san diego futures foundation presenting the diversecity tech program for young entrepreneurs october...
TRANSCRIPT
San Diego Futures Foundation
Presenting the DiverseCity Tech Program for Young Entrepreneurs
October 2010
BACKGROUND
• DiverseCity Tech– Young entrepreneurs ages 18 - 24– Passionate about the web business
and video production– Offering web development and– Video services to…
• Nonprofits• Small, disadvantaged businesses
“Our mission is to improve the prosperity of small, disadvantaged businesses and nonprofits through low-cost, high quality web solutions.”
OUR MARKET• 56% of small businesses do not
have a website• 39% of searchers report not
being able to find a known business
• In low-income communities it’s worse– 90% don’t have a website– 65% online directory – 25% no web presence at all
• Highly unmanaged
LOCAL SEARCH AND SMALL BUSINESS
• Local search is growing…– Mobile– Social– Local directories– Internet Yellow Pages– Search engines
• Local 20% of Google search• Mobile 14% annual growth• 37% percent visit the store• Most effective combines
traditional, mobile, directories, search, and social
TMP Comscore, September 2010
Bigger than search engines
OUR MARKET• Why?
– Don’t know why I need one– Too expensive– Don’t know where too start– Too complicated
• Solution– Better marketing and
education– Local, trustworthy vendor– Better mix of low-cost
products and services...?
PRODUCT• Local directories are used
more than search engines for local search
• A trustworthy, local vendor is a good place to start and should not be complicated
• How do we differentiate?– Consumers like video– 35 billion videos watched
per month– DTechs offer video…
DIRECTORIES 35%
SEARCH ENGINES 33%
PRODUCT
• toplocalspot.com– Video-enhanced local directory– Low-cost “website” for small
business– Coupons and special offers– $0 - $500 annual subscriptions
• Trusted local vendor• Good community partner• Not complicated
SERVICES
• Low-cost web development• Video production• Managed presence• Social account management• Marketing• Search optimization• Reporting
MARKETING
• Develop relationships with Business Improvement Districts
• Small business leaders• Conduct workshops,
seminars and training• Direct/door-to-door• Yellow Pages
COMPETITION
• Traditional web developers• Do-it-yourself websites and directories• Small dev shops/consultants– Too expensive– Too complicated– Don’t know where to start– Don’t know why I need it!
STRATEGY FOR SUCCESS
• Passionate people• Experienced management• Quality service• Community trust
2010 FINANCIALS
• $115,000 income– $40K earned• 85% from nonprofits
– $75K grants
• 20% growth over 2009• Current monthly “burn” ~$8-10K/mo.
WHAT DO WE NEED?
• Help with marketing to small businesses
• Top Local Spot– Development – Marketing– Scale??
• Equipment
MILESTONES
• Two key measures of success– Earned Income• $100K annual• Covers all operating expenses• Sustainable
– Small business adoption• 100 small business customers• ~$500 each• Scalable
ORGANIZATION• San Diego Futures Foundation
– Technology solutions provider– $1.8 million annual revenue– 20+ employees
• Jeff Hancock– Chief Operating Officer– 20+ years technology– Value-added reseller/dealer channel
• Now Hiring!– Advanced WEB/SEO/SMM Program
Manager• Stakeholders
– ZeroDivide– Gary and Mary West Foundation
Tech on SDFF’s Board
SUMMARY
• The message is not complicated– Local search is HUGE – No one has figured out how
to serve the market– DiverseCity Tech offers low-
cost, effective solutions– We’re in the community– We speak the language of
small business