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					   Digify Media

     Gundeep Hora
       Founder
gundeep@digifymedia.com
     678-200-9638
                     Mission
-Helping people save time by sharing short, digestible content
specific to mobile devices for consumption on-the-go.
     Gundeep Hora
                                                  Team
                                        Matt Hartley                   Ivan Mityunin                 Zeeshan Khan
            Founder                      Director, Editorial                Developer                       Illustrator

- Age 23                             - Product evangelist,           - Formerly with Fourspots     - Age 23
- Second company                     Weatherbug, for 4 years         - Developed 4x iPhone apps    - Managed 4 family-owned
- Operated first company, iTech      - Contributor,                  as consulting projects        tech support stores in
Media, for 5.5 years                 WebMediaBrands, for 3           - Ported one app to Android   Atlanta suburbs
- Focused on Internet media          years                           - Fluent in C#/.NET, WPF,     - Responsible for growing
- Built first company to 1MM         - Contributing writer, iTech    Windows Forms, Ruby on        stores to $450K/annual
uniques across 4 brands              Media, for 4 years,             Rails, Objective-C, iPhone    revenue in 2008, 2009
- Launched 3 brands, acquired 1      responsible for helping         SDK, Java and Android SDK     - Responsible for customer
- Did deals in shopping comparison   expand iTech Media brands       (among other languages and    acquisition, marketing, tech
space                                with hundreds of thousands      environments)                 support, managing day-to-
- Signed $3MM biz dev deals          of articles that went viral     - B.S., CSC, Georgia          day operations
between March 2010-May 2010          - Expert at generating          Institute of Technology       - Responsible for designing
- Partners included CNET, CBS        community buzz with viral                                     Digify Media brand identity +
Interactive, Become.com,             editorial content                                             app graphics
TestFreaks and many others           - Producer & Co-Founder,                                      - Self-taught Photoshop
- Grew revenue from $100K/annual     Wheezy and The Swish,                                         - Majoring in Economics/CIS
average to $450K/annual in 2009      Apple featured podcast, for 2
after shopping comparison            years
partnerships
- Grew the company single-
handily with only two part-time
editors in 5.5 years
- Started iTech Media at age 16
- Majoring in Economics/Marketing
(Advertising)
                     Problem
Mobile is an emerging platform.

Emerging platforms have different consumption habits.

Emerging platforms require new editorial formats to
support new consumption behavior.

Mainstream news apps funnel Web content to mobile
apps without respect for smaller screens and content
consumption habits.

A typical use case for a smartphone: usage on short walks, on the bus, waiting at
the restaurant. In essence, there's not a lot of time to consume long-form content.
Look at Twitter and Facebook's mobile usage numbers for a confirmation.

Bottom line: smartphone users prefer to consume small, bite-sized content pieces
for quick content consumption. Mainstream news apps DO NOT deliver that.

Incumbents are too focused with staying true to their brand with "thoroughness" in
their content, disregarding how users are reading content with their apps.
                     Solution
Deliver news in easy to consume, bite-sized pieces.

TrendOY! - technology news app (first of many apps) from Digify Media - will create
(curate & condense) technology news content in short-form and help people save
time.

TrendOY! news alerts will address critical questions
 in journalism: who, what, why, when, where and
 how. All while keeping content short.

TrendOY! is centered around quickly consuming
content, staying in the loop and moving on to the
next content bite.

TrendOY! features include visual sentiment analysis,
new editorial model and push notifications.

TrendOY's goal is to get readers in, get them consuming content and quitting our
app. App designed to never be opened.
Technology/Editorial Formula
 Bringing back a human element to journalism.

 Competitors invest in algorithms to scan hundreds of
 thousands of sources to calculate breaking/hot news.
 We do not.

 Journalists working 24/7 to create content by hand, delivering
 information as soon as it breaks with credible information.
 All content qualified by hand.

 Algorithms are unreliable - they send repetitive alerts, headlines that don't make
 sense,
 unreliable categories, slow to get the right information, lack a focus on quality, can't
 accurately differentiate between opinion and fact-based news. Humans fix EVERY
 algorithmic problem.

 Brand agnostic - focused exclusively on current news delivery, helping readers to
 save time without wasteful user engagement. Want to be an alert service to help
 people save time, not engage them for long periods of time. However, as a mobile-
 specific media brand, we always have the option to change our editorial voice as
 we see fit depending on reader expectation.
                             Marketing
Two primary distribution strategies: free/low-cost vs. high-cost/capital intensive

   Free/low-cost:                                          Capital intensive/high-cost:
       Media coverage/PR                                        Participate in pay-per-install (PPI) media buys
       Brand ambassador partnerships
            Work with influencers and
            have them endorse our news
            apps for revenue share

   NOTE: No active distribution deals/user numbers to report. App will be approved shortly.




   Primary Business Model: Advertising
                                          Sales
       Customer acquisition cost will run from $.06/install to $.08/install
       PR - $0.00/install
       Pay-Per-Install
              Typical PPI one-time campaign cost $20K; $.35/install
              ~60K installs in 24 hours; app hits Top 50 chart in US
              2x-3x organic downloads after app hits Top 50
              180K installs @ 2x; 240K installs @ 3x
       Brand ambassador partnerships may have us give up to 5-10% of the overall app revenue in exchange for
       significant downloads to reach critical mass/scale
      Competitive Landscape
Total News apps in App Store: ~8,300 (148Apps)
Mainstream Media Companies
    BBC, CNN, ABC, Fox, CBS
Internet Media Companies
    CNET, CBS Interactive, Mashable
Indirect Competitors
    Mobile Web (.com)
    Twitter
Direct (App-Based Competitor)
    SkyGrid (VC-Backed, $13.3M raised over Series A & B)
    Will pass 1MM downloads on iOS devices by Q1, 2011 (SkyGrid Internal)


                               Market Size
Initial Market: Apple iOS-Only
    Expand to Google Android, RIM BlackBerry and Microsoft Windows Phone 7 Series platforms later
    Expand to tablets later
    Other platforms + tablets combined = 100MM's+ additional devices
Since launch exclusive to iOS, market size available for iOS below:
    Total iOS Devices: 120MM (Q3, 2010)
           Apple expected to sell 150MM iOS devices alone in 2011 with Verizon CDMA deal (independent analyst
           estimate)
Total addressable market: category-specific data unavailable
Average apps per iPhone: 65 (Appsfire, July/August 2009
Mobile Advertising Projection (2014): $5.7B (Jupiter Research)
    Mobile Advertising in 2010: $600MM (Gartner)
                                     Financials
     Product launch in January, 2011
     Product developed in late Q4, 2010
          No revenue
     Projected installs for 2011 (TrendOY!)
          500,000
          ARPU (active) Gross: between $.15-$1.00
          0 to 500K installs in 6 months
          Revenue from July onwards
          Gross Revenue 2H, 2011: $450K @ $.15 ARPU (active)
                Gross revenue 2H, 2011: $3MM @ $1.00 ARPU (active)
                Limited revenue in 1H, 2011 (not accounted for)


Pro Forma Financials

2010                               2011                   2012             2013
Revenues: $0                       Revenues: $500K        Revenues: $3MM   Revenues: $10MM
Expenses: $16.5K                   Expenses: #430K        Expenses: $2MM   Expenses: $4.5MM
EBIT: $16.5K                       EbIT: $70K             EBIT: 1MM        EBIT: $5.5MM
**Note: Detailed financials available upon request
            Milestones: Seed Round
Expect to raise: $500K
   Validate product-market fit
   Get early traction (installs)
   Launch version 2.0 with user feedback
   Sign distribution partnerships
   Set groundwork for future app launches
   Get early advertisers
Estimated runway: 12 months

				
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posted:12/29/2010
language:English
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