1. DraftIndia.in Junoon Khelne ka, Maqsad Jitne ka (Passion is to Play, Goal is to Win) Mariposa Digital India Pvt Ltd Kolkata India mariposadigital.com Incorporated in June, 2014
3. Questions Why should I get involved with Daily Fantasy Sports (DFS) in India Why should I invest in Draft India (Mariposa Digital) What is my Return on my Investments
4. Quick Answers Fantasy sports industry in India to grow from $5M in 2015, to $1B by 2018, to $5B by 2020 DraftIndia (DI) with its timing, business model and product strategy, is uniquely positioned to tap the growth and be the sustainable market leader in the Industry ROI will be in multiples of 100 to 1000 over the next 3 to 5 years
5. Encash Knowledge of Sports Safely and Proudly Brag about it Promote Brand and Fan Engagement Knowledge Cash Pride Sports Fans Rewards Brands Investment Thesis Gambling falls under the jurisdiction of Public Gabling Act, 1867. Section 12 of the Act excludes game of mere skill outside the purview of Indian gambling act
6. Industry Analysis
7. Recent News / Developments Fanduel is supported by Comcast Ventures and is valued close to $1B; DraftKings is supported by Atlas Ventures and is valued close to $1B; Major leagues taking equity ownerships in lieu of partnerships Disney invested $250M in DraftKings at a valuation of close of $900M; the invested amount to be spent on advertising in ESPN (a Disney company) The US market is expected to be $30B in entry fees by 2020 In India, D11 has the maximum user base because of its partnership with Cricbuzz (Cricbuzz has recently been acquired by Times Internet); Kalari Capital (India based VC firm) recently invested close to $1M in D11 DraftIndia receiving inquiries and interests about investments and potential partnerships from top tier US fantasy sports companies and Indian VCs
8. Industry size, drawing a parallel between eCom. and DFS (US and India) eCom. Amazon Flipkart Started 1998 2007 Limelight 2002 2012 GMV (2015) $15B $1.5B Valuation (2015) $150B $15B GMV (2020) $150B $15B GMV stands for Gross Merchandise Value. DFS stands for Daily Fantasy Sports. The figures above are approximate and include personal analysis and judgment DFS USA India Started 2010 2012 Limelight 2013 2015 Entre Fees (2015) $3B $5M Valuation (2015) $3B $5M Entre Fees (2020) $30B $5B Fantasy Sports Industry in India is to grow 1,000 times over the next 5 years. This is the best time for strategic partners and investors to enter!!
9. India tops in smartphone growth Three-Fourth of Indias online population is under 35 years old; Its the most attractive demographics for fantasy sports industry; More importantly, 2015 is an inflection point when a major economy, India is moving ahead of another major one, China
10. Name Started Users Paid Users Daily Entre Fees Yearly Entre Fees D11 2012 100,000 10,000 $5,000 $1M TC 2013 2,000 300 $1,000 $150K DI 2014 1000 300 $500 $50K DFC 2014 1,000 100 $200 $40K CI 2013 1000 CB 2013 1000 These cells are CT 2015 100 left blank as CW 2015 100 the numbers are LG 2015 100 very small or S11 2015 10 not clearly available CV 2015 10 India DFS, Competitive Landscape Site name abbreviations are used. Some sites claim higher users that may be grossly inflated. The figures above are approximate and include personal analysis and judgment based on observation of daily joins. Market is there, but no real competition as of now! D11 started in 2009 and survived with initial investment and support from the family of the founder. An Indian VC firms investment (~$1M) in early 2015 helped them to buy users. With no clear second in the industry, any player with capability to grow massively will take on market leadership and drive creation of the future market to the fullest potential
11. Why DraftIndia (Mariposa Digital)
12. Business Plan So the question, what is / are the ingredients to succeed???
13. Execution matters a lot, but Timing might matter even more The above exhibit is taken from Bill Gross (Idea Labs) TED presentation Question in Investors minds: Too late? Too early? Educate the customers? Too many competitors? With smartphone penetration in top gear and one major Indian VC (Kalaari Capital) just kicking in $1M, TIMING is just right for investments in Fantasy Sports in India!!
14. Steps to Market Leadership June, 2014 - Incorporated July - Launched Khelo Apna Khel with Cricket September - Introduced Soccer December Introduced Field Hockey January, 2015 Rebranded as Draft India, Responsive Design Preparatory steps: Step by step bootstrapping; Khelo Apna Khel (June, 2014) to DraftIndia (Jan, 2015) H2, 2015 Sign up major B2B clients H1, 2016 Sign up major leagues H2, 2016 Reach 2 million users H1, 2017 Turns profitable H2, 2017 Reach 7 million users Next steps: Scale up to be the market leader through unique growth strategy fuelled by partnering with consumer brands and going direct to consumers
15. Sweet spots and challenges Best product features in the categoryy, Android app and AWS Diverse product strategy, includes loyalty-rewards and social network FSTA registered, global reach, Own score entry team Founders have connections with major business houses in India, Fanduel, DraftKings Have soccer and field hockey (first in the world) in the product mix Partnership possibilities with major B2B clients (consumer brands) because of the links that management team has Budget constrained for mass marketing and scale up No partnerships as of date Not a first mover, but may have the second mover advantage Need of legal and IP departments Talent gap in technology and customer service Competition mushrooming fast, Need to capitalize on the second mover advantage (e.g. FB over MySapce/Orkut; Gmail over Hotmail/Yahoo mail) The differentiations are the Product Vision / Strategy; and the Management teams background to forge B2B relationships and the capability to reach any high (scale up)!!
16. Product Strategy DraftIndia.in Paid site India based platform eCom format FantasyPlayersClub .com Paid site Global platform Lobby format DraftTalent.com Free site For partnering who would have issues with paid sites Fantasy Mirror White label product for Loyalty/Rewards partnerships FanHangout.com Sports based Social Network (e.g. Linkedin) to deliver long term value and growth Score Data API for sale to other sites Founder, iFSBA.org Indian Fantasy Sports Business Association Sports related eCommerce Store (e.g. fansedge) The foundation has been built; Going forward its a matter of scaling up and managing as per the Vision CONFIDENTIAL INTENTIONALLY LEFT BLANK Contact firstname.lastname@example.org email@example.com 647-687-1215
17. Revenue Streams B2C - Commissions from end users (India and international) B2B - Loyalty Rewards Partnerships from consumer business (White label solution) eCommerce (Sports merchandise) Ad sale through the consumer sites Social Network Ad and Subscriptions in the longer run CONFIDENTIAL INTENTIONALLY LEFT BLANK Contact firstname.lastname@example.org email@example.com 647-687-1215
18. Best entry time to tap growth is now; Growth in company valuation will plateau beyond 2020 0.1 1 5 15 30 50 0.2 2 5 10 20 40 -0.1 -1 0 5 10 10 -10 0 10 20 30 40 50 60 2015 2016 2017 2018 2019 2020 Revenue, Cost and Profit in $M Revenue Cost Profit CONFIDENTIAL INTENTIONALLY LEFT BLANK Contact firstname.lastname@example.org email@example.com 647-687-1215
19. Numbers and Scale up Plan CONFIDENTIAL INTENTIONALLY LEFT BLANK Contact firstname.lastname@example.org email@example.com 647-687-1215 Your search for the next unicorn may take a pause with us!
20. Management Team The founder has worn many hats to get here. He has over 16 years of experience working with Fortune companies in India, US and Canada. He worked with the founders of DraftKings during his tenure at Capital One. He understands the fantasy sports business from both US and India perspective. He is active in promoting the industry through his original empirical research, Indian fantasy Sports Business Association (founding member) and Fantasy Sports Trade Association (FSTA). He did his B.Tech (University topper) from University of Calcutta and MBA from University of Georgia. Going forward, he plans to take the role of Chief Platform Officer (CPO) The founder is supported by a serial entrepreneur, active angel investor in eLearning, Web Portals, Security, Hospitality, Government initiatives and IT companies. He has helped launch numerous start-ups in Canada and India, took strategic management roles, helped secure over $50M in early and mid stage funding for many companies. He has successfully transacted M&As between Canadian and Indian firms. He has been dividing his time between North America , India and the Asia Pacific region for over 12 years and speaks multiple languages. Going forward, he plans to take the role of CEO to drive massive business growth aligned with the companys strategic vision and strategy
22. Khelo Apna Khel, enCash your Passion, the bootstrapped version