doing good simply by traveling

Sasin Luncheon 15 Jan.2015

Credit: สดายุ

Help people to help themselves

Srinagarindra The Princess Mother of Thailand

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Why Tourism?

problems

Year 2014 Thailand generated income from tourism industry rank as number 12

from all countries in the world

But where did the money go?

Source: * Tourism Council of Thailand,CBT-i

Income Distribution Current Practice

Source : h7p://www.responsibletravel.com/copy/had-‐enough-‐package-‐of-‐shame

unequal opportunity economic

Number of Sustainable Travellers Is growing 10% each year

Info : Community based tourism institute

22

tourists

m. in Thailand

20%

Sustainable Travellers

~4 million

But The travelers are lack of channel to connect

with the real sustainable tourism

Community-based tourism platform

CBT?

Holistic development

The social enterprise focuses on community-based tourism and utilise tourism as a community development tool.

Identify their needs

Plan for community development

Help to prepare for tourism services/media

To build local guide network

Set carrying capacity

Pilot the service

Launch & Sell Feedback & Development

Launch & Sell

14mUSD

Future

Activities Day Tours

Village Tours

Current

Customized

14mUSD

Future

Activities Day Tours

Village Tours

Current

Customized

Crafts Consul tancy

How do we sustain?

How do we sustain?

Individual travelers CBT online

marketplace

How do we sustain?

Group Travelers

Tour operator unit

B2C Standard online

package Margin 35%


marketplace

Bigger transaction More Impacts

Educate the Market

B2C Standard online

package Margin 35%

Our Previous Clients

Harvard University

Group Travelers

Tour operator unit


marketplace How do

we sustain?

B2C Standard online

package Margin 35%

Our Previous Clients

Consultancy for tourism

development

Harvard University

Group Travelers

Tour operator unit


marketplace

How do we sustain?

Corporate CSR trip

Social Enterprise trip North, Central, Esaan, South

“Meaningful Travel Experience For Travelers And Locals Alike”

Our Customers

15 % customers

Return 660 Bookings 4.9

Public rating average

Local Alike was able to show me a new side of the country that I had never seen before.

Pennapa Kaweewongprasert

Such a brilliant initiative of social enterprise

Aliisha Anne Somanus

LOCAL PER

Local perspecBve

I love to tell the stories of our tribe to everyone but we were struggling to find a way to connect to

travelers and we find hope in Local Alike.

Auntie Ya, Promlok

After joining the village tourism group, my life after retirement is more fun and I can still earn somemoney which make me feel proud.

Auntie Ya, Promlok

in 16 months

Monthly Revenue

Total Revenue ~210,000

USD

0

12500

25000

37500

50000

Jan Feb Mar Apr May Jun July Aug Sep Oct Nov. Dec. Jan

70% goes back to the communities

>200 Communities

>65,000 Travellers

2018

15 Communities

550 Travellers

2014

2018 2014

Our Plan

Partnership

Medias / Influencers , Government Organizations ,Other social enterprises,Sustainable Travel Agencies/Platform ,Educational Institute, Potential Partners

Who is our network…

Partnership

Medias / Influencers , Government Organizations ,Other social enterprises,Sustainable Travel Agencies/Platform ,Educational Institute, Potential Partners

Business

Social

Supported Network

Expand to 10+ Communities

in Thailand (With support from TAT and new gov. tourism policy)

This year goal

Expand to 7 SE Asia Countries 2 Communities Each

This year goal

This year goal

Develop Locals-friendly

Back end system

Develop Ambassador

Program

This year goal

Local Ambassador program aim to create the standard for the new generation of responsible tour guide and

become resource to support our expansions.

The Locals know best! They just need a translator

Tourism business scenario

•  Development •  Transparency

HIGH SOCIAL Engagements

High Commercial Competitiveness

•  Convenience •  Reliable •  Value Travel

agencies

LOW SOCIAL Engagements

LOW Commercial Competitiveness

Activity-based Platform (individual

focus)

Accommodation and transportation Pf.

Travel agencies


But How can we collaborate? Tourism business scenario


focus)

Travel agencies


Competitors

Partners

But How can we collaborate? Tourism business scenario


focus)

How are we different?

The Fund is Very Powerful

Suanpa Rising Stars

Social Impact ? Within the next 5 years

Income Generation

Cultural Preservation 200+

Better Livelihood 100+Issues tackled

Reduce Migration 2000+Jobs created

Local Alike is proven business through this competition

www.localalike.com www.facebook.com/localalike [email protected]

Keep In Touch J

Appendix

Growth Forecast

0.00"

10,000,000.00"

20,000,000.00"

30,000,000.00"

40,000,000.00"

50,000,000.00"

60,000,000.00"

70,000,000.00"

2014" 2015" 2016" 2017" 2018"

Revenue in THB! With investment"Without"

BUSINESS MODEL

VISION The leading sustainable tourism platform for travellers and locals

MISSION 1. To build reliable and credible sustainable tourism platform for travellers and locals 2. To penetrate corporate customers 3. To expand sales partners in all continents 4. To partner with leading strategic partners 5. To educate the market about true practice of sustainable tourism

Five Forces Analysis

Meaningful Travel Experience For Travelers And Locals Alike

Five Forces Analysis FORCES! Threat of Entry ! Threat of

Substitutions! Power of Suppliers ! Power of Buyers!


77

FORCES! Threat of Entry ! Threat of Substitutions! Power of Suppliers ! Power of Buyers!

CURRENT SITUATION!

MITIGATION!

IMPACT!


78


CURRENT SITUATION!

• High (Sustainable tourism platform & agencies)!

MITIGATION!

Build strong relationship with communities""Build online-offline community and partnership network""Awards and prize to guarantee the quality. Press & medias""Build strong partnership with strategic and sales partner.!

IMPACT!

Leader and well-known agency of sustainable tourism in Thailand.!


79


CURRENT SITUATION!


• High"• Traditional tour agency"• Other tourism platform!

MITIGATION!


Educate market about the differences of our work and social impact""Design experience that hardly find and copy elsewhere. ,Turns substitute and competitors to partner!"Make it simple enough for customers to understand and book."

IMPACT!


Travelling behavior r& perspective change""More sales distribution channels.!


80


CURRENT SITUATION!



• 13 communities"• Changes in supplier cost and conditions /Quality control !

MITIGATION!



Draft and sign the contract of mutual agreement on price and working process yearly""Build standardization system for the communities and partner with related organization.""Set up CBT fund togetherto support the communities and build up long term relationship.!

IMPACT!



FOMO effect""Evidence written agreements and standards to refer to.!


81


CURRENT SITUATION!




• Availability of substitutes"• Trust!"

MITIGATION!




Communicate the unique aspects of Local Alike "Target new market(Corporate sales,Government consulting)""Maintain premium and unique experience. Develop new products.""Be transparency about the contribution to the communities !

IMPACT!




Well known for introducing new concept of corporate impact outingIncrease in sales and fans with return customers.!


82


CURRENT SITUATION!




• Availability of substitutes"• Trust!"

MITIGATION!


Educate market about the differences of our work and social impact""Design experience that hardly find and copy elsewhere. ,Turns substitute and competitors to partner!"Make it simple enough for customers to understand and book.""


Communicate the unique aspects of Local Alike "Target new market(Corporate sales,Government consulting)""Maintain premium and unique experience. Develop new products.""Be transparency about the contribution to the communities !

IMPACT!




Well known for introducing new concept of corporate impact outingIncrease in sales and fans with return customers.!

Compe22ve Rivalry

Innova2veness -‐ Simple, a=rac2ve and resourceful online plaAorm for both travellers and locals alike Uniqueness -‐ The unique of experience that truly authen2c and give back to the communi2es

Social Impacts -‐ We have solid impact measurement research to reassure our customers and partners.

Strength •  High business entry barrier •  Strong partnership with key

organizations •  Passionate team with various

backgrounds that required for the business

Weakness

•  The lack of funding

Opportunity •  New government policy •  The increase of global trend for

sustainability •  AEC will come into effect in the

end of 2015

Threat •  The instability of politics ,

economic and natural disasters

SWOT Analysis

PLATFORM

Local Alike Online Platform

www.localalike.com

Local Alike community management soLware

Phrase Task Key resorce Cost per unit Unit Total cost Outcome

I.Development Front-‐end and Back end design

Team Project manager UI designer Graphic Designer Developer System Analysis Tester Database

300,000/month/team 1 Team/2months 600,000 Ready and easy to use Front end and Back end

II.Opera2on&support

Create and distribute soVware manual Team Print Material

2 Weeks of design 300/per copy

4500/week 10 Copy 12,000 Ready to use soVware

manual

On-‐site installaBon&training support

TransportaBon& Daily Allowance 6000/Time

1 Bme 1-‐2 Manday per 1 Bme depends on the communiBes schedule

6,000 Local CommuniBes got training support and ready to manage the community with the new soVware

Training& InstallaBon 2000/Bme 1 Bme 2,000

Cloud server Rental Amazon cloud server 5,000/month 12 month 60,000 1 year Guarantee server

Daily maintenance and operaBon Team 7,500/Month 12 month 90,000 Bug fix and hot line service for local communBies

III.On-‐site maintenance On-‐Site service maintenance Team support

Extra charge case by case (TransporaBon, Daily wage of developer etc.)

AnyBme Special support & issues solve

Total Price 770,000

Local Alike community management software

Working with communities

Communities 13

Hloyo Community

Community level Rising Stars

In the beginning phrase, the community need encouragement and feedbacks for develop and design their own service.

Almost Famous

The community already set up and ready for tourism but are lack of channel to communicate themselves

Role Model The community has been operated community-based tourism for more

than 5 years and still be able to keep their authenticity and utilise tourism as their development tool.

Si Panrai Rising Stars

Hloyo Rising Stars

Mae Salong Rising Stars

Jabusee Rising Stars

Kadeejeen,Bkk. Almost famous

CBT Promlok Almost famous

CBT Yao Noi Almost famous

Mae Kampong Role Model

Identify their needs

Plan for community development

Help to prepare for tourism services/media

To build local guide network

Set carrying capacity

Pilot the service

Launch & Sell Feedback & Development

Launch & Sell

Ambassadors Our regional representatives who help us build local host network as well as coordinate with them. Ambassador can also be tour guide or host at the same time.

Hosts Community leaders who work closely with Localalikers and Ambassadors to create tourism package as well as the community development plan.

Localalikers Localalike core team woking to build the community-based tourism ecosystem in Thailand.

Working with communities

We create Community Development Fund together with each community Community-Based Tourism Fund

*5% of Local Alike Profit also goes to

Local communities*

Plus *5-10 % of profit from community side

TO SOLVE ENVIRONMENTAL, SOCIAL, AND CULTURAL ISSUES EXIST IN EACH COMMUNITIES

(BENEFIT GOES TO THE WHOLE COMMUNITY)

+

10-12 /14 1-2/1

5 3-4/15

5-6/15

7-9/15

10-12/15

6 Sales Partner

4 Group Deals

15 Sales Partners

10 Group Deals

>30 Sales Partners

> 20 Group Deals

+ 10 CBTs

+ 10 Day trips +15 CBTs

+ 10 Day trips

+ 10 Activities

+50 CBTs

+ 10 Day trips

>> 30 Activities

USE OF FUND

Competitive Analysis

NO DIRECT COMPETITOR Only Other Similar and Substitutes

Company Service charge

Content Customer Feed backs

Develop ment

Booking Platform

Full Package

offer

30%-35% Video, photos, Stories

☺ 2ways

☺ ☺ ☺ Travel Agencies 42-57% Photos Offline

Feedback x X ☺

Homestay Booking 40% Photos x x ☺ x Thaihomestay 35-50% Photos

+Data x x x x Agoda,Airbnb 35-60% Photos ☺ x ☺ x

Strength •  High business entry barrier •  Strong partnership with key

organizations •  Passionate team with various

backgrounds that required for the business

Weakness

•  The lack of funding

Opportunity •  New government policy •  The increase of global trend for

sustainability •  AEC will come into effect in the

end of 2015

Threat •  The instability of politics ,

economic and natural disasters

SWOT Analysis

doing good simply by traveling

Travel

tourism servicesmedia

tourism council of thailand

community development

tourism industry rank

community development

social enterprises

holistic development

local perspecbve