BEYOND PLASTICa new, big idea from Matter Inc. | Design for Social Change

Tippy Tippens, founder of Matter Inc., has over 15 years experience leading design as both a consultant and employee for the world’s greatest companies. She holds a graduate degree in design from Pratt Institute. She is considered a trailblazing social entrepreneur, proud to be based in New Orleans, using her design perspective to bring unique value to consumer goods.

Matter’s first product, BirdProject Soap raised 20K in donations for gulf restoration post BP spill. This black, bird-shaped biodiesel glycerin soap contains a ceramic keepsake at its center and donates 50% of proceeds for environmental restoration post BP oil-spill disaster.

Matter has three new products set to launch this spring. All Matter products are sustainably made and raise funding & awareness for our most pressing social and environmental needs including wetland restoration, literacy, & disaster response.

- a benefit corporation, the first in the state of Louisiana -

Tippy Tippens, Chief Eternal Optimist,Founder of Matter Inc.

718.781.9252tippy@matternola.com

THE PROBLEM - PLASTIC SHOPPING BAGS

• Approx. 380 billion plastic bags are used in the United States every year. That’s more than 1,200 bags per US resident, per year.

• The average family accumulates 60 plastic bags in only four trips to the grocery store.

• Only .5 to 3% of plastic bags in the USA end up getting recycled.

• Plastic bags aren’t biodegradable. They go through a process called photodegradation—breaking down into smaller and smaller toxic particles that contaminate both soil and water, and end up entering the food chain when animals accidentally ingest them. One bag takes about 1,000 years to photodegrade.

• According to various estimates, Taiwan consumes 20 billion plastic bags annually (900 per person), Japan consumes 300 billion bags each year (300 per person), and Australia consumes 6.9 billion plastic bags annually (326 per person).

• Hundreds of thousands of whales, dolphins, sea turtles and other marine mammals die every year after eating discarded plastic bags they mistake for food.

• The United Nations Environment Programme estimates that there are 46,000 pieces of plastic litter floating in every square mile of ocean.

• Discarded plastic bags have become so common in Africa they have spawned a cottage industry. People there collect the bags and use them to weave hats, bags and other goods. According to the BBC, one such group routinely collects 30,000 bags every month.

• Plastic bags as litter have even become commonplace in Antarctica and other remote areas. According to David Barnes, a marine scientist with the British Antarctic Survey, plastic bags have gone from being rare in the late 1980s and early 1990s to being almost everywhere in Antarctica.

ESTIMATES STATE THAT 500 BILLION TO 1 TRILLION PLASTIC BAGS ARE CONSUMED & DISCARDED ANNUALLY WORLDWIDE - MORE THAN A MILLION PER MINUTE. CONSIDERING POPULATION GROWTH, THIS QUICKLY BECOMES ALL THE MORE DISTURBING.

According to the Environmental Protection Agency, more than 380 billion plastic bags are used in the United States every year. Of those, approximately 100 billion are plastic shopping bags, which cost retailers about $4 billion annually & requires an estimated 12 million barrels of oil to produce.

STAGE ONE: SUBSCRIPTION

BASED RE-USABLE BAG SERVICE

STAGE TWO:GREENIFY TYVEK

AS AN ENVIRONMENTALIST, I ALWAYS HAVE AT LEAST ONE RE-USABLE BAG ON HAND.

HOWEVER, OFTEN I WILL IMPROMPTU GROCERY SHOP AND NEED MORE BAGS - THEN FORCED TO

CHOOSE EITHER PAPER OR PLASTIC AGAIN

KIOSKS AT SHOPPING CENTERS ALLOW SHOPPERS VIA SUBSCRIPTION -OR- PAY BY NEED PICK UP

INEXPENSIVE RE-USABLE BAGS AT POINT OF PURCHASE.

REPLACE WITH A SUSTAINABLE

PLASTIC BAG FOR MASS USE

BAGS ARE RETURNED BY MAILER TO BE RE-USED AGAIN A-LA NETFLIX.

TYVEK IS MADE UP OF 25% POST CONSUMER PLASTICS & THEN RECYCLED TO ALTERNATIVE LUMBER. IT DOES NOT LEACH INTO GROUND WATER AS IS CHEMICALLY INERT.

NATIONAL RECYCLING SYSTEM IS IN PLACE.

Tyvek benefits: a strong, lightweight material that is conducive to manufacturing processes; recyclable; created from HDPE

- which most plastic containers are created from.

Via a partnership with DuPont, bioplastics begin to be introduced into this HDPE container /shopping bag loop. With the creation of tyvek bags increasing the % of post consumer content - the shopping bags then

eventually ‘eat up’ HDPE plastic containers in the market - upcycling into alternative lumbers & replacing petroleum based plastics with naturally

based polymers.

These bags replace the toxic plastic bags EN MASSE AT ALL RETAILERS with a durable, re-usable, & recyclable shopping carrier.They are heavier than plastic so aren’t airborne and don’t strangle

sealife. Also, as of a higher quality and having longevity, don’t reek of disposable, cheap waste as current shopping bags do.

Meanwhile, Stage two progresses:

BAGS ARE LAUNDERED IF NEEDED& RETURNED TO KIOSK FOR USE AGAIN.

OUR SOLUTION:

OUR CUSTOMERS & HOW THEY FIND US

STAGE ONE: SUBSCRIPTION

BASED RE-USABLE BAG SERVICE

STAGE TWO:GREENED TYVEK

OUR CUSTOMERS ARE SHOPPERS.

OUR CUSTOMERS ARE ALSO RETAILERS.

(SOLAR POWERED) KIOSKS ARE IN SHOPPING AREAS - GROCERY STORES, MALLS,

CENTERS, ETC. AND AVAILABLE ATPOINT OF PURCHASE.

OUR SUSTAINABLE SHOPPING CARRIERSREPLACE TOXIC PLASTIC BAGS.

INITIAL CUSTOMERS ARE GROCERY STORES.EXPANDING TO ALL OTHER RETAILERS.

TODAY’S PLASTIC BAGS COST LESS THAN 1 PENNY APIECE.

WE ENABLE BOTH CONVENIENT USE &RE-USE OF A BETTER SHOPPING BAG.

OUR BAGS ARE AFFORDABLE.COST TO PRODUCE IS .25

WITH CUSTOM PRINTED GRAPHICS.WITH MASS QUANTITY, TYVEK BAGS CAN REACH

THE CURRENT MINUSCULE PRICE POINT

IN EFFECT THIS IS A 4 BILLION DOLLAR MARKETSUBSCRIPTION LEVELS PER BAG USE:$5/MONTH UP TO 10 BAGS

$12/MONTH UNLIMITED

ADDING BIOPLASTICSEVENTUALLY REPLACING

PETROLEUM PLASTICS

UTILIZING TYVEK’S NATIONAL RECYCLING PARTNERSHIP WITH WM AND/OR THEIR MAIL - IN SYSTEM

BETTERBAG TECHNOLOGYSTAGE ONE:

SUBSCRIPTION BASED RE-USABLE BAG SERVICE

STAGE TWO:GREENED TYVEK

MULTITUDE OF DESIGN OPTIONS FOR TYVEK BAGS(AND CUSTOM PRINTS)

BAGS WORK WITH EXISTINGRETAIL BAGGING SYSTEMS.

BAGS ARE CONSTRUCTED VIA SONOBOND (ULTRASONIC WELDS)

FOR EASIER RECYCLING & BETTER STRENGTH

WASH BAGS FOR RE-USE.

OR RECYCLEIF AT END OF LIFE. SENT TO KIOSKS/

RETAILERS

RETURN BAGS TO COMPANY WITH PRE-PAID MAILER

MARKET EXAMPLES

MARKETING & SALES STRATEGIES

•betterbag subscriptions are sold online via Netflix model.•Subscriptions cost $5/month and come with an introductory collection of 10 bags. •Unlimited bag subscriptions cost $12/month. Consumers can pick up additional bags at Bag Kiosk. •Bags are also sold individually at Bag Kiosks placed in shopping centers and malls for $2 dollars.

Channel Distribution Marketing•betterbag markets Kiosks directly promoting environmental consciousness and reducing costs of future bag use. •betterbag also markets directly to consumers through online website and social media campaigns •Our target persona are conscious consumers willing to elevate plastic usage by purchasing recyclable bags •Leverage Matter brand and followers to amplify product adoption

Unit SalesUnit SalesUnit SalesUnit SalesUnit SalesYearYear 2013 2014 2014

Online Subscriptions Online Subscriptions Online Subscriptions Online Subscriptions Online Subscriptions Standard 27000 122500 540245

Limitless 18000 62200 320250

Kiosk Sales Kiosk Sales 21000 85000 420780

COMPETITORS

WHY WE ARE BETTER:OUR COMPETITORS:

BAGGU (RIP STOP NYLON, LEATHER) $7.50 & UP

STAGE ONE: SUBSCRIPTION BASED RE-

USABLE BAG SERVICE

STAGE TWO:GREENED TYVEK

OUR BAGS CREATE A PLASTIC USE LOOP,CREATED OF THE GOODS THAT THEY ARE

USED TO CONTAIN.

A SUBSCRIPTION BASED SYSTEM MAKES BAG USE CONVENIENT & EASY

+ YOU DON’T HAVE TO OWN A COLLECTIONOF SHOPPING BAGS

KOTELI (RIP STOP NYLON) $9

ENVIROSAX (POLYESTER) $8.95 & UP

BAGS ARE RECYCLABLE, BECOMINGALTERNATIVE WOOD SOURCE

CONVENIENCE SYSTEM & AFFORDABILITY MAKES AVAILABLE TO MORE MARKETS & INDIVIDUALS

REUSEIT (RIP STOP NYLON) $5.95

ONE % OF PROCEEDS DONATED TO GROUPSWORKING ON PLASTIC ALTERNATIVES/PLASTIC RECLAMATION

OUR TEAM & EXPERIENCE

Tippy Tippens, Chief Eternal Optimist,Founder of Matter Inc.

Industrial Designer & Social Entrepreneur, GOOD 100, Background in product design including designing products at Kohler. Creator of BirdProject Soaps which has been featured in Springwise, Huffington Post, New Zealand Herald, People Magazine, Whole Living, GOOD, and are currently sold internationally including Hong Kong, Milan, London, & Australia.

Tippens creates sustainably made products which fulfill our most basic needs. These transformative products form an emotional connection between those that use them and the most pressing social and environmental needs of our day.

BOARD OF DIRECTORS

Jon Atkinson, TreasurerFinancials Guru

Works with emerging businesses to find capital.

Candy Chang, TED Global Senior FellowArtist, Designer

Believes that our public spaces are as profound as allowed to be

Andrea Chen, Benefit DirectorExecutive Director Propeller

Force for Social Innovation, expertise in business & education

Gerard Cox, Serial Entrpreneur,Impact Investment Advisor

Founder Secondline, VC firm for benefit & impact investment & business growth consultant.

James Reeves, Community Based Designer,Writer, Educator

Designer and artist whose work is based in making cities more comfortable.

Robbie Vitrano, Serial Entrepreneur,Social Innovator

Co-Founder Naked Pizza & Trumpet, Entrepreneur in Residence at Idea Village

FINANCIAL PROJECTIONSThese conservative sales forecasts are based on the assumption

that betterbag receives $50,000 of seed funding before June 1, 2013. betterbag has been funded by profits of Matter, Inc up to this point.

2013 2014 2015Sales

Online SubscriptionsOnline SubscriptionsStandard 27000 $135,000 122500 $612,500 540245 $2,701,225Full 18000 $270,000 62200 $933,000 320250 $4,803,750

Direct Kiosk 21000 $63,000 85000 $255,000 420780 $1,262,340

Total Sales 66000 $468,000 269700 $1,800,500 1281275 $8,767,315

Customers Online SubscriptionsOnline SubscriptionsStandard 12150 122500 540245Full 6000 62200 320250

Direct Kiosk 22 90 250

Costs of Good SoldCosts of Good Sold

Kiosks 50 $175,000 250 $875,000 300 $1,050,000Bags 50000 $12,500 300000 $75,000 1500000 $375,000Shipping

$187,500 $950,000 $1,425,000

Gross Margin $280,500 $850,500 $7,342,315

Operating CostsOperating Costs $149,750.00 $149,750.00 $149,750.00

EBDITA $130,750.00 $700,750.00 $7,192,565.00

Donation $2,805.00 $8,505 $73,423.15

Net Income $127,945.00 $692,245.00 $7,119,141.85

The margins will improve greatly if we can have corporate sponsors (ideally those furthering green technologies) to aid in kiosk purchase and installation.

BETTERBAGS ARE SOURCED IN THE U.S. OF TYVEKAND IT IS THIS PRODUCT’S MISSION TO:

- INCREASE THE % OF POST CONSUMER HDPE FOR PRODUCTION-INCREASE BIOPLASTICS USE & REDUCE PETROLEUM BASED PLASTICS USE

- ELIMINATE THE THROW AWAY MENTALITY FOR SHOPPING BAGS- DONATE ONE% OF PROCEEDS TO RECLAMATION OF PLASTICS IN THE ENVIRONMENT

AND DEVELOPMENT OF PLASTIC ALTERNATIVES

SUSTAINABILITYMATTER INC. IS A TRIPLE BOTTOM LINE BUSINESS

DEDICATED TO SOCIAL CHANGE FOR PEOPLE, PLANET, & PROFITS.

SUSTAINABILITY IS INHERENT IN ALL ASPECTS OF OUR BUSINESS:FROM MATERIALS & SOURCING, ETHICS, EFFICIENCY IN PROCESSES,

RECYCLING, AND FAIR WAGES TO GOOD PARTNERSHIPS. WE CARRY THIS THROUGH TO OUR BUSINESS CARDS AND THE PEOPLE THAT WE BANK WITH.

OUR MISSION IS TO CREATE SUSTAINABLE SOLUTIONS FOR THE MOST BASICASPECTS OF EVERYDAY LIFE AND TO HELP ENVIRONMENTAL & SOCIAL CAUSES CONCURRENTLY.

CURRENTSBETTERBAG IS CURRENTLY IN PROTOTYPING STATUS, SEEKING INVESTMENT FOR STANDUP & LAUNCH

KEY ACCOMPLISHMENTS:

- MATTER INC.’S FOUNDER, TIPPY TIPPENS WILL BE PART OF THE GOOD 100, TO BE RELEASED IN LATE MARCH, 2013

-MATTER’S FIRST PRODUCT, BIRDPROJECT SOAPS HAS DONATED 20K TO DATE IN ENVIRONMENTALCLEANUP AND CARE FOR OILED ANIMALS POST BP SPILL

-OUR PRODUCTS HAVE BEEN FEATURED IN WHOLE LIVING, PEOPLE, & GOOD MAGAZINES, THE HUFFINGTON POST, NEW ZEALAND HERALD, SPRINGWISE, PSFK, ECOUTERRE, TREEHUGGER, COASTAL LIVING, & AMERICAN CRAFT.

- OUR PRODUCTS ARE SOLD LOCALLY, NATIONALLY, & INTERNATIONALLY, INCLUDING: MILANO, HONG KONG, LONDON, & AUSTRALIA

TIMELINE:

- SPRING PRODUCT LAUNCH FOR MATTER INC. (3 NEW PRODUCTS)- IMMEDIATE: FUNDRAISING, PRODUCT RESEARCH & PARTNERSHIP DEVELOPMENT

- JUNE 1 PILOT LAUNCH

IF WINNER OF $50,000 FIRST PRIZE:

- PRODUCT LINE STANDUP- PRODUCT DEVELOPMENT

- PREFAB KIOSK PARTNERSHIPS