Operational plan april 2009

© Copyright 2009 BuzzGain. http://www.buzzgain.com

BuzzGain

Operational Plan 2009

[email protected]+91 998 054 2748

http://www.buzzgain.com © Copyright 2009 BuzzGain


Agenda

1. Market Analysis

2. Product Plan

3. Marketing Plan

4. Sales and Distribution Plan

5. Financial Plan



Agenda

• What have we completed?– Basics of DIY PR

• What is left?– User Experience: Examples of great User Experience– Quality: Works consistently every time– Ease of campaign setup and value

• Who is the competition?– High end: Radian 6, Visible Tech, Dna13– Low end: Techrigy, Buzzstream, Filtrbox, Scoutlabs

• Priorities



Segment Use Potential # customers

Monthly revenue potential

Where to target

1. SMB PR agency

Media outreach & reporting

32,000 $320,000 ODwyer PR List,

& PRSA

2. Social Media Consultants

Social media monitoring

12,000 $120,000 Twitter, SCNR New Media Forum

3. Marketing Consultants

Marketing campaign

65,000 $650,000 Marketingprofs, Sphere

4. SMB Tech companies

Competitive analysis

125,000 $1,250,000 Crunchbase, Tradevibes, Ycombinator

5. Community Consultants

5500 $55,000 Web-strategist, Ants Eye View

Total 239,000 $23,950,000 / month

@30% marketshare

$7,983,333/mo

2009 Target Addressable Market



Key Assumptions

• Annual contract value - $1500

• Churn – 7%

• Renewal rate 89%

• Average employee cost US$20,000

• Overhead cost per employee (% of payroll) – 28%



Intelligent Aggregation can power many applications

Aggregated, Actionable, Influence Management Platform

Marketing

• Brand Monitoring• Competitive Analysis• SEO & Link building• Ad targeting

Finance

• Stock sentiment analysis• Company research•Trend analysis

Sales

• Account Profiling• Influencer analysis• Briefing report preparation

PublicRelations

• Blogger relations• Media Outreach• Social Media Monitoring

Customer

Service

• Early Adopter program management• Social Customer service



Immediate Opportunity for Agency, Consultant & SMB Offering

ResearchMarket

Build Product

NurtureCustomers

GenerateAwareness

Get EarlyAdopters

SMB

Positioning / Messaging

MediaOutreach

Reporting &Analysis

PressRelease

Influencertargeting

Agency / Consultant



Thriving Competitive Landscape

Actionable,Insightful

Aggregation,Reporting

High Low Customer Time to Value& Cost to customer

Technology,Value

• Over $140 M invested in space• Total # paying customers = 400• Total revenue of all 30+ players < $50 Million• Most people use manual techniques• Cottage industry of consultants



2009 Go to Market Strategy

ResellersPartnerships

SMB <$500 MillionHigh Technology

Increase customerawareness

$100K monthlyrun rate exiting

2009

What we are not doing in 2009 Targeting large F1000 enterprise customers

proactively

Direct Inside Sales

• Midsize PR agency

• Marketing consultants

Save time and increase revenues

$400K monthlyrun rate exiting

2009



Marketing Tactics

Organic• Public Relations• Content marketing• SEO• Educational webinar• Guest blogging

Funded• Partnerships• Events• Analyst Relations• Blogging• Commenting



CompetitionFunding, Revenue

Customers Target Segment Employees Pricing

Radian 6 $6.5M, Dec 2008

About 50, PR agencies, F1000

Agency PR 43 $500/topic profile/mo

Visible Technologies

$15M ’07, <$5M

About 50, F1000 – CPG

F1000 Large customers with WPP partnership

82

BuzzLogic $12M ‘08, <$5 M

About 100 F1000 Advertisers for blogs

30+ $1000 / topic / month

Techrigy 1M 08

<500K

100+ SMM consultants 10+ $299 - $599 / month 10K – 50K terms

Buzzstream 500K, None 10-50+ SEO link building, SMB

4

Collective Intellect $11M, <1 M rev

About 50 Large brands - F100 Fin Services

20+

Filtrbox $2M 2/09

<200K

100+ SMB, Bloggers 15 $100/year - user

$600/year-group

Scout Labs $2 M 2007, <1M

50+ in beta SMB 20+ $250/mo-5 terms/workspace

Cision Public, Over 1000, mostly F1000

Large accounts and PR agencies

2600+ WW

Vocus Public, $80M

3,379 Large, PRWeb small

463

DNA13 $5M 07, 100+ large companies

Large enterprises, Canada



2009 Milestones

Exit public beta

Feb 2009

50 paid customersIndia GTM strategy

Jun 2009

250 paid customersCompetitive Intelligence

application beta

Sep 2009

500 paid customersProfitable quarter

Dec 2009



Capital Needs & Use of Proceeds

• We have enough to fund us to profit - Dec ‘09

• Use of Proceeds1. Fund sales & marketing

2. Key product management & finance hires

3. Develop competitive analysis application

4. Accelerate proprietary blog contact database (ensure cash cow PR beachhead)



Target Model Financials

Sales 100%

Cost of Goods Sold (20% to 50%) 40%

Gross Margin 60%

Sales & Marketing (20% to 35%) 30%

R&D (10% to 15%) 10%

G&A (4% to 6%) 5%

Total Expenses 45%

Operating Profit (15%-25%) 15%

Operational plan april 2009

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