Download pdf - Cubs Proposal

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OPPORTUNITYDaily Pro Plays seeks to offer the Chicago Cubs a unique marketing program to

further engage with its fan base. This program will allow your organization to:

•Engagewithfansthroughtheuseofinnovative

social media technology

•Createadditionalrevenuestreams

•Increaseyourcommunitypresence

•Expandyouremailsubscriberbase

•Provideaccessintothevaluablesmalllocalmerchantbase.

Daily Pro Plays would like the opportunity to present this program and demon-

stratetheimpactthesebenefitscanprovidetotheclub.

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OVERVIEW

Daily Pro Plays would like to partner with the Chicago Cubs to create and man-

ageauniquedailydealprogramspecificallybrandedforthefans.

Subscriberswillopt-intoreceivequalifieddailyemailoffers,fromlocalretailers,

discountedbetween50%-70%offretailpricing.WithintheDailyDealindustry,

retailersagreetoshare40%-50%ofthesaleamount,inexchangeforouradver-

tising,promoting,andprocessingthetransactiontoagroupofemailsubscribers.

DailyProPlayswilluseitsteamtomanagealloperationsofthisprogram,but

initiallytheChicagoCubs,withourhelp,willpromotethisnewprogramtoits

databaseoffans.Ifthefanchoosestoparticipate,he/shewouldbeaddedtoa

newemaildatabasecontrolledbytheChicagoCubsanddesignatedspecifically

for the daily deal program. This allows us to separate out the daily deal opt-in

subscribersfromyourgeneraldatabase.Withthenewdatabaseinplace,the

Chicago Cubs organization would not be responsible for any further marketing to

its general email subscriber base.

OUR TEAM

DailyProPlaysparentcompany,ConsortiumGroup,Inc.,hasestablished

commerceandcardprocessingsolutionsforover20,000merchants.Wehave

over18yearsofexperienceinmarketingandservicingsmalltomediumsized

merchants.Ourexperienceincludes;point-of-saleequipment,ecommercesolu-

tions,giftandloyaltyprograms,andvariousothermerchanttoconsumertools

forhandlingnon-cashtransactions.Wehavealonghistoryofunderstandinghow

to reach the merchant and successfully engage with them to promote programs.

Withourunderstandingofthisprogram,wefeelconfidentwecanattractour

establishedbaseofmerchantsaswellasapproachnewmerchantsandinvolve

theminthisnewandexcitingprogram.

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REVENUE PROJECTIONS

TheChicagoCubswillparticipatein50%ofthegrossprofits

generatedthroughtheDailyDealProgram.Toproperlyexpressthe

revenuepotential,wehavetakenindustryaveragesandconstructed

thefollowingrevenuemodels.DailyDealindustrystatisticsshow

thatanopt-inemailisworth$.10-$.25/perdayinsales[$.10

referringtothepoorestqualityemailsubscriberlistand$.25

referring to the highest quality subscriber and program]. We feel the

qualityoftheChicagoCubsemailsubscriberlistwillbeabove

average,soforthisexamplewewillassigna$0.20valuetoeach

emailsubscriberwhojoins.Ifweproperlypromotethisprogramto

yourfans,throughtheChicagoCubsfandatabase,merchantdisplays,gamekiosks,facebookfanpages,and

outsidefan-basedsites,wefeelthatconservativelywecanestablish200-400KsubscribersfortheDailyDeal

programoverthenextfewyears.

*Thisrepresentsmarketingonedealperday.Addingadditionaldealsandsidedeals,whichistypical,willincrease

these numbers dramatically.

Daily Deal Subscribers 200,000 400,000

EmailValuePerDayinSales $0.20 $0.20

Total Annual Sales $14,400,000 $28,800,000

60% Merchant Share $8,640,000 $17,280,000

7% Technology and Card Processing Fees $1,008,000 $2,016,000

3%SaleandMarketingExpenses 432,000 $864,000

ChicagoCubsShare50%ofGrossProfit $2,160,000 $4,320,000

ChicagoCubsGiftcardSalesRevenue $200,000 $400,000

Total Chicago Cubs Revenue Share $2,357,000 $4,720,000

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DAILY DEAL PROGRAM

Subscriberswillreceiveonaverageoneemailperdayfeaturinganincredible

offerandadesignatedtimeframe(typically48-72hours)totakeadvantageof

thediscount.BuyingthedealisassimpleandeasyasanyconvenientInternet

transaction.Oncethetransactioniscomplete,acertificateisprintedandusedto

redeemthesaleattheretailer’slocation.Basically,theprogramworksbecause

“collectivebuyingpower”allowsretailerstosignificantlydiscounttheirproduct

and/orservicebasedonthenumberofpurchasers.

TheDailyDealprogramhasthreedistinctcategories:subscribers,merchants

and technology. Successfully understanding and managing each one of these

groupsisvitaltooursuccess.

CHICAGO CUBS CARD

TheChicagoCubsGiftCardisamarketingstrategythatwillpromotethe

acceptanceofthedailydealprogramandbringpositiveexposuretothe

program and club.

Initially,ourgoalistosecure400localretailerswithnegotiateddiscountsthat

createover$2,000invalueloadedontothecard.Cardholderswillbeabletouse

thiscardatallparticipatingretailersfordiscountsrangingfrom20%-60%offretail

pricing.ThecardwillbeprovidedtoanyChicagoCubsfanthatrequestsone.

ThecardwillbeprofessionallybrandedwithaChicagoCubstheme[athleteor

club likeness] and can be marketed as a collectible item or limited edition baseball

card. A one-time shipping and handling fee of $3.95 will apply. We anticipate selling

atleast200Kcardswithinthecommunityovertheinitialyear.Weproposea

$.95 donation on each card sale back to the Chicago Cubs to be used for one of

itscharitablecauses,likeCubsCare.

THECHICAGOCUBSCARDWILLBEEXTREMELYEFFECTIVE ATOPENINGDOORSTOBUILDSUBSCRIBERSANDATTRACTNEWMERCHANTS

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BUILDING LOYALTY

Withinthedailydealindustry,it’swidelyunderstoodthatdailydealscanbringina

largenumberofnewcustomers.Itisnotthedealitselfthatisthemostbeneficial

tomerchants;ratheritistheacquisitionofmorecustomers.

Ourloyaltytoolsconvertthesenew[andexisting]customersintovaluableloyal

repeatshoppers.Withourloyaltytools,businesseswillenjoycustomersthat

spend more and come back more frequently.

Ourtoolsinclude:Customdesignedloyaltycards,CRMdatabasetoknowthe

customer,andemailandtextingcommunicationtools,aswellasaSmartphone

app.Weprovideafullrangeofeasytousetoolstokeepbusinessesinfrontof

their customers and to keep the customer thinking about the business.

NEW MARKETS

We see the Chicago Cubs brand embedded within the local community. We want

everysmallstorefronttocarrysignageandinstoredisplaysandhaveevery

store window to be a reminder that the local business community supports

ChicagoCubsbaseball.Ourprogramprovidesanexcellentopportunitytoreach

outtosmallandmediumsizedretailersinacompletelyinnovativeway.

Usingourprogramwillopennewopportunitiesforbannerspaceinmerchant

windowsandinstoredisplays,andnewcommunicationchannelsthroughlocal

business.Inadditiontotheprogramrevenue,itwillcreateanenvironmentfor

moreticketsales,moremerchandisesales,andwilldevelopalargermoreloyal

fan base.

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IN CONCLUSION

DailyProPlaysisconfidentinthispotentialpartnershipwiththeChicagoCubs.Notonlyinhowwecanharness

socialmedia,addadditionalrevenuestreams,andbuildabiggeraudience;thefocusistobuildbrandawareness

and loyalty toward the club.

Wewouldappreciatetheopportunitytoscheduleaface-to-facemeetingtoreviewapersonalizedandmorede-

taileddemonstrationtofurtherexplorethisexceptionalopportunity.

Sincerely,

Pete O’Brien

Partner

Sincerely,

GregFassett

Partner

Sincerely,

LarryO’Brien

Partner