1. Day 5
1/17/2014
Team 23
FOOTY TRIBE
“We s triv e to be tte r info rm fa ns o f the be a utiful g a m e a nd
c o nne c t the m with e a c h o the r a nd the ir c lub o f c ho ic e . ”
Total # Interviews: 84
Total # Yesterday: 7
Total # Online: 21
Joe Brown, Kola Adeyemi, Nicholas Marinakis,
Gustavo Pinto Guimaraes, Alex Peters

2. THE TEAM
Joe Brown, CBS ‘14
(S&T;
Entrepreneurship)
Alex Peters, CU ‘14
(Computer Eng;
Physics)
Nick Marinakis, CU IEOR
(MS&E) ‘14
Kola Adeyemi, CBS ‘14
(Accounting; Banking)
Gustavo Pinto Guimaraes, CBS
‘15

3. Key Partners
Who are our key partners/
suppliers




News outlets
Cloud servers
Local bars/pubs
Footy clubs from
Deloitte FML
Key Activities
Which key activities does the
biz model require
 Curate club-specific
footy news for user
 Server refreshes
newsfeeds every 15m
 Geo-locating
functionality
Value Proposition
What value do we deliver to
the customer



Day 1

Key Resources
Which key resources does
the biz model require
B2C: Free app on
mobile platform
B2C: Curated
newsfeed on club &
international team of
choice
B2C: Platform to
connect with fellow
footy fans locally and
on travels
B2B: Target niche of
local footy fans for
clubs and retailers
interested in
demographic
B2B: Increased
exposure of footy
news content and
blog providers
Customer Relationships
What type of relationship
does each segment require
of us



B2C: Footy fans
(self-service,
communities)
B2B: Footy clubs
& international
teams (cocreation, personal
assistance)
Local bars/pubs,
retailers/advertise
rs (co-creation,
personal
assistance)
On Day 1:
Feedback: Clean Up
Segments
 Algorithm for
curating clubspecific news
 Reliable cloud
server
 Back-end
programmers &
software engineers
 Payment processor

Channels
Through which channel does
each segment want to be
reached



Cost Structure
What are our cost drivers

Software development and maintenance costs, # of times a
user view articles per day, cost per articles sourced (if any),
sales commissions, staff salaries, and typical other operating
costs.
Customer Segments
For whom are we creating
value





B2C: Niche market
of footy fans in U.S.
& select emerging
markets
B2B: Top 32 club
teams in Deloitte
FML
B2B: 32
international teams
in World Cup 2014
B2B: Local
bars/pubs
Retailers and
advertisers
interested in footy
fan demographic
B2C: Footy fans (App
stores, Facebook, TV)
B2B: Footy clubs &
international teams
(sales force)
B2B: Local
bars/pubs,
retailers/advertisers
(sales force)
Revenue Streams
How much is each segment willing to pay and how would they like to pay us
this amount
Based on our surveys and research:
B2C: one-time purchase in the range of $1-$5.99 (26%); $0.99 monthly
(17%) and $10 annually (17%) for in-app premium content.
B2B: Ads, between $0.5 to $6.0 per thousand impressions; pay to rent
our email database; pay sales commissions on merchandise sales; pay
for specialized marketing pushes (bars/pubs/retailers)

4. Day 1: Customer discovery
started
We went to the Blind Pig,
Arsenal’s supporters’ NYC
headquarters...
...Where we met with Mohammed Omer, our
customer archetype, among other passionate
footy in London Arsenal breed...
Born fans of the
Resides in NYC for studying
Die-hard Arsenal fan
Access news aggregator websites and blogs
daily
Watch games in bars to be close to other fans
(exchange contacts after games end)
Would like to further connect with fans in other
places (for watch and play football)
...And learned about the value of our features
for consumers (and that they don’t want to let
go of their beer)
News Feed = Nice to Have
Calendar & Community = A
must
News feed
Dynamic calendar
Social network 



5. Key Partners
Who are our key partners/
suppliers




News outlets
Cloud servers
Local bars/pubs
Footy clubs from
Deloitte FML
Day 2
Key Activities
Which key activities does the
biz model require
 Curate clubspecific footy
news for user
 Server refreshes
newsfeeds every
15m
 Geo-locating
functionality
Key Resources
Which key resources does
the biz model require
Value Proposition
What value do we deliver to
the customer

One-stop shop
for updates on
footy club of
choice and to
connect with
local footy fans
Customer Relationships
What type of relationship
does each segment require
of us








Diversify and
increase traffic
Connect with
target market
niche


Customer Segments
For whom are we creating
value

Get: Offering
Get: Targeted FB
Get: Salesforce
access to critical
mktng/WOM by
Keep: Highmass
early of footy
frequencytheir
preferred
evangelists/App
crowd
demographic
Store Partner
Grow:& Google
Keep:
Play High volume
w/bar to create
of customer
Keep: venue for
officialDynamic
impressions/clicks
content/Network
their footy fans
Grow: Upsell
effects of local
access to more
footy community
detailed user
Grow: upgraded
information
features





18 – 50yo
Smartphone user
Social media user
Avid footy fan
Geographically
distant from
favorite club
Local bars that
televise footy
matches
On Day 2:
Clarified our Segments
De-emphasized News
 Algorithm for
curating clubspecific news
 Reliable cloud
server
 Back-end
programmers &
software
engineers
 Payment
processor
Cost Structure
What are our cost drivers




Facebook targeted marketing & third party app ads
Software development and maintenance costs
AWS provided credits up to $1000 over next year
Salesforce commissions & staff salaries
Channels
Through which channel does
each segment want to be
reached

Direct Sales


App Store &
Google Play


Top 32 footy club
by revs/digital fans
32 international
teams in WC 2014
Retailers &
advertisers
interested in footy
fan demographic
Direct Sales

B2C
B2B
B2B
Revenue Streams
How much is each segment willing to pay and how would they like to pay us
this amount


Freemium
model
(in-app
upgrades)

Single % of
bar tab

Native/Banner Ads
($0.5 - $6.0 CPM)
Single % of
commercial sales
through Footy
Tribe app

6. Day 2: First setbacks occurred
WE CANNOT
COUNT ON
ADS
CLUBS DON’T
GIVE A SH…
We talked to experts and figured out we
couldn’t count on advertising and retailers’
money...
... At least until we have hundreds of
thousands of users and could generate
significant impressions and click through
rates
Conversation with clubs didn’t well too as we
are very small to have their support
Unless we can bring them more affliates, they
would have no interest and our archetype
end user already is an affiliate of the club

7. Key Partners
Who are our key partners/
suppliers
Day 3
Key Activities
Which key activities does the
biz model require
 Curate clubspecific footy
news for user
 Server refreshes
newsfeeds every
15m
 Geo-locating
functionality
Value Proposition
What value do we deliver to
the customer


Allow footy fans
to connect
anytime,
anywhere with
each other and
find venues to
watch matches.
Have all the info
needed to follow
your team at
your fingertips.
Key Resources
Which key resources does
the biz model require
Customer Relationships
What type of relationship
does each segment require
of us






Get: Targeted FB
Get: Salesforce
mktng/WOM by
Keep: Highearly
frequency footy
evangelists/App
crowd
Store & Google
Grow: Partner
Play
w/bar to attract
Keep: Dynamic
and retain footy
content/Network
fan traffic.
effects of local
footy community
Grow: Upgraded
features
Customer Segments
For whom are we creating
value






So on Day 3:
Focus on Fans & Bars
Remove Clubs & Ads
 Algorithm for
curating clubspecific news
 Reliable cloud
server
 Back-end
programmers &
software
engineers
 Payment
processor

Cost Structure
What are our cost drivers




Facebook targeted marketing & third party app ads
Software development and maintenance costs
AWS provided credits up to $1000 over next year
Salesforce commissions & staff salaries
Diversify and
increase traffic
to their
establishments.
Channels
Through which channel does
each segment want to be
reached

Local bars that
televise footy
matches and have
less traffic during
non-prime sports
(football,
basketball, etc.)
match times.
App Store &
Google Play

18 – 50yo
Smartphone user
Social media user
Avid footy fan
Geographically
distant from
favorite club
Direct Sales
B2C
B2B
Revenue Streams
How much is each segment willing to pay and how would they like to pay us
this amount

Free Trial for 1mo OR
limited use. 1.99/qtr
for premium content.

Subscription/Flat Fee
for sponsorship in
our app renegotiated
quarterly.

8. Channel, “Get” Strategy and Revenue
Model

9. Day 3: Bar hopping day
We went bar hopping talking to
owners and managers...
... And understood our archetype bar (Havana
Central)
• Local bar
• Underserved capacity during usual
European football matches times (weekends
late mornings and weekdays early
afternoon)
• Need for higher awareness and more traffic
• Preferably, located in a region with many
foreigns and tourists
Also, through feedbacks and customer
Bars concern = drink sales
Added “Passing Feature”
Big issue: how to make end
users consume in the bar, as
games are played in weekends
mornings on European match
times?
discovery, increase the focus on social
connections
News feed: least differentiating feature of the
app, kept to increase impressions and bring
users back daily
“Passing”: allows users to exchange contact
without spilling their beer

10. Key Partners
Who are our key partners/
suppliers
Key Activities
Which key activities does the
biz model require
Value Proposition
What value do we deliver to
the customer


Day 4

Allow footy fans to
connect anytime,
anywhere with each
other and find
venues to watch
matches.
Have all the info
needed to follow
your team at your
fingertips.
Partnering with bars,
getting fans to bars
and driving bar sales
Key Resources
Which key resources does
the biz model require
Customer Relationships
What type of relationship
does each segment require
of us





Facebook targeted marketing & third party app ads
Software development and maintenance costs
AWS provided credits up to $1000 over next year
Salesforce commissions & staff salaries




Get: Salesforce
Keep: High-frequency
footy crowd
Grow: Partner w/bar to
attract and retain footy
fan traffic.


Diversify and
increase traffic to
their
establishments.
18 – 50yo
Smartphone user
Social media user
Avid footy fan
Geographically distant
from favorite club
Local bars that
televise footy matches
and have less traffic
during non-prime
sports (football,
basketball, etc.) match
times.
Channels
Through which channel does
each segment want to be
reached
App Store & Google
Play








Get: Targeted FB
mktng/WOM by early
evangelists/App Store
& Google Play
Keep: Dynamic
content/Network
effects of local footy
community
Grow: Upgraded
feature
No big change
Cost Structure
What are our cost drivers
Customer Segments
For whom are we creating
value
Direct Sales
B2C
B2B
Revenue Streams
How much is each segment willing to pay and how would they like to pay us
this amount

Free Trial for 1mo OR
limited use. 1.99/qtr for
premium content.

Subscription/Flat Fee for
sponsorship in our app
renegotiated quarterly.

11. Day 4: Online landing page &
Preorders

12. Day 4/5: Online A/B Testing



“A” Page emphasized community; “B” page
emphasized other features
105 unique visitors to A page, with a higher
conversion 50% to 43%
Confirms our hypothesis that community
building features are the most important.

13. Key Partners
Who are our key partners/
suppliers
 Cloud servers
 Local bars/pubs
 Local soccer pitches
Key Activities
Which key activities does the
biz model require



Geo-locating
functionality
Connecting Footy
Fans – “Passing”
Dynamic fixture
calendars
Value Proposition
What value do we deliver to
the customer


Day 5

Partnering with bars,
getting fans to bars
and driving bar sales
Key Resources
Which key resources does
the biz model require




Allow footy fans to
connect anytime,
anywhere with each
other and find
venues to watch
matches.
Have all the info
needed to follow
your team at your
fingertips.
Reliable cloud
server
Engineering talent
Payment processor
Commission-based
sales team
Customer Relationships
What type of relationship
does each segment require
of us






Facebook targeted marketing & third party app ads
Software development and maintenance costs
AWS provided credits up to $1000 over next year
Salesforce commissions & staff salaries









Diversify and
increase traffic to
their
establishments.
Get: Salesforce
Keep: High-frequency
footy crowd
Grow: Partner w/bar to
attract and retain footy
fan traffic.
18 – 50yo
Smartphone user
Social media user
Avid footy fan
Geographically distant
from favorite club
Local bars that
televise footy matches
and have less traffic
during non-prime
sports (football,
basketball, etc.) match
times.
Channels
Through which channel does
each segment want to be
reached
App Store & Google
Play



Get: Targeted FB
mktng/WOM by early
evangelists/App Store
& Google Play
Keep: Dynamic
content/Network
effects of local footy
community
Grow: Upgraded
feature

Cost Structure
What are our cost drivers
Customer Segments
For whom are we creating
value
Direct Sales
B2C
B2B
Revenue Streams
How much is each segment willing to pay and how would they like to pay us
this amount

Consumers will pay $4.99
for the complete season
calendar (or $3.99 for the
national competitions and
$1.99 for internationals)

% of bar tap (experiment
to be conducted)

14. Metrics (Lifestyle versus $100M)
Life-Time Value
B2C: In-App Purchases per User
Local League Calendar Only (per season i.e. yearly)
Champions League Calendar Only (per season i.e. yearly)
Both Calendars
Revenue Range
# of Years Retained in App
Average cost of a drink at a bar with specials
Expected Number of drinks consumed per user per match
Bar tab %
$ 1.99 $ 4.99
5
From
To
$ 9.95 $ 24.95
Revenue Range
Expected number of games before churn
LTV for a paying B2B user
2014
2015
2016
2017
2018
Estimated Users
10% Purchase
In-App Sales
Low End High End
$ 5.00 $ 8.00
2
5%
(1) Lifestyle Business
(2) Focus on B2C Channel
First
LTV for a paying B2C user
Revenues
B2B: Bar Tabs Per User
$ 3.99
$ 1.99
$ 4.99
369,550
36,955
1,678,047
167,805
3,492,664
349,266
5,717,848
571,785
8,225,242
822,524
Calendars - $4.99
$ 184,406
$
$ 1,742,839
$ 2,853,206
$ 4,104,396
Bars
Fans per match
Matches a week
Average drinks
Average $ / drink $
Footy Tribe cut
Bars only NYC Bar Revenue
Total Revenues
837,346
25
20
2
2
5 $
5%
30
20
2
2
5 $
5%
40
20
2
2
5 $
5%
500
$
600
800
$ 184,906
$
837,946
$
$
$ 1,743,639
$
50
20
2
2
5 $
5%
1,000
$ 2,854,206
$
60
20
2
2
5
5%
1,200
$ 4,105,596
$ 0.50 $ 0.80
5
$ 2.50 $ 4.00
Customer Acquisition Cost
Assuming a 2% click through rate
18,477,507
2% of 18.4 million gives us 369.5K users
369,550
We pay per 1000 impressions
18,478
We pay $.75 per 1000 impressions
$ 13,858
Number of in-app purchasers year 1
36,955
Our cost per buying user = 13.8K/36.95 $
0.04

15. Next Steps




Carry on with the app
Get 50 fans to a bar for a match within 2
weeks
Do some more customer discovery at match
Build agile prototype

16. Timeline
Timeline for Next Steps
Feb-14 Mar-14 Apr-14
Beta Testing
May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14
Launch
Operationa
l App
Customer Discovery