School Administrators (AASA)
• Urban Superintendents Assoc. of America (USAA)
• Promote brand, product
• National Education Association (NEA) publication
• Capture sponsorships
• Email blasts, print advertising with National PTA

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The Individual Subscriber

• Largely scattered base
• Initial focus on Chicago-area individuals
• 2.2M students
• Subscription price of 29.99/year
• Higher willingness to pay
• Based on customer and competitive research
• Echoes desire for educational materials that kids
  will enjoy!

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Gaining Individual Adoption

• Teacher referrals, student take-home effect
• Leverage existing content
• Parent e-notifications, email blasts
• DVD/CD-Rom sales video mailings
• Loss leader interactive, free trials
• Video testimonials
• Promote brand, advertise to parents, homeschools
• Discovery for Kids or National Geographic
  magazines
• Home Educator Magazine, Home Educators Resource
  Directory
• Use museum partnerships
• Leverage sponsorships
• Email blasts, print advertising with National PTA

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And, the skys the limit!

• By subject
• History Henry Ford Museum, Industrial Revolution
• Science San Diego Zoo, zoological sciences
• Physics Indianapolis Motor Speedway, friction
  and acceleration
• Health Milwaukee Public Museum, dairy and
  nutrition
• Consumer Ed Citibank, money management
• By customer
• Teachers professional development credits
• Parents questions for the dinner table weekly
  emails
• Students Passport club membership
• Museums kiosk content that ties into curriculum

21
Projected Earnings
22
Total Competition
23
Simplified Competition
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Recap of Investment

• Stage 1 Investment 900,000
• Operational, start-up expenses through 2006
• Refine online platform to accommodate sales
• Hire CEO and Sales Executive
• Fund CPS 2nd stage pilot, research
• Gain suburban and regional adoption
• Support some new lesson development
• Stage 2 Investment 900,000
• Continuation of Stage 1 grow to revenue positive
• Ramp up pilots at new districts
• Transition efforts to individual subscriber
  market
• New content development
• National expansion of partnerships and focus

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In Summary

• Solves important problems
• Big technology investments
• Lack of meaningful learning experiences
• Has momentum and experience
• Successful CPS pilot, letters of interest
• Solid management, advisory
• Good investment
• 3M in year 5, 3-year breakeven
• Highly liquid edu-software market (500M)

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Questions?
Thank You!

• Contact Information

• Achyuth Hassan
• ahassan_at_ChicagoGSB.edu
• [phone]

• Ryan Malone
• rmalone_at_ChicagoGSB.edu
• [phone]