Title: PLACENSE
1PLACENSE Project description
2Content
Product Placense Description Multi-user
The advantages Concept Business model
Production Protection Users
Classification Market capacity Guiders
Description Tools Classification Quality
control
Community Competitors Existent services
Analysis Risks Our answer Promotion
Strategy Launch Placequest PR Online
advertising Development strategy Placense
user Offline Other languages Local
Plan
Our team We Nicholas Stepanov Alexander
Romanov Pavel Burian Ian Oskin Finance
Launch Planning income Investment offer
Intuition business
3Product
4Product Placense
- Placense - is a unique web service, offering a
comfortable innovative service for tourists from
all over the world. - Placense a community of people who love
traveling and places they live in. They - produce the product
- promote it
- make business out of it.
- Placense - is the new form of cultural exchange.
- Placense - is a new business model connecting
classical business with web 2.0, offline and
online, traditional ambitions with the
traditional needs.
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5Product Description
Placense is the audio guide in cities, towns and
tourist routes. Its the more comfortable and
innovative alternative to traditional group
excursions with a guide and printed travel books.
Before going somewhere on a vacation or a
business trip the user chooses the places of
interest and downloads from the site the mp3
files. Then he creates the route or chooses the
recommended one. After that all he needs to
listen to the tour is just an mp3 player or iPod.
One excursion for one place will have 2
versions light and full. Light is a story
about some place for 5-7 minutes. Full version
can be over and hour. Depending on your needs you
can choose what you like a full narration about
the place or a short one just to know about
it. The service will be launched in English for
English speaking users. Then we plan to expand it
in some other languages (German, French,
Japanese, Russian, Chinese)
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6Product Multi-user
The tour can be used by a group of travelers.
They dont have to use mp3 players each, all they
need is one mp3 player, FM translator (20) and
the needed number of FM receivers for each member
of the group with headphones to listen to one
content all together.
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7Product The advantages
Time independence / the tour can be heard at any
comfortable time, the tracks can be stopped and
then continued. Space independence / one can
choose a common route or one specific place its
up to the user. Organization simplicity / if one
hasnt ordered an excursion in advance, theres
no easier way to do it rather than using
Placense. Exclusive / tours in the unusual
places, tours recorded by celebrities. Atmospheri
c / adding music and sounds we create the world
of the place much more atmospheric than on the
paper. Premium image / Hi-tech image instead of
group tourist image.
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8Product Concept
- Placense is the sense of place! Each place has
its own history, atmosphere, people and secrets.
We want a user to deepen into history and culture
imagining the place centuries ago! We create a
time machine! Its much more than an excursion,
its an adventure! - To achieve it each label tour will include
- great stories (culture, history, current events)
- expert commentary
- eyewitness accounts
- historic audio
- original music
- humour
- mystique, unusual (paranormal) stories
- The most innovative and earth quaking now each
user can become a guide himself! The guider can
create the product and sell it via our service.
The tours will appear for such places which you
may never see in the printed guide or during the
group excursion. Terra incognita becomes the term
of the past!
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9Product Business model
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10Product Production
- The production of Placense label
- We choose the object depending on the places
popularity. - 2. Hire professional guides, record and tape
their excursions. - 3. Work up the material, add more interesting
facts and stories and form the final version
(script). - 4. Record the excursion in the record studio with
the professional actor, add sound effects and
music. - The production of Placense user would be on
users charge. The main difference is the lack of
professional studio and actors. Guiders are the
producers themselves.
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11Product Protection
- At the moment there is no evident solution for
digital content protection from copy and illegal
distribution. - Except the legal procedures there are no ways to
stop the distribution of the content.
Nevertheless weve got the points which can
minimize the risks. - the excursion purchase is a rare expenditure for
an average customer (2-3 times a year), so the
case of money saving is no critical for the
user - ?onvenience and usability of the service, easy
search, variety of products - special offers,
llegality - the other attitude to the creators of the
content, a simple person but not a huge
corporation. - users who create the product will be interested
in searching for illegal distribution and fixing
that out. Man
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12Users
13Users Classification
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14Users Market capacity
1. The overall basis is the number of people in
the World who visit other countries over 1
bln/year. Global tourism market is larger than
any other given market. Yearly growth rate
10. 2. Number of people who use English as a
main language of communication (native or second
language) in the Internet is over 500 mln. The
more accurate market capacity is hard to evaluate
now. Its obvious that the target audience is
very large. But its not obvious how many people
will be interested in the product and how many
may become active users.
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15Guiders businessmen celebrities
16Guiders Description
Every person can record an excursion about his
town/city or his trip somewhere and start earning
money from selling it. All he needs to do is to
know some interesting facts, stories and make an
interesting narration. The tour can be of any
kind the house and the street, museum or a
sculpture, famous club or a traditional shop, the
bridge or a railway station. Anything!!! The
object of the tour one chooses himself! The
beginners will feel the desire to earn some money
and to promote themselves inside the community,
of course theyll also feel pride of the places
they live in or traveled to. The unique
compilation of business and opportunity to become
famous creates the enhanced motivation!
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17Guiders Tools
There will be a series of useful options in the
service. It will help the beginners to promote
the product inside the community an annotation,
a demo reel, a blog and photos. The users will
start from equal positions which will help to
maintain the competitiveness in the service.
Every user can earn a big sum of money. To do a
good business one should operate with the simple
means of marketing sales dynamics, consumers
replies, competitive analysis, improvement of his
product and so on. So for each guide it may
become a real business adventure. The promotion
from guiders side will help one to increase
sales and will increase the popularity of the
service itself.
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18Guiders Classification
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19Guides Quality control
- The social element of the service introduces the
risk of turning it into the dump of unquality
recordings of thousands of users. - Weve provided for a tool kit minimizing that
risk - quality test premoderation
- ratings and comments from the users, hit lists
- the ability to complain, abuse team
- preview is obligatory for all the guides.
- the limit on excursions on one place on a
competitive basis. - search, tag model, many filters for better
search of necessary theme or place.
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20Community
- Conditions for the community development
- unique new service
- the largest target audience tourists from all
over the world - permanent interest - people go traveling two
times a year in average - the ability to earn money and competitiveness
create the unique business environment. - The developed community will lead to higher
popularity of the service and improvement of the
product. Guiders will attract new users to
enlarge their audience and increase sales. Those
users who bought the product will have an
opportunity to criticize, rate and choose the
best rated they will propose new ideas for
excursions. The user can be an active guider and
an active buyer, in both ways he will tell
everyone about the service. - The viral effect can be guaranteed!
- Each guider will invite friends to visit the
service.
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21Competitors
22Competitors Existent services
www.talkingstreet.com Tours are sold over the
cell phone and are accessed only by the phone.
Project has been launched this year and lacks
content just several US cities are available.
Plus One of the key features of the product
some tours are recorded by real celebrities (i.e.
Steve Tyler) Minus The absence of customer
community who use, discuss and create product.
Only cell version available.
www.audisseyguides.com This company sells audio
tours for several US cities (as the previous one)
three at the moment. Minus No community, PR
is poor and is mainly in Boston place where the
company has been founded.
www.audiocitytours.com Netherlands based company
which started selling audio guides on-line half a
year ago. Their first guides were about Amsterdam
various routes and places of interest. In
August, 2006 they introduced first international
tour about London. Minus Poor PR and lack of
work with on-line community are weak sides of the
Project.
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23Competitors Existent services
www.soundwalk.com The most advanced service. It
was launched in 2004. It specializes on non
standard tours like Bronx Hip Hop, Manhattan
Ground Zero and Louvre Da Vinci Code. The high
quality of tours was noted with several awards in
recording. Soundwalk also provides some b2b
branding opportunities. Plus unique tours, high
quality, good PR, the ability to buy it from
iTunes. Minus Very few places, lack of community.
www.tourcaster.com The same as other services.
The main advantage, big amount of tours about
50. The price for one 5, the length 30
min. Plus big amount of tours. Minus lack of
community, much advertising, lack of pr.
www.iaudioguide.com The only service with free
tours. Minimal usability. Bad quality of tours.
Much advertising. Plus free tours. Minus bad
usability, much advertising
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24Competitors Analysis
At the moment theres no leader among the
competitors as well as there is no formed market.
All services propose the same product and same
usability. Summing it up, we can say that the
service appeared recently, but starts to develop
profoundly! It havent become popular yet,
although there are conditions for it. The main
problem of existing services is lack of PR and
promotion and lack of community. Correspondingly,
our main purposes are 1. Make a phenomenon out
of it! 2. Create a mighty international
community around it! If we make it well create
the new market with millions dollars capacity!
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25Competitors Risks
1. Established city-tours publishers It is quite
evident that current city-tours publishers can
get attracted by this business at some point.
These companies have incredible source of
materials and staff to produce its own product.
But such companies are usually slow and take a
lot of time to research the market and evaluate
risks. It regularly takes them up to 12 months to
launch new business. By that time we plan to
possess competitive number of own guides and
devoted on-line community what is even more
important! Also our unique business-model with
off-line trade gives us a considerable advantage.
The only example for now is Lonely Planet. This
famous publisher placed several podcasts on their
site. They are free but absolutely useless for a
wondering tourist. Just a conversation of two or
few people about some place or town. In fact it
looks like an advertising for their books. But if
they decide to make audio excursions theyll meet
the same problems as others. Mainly, lack of
community.
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26Competitors Risks
2. Existing competitors. They are not dangerous
for us at the moment a) Market is absolutely
immature, as said before at zero stage of
development. There is no leader and no loser at
the moment honest competition. Also, it would
take much time to satisfy all the potential
demand in the product. b) On-line competitors do
not create and maintain on-line communities. c)
On-line companies are unlikely to go off-line in
the short-run. For our project off-line
development is one of the key goals. 3. Major
tourist companies. Their main business is
completely different. Extra services or
sub-businesses should be easily attached to the
core business. Possibly, audio guides could be
one of the extra services provided by
tour-company but we see it as a vast field for
cooperation but not competition. 4. Online
hippos. In theory it is possible that giants
like Google or Yahoo can play on our field. But
it may happen only when there is an existing
market. It may be a long term perspective.
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27Competitors Our answer
We have few advantages that may minimize our
risks long term creating the community -
word of mouth effect, service self building and
developing users create the product it
helps us to achieve breakthrough speed of
development and local promotion offline
launch - large offline audience the creation
of non-standard content (Placense original,
Placequest) big assortment one track-one
place - your own plan for planning the trip,
only the places you want to learn about other
languages launch plus 600mln. Non-English
speaking Internet audience.
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28Promotion
29Promotion Strategy
Promotion strategy on the launch stage will
consist of 1. Promotion for potential users. 2.
Promotion for guiders. Promoting the service we
give guiders large audience. More guiders give us
more products and more promotion. We plan to use
traditional means of PR and online advertising as
well as non-standard, viral stuff. Well get
bloggers take part in the project by providing
them with Placense test-drives. We probably may
use pay per blog promotion via existing blog
advertising services. The main principle of our
promotion strategy is a balance between
traditional means of advertising and non standard
ones.
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30Promotion Launch
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31Promotion PR
- The PR strategy is based on creating multiple
information causes. - The practice of viral marketing proves that in
case of limited budget success comes to those who
create many interesting stories, free benefits
and so on. The majority of that efforts will lead
to nothing but some may show a significant
result. - For example the creation of sensational and
unusual excursions, which may be interesting for
leisure media. - The subjects are
- - US-UK (NY-London) for a transatlantic flight
- - The landing on the Omaha Beach
- The traces of the UFO
- Following the celebrity
- As the product is absolutelly innovative for
majority of people we believe that most of
leisure magazines and sites will write about the
preoduct, service or our information causes.
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32Promotion Online advertising
- We aim at using the systems of online booking of
hotels and tickets. (Expedia, Orbitz, Booking and
others) - The user buying the ticket or booking a hotel
gets a personalized proposal of our product,
which can be a banner or a stitched in proposal
to buy the guide together with the product of the
system. - For example the user gets a ticket to Paris and
on the confirmation page receives a proposal of a
personal mp3-guide to Paris for only 10. - Ideally a fully personalized proposal according
to the information left by the user age, the
price of the ticket/hotel, location. - Possible troubles
- not all the services may be interested in such a
scheme - personal data of users may be closed
- price per click may be higher than we plan
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33Promotion Partnership
Our next steps are aimed at developing
partnership programs. The booking systems that
we use for advertising may become our partners
they will sell our content via their service and
get a comission. Also we plan to develop
partnership programs with hotel chains like IBIS,
Holiday Inn, Rent-a-car companies, local mobile
operators. Another form of development of
partnerships is creating excursions for
businesses/brands (for example running tours for
Adidas, or driving tours for VW)
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34Promotion Placequest
Placequest a theme adventure. The mechanics is
quite simple 10-15 mp3-files, each track has a
puzzle, mystery inside. Its a certain place in
the town. To solve it one has to find the clue
(password). Besides the puzzle each track will
have an interesting information about the place.
When all the clues are found the user enters them
in our site, gets a prize and has an opportunity
to win the big prize! Placequest a viral
product, targeted on young users. It helps to dip
into the atmosphere of the place (town) in a very
interactive unusual form. Jack the Ripper,
Sherlock Holmes, Kennedys murder and much more
else. Placequest is not a narration, its
participation! Carry out your own investigation,
follow the traces of great adventurers, search
for treasures Its all up to you!
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35Promotion Placequest
Although Placequest is one of the main
promotional media , its also the product as well
as the tours. At first it was a promo for us
but then we added an excursion part and singled
it out as a separate product inside Placense
service. Nevertheless we believe in it as one of
the promotional media especially for
youth. Placequest price starts from 10 per
quest depending on theme, duration and the amount
of puzzles. Also users can download free version
of one quest to try it. Those users who bought
several Placense tours will get one Placequest
for free as bonus.
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36Development strategy
37Development strategy Placense user
Placense user development is our strategic
priority. Content creation by users (in our case
product creation) is an innovative trend based on
many popular web 2.0 services. Users activity is
much higher than in traditional services that
leads to fast development of the community and
business. Placense user still partly amateur is
a commerce product. It possesses all the
conditions to perfect itself. This model helps
us to create and promote the service much faster
than by ourselves. Placense user is our main
competitive advantage that is very hard to
overcome.
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38Development strategy Offline
Offline is one of our strategic priorities. It
secures our market place and also increases our
sales profoundly due to large offline
audience. The offline launch will be carried out
as the installation of autonomous terminals in
the largest airports of the world. The customer
can easily purchase the needed tours and download
them to his mp3 player. Average airport (big
city) traffic is 25mln. people a year. Airport is
the key point for Placense target audience. Many
people have time before the flight to do some
shopping including our guides. Marketing and
operational costs are much lower than in any
other offline scheme.
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39Development strategy Other languages
Developing the service only in English we lose
big part of users who dont speak English. We
suppose that the most important markets after
English speaking are Japan, China, South Korea.
Asian users adore innovative gadgets and
technologies. Internet and tourism are also very
developed in those countries. The other group is
European countries and languages (German, French,
Russian, Italian). Other languages expansion
should be well planned. We see several ways from
independent launch to cooperation with local
companies.
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40Development strategy Local
Its very important to stimulate the activity of
local towns and hardly known places potential
producers of Placense user tours. For such
places Placense is the way to attract tourists.
But in order to launch the process its necessary
to inform potential guiders about the service. We
also plan to launch a partnership program with
cultural organizations (UNESCO) and local heads.
Because of multiplicity and geographic
sparseness of these places we need a clear plan
and a specific program.
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41Development strategy Stage 1
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42Development strategy Stage 2
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43Development strategy Stage 3
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44Our team
45Team We
We are four young people, our average age is 22.
We met 2 years ago working in one of the
leading marketing agencies in Russia. Together we
made several interesting projects. We can
definitely say that marketing in all kinds is our
might. Also each of us have worked in other
fields (finance, Internet, music promotion and
web design). Web service development is new for
us, but it doesnt stop us. We have a mighty
project which we believe in. We are sure that we
can work it out by ourselves or with the help of
specialists. In fact we are 4 wonderers who have
a goal. And we are eager more than anybody else
to make it!
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46Team Nicholas Stepanov
Long ago when Nicholas had been asked to make his
choice between BTL manager assistant" and
"Strategic marketing trainee" he had no
hesitation - "strategic marketing". Since that
time he has never turned off that road. Nowadays
Nicholas is one of the key members of strategic
group in IQ marketing agency for more than 4
years now. He considers to be his real fortune to
be able to work for Sbarro, 20th Century Fox,
Renaissance insurance company, Natur Product,
Microsoft and many other respected brands.
Result oriented but only when the process is
enjoyable. At some point Nicholas has promised
himself that he would develop his own theory of
brand cost evaluation. Now he devotes a lot of
time to his Ph.D. thesis on this subject.
Nicholass hobby is researching world-wide
marketing trends and growing competition on the
local market. Something he knows for sure is that
his greatest victory is ahead!
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47Team Nicholas Stepanov
Actually, it is a real pleasure to be among 4
devoted persons who possess great confidence in
the idea of very perspective business. Business
that is about contemporary people and their
contemporary needs. To make this idea come true
there should be more than just 4 of us. And I
sincerely believe that our unique idea, belief in
power of communities, previous positive and
negative experience, out-of-the-box thinking,
curiosity - perfect ingredients of evolving
international brand. Weve made a long way to
come to the project that drives all of us crazy.
We understand that there are still hundreds of
steps ahead. We are ready!
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48Team Alexander Romanov
Self made prodigy! Innovation service of our
team. He tried himself in different fields,
from stock exchange to advertising creative,
decided to be an entrepreneur. He has an
experience in managing big web projects. Formalis
t, prudent, he knows the price for money, adores
structuring the chaos and permanently improves
the efficiency of our work. Alexandr knows how
to improve the usability of this world. He
manages our distant work on this project using
Skype, Vyew, dotProject that fastens the process
profoundly. It was he, who changed the model of
the project from the local offline business into
an integrated (online-offline) global project in
Web 2.0 style.
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49Team Alexander Romanov
I consider that we have a mighty team and a
very promising project. Isnt it the dream of
any investor?! Concerning the team I am sure
that we are able to do a lot, but of course only
real deeds will prove it. Speaking about the
project, I see many interesting and earth quaking
discoveries inside starting from business model
up to features not mentioned in the presentation.
Id say that this project is not only innovative
web2.0, it has a resource for future. But the
main thing is that we understand that business
means not many users but many users who pay. I
am sure that Placense has its audience which is
ready to pay. And if we fulfill our plans, well
build a super company with a super product.
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50Team Pavel Burian
He started in advertising and made a good success
as a creator. He was in charge of strategic,
branding and creative projects for best
international and Russian companies. But the
entrepreneur heart knows no rest! He wanted to
go global! He managed to create the promotion
group which made several successful 3000 people
gigs in electronic music. Now its time for a
new project, time for new goals!
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51??????? Pavel Burian
This project is a passion for me! Its hard to
explain in other words. I believe that global
purposes and efforts will sooner or later produce
global results. My dream to create the global
brand is closer to life now than ever before. I
believe in this start up because people need it.
I see thousands of people, thousands of guides
telling and listening to unique stories about
hundreds places all around the world. Its a
new era in tourism. Its even no tourism any
longer, its the amazing adventure, a head trip,
you can become a pioneer once again as it was
hundreds of years ago. I know our team is eager
to start this époque
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52Team Ian Oskin
Ian is the main creative talent in our team.
When it comes to unique ideas, unusual tours,
earth quaking ad campaigns, its up to him! For
several years of his working experience he
managed to launch the first youth beer brand in
Russia. He worked with many local and global
clients. Now his aim is entrepreneurship and
the world!
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53Team Ian Oskin
This project is like a litmus paper for me. If
we make it than we can easily say we are a Dream
Team. If not, than working together well become
those guys who sit on the roof dreaming about
stars!
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54Team Project management
Distribution of authority on the launch
stage Recording the content in London and Paris
Pavel Burian and Nicholas Stepanov Site and
technical part Alexander Romanov. Record
Studio Yan Oskin. Advertising and PR campaign
execution Pavel Burian and Nicholas
Stepanov Project execution (advisory) probably
investor or his representative In this case it
would be more efficient if the third party person
will take the lead in the project. The launch of
such a global business demands of coordination
from all the sides which will be hard enough if
each member of the team leads one separate
direction.
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55Finance
56Finance Launching expenditures, stage 1
For the launch,
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57Finance Launching expenditures, stage 1
Fixed costs for first 6 months,
Total Launch costs 138
000 Fixed costs for 6 months 56 600 194
600 necessary for the launch of the product and
for its development for 6 months
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58Finance Planning Income
The income is planned according to the results of
launch campaign. Period of calculation
Promotion campaign (1 wave) 2
months. Following word of mouth (2 wave) 10
months. Campaign's budget 30 000 PR
30 000 advertising Our plan - includes only
label tours - limits the viral effect of the
promotionand the PR effect which we also cant
forecast.
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59Finance Forecast, advertising
Areas of advertising online booking of hotels,
online ticket trade Format personified system
proposal Pay per click 0,5 Conversion 10,
each of ten visitors buy the product Average
visitor expenditure 10
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60Finance Forecast, PR
Conversion 2 - 1 out of 50 visitors buy the
product Average purchase 10
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61Finance Forecast - summary
We would like to stress your attention on the
fact that this forecast is only based on direct
response generated by project launch. Guiders
viral effect and user generated content revenue
is left out of the account. Given forecast
proves that suggested project launch expenditures
is enough to attract sufficient interest to new
product, introduce product to the wide audience,
convince venture funds that service is fully
functioning and promising.
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62Finance Investment offer
Successful launch of the project requires 200
000 of investments. This is enough for creation
of fully functioning service ready for further
development and attractive for venture funds.
Our offer 1. 51 company share. 2. CEO
investor himself or his affiliated
company/manager.
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63Finance Intuition business
We totally understand that starting a project
without clear substantiation of future income is
risky. We have the firm belief that Placense will
be claimed by the market and the audience can be
large. We also have the development strategy,
understanding how to earn money, we know where to
go and what to do. In todays online business
money are often raised even without that
understanding. We also understand that the
potential investor must have confidence in the
project. We presented all the facts and ideas we
have and we cant do more of it. Here is the
idea, here is the plan, here is the team. Should
you invest or not is the matter of your
intuition. But please show us the successful
start up that was not based on it?!
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64Blog
www.bros.su this projects blog.
65Thank you for attention! bros_at_bros.su