1 JumpStart Tourism Crowd Travel Technology - A SEDI Business Model SEDI Vision – JumpStart Tourism (St. Croix) of CrowdTravel, CrowdJET P.A.C Alliance,

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JumpStart Tourism

Crowd Travel Technology - A SEDI Business Model

SEDI Vision – JumpStart Tourism (St. Croix) of CrowdTravel, CrowdJET P.A.C Alliance, Workation Incentive Program & Fifth Freedom Act. “Changing the Culture Travel”

This Document is Strictly Proprietary and Confidential

www.sedivision.com

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The Power of the Crowd

The social economy: Unlocking value and productivity through social technologies

While social networking is a phenomenon which has existed since the beginning of societies, online Social Networking Sites (SNS) are a recent trend. In less than five years, sites like Facebook and MySpace, have shifted from a niche online activity to a phenomenon in which tens of millions of internet users are engaged. Discussion on the emergence of a new social phenomenon has permeated both industry and academia.

In a few short years, social technologies have given social interactions the speed and scale of the Internet. Whether discussing consumer products or organizing political movements, people around the world constantly use social-media platforms to seek and share information. Companies use them to reach consumers in new ways too; by tapping into these conversations, organizations can generate richer insights and create precisely targeted messages and offers.

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The Power of the Crowd – Cont'd

The social economy: Unlocking value and productivity through social technologies

While 72 percent of companies use social technologies in some way, very few are anywhere near to achieving the full potential benefit. In fact, the most powerful applications of social technologies in the global economy are largely untapped. Companies will go on developing ways to reach consumers through social technologies and gathering insights for product development, marketing, and customer service.

MGI’s report, The social economy: Unlocking value and productivity through social technologies, explores their potential economic impact by examining their current usage and evolving application in four commercial sectors: consumer packaged goods, retail financial services, advanced manufacturing, and professional services. These technologies, which create value by improving productivity across the value chain, could potentially contribute $900 billion to $1.3 trillion in annual value across the four sectors.

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Crowd sourcing Travel site for travel discounts and social points when travelers share and follow travel plans. Through social media our customers become our salesforce when they invite others to join the crowd for group discounts. As a result, we create significant advertising revenue on top of travel revenue, without the high customer acquisition costs of search engine marketing.

Through crowd sourcing, technology uniquely focuses on aggregating travel buyers before they purchase their trip. Unlike other travel sites, we target and acquire the 99 out of 100 travel shoppers that search but are not ready to buy. Shoppers can plan and save together, but pay and travel separately. We do this by allowing travelers to follow a trip within a crowd or search trips and start a crowd for others to follow. Once posted, travelers receive daily deals (with targeted advertising) until the crowd tilts. Shoppers are motivated to invite others because as more followers join the crowd they lower the price and earn social points for free travel.

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Through crowd sourcing, CarryOn uniquely focuses on aggregating travel buyers before they purchase their trip. Unlike other travel sites, we target and acquire the 99 out of 100 travel shoppers that search but are not ready to buy. Shoppers can plan and save together, but pay and travel separately. We do this by allowing travelers to follow a trip within a crowd or search trips and start a crowd for others to follow. Once posted, travelers receive daily deals (with targeted advertising) until the crowd tilts. Shoppers are motivated to invite others because as more followers join the crowd they lower the price and earn social points for free travel.

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.Through this model we aggregate customer specific demand - i.e. who, where, when and what method of travel they want before they purchase their trips. We then search for lower prices and negotiate group and volume discounts. Shoppers are retargeted with new deals and advertising until they purchase their trip or it expires. Travel related suppliers love this model because customers bring other travelers to their product. As a result we acquire better discounts and commissions, which increase our conversion rates. More importantly, we create

significant advertising revenue without high customer acquisition costs associated with SEM.

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1. Search - travelers enter trip parameters into the search bar and it will filter trips that have crowd discounts. If they don’t see a crowd they like, the traveler can click on the search button to view traditional trip options with crowd discounts or start a new crowd.

2. Follow - travelers can also follow one of the existing crowds on the trip board or in the search results for more savings instantly. If the traveler gets to checkout and they are not ready to buy, trips with crowd discounts are recommended for more savings.

3. Share - travelers are motivated to share deals with friends for group discounts and free trips. Travelers click on share button and they can see who is in the crowd, send messages to other crowd members and invite more people to join the crowd. When more people follow, the crowd tilts and the price automatically drops.

4. Crowd – travelers in the crowd receive private daily deals with group discounts and extra points via email and trip updates on their personal trip board (retargeting) until the crowd tilts, they purchase the trip, or their trip expires.


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“Average consumer visits 38 sites before booking a vacation…” – Expedia Media Solutions 2013

“On average, customers take 29 days from the first time they search until they make a purchase…”– ComScore (digital marketing measurement firm) 2011

“Consumers actually place the highest value on deals and promotions (83%) and rewards programs (70%).”

– eStrategy Trends 2012“Statistics show that 95% of users leave a site without making a transaction, and the ones re-targeted are 70% more likely to complete a purchase.”

– Adgorithms 2013“The travel industry generates 8.5 Billion image-based ad impressions per annum …with an average CPM paid of $10.44.”

– Monetize Pros 2014

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We integrate the social graph to acquire users with lower marketing costs:

•Follow a crowd on our trip board to lower the price

•Create an event, share and invite friends to grow the crowd so it tilts

•Introduce tagging and gamification to deeper engagement

•Share trip deals and activity feed on our trip board for more site traffic

•Promote sharing via viral point program by clicking on comments, trips, etc.

•Travelers earn social points on themselves, friends and friends of friends

•Leverage existing social media platforms for ease of use (login, sharing, etc.)

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A patent pending technology gives users a better experience:

•Show more flights and hotels at lower prices than other sites

•Display “responsive” design user interface with PC, tablet and mobile

•Allow users to share, follow and crowd deals for a better price

•Aggregate trip parameters and followers (collect data) for volume discounts

•Push discounts with advertising thru tagging, retargeting and deal updates

•Introduce a social sharing, inviting, following, crowding and a social points

•View responsive trip board with dual search widget

•Bypass GDS so travel suppliers save money

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Social Points on Your Social Network

My Points $1 = 1 PTFriends Points $1 = 1 PTFriend’s of Friends Points $1 = 1 PT

1. Create account 1,000 pts

2. Open emails 725 pts 25 pts/email opened

3. Complete profile 4,000 pts

4. Site visits 1,125 pts 25 pts/visit

5. Purchase 1,000 pts 1 pt/$1 spent for $1,000 trip purchased by member

6. Share trip with five friends 375 pts 25 pts/share

7. Five friends' purchases 5,000 pts 1 pt/$1 spent for $1,000 trip purchased by 5 friends

8. One friends' friend purchases 5,000 pts 5 friends with 1 friends each buying a $1,000 trip

Total points earned: 18,225 pts

$182 vs. $10 w/competitor (free travel 18X faster)

Documents

1 JumpStart Tourism Crowd Travel Technology - A SEDI Business Model SEDI Vision – JumpStart Tourism (St. Croix) of CrowdTravel, CrowdJET P.A.C Alliance,