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BY EDWARD IRBY

CPUsage Provider Segmentation

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Page 1: CPUsage Provider Segmentation

BY EDWARD IRBY

Page 2: CPUsage Provider Segmentation

What is the profile of the average American

computer owner?

Which subsets of the average computer owner

should we target and what type of

compensation will they require?

How should we reach these people and what

should we communicate in order to acquire

them as participants?

Page 3: CPUsage Provider Segmentation

What is the profile of the average American

computer owner? FLAWDED QUESTION

We aren’t targeting the average American computer owner. We are targeting the average American computer owner preferably with an active broadband connection. ACCESS is the key word

We aren’t trying to create or grow that broadband connection market place we are simply seeking to efficiently tap a well developed and continually growing resource pool. Those with computers who have ACCESS to the internet.

Page 4: CPUsage Provider Segmentation

79% of American Adults use the internet

66% of American have a broadband connection at home

The total US adult population is between 207 and 230 million to give us some perspective.

Page 5: CPUsage Provider Segmentation

The Content King: Content Kings value entertainment, creating their own entertainment experiences from both established and user generated content sources. Some 76 percent regularly play games online; 75 percent visit websites for personal reasons, spending more than 2.5 hours on a typical weekday.

The Social Clicker: Social Clickers particularly value communications. The group relies on the internet to maintain relationships with friends and family, as well as to seek out new ones. Some 78 percent contribute to internet content or information in a typical month; they spend 57 percent of their time going online for communications.

NETPOPREASERCH.COM 2006

Page 6: CPUsage Provider Segmentation

The Online Insider: Online Insiders value every aspect of the web with equal enthusiasm and see the internet as a rich personal and cultural phenomenon. This group tend to be early adopters. Some 86 percent contribute to internet content or information.

The Fast Tracker: Fast Trackers particularly value news and information, including news, sports and weather. This segment is particularly loyal to sources that provide frequent updates and real-time information: 77 percent regularly read news online.

The Everyday Pro: Everyday Pros value personal productivity and incorporate the efficiency of the internet into executing their daily tasks: 84 percent regularly bank online; 68 percent regularly shop online.

NETPOPREASERCH.COM 2006

Page 7: CPUsage Provider Segmentation
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Dated thinking suggest we could try and target a particular group or two however this would be ineffective.

Instead we should target them all by designing our incentives around online usage trends so that our incentive cost do not include shipping and handling of physical items be it in-house or outsourced.

Page 10: CPUsage Provider Segmentation

Activity

% of

internet

users

Last

Asked

Send or read e-mail 94% May-10

Use a search engine to find information 87 May-10

Search for a map or driving directions 86 Dec-06

Look for health/medical info~ 83 Dec-08

Look for info on a hobby or interest 83 Feb-Mar-

07

Check the weather 81 May-10

Look for information online about a service or product you are

thinking of buying* 78 Sep-10

Get news 75 May-10

Go online just for fun or to pass the time 72 Apr-09

Page 11: CPUsage Provider Segmentation

Activity

% of

internet

users

Last Asked

Search for info about someone you know or might meet* 69% Sept-09

Visit a local, state or federal government website* 67 May-10

Buy a product 72 May-10

Buy or make a reservation for travel 66 May-10

Watch a video on a video-sharing site like YouTube or Google Video 66 May-10

Use an online social networking site like MySpace, Facebook or

LinkedIn.com* 61 May-10

Look for "how-to," "do-it-yourself" or repair information 59 Aug-08

Do any banking online 58 May-10

Look online for info about a job* 54 May-10

Look for information on Wikipedia 53 May-10

Use online classified ads or sites like Craigslist 53 May-10

Get news or information about sports* 52 May-10

Do any type of research for your job 51 Feb-Mar-

07

Page 12: CPUsage Provider Segmentation

By understanding that we want the 79% of adults that are online we direct our incentives not at a particular online user segment but associate them with the activities these adults do online.

It’s all about what they prefer to do online and targeting our incentives at those activities.

Page 13: CPUsage Provider Segmentation

Which subsets of the average computer owner

(internet using) should we target and what type

of compensation will they require?

To determine this we identify those online

activates that we can easily provide incentives

for.

Page 14: CPUsage Provider Segmentation

Get News 75%

Buy a Product 72%

Watch a Video 66%

Use online Social Networking 61%

Page 15: CPUsage Provider Segmentation

Easy to purchase incentives WSJ

Netflix

Amazon

Starbucks and Rub Tuesday digital certificates (A real world near immediate tangible incentivetive)

We should pursue those activities that are relatively easy to adopt, easy to grow and low cost with regards to online users from now on to be referred to as SUBSCRIBERS. And incentives are to be called REWARDS

Page 16: CPUsage Provider Segmentation

SO 79% of adults are online 66% broadband yippe right? No wrong.

It use to be that adults introduced new tech and digital solutions into the household thankfully that died when I was a kid. Now it is the youth who lead the way.

What do pre-teens and teens want?

How do their activities online differ?

Page 17: CPUsage Provider Segmentation

All of them are online (93%)

All of them have Cell Phones

21% of them use them to go online

The majority of those being in those coming from the lowest income sector families earning under 30K of which 70% actually have computers in the home.

Unlike their parents entertainment creation and remixing are of greater importance.

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Obviously with youth online/mobile usage focus being slightly different from that of adults we should also target some of those high percentage areas.

Online Gaming

Xbox live and Nintendo Wii/DSI points

Music

eMusic and itunes digital gift certificates

Photo Sharing and remixing-

Flickr premium gift accounts

Page 21: CPUsage Provider Segmentation

With regards to this after an exhaustive search at the moment other than buying and mailing out Facebook gift cards from target or best buy there is no current digital solution to provide facebook credit rewards to our subscribers.

Page 22: CPUsage Provider Segmentation

CASH not for the individual subscriber but for the institution

See next slides for further explanation

Page 23: CPUsage Provider Segmentation

How should we reach these people and what

should we communicate in order to acquire them as participants?

Frankly all of our subscribers are getting rewards for

loaning us their idle computers. That is the gist of

what we are doing and the point we must get across.

However subscribers will have some basic concerns

Page 24: CPUsage Provider Segmentation

Is it Legal? Yes we can point to BOINC “done and answered”

Is it safe? Yes we can also again point to BOINC but there is a better option?

Is it hassle free? That’s on the development team Is my email, some basic personal info and a simple

install all I really have to do? Or will I be forced to update it regularly and get loads of spam because of you guys? Can I easily donate to multiple institutions or myself?

Page 25: CPUsage Provider Segmentation

As I pointed earlier we can always point to BOINC

Honestly for most that will be enough but we can go a step further and also address a concern brought up by Shiv at the last meeting in the process.

How to control the subscriber pool, keep it from becoming too viral before we have the capacity to provide rewards for all?

Page 26: CPUsage Provider Segmentation

Schools

Libraries

Churches

Scouts

Public Radio

Others that haven’t crossed my mind but may posses either computers or users who fall within our preferred 66% broadband adult user group.

Page 27: CPUsage Provider Segmentation

They give us legitimacy.

They also help us compete against the virtuous and altruistic nature of BOINC.

Through them we can control the flow of CPUSAGE adopters while also creating buzz as success of our program spreads virally through their users.

Page 28: CPUsage Provider Segmentation

That’s actually rather simple while to the private subscriber we offer rewards, to the institution we offer an additional resource development solution with low-nil adoption and implementation cost.

CASH

In the case of some libraries discounted to free processing power to render collections

Page 29: CPUsage Provider Segmentation

Multnomah county library system

600 computers

With regards to new applications, individual libraries themselves approve what they want and the library county ITs just make sure it works with the system.

Now the library being a public institution can’t legally fundraise for themselves.

Page 30: CPUsage Provider Segmentation

However there is the Library foundation

It started in1997

Developed as they renovated the central library because city of Portland decided to preserve the old building.

Also Jeff Cogen-Library Advisory board which control direct overhead cost and allocates funding.

We can approach either of these groups with our proposal. I have not yet do to a lack of email address, business card, and technical title.

Page 31: CPUsage Provider Segmentation

With any of the institutions there is opportunity to be had. Some we can approach directly others its is best to approach through their traditional resource development arms

For school this may be the PTA’s who can make request of the school districts and schools themselves.

Churches generally have resource development departments in house or through their denominational organizations.

Page 32: CPUsage Provider Segmentation

Scouts (girl/boy) are national organizations and a recent idea so I am working on an approach but I recommend simply contacting the regional body here to enter into discussion.

OBP why because we want to create awareness and they’ll give us that while also developing a new way for their users to donate during these hard times when it is so difficult to give to those organizations we love.

Also we can lower their reward cost.

Page 33: CPUsage Provider Segmentation
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Library /School gives CPUSAGE

access to their public/student use

computers

We give them a cash incentive based on a

set rate

Page 35: CPUsage Provider Segmentation
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Institution requests subscribers to

download application in a resource

development effort.

Institution receives a cash incentive

Page 37: CPUsage Provider Segmentation

Institutions request subscriber to

download application in a resource

development effort.

Institution receives a lesser cash incentive

Subscriber receives Reward

Page 38: CPUsage Provider Segmentation

Boy scouts popcorn

Girl scout Cookies

Church and School candy/tree/ect sales

What these all have in common is that the kids generally receive badges, prizes or funding for some activity directly related to them.

Page 39: CPUsage Provider Segmentation

This model is ideal because all of the subscribers have to go to our website and give us their email information to download the app. Thus once we reach a capacity point where we can offer this directly to private subscribers, thanks to initial push by intuitions we acquire further adopters who may or may not wish to donate idle time to an institution but most definitely want our rewards.

Page 40: CPUsage Provider Segmentation

Is to give the subscribers choice

They should be able to choose how much of their idle time to donate to institutions?

They should also be able to choose when they wish to opt out donating as well for greater direct rewards?

It should be hassle free, proven thanks to intuitional adoptions, and again in their minds free. Getting real rewards for doing Nothing.

You know theThe American way

Page 41: CPUsage Provider Segmentation

Official Email

Business card template so I can have Kinkosprint some

Um recognition as a Business Analyst so I have a title other than intern would help when making inquiries really.

Page 42: CPUsage Provider Segmentation

How much are you considering charging consumers of CPUSAGE ? Is it by the giga flop per hour per week per month

Are we considering future contracts based on predicted capacity

Some idea of every conceivable application you have thought of so I can begin consumer segment research

Any material that will let me start running numbers based on the identified rewards.

What can the application do now and timetable of future predicted benchmarks in development.

Page 43: CPUsage Provider Segmentation

I see there being two key activities with CPUSAGE Platform management and development

Subscriber/consumer acquisition

I want to focus on the later as that is my area of expertise

So help me out guys hope this covered enough for my first presentation

Later Dayz,

Edward Irby