nzs hidden metric, some pattern matching

WHERE KIWI BUSINESSES GROW

OUR IMPACT

5,000+ SMEs

On average their

PROFIT triples every 4 years

GROW

2.5x FASTERTHAN THE AVERAGE NZ BUSINESS

250+ STARTUPS

Created

1,400+

JOBS

Generated over

$808m in

REVENUE

OUR VISION

OUR GOAL

A high performing NZ economy where ideas and businesses

thrive.

By 2020 we will enable a 1,000 businesses of international

quality (BIQs) & broadly a 10% impact on GDP

$20b revenue growth, $3b of which is export related &

$1.5b startup related

25,000 new jobs in New Zealand

OUR MISSIONTo unleash the economic potential of New Zealand through

lifting the capabilities and aspirations of business owners and

entrepreneurs.

$9M yearly run rate

INVESTMENT

Workshops

Learn about business

fundamentals.

Helping Kiwi Businesses Grow

Whether you just got started or been around for 20 years,

we get alongside you and help you grow.

Events

Get to know The

Icehouse and learn about

business basics.

Programmes

Break through the next

phase of business

growth.

BIQ™ BarometerThe Tool Helping Kiwi

Businesses Grow

SEED FUNDING

Investment to kick

start ideas.

ANGEL FUNDING

Investing in startups that are

exploiting global

opportunities.

THREE THINGS TO SHARE WITH YOU

1. The world is disrupting

2. The NZ paradox and our hidden metric

3. Some pattern matching

…with some opportunities from our Icehouse

pipeline weaved through the presentation…

7

These next few slides, credit to

Dave McClure, 500 Start-ups

8

Where are you? Who are you?

OPTIMISTIC PESSIMISTIC

DEFINITIVE

INDEFINITIVE

9

Everything can be explained by

10

Lets try it out

11

Think platforms, networks – not apps

12

3 & 10 year annualized total-shareholder-return premiums of innovative

companies compared with their industry peers

Sources: Most Innovative Companies – BCG bcg.perspectives.com ‘Credit to Dave McClure, 500 Startups’

Annualized TSR

premium (%)

5

0Asia-Pacific

6.9

14.0

Europe

3.1

2.3

Americas

2.9

6.7

Global

4.0

7.5

15

10

Ten-year premium

Three-year premium

Innovation now = $ + value

13

• Financial market crises

• Lean startup movement

• Global distribution platforms

• Payments infrastructure

• Startup ecosystems

What’s changed?

14

• Less capital needed

• More customers via online

• Lots of little bets

Why?

15

Lean, Little, Cockroach StartupBig, Fat Dinosaur Startup

It is a new world which can be super fast

16

Early

Customer

Usage Product

Functional

PrototypeConcept

Scalable

Customer

Acquisition

[about to be]

Profitable

Unit

Economics

Scalable

Profitable

BusinessExit?

Market

Revenue

Alw

ays lo

okin

g f

or

wh

at

flam

es &

th

en

do

ub

lin

g

do

wn

A new norm at the edge of the curve, moving

quickly however - lots of little bets

17

Not just USA - GLOCAL

18

Scaling isn’t optional…

BUT

The odds –

1 in 10,000,

if any

Most have no

idea, that they are

here

This slide is credit to Scott

Nolan, Founders Fund

19

Everyone

is trying

To EAT

or DEFEND

Not surely for the big guys, not for sleepy old

property peeps

20

1. The engineering question - can you create breakthrough

technology instead of incremental improvements?

2. The timing question – is now the right time to start your

particular business?

3. The monopoly question – are you starting with a big share of

a small market?

4. The people question – do you have the right team?

5. The distribution question – do you have a way to just not

create but deliver your product?

6. The durability question – will you market position be

defensible in 10 and 20 years into the future?

7. The secret question – have you identified a unique

opportunity that others don’t see?

… if the rate of change outside

your organisation is greater than the

rate inside your organisation, the end is in sight …

22

New Zealand’s secret metric

23

New Zealand’s secret metric

2318430 48%

25

We have

A great bunch of expats and Kiwi-philes

Emerging technology and new age leaders

Aspirational millennials who don’t want to work for the ‘man’

An emerging group of early stage investors

An emerging global group of believers

26

We don’t have

Senior executives in our big companies who are built to succeed in the world

Board members of our big companies with diverse perspectives & experience

A supply of entrepreneurs who can turn ideas into global companies

A supply of talented executives in fast growing industries like technology

A set of investment bankers who can help build global capital pools

27

Pattern

matching

A PORTFOLIO TOOL

F O R

P R O P

E R T Y

It all starts with…

an idea

a market

a customer

THE PIPES

IT IS ALL ABOUT

32

Then the hard bit starts…

Do it all over again!

DEMOCRATISING

REAL ESTATEDEVELOPMENT

34

Just two things are needed…

Aspiration Competence

LEVERAGING

YOUR LAZY ASSETS

36

the 3 step

aspiration

THE PEEPS

TRACKING

It is

about

change

OF IN-DOORS

THE GOOGLE

40

Who wants a little and safe stone

41

Momentum is incredible

TO CONSTRUCTION

EYE SIGHTBRINGING

43

The book for founders & managers

43

4444

“Everyone thinks of

changing the world, but no

one thinks of changing

himself”

Leo Tolstoy

you

email: a.hamilton@theicehouse.co.nz twitter: @iceandy

Our goal is to lift the

competitiveness of the New Zealand

SME and start-up sector, leading to

a material impact on the economic

performance of the country.

Andy Hamilton CEO, The Icehouse