empowering the next generation of builders potential strategic partners strategic partners are key...
TRANSCRIPT
Empowering the next generation of builders
Potential Strategic Partners
Strategic partners are key to growing quickly!
Build-It-Yourself will invest significantly in developing partnerships that address our distribution, infrastructure and fulfillment needs.
Strategic partners are key to our exit strategy!
Empowering the next generation of builders
Publishers
Build-It-Yourself proposes a partnership with traditional publishers that will:
Potential Distribution Strategic Partners
1. Meet the strong demand from kids and their parents to learn 21st century skills.
2. Meet the need many publishers have to monetize their Web presence.
Empowering the next generation of builders
Publishers
Potential Distribution Strategic Partners
POS Impulse Purchase Print ProposalConclusions Break Even Target Potential# Units sold 15,000 30,000 50,000 Retail price 3.00$ 3.00$ 3.00$ Print Gross Revenue 45,000$ 90,000$ 150,000$ Parts,Tools,Supplies Gross 37,500$ 75,000$ 125,000$ Web Subscription Revenue 72,000$ 144,000$ 240,000$ Ad RevenueTotal Revenue 154,500$ 309,000$ 515,000$
The Build-It-Yourself project of the month comic book seriesdrives multiple, recurring revenue streams including, subscriptions to online webcast workshops, embedded advertising, and the sale of parts, tools, and supplies.
Empowering the next generation of builders
After-school Programs
Sylvan, Kaplan and Bright Horizons each operate over 600 after-school centers. The Build-It-Yourself online laboratory would enable after-school programs to:
Potential Distribution Strategic Partners
1) Scale efficiently.
2) Generate multiple recurring revenue streams.
3) Develop on-going @home relationships.
Empowering the next generation of builders
Potential Fulfillment Strategic Partners
On-line Fulfillment of Parts, Tools and Supplies
A Build-It-Yourself after-school program must order $1500+ in parts, tools, supplies and software to start.
New Build-It-Yourself members may order from $50 to $300 in parts, tools, supplies and software.
After initial investments, Build-It-Yourself projects will drive customers torestock supplies and buy new tools and construction sets.
Empowering the next generation of builders
Potential Fulfillment Strategic Partners
On-line Fulfillment of Parts, Tools and Supplies
SummaryYr 1 Yr 2 Yr 5570 9,360 300,000 # Kids served152 2,496 80,000 # Orders (Mar, May, Aug, Dec)
8,550$ 140,400$ 4,500,000$ Value of Replenishable Supplies14,250$ 78,000$ 2,494,000$ Value of Reusable Parts and Tools8,550$ 140,400$ 4,500,000$ Value of @home Sales
31,350$ 358,800$ 11,494,000$ Total Fulfillment Revenue
Empowering the next generation of builders
Potential Strategic Partners
Infrastructure Partners
Build-It-Yourself will work with infrastructure partners to:
1) Create a network of college student specialists.
2) Offer online collaboration platforms.
3) Offer e-commerce and fulfillment.
Empowering the next generation of builders
Value to Sales Ratio
Sources:Fidelity as of Sep 2007http://publications.mediapost.com/index.cfm?fuseaction=Articles.showArticleHomePage&art_aid=31345http://www.thealphamarketer.com/2007/08/club_penguin_has_grown_329_fro.html
After School Prog Symbol Mkt value 2006 Sales P/E Ind Avg P/S Ind AvgBright Horizons BFAM $ 1,071,390,060 778,000,000$ 24.5 28.9 1.43 3.43Publishers Symbol Mkt value 2006 Sales P/E Ind Avg P/S Ind AvgMcGraw Hill MHP $ 16,690,825,000 17.5 23.89 2.59 3.41Pearson $ 8,669,000,000 Riverdeepe-Learning Platform Symbol Mkt value 2006 Sales P/E Ind Avg P/S Ind AvgBlackBoard BBBB $ 1,195,675,740 191,069,000$ 86.19 28.12 5.43 6.44Web 2.0 Social Sites Mkt value 2006 Sales P/SClub Penquin (Disney) 350,000,000$ 49,980,000$ 7Neo Pets (Viacom) 160,000,000$ 10,000,000$ 16
Empowering the next generation of builders
Potential Infrastructure Strategic Partners
Webcast Infrastructure
Google purchased Marratech in early 2007. Marratech has been judged best in class among numerous Webcast platforms including WebEx, Horizon Wimba and Elluminate.
Marratech provided free service to Build-It-Yourself for over a year. Build-It-Yourself was a valuation/reference account for Marratech because of the research it is doing in collaboration with MIT.
Build-It-Yourself will explore development and distribution agreements with Marratech/Google to integrate products like Google Talk and ThinkTank.
Empowering the next generation of builders
Software publishers
Build-It-Yourself is exploring a partnership with Microsoft. A senior scientist at Microsoft is an investor in Build-It-Yourself and has offered to make introductions to several groups at Microsoft whose interests would be advanced by the Build-It-Yourself program including:
• Xbox• MS Robotics Studio• The Gates Foundation• MS HR Dept
Potential Distribution Strategic Partners
Empowering the next generation of builders
Publishers
McGraw Hill asked Build-It-Yourself to write a proposal for a robotics book as part of their successful Evil Genius series.
Build-It-Yourself proposes a partnership with traditional publishers that will:
Potential Distribution Strategic Partners
1. Meet the strong demand from kids and their parents to learn 21st century skills.
2. Meet the need many publishers have to monetize their Web presence.
Empowering the next generation of builders
Manufacturer
Build-It-Yourself is exploring a partnership with iRobot to develop projects around the iRobot Create. The Create ($200) is a robotics platform based on the Roomba for the hobby market. iRobot asked Build-It-Yourself to build a copy of the Robotic Receptionist we developed at the Greater Lawrence Technical School which they said they would like to put in their lobby.
Potential Distribution Strategic Partners