Kachingle intro for Mizzou-Kachingle Team Presentation at Reynolds Journalism Institute April 25, 2011. by Cynthia Typaldos Founder, Kachingle Grad Student team: Tyler Beckett Wei Peng Tise Okuonghae Robin Marahatta Professors: Randy Smith Bill Carner Tom Warhover Dan Potter

1. The Micropayment Platform for Online Content & Applications in the World of “FREE” Presentation for MizzouApril 25, 2011

2. Company History/Status Invented by Cynthia in 2003 (then set aside as too early) Patent filed in 2007 Alpha in 2008 Beta in 2009 Public launch February 2010 Hundreds of sites signed up Thousands of Kachinglers signed up World class American-German team Major new features added in Q1 2011 so that we can… Change marketing focus in April 2011 (more on this shortly)

3. The Problem Digital content and services need more revenue news, information, music, videos, apps, etc. Producers cannot force people to pay using paywalls The London Times (Murdoch) experienced > 99% drop in website readership when they installed a paywall Advertising is still not paying the bills Small content and service providers are struggling, even those with great value and high traffic

4. The Opportunity People want to support the digital stuff they love but it’s too much hassle online People want to use Twitter and Facebook to brag to their friends and colleagues about the content and apps they love People will pay for gaming (fun), virtual goods, online persona/status, helping favorite sites to gain status, etc. People are willing to voluntarily pay for digital stuff they value – but only if it is hassle-free and shareable

5. Enter Kachingle Kachingle combines: the power of loyalty, the influence of social media, and the flexibility of micropayments to generate a whole new revenue stream for free online contents and apps which supplements advertising revenue and premium services

6. Why would People Pay for FREE digital stuff? To build an online persona: achieve recognition, gain status, support a cause

7. Success of Voluntary Payments user-centric no “mental transaction costs” tap into existing social networks financial transparency fun, entertaining, like a game These are Kachingle’s Guiding Principles!

8. How it works User voluntarily pays $5 per month via PayPal or credit card (later we will allow higher amounts) User selects which providers to support (one click turns on Kachingle Medallion widget) Kachingle counts daily usage of those selected sites all month At end of the month Kachingle divides up user’s money and distributes it proportionately User automatically brags to Twitter followers and Facebook friends about the digital stuff they love and support It’s hassle-free: User signs up once, turns on each desired Medallion once, then Kachingle does the rest! Kachingle distributes 85% of the revenue to producers and shares the other 15% with PayPal using special pricing and low-cost APIs

9. Extensive social media integration Twitter Facebook

10. KachingleX There is a two-sided network problem (chicken and egg): – In order to get Kachinglers we have to have sites/apps Original strategy – DID NOT WORK – In order to get sites/apps we have to have Kachinglers New strategy – get Kachinglers to add their favs KachingleX is a free browser extension (plug-in) that Kachinglers install, which enables them to Kachingle anything, even if that site/app is not a member of Kachingle Now Kachinglers are in charge of the growth of Kachingle! And Kachingle has our own version of “PayPal Virality”

12. Market The Missourian & VOX Kachingle Medallions

13. Refine the messaging – what works the best?

14. Include social media efforts

16. Wei Peng

17. Tise Okuonghae

18. Robin MarahattaAnd staff at The Missourian and VOX including Professors Warhover and Potter

19. Live demo (next are just a few of the screen shots)

23. Original (Javascript) Kachingle Medallion sites

26. KachingleX (Browser Extension) Medallion sites

33. Best way to learn more…mouse over the Kachingle Medallion at www.columbiamissourian.com

34. Student Presentation (not included here)

35. Backup Slides

36. Facebook Integration Facebook application allows Kachinglers to put a list of their favorite content and apps into their profile and show how much they have given to each content provider Automatic monthly friend-feed that places your latest kachingling activity on your friends’ Facebook walls Facebook users can sign up for Kachingle directly from Facebook, which allows for one-click signup Free, automated bragging about the content and apps they love!

37. Facebook Integration

38. Twitter Integration Kachingle tweets activity on behalf of content providers at the end of each month Kachingle tweets activity on behalf of Kachinglers at the end of each month Generates Kachingle signups and drives additional traffic to the service providers (these are samples – there are 4 other types of automated tweets and more in the works)

39. Social Widgets These widgets will soon be visible on the sites themselves via the new fancy overlay (display of this in a few slides). Right now both are available on Kachingle.com and WKW also as an installable widget. All will be available on Facebook too.

40. Leaderboard Leaderboard sorted by their daily counted visits of Kachinglers – thus there is quite a bit of movement and the sites that are at the top are the ones with the most loyal users (which are not necessarily the biggest sites).

42. Partnership with PayPal Micropayments are highly strategic for them They love our approach and think there is huge cash flow for them from Kachingle in the future They have supported us in the following ways: Special PayPal pricing Featured us in their ad campaign (see below) Gave us a speaker slot & free booth at their conference Allowing us to market to their customer base Gave us office space at Plug And Play Access to their engineers for better technical support