Adyourface is a Singapore-based start-up that provides an online advertising platform where consumers would go to get the latest happenings in Singapore (e.g. New Sale, Product etc).
The space in which adyourface operates in is enormous, since businesses spend huge sums of money advertising to consumers. With the ever increasing growth from the internet, retailers are expected to double their spending on online ads to reach $181 million in 2013. Despite this, click through rate of ads remain below 0.01% – creating massive wastage for advertisers. The problem of low click through rate stems from consumers experiencing ad fatigue.
adyourface is able to turn this problem around by energizing ad fatigued consumers with targeted focus on novelty. Only ads that showcase new products and services are featured and consumers get to choose ads that they want to watch. On top of this, consumers are rewarded by advertisers for watching their ads.
adyourface reduces irrelevant ‘noise’ from the market place. By rewarding consumers for choosing ads that they want to watch, adyourface helps spur consumer conversion and thus maximizes returns for advertisers.
adyourface‘s target market is young adults between the ages of 18 – 29 years, who are in tertiary institutions and carry smart phones. 55% of them carry smart phones, representing an estimated market of 305,000 within Singapore alone. The initial target market would comprise of the 4 main local universities and polytechnics, and adyourface estimates a conservative user base estimate of 30,000 by the end of 3 years.
adyourface‘s focus on novelty distinguishes itself from its competitors. By creating the pull factor on consumers, adyourface effectively increases the click through rate of featured ads on the platform. 2. adyourface provides a flexible model which caters to the needs of individual companies, ranging from
video ads, voucher listing, and creating games
adyourface‘s primary source of funding is the iJAM grant. adyourface currently requires $30,000 funding for two key areas. Firstly, a budgeted $20,000 is required to continue the development of the online platform and to roll out a mobile application to increase its outreach by the 10th month of Year 1. Secondly, a working capital of $10,000 is required at the end of Year 1 to support adyourface’s expansion plans in Year 2. adyourface intends to obtain a small office space, and hire technical and sales employees to help in its operations.
adyourface is also open to obtaining funding from private investors. adyourface is expected to achieve revenue and profit figures as displayed below. adyourface will provide returns in a step-up method; investors will get returns of $5,000 for Year 1 and Year 2, and a step-up to $55,000 in year 3, giving investors an attractive IRR of 32%.