• The “Daily Deal” is now a proven customer acquisition model rooted in discovery of new local experiences. First wave of a local commerce revolution.

• Second wave is rolling, with major players adding algorithms and mobile apps that connect users and merchants based on proximity, combination of individual preferences and real-time location data.

• Third wave will focus on relationships. Long-term winners will expand their offering to manage a full engagement model between consumers and merchants, and in the process transform local commerce.

2

Changes in technology, buying behavior and social networking combined to create a profound opportunity to transform local commerce.  

Founded, Boston May 2009

BuywithMe Corporate Overview

Investors

185+ employees

Goal

1.2MN + Members

Founded 2009

Boston and New YorkLocations

to enable local merchants and high value consumers to discover each other, engage with each other and commercially transact with each other 

PhoenixSan DiegoSan FranciscoSeattle Wash D.C.

Active MSAs AtlantaAustinBostonChicagoDallas

HoustonLos AngelesMiamiNew YorkPhiladelphia

The premier social commerce platform

Use promo code “gravity” to try us out with 20% off any purchase!

All Merchants Have A Common Problem

(Online Advertising)

(Local Newspaper)

(Yellow Pages)

(Television)(Radio)

Upfront Costs Un-MeasurableContinuous Investment

My business needs new customers!

My business needs repeat customers!

The Market – “Daily Deals” defined

The “Daily Deal” platform is a solution, connecting merchants with local customers.

•Consumers use the platform to discover new businesses, get deep discounts, and share them with their friends and colleaugues.

•Businesses use the platforms to acquire new consumers on a performance basis.

•Daily deal is an online CPA based marketing campaign for a local business.

The Market - History

Note: Yelp and Facebook have announced they intend to cease deals services soon.

7

Total Number of Players In Space

The Market – Industry Structure

Daily Deal Sites

Merchant Services

SOON…Merchant Agencies

Consumer Services Aggregators

White Label Publishers

Vertical Deal Sites

Data

Exchanges

* From Yipit presentation

BuyWithMe – Merchant Centric Daily Deals

National Footprint / Local Focus / Merchant Centric

2 STRUCTURE PROMOTION: Build a compelling promotion with the merchant that works for the merchant

3 SIGN-OFF ON CREATIVE MATERIALS: Collaborate on the brand-enhancing marketing material we design with the merchant

4 CREATE A SPOTLIGHT: Our local commerce platform creates a wave of demand that drives customers to the merchant

5 MEASURE: Our platform monitors promotions purchased, customer visits, and redemptions

1 THE PITCH : Understand the merchant’s demand generation needs

BuyWithMe – Merchant Centric Daily Deals

A Complex Platform Disguised as a Simple Deal

ConsumersEmail

Web

Mobile

Social

Group

Social

BuyWithThree generates viral buzz for our partners’ businesses because we

incentive our customers to spread the word about our promotion.

BuyWithThree

Customers use Facebook, Twitter, and email to spread the word after they purchase your promotion.

BuyWithThree creates authentic and viral messaging on social networks about your business.

BuyWithThree

Actual BuyWithThree Buzz on Twitter and Facebook

BuyWithThree

Sample Partner Results

4,241

$106,025Vouchers sold

Sales

14,734$114,591

Vouchers sold

Sales

14,665$366,625

Vouchers sold

Sales

•43% of our buyers have gifted a voucher

•51% of our buyers recommend merchants to others after redemption

•36% of our buyers write merchant review on a site such as Yelp or CitySearch

•90% of buyers are new to the merchant or product

•88% of our travel buyers were not planning on visiting the hotel, destination or property before they saw our promotion.

•33% of buyers will return and make a full-priced purchase, and average 2.9 return visits

•75% of those who return do so within 1 month

•A full 87% of buyers will spend more than the value of the voucher, average 32% upsell

Buyer Behavior Statistics (from surveys)

LTV of our merchants directly correlates with LTV of the consumers we deliver to them.

• only works for us when it works for our customer• only works for our customer when it works for their customers• real race is not race to scale… it’s the race to value

Our Philosophy – Create Value

BuyWithMe - Next-Generation Online Local Commerce Platform

Restaurants

Clothing/Accessories

Health/Personal Care

Auto RelatedTravel/LeisureHome/Furniture

MerchantsConsumers

How do I Generate New Customers – Daily Deal

How do I Retain Customers – Rewards / Loyalty

Merging Demand Generation and Ongoing Engagement

Ongoing Engagement

Demand Generation

merchant merchantTransparent

Actionable

• Measure daily deal ROI• Customized offerings • Identify trends • Filter out the “wrong”

customers

• Always-on engagement • No voucher / No training• Married to mobile• Drives repeat customers• Flexibility

The Benefits of Our Engagement Platform

BuyWitMe

Case Study: The Oak Room (Boston)

Merchant: Oak RoomMarket: BostonCategory: Exclusive Dining Experience

Understandings•Off the menu pre-fixe dinners both delivers an exclusive experience for our users and better protects the merchant’s brand value. •We can price the pre-fixe at a premium which maximizes revenue

The Deal•$89 for a 3-course tasting menu for two at the Oak Room

Results•SOLD OUT! •After the promotion we immediately began crafting a new exclusive promotion with the Oak Room

SOLD OUT!1,000 Sold!SOLD OUT!1,000 Sold!

$86,700 Gross$20,500 Net

$86,700 Gross$20,500 Net

Client Renewed

Immediately

Client Renewed

Immediately

Case Study: Amethyst Body Wraps (Dallas)

Merchant: Amethyst Body WrapsMarket: DallasCategory: Body Wraps

Understandings•Body wraps have niche appeal•Packing multiple quantities into one package and offering at a better value drives upsell•We want to get our users to purchase a higher price point package with a better value proposition. This presents more savings for the consumer, guaranteed repeat visits for the merchant, and more revenue for BWM

The Deal•1 body wrap for $39•3 body wraps for $85 ($28 each)

Results•The higher priced 3 wraps package outsold the 1 wrap package 2:1•Asked to rate our services, Amethyst gave perfect scores and are excited to partner with us again

66 Sold!66 Sold! $4,700 Gross$2,500 Net

$4,700 Gross$2,500 Net

4x Average Net Revenue!

4x Average Net Revenue!

Case Study: Boston Red Sox (Boston)

Merchant: Boston Red SoxMarket: BostonCategory: Exclusive Tickets Package

Understandings•Users are looking for unique, exclusive content and willing to pay a premium•Margins on tickets and experiences are high so we can package and promote them well•MLB requires approvals at the League and team levels we had to secure

The Deal•$300 for ticket + meet & greet with a player + private lunch + exclusive batting practice viewing + gift bag•Shown only to our most relevant Boston members and hidden from rest after our Email team segmented the list

Results•SOLD OUT! Added a waiting list•40% email open rates and big buzz•Asked to rate our services, the Red Sox gave perfect scores and said “WOW…. [we are] particularly pleased with the ability to filter the customer databases to send a more targeted campaign”

SOLD OUT!SOLD OUT! $15,600 Gross$4,160 Net

$15,600 Gross$4,160 Net

Win for SoxWin for UsersWin for BWM

Win for SoxWin for UsersWin for BWM

The PromotionBishop Farm Bed & Breakfast and Cottages • $99 gets you a one-night stay, bottle of wine,

and breakfast for two at ($209 value)

The Results• SOLD OUT! Only had 200 to sell and they were

all sold within 1.5 days

Partner Testimonial• Heather Salter, Innkeeper of Bishop Farm says,

“I was ecstatic about the response I got from the Spring travel sale with BuyWithMe (buywithme.com) out of Boston. We received over 5,000 visits to our website, and a check for $18,000 before anyone even came to the B&B, and we garnered many new TripAdvisor reviews from our guests. You just can’t put a price tag on the amount of marketing we got out of this promotion.”

Immediate Bookings

Immediate Bookings

Huge Exposure to New

Customers

Huge Exposure to New

Customers

Invaluable Social Media

Impact

Invaluable Social Media

Impact

Case Study: Bishop Farm Bed & Breakfast