This document summarizes information about DOOH Ads, a company providing a platform for digital out-of-home advertising. It outlines the company's goals of making the DOOH market more transparent, competitive and accessible. It describes current issues like ad targeting challenges and barriers to entry. The company's solution aims to consolidate advertising budgets, precisely target ads, and provide analytics. It details the company's technology, team, financial projections, and expansion plans to become a global DOOH platform.
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1. DOOH AdsDOOH Ads
Real Time Bidding for Digital Out of Home
Advertising Networks
Unlimited service
scalability
$3 billion spent
on DOOH Ads in US
New look at en
established market
DOOH ADS
2. DOOH ADS
COMPANY GOALS
2
To provide access to any monitor company-owner to global or local advertising
budgets,regardless of its size and geographical location
1
To make DOOH ads market as transparent and
competitive
2
To make the latest innovative technology in
offine-ads accessible
3
To provide no ads space, but a profle of it,such as
location, target audience, traffc, number of ads
viewed,direct links to the website of goods or
services directly from the phone interested
4
3. DOOH ADS
CURRENT ISSUES AT DOOH MARKET
3
Advertising budgets are split up among variety of agencies, advertising
and local networks. To have access to the Agency, its crucial to have
huge number of monitors and only in high traffc areas regardless of
advertisers request specifcs
Many of monitors do not generate revenue for its owners, such as big
retailers and gas stations
High barriers to enter monitor advertising market , which lead to low
market competition and high pricing
Badly targeted advertising with high campaign budgets as a result,
advertising banners are loaded to all monitors of the Agency regardless
of its location
Lack of fexibility of advertising campaigns banners are uploaded to
monitors using physical media once in a while, usually once a month
A need of physical presence at foreign sites to run ads banners
Issues
Solution
4. DOOH ADS
DOOH MARKET SOLUTIONS
4
Issues
Solutions
All engaged in DOOH-ads agencies are in one place.
Consolidation of all advertising campaign budgets from
around the world.
Run banner ads on the monitor in just a few clicks,
generating revenue for each ad impression
Even one monitor will generate money, there creates an
opportunity for small and medium business to have low
barriers for entry
Precise ad targeting with available analytics on number
of views, traffc, location and income level of targeted
audience
Upload of banners every 10 minutes, capability of on-
line campaign adjustments
Banners are uploaded from the cloud to any location of
the world
Advertising budgets are split up among variety of agencies, advertising
and local networks. To have access to the Agency, its crucial to have
huge number of monitors and only in high traffc areas regardless of
advertisers request specifcs
Badly targeted advertising with high campaign budgets as a result,
advertising banners are loaded to all monitors of the Agency regardless
of its location
Lack of fexibility of advertising campaigns banners are uploaded to
monitors using physical media once in a while, usually once a month
A need of physical presence at foreign sites to run ads banners
Many of monitors do not generate revenue for its owners, such as big
retailers and gas stations
High barriers to enter monitor advertising market , which lead to low
market competition and high pricing
5. Soft integration of consumers personal devices into
specifc advertising campaign
Due to the emergence and development of analytic
tools for offine advertising campaigns, the carpet
bombing" advertising of all consumers are being
replaced by localized strikes" of specifc groups of
consumers at a particular time and in a special place
Simplifcation and Uberization of services
More then 50% of all mobile searches have local
intent, and 17% of search happens while consumer are
on-the-go
DOOH ADS
TRENDS
5
Onrush of technology offers more accurate targeted
advertising for off-line media
According to Google, 23% of consumers search for
more info after seeing outdoor banners or monitor
advertising, compared to 16% for other media
Availability, development of protocols for Bluetooth
transmitters (iBeacon, Eddystone, AltBeacon),
development of IoT
Development of Android TV incredibly expands new
opportunities for monitors and television
Falling cost and dynamic development of hardware and
software to assess location traffc and number of offine
ads viewed
The cross-paths of current market trends and
technology capabilities allow a full transformation
of DOOH-ads market.
Our technologies allow to make it already now. In
couple of years someone else will do that.
Key market trends: Key technology trends:
6. DOOH ADS
MARKET OVERVIEW
6
Source: ZenithOptimedia
$514M
Russian Market1
Expansion to other markets (USA,
European Union, Latin America)2
40%
$514 million - Russian market volume of
indoor and outdoor ads (out-of-home,
OOH)
40% or $205,7 million - DOOH ad
market in Russia
Sources: Tadviser, ZenithOptimedia, ScreenMedia daily
Russian DOOH ad Market has dropped in 2015 ~ by 20%.
This has caused the necessity to optimize the relationships
between market players
$3B
$4B
In 2015 US spent on DOOH ads nearly
$3 billion.
Analytics forecast growth of DOOH in
US up to $4 billion by 2018
DOOH in US is considered as the fastest growing segments
of ad market
7. DOOH ADS
COMPETITIVE MARKET
7
Existing alternative solution to DOOH ads as of
today is the uploading of banners from fash-card to
all monitors of agency once a month
Such solution dramatically limits potential of
advertising campaign and increases the cost
There are no DOOH ads sites that do open auctions
neither in Russia or abroad
8. DOOH ADS
PARTICIPANTS AND USERS
8
Advertisers pay for real number of ad impressions the cost
set by open auction for each of the monitor. And have the
possibility to control expenses themselves.
Advertiser
Advertisers themselves create the terms of their ad
campaign at the convenient interface.
Agent, that registers a monitor in the DOOH Ads system,
receives a right to have a certain % paid, calculated based
on the ad loading of this monitor.
Agents
Monitor owners
All data, such as ad view time tracking, other calculation can
be accessed and controlled via online account by each
monitor owner.
Any monitor owner connected to DOOH ads (independently
or via an agent) becomes a party to the DOOH advertising
market and receives money for each ad impression.
Google Cloud Platform
Database
9. DOOH ADS
PARTICIPANTS BENEFITS
9
Advertiser
Agents
Monitor owners
No expenses involved in advertiser search
Maximum utilization of resources
Maximum price for ad impression set during open auction
No expenses for technical support of the system
Scaling business without increasing of operating expenses
No strict obligations when working with advertisers
Post-payment based on number of ad impressions
Convenient analytical system for each of the advertising platforms
A choice of best time and location for ad placement
Determination/limitation of daily advertising budget
On-line adjustments of advertising campaign
Constant income without capital expenditures
Any monitor connection worldwide
Progressive commissioning system
10. DOOH ADS
SOLUTION STRUCTURE
10
Google Cloud Platform
Database
Auction for each monitor
Monitor
Monitor
Monitor
Advertising site/platform
Agent
Agent
Agent
Site
Registration of advertising
platforms and monitors
Development of ads and uploading
banners
Advertising agency
Advertising agent
Site
Advertising
agent
Advertising agent
Advertiser
Advertiser
Site
11. DOOH ADS
BUSINESS MODEL
11
Advertisers
Agents
DOOH ADS
Advertising agencies
Monitor owners
Ad placement cost minus
DOOHADS and Agent
commissions
Ad placement cost set
during auction
Commission for
registration of monitor
DOOH ADS charges commission from Advertisers for advertising placed on
registered monitors
ad impressions on selected
monitors
New monitors searching
and registration
ad impressions on the
monitors
Application/program setting
12. DOOH ADS
BUSINESS MODEL TAKING AN EXAMPLE OF 100 REGISTERED MONITORS
12
Advertisers
亞亠仆
DOOH ADS
Advertising Agencies
100 Monitor Owners
0.67 million/year$1.5 million/year
$28.5K/year
Scenario conditions:
-Average time of monitor working a day: 10 hours
-Price of ad impression (view): $0,01
-Monitor owners fee: 45%
-Agent commission: 2%
Monitor registration
DOOH ads setting
ad impressions on selected
monitors
ad impressions on the
monitors
13. DOOH ADS
STRUCTURE OF ADVERTISING CAMPAIGN
13
Easy-to-use digital banners
Diversity of ad view locations
Unique designer to create conditions for advertising
campaigns
Convenient planning of advertising budgets
Ad placement on the best advertising platforms
Pay for actual ad impressions
On-line management of advertising campaign via online
account or mobile application
Quality control of digital banners
Up-to-date information on working advertising sites/platforms
What is special?
What are the benefits?
Where is the convenience?
14. DOOH ADS
TECHNOLOGY
14
Internet of Things
(IoT)
Google Proximity
Beacon API
Google Cloud Vision
API
Google Cloud Speech
API beta
DBMS Quik Table
Real Time Bidding
(RTB)
DooH ADS
app(Google play)
Online account
https://ads.dooh.xyz
Web-site
https://dooh.xyz
Emulation beacons
Physical Web
Face detection
Speech recognition
15. DOOH ADS
TEAM
15
Andrey Bogdanov. A graduate of MIPT, Department of Theoretical Physics, there became fan of computer
technology. An experienced entrepreneur, founder of several successful projects in the international markets,
including the advertising agency.
Core competencies : AdWords, AdSense, Google Cloud Platform, Bitrix CMS, CRM, Microsoft Azure, SEO, SMM, IoT,
Google Proximity Beacon, Google map maker, Google analytics, R&D
Core competencies: programming, Android, Google Cloud Platform,
FireBase, Google Cloud Vision, Google Cloud Speech, IoT, Bitrix CMS,
DBMS, Microsoft Azure, System administration
Development Sales / marketing
Development,testing, support and administration team consists of 5
highly-skilled professionals . Under Andreys leadership this team
has been successfully working on this project for the past few
years.
Core competencies: new monitor search and
registration, cooperation with agents, advertisers
and advertising agencies
Testing
Support and
administration
Project author, CEO/CTO
Monitor search and registration will me maintained by the
third party agents. to ensure appropriate collaboration
with agents, advertisers and advertising agencies, there is
a need to put together a team of marketers and run
advertising campaign
Current competencies
Required competenciesTeam
16. DOOH ADS
FINANCIAL MODEL (PILOT STAGE MOSCOW)
16
Optimistic Scenario (OS)
Pessimistic scenario (PS) Baseline Scenario (BS)
The advantage of DOOH ADS is that in any scenario the project
immediately starts generating money
1Q17 2Q17 3 Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19
PS 50 73 106 154 224 325 473 688 1 000
BS 50 79 126 199 316 501 795 1 261 2 000
OS 50 83 139 232 387 646 1 078 1 798 3 000
Number of monitors connected
17. DOOH ADS
ROAD MAP
17
Pilot project Roll out Expansion
1 2 3
Year 2017 2019 Year 2020 - 2022 Year 2022 and further
Moscow
$128.6mln
$428.6mln
$5bln
18. DOOH ADS
18
KEY PROJECT PERFORMANCE FIGURES (PILOT STAGE MOSCOW)
In the baseline scenario every 250 monitors increase the value of the company at $2.06
million
With entry to new markets and increase of number of available monitors to 50 000
units (achievable in 10 years), company value will go up to $288 million.
$2.06M
$288M
Key project performance figures
Number of monitors by
the end of 2018, units.
Cost of view, $/view
Monitor owner fee, %
of view cost
Pessimistic
scenario
Baseline
scenario
Optimistic
scenario
1 000 2 000 3 000
0.007 0.011 0.014
50% 45% 40%
Quarterly growth rate of
number of monitors, %
45% 59% 67%
Appraisal ratio
Company value (for 5 years), $mln
Pessimistic
scenario
Baseline
scenario
Optimistic
scenario
Company value in post-
forecasted period, $mln
Investments, $mln
IRR, %
Discounted payback period (DPP),
years
Revenue 2019, $mln
Net proft 2019, $mln
Net profit margin, %
5.6 25.1 53.7
2.89 11.4 24.1
1 1 1
93% 248% 405%
2.31 1.56 1.23
5.6 17.93 33.6
1.76 6.96 14.71
31% 39% 44%
%
19. DOOH ADS
19
INVESTMENT FIGURES
Pessimistic
scenario
Baseline
scenario
Optimistic
scenario
1.13
Share value as of today, $mln (in 10 years
after achieving maximum number of
monitors)
Return of investments in 4 years, %
Annual proft investment ratio, %
1 million US$ investments required for a successful start of
the project
10% - Share in the company for investment
$1
10%
13%
3%
5.01
401%
50%
10.74
97 4%
81%
20. DOOH ADS
20
STRATEGIC SCENARIO (EXPANSION TO INTERNATIONAL MARKETS)
Company value (for
10 years), mln
Share value in current price (in 10 years
after achieving maximum number of
monitors)
Number of monitors by
2027, units
Return on investments
for 10 years
Annual proft investment
ratio
18 748M
$268M
3 750M 50 000 5 257% 49%
$54M