prepare to join the app millionaires club | martin macmillan

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PREPARE TO JOIN THE APP MILLIONAIRES CLUB CASUAL CONNECT SINGAPORE 2016 MARTIN MACMILLAN, CEO

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Page 1: Prepare to Join the App Millionaires Club | Martin Macmillan

PREPARE TO JOIN THE APP MILLIONAIRES CLUB CASUAL CONNECT SINGAPORE 2016

MARTIN MACMILLAN, CEO

Page 2: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 2

WHO ARE WE?

Pollen VC is a FinTech company which is disrupting

payments in the app economy with a new data driven

lending model

We offer app and game developers access to an

ecosystem of services which enable them to accelerate

growth

We offer a new type of flexible and non-dilutive

financing for developers

Offices in London, SF, Amsterdam and Helsinki

Page 3: Prepare to Join the App Millionaires Club | Martin Macmillan

3

WHAT DO WE DO?

Early access to funds

Funding marketing spend

Unbiased Guidance - Pollen360

We give app developers early access to revenues they’ve earned

from the app stores, so they can rapidly reinvest in the resources

they need to grow their business faster

Prepare to Join the App Millionaires Club

Page 4: Prepare to Join the App Millionaires Club | Martin Macmillan

4

THE OPPORTUNITY: PLATFORMS ONLY PAY OUT REVENUE UP TO 60+ DAYS AFTER YOU’VE EARNED IT.

LAUNCH

You’re earning money from day 1

This is your moneytrapped in the payment system

Platforms release your cash…

Prepare to Join the App Millionaires Club

Page 5: Prepare to Join the App Millionaires Club | Martin Macmillan

THE MILLIONAIRES INDEX

Page 6: Prepare to Join the App Millionaires Club | Martin Macmillan

AUTHORSHIP AND DATE / VERSIONING INFO

Page 7: Prepare to Join the App Millionaires Club | Martin Macmillan

AUTHORSHIP AND DATE / VERSIONING INFO

Page 8: Prepare to Join the App Millionaires Club | Martin Macmillan

AUTHORSHIP AND DATE / VERSIONING INFO

Page 9: Prepare to Join the App Millionaires Club | Martin Macmillan

AUTHORSHIP AND DATE / VERSIONING INFO

Page 10: Prepare to Join the App Millionaires Club | Martin Macmillan

10

Everyone knows the stories about a few apps that go viral

with no promotion.

For the 99.9% of all other apps launched, it’s necessary to

spend to acquire users.

THE REALITY IS THAT YOU NEED TO SUPPORT YOUR APP WITH PAID UA

Prepare to Join the App Millionaires Club

Page 11: Prepare to Join the App Millionaires Club | Martin Macmillan

11

THE USER ACQUISITION CONUNDRUM

$2$1

Prepare to Join the App Millionaires Club

Page 12: Prepare to Join the App Millionaires Club | Martin Macmillan

12

THE USER ACQUISITION CONUNDRUM

50c$1

Prepare to Join the App Millionaires Club

Page 13: Prepare to Join the App Millionaires Club | Martin Macmillan

13

THE USER ACQUISITION CONUNDRUM

Unless you have worked out an ROI positive way to spend money

on paid UA, no amount of VC or external investment will get you

the result you need.

FACT

Prepare to Join the App Millionaires Club

Page 14: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 14

LAUNCH SCALE OPTIMISE

MAJOR CASH FLOW EVENTS

Page 15: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 15

THE IMPACT OF CASH ON UA

• $1.50 LTV [365 day max]

• $1.00 CPI

• 5,000 Installs/Day

Assumptions:

Page 16: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 16

LTV PROFILE

$0.00$0.20$0.40$0.60$0.80$1.00$1.20$1.40$1.60

1 11

21

31

41

51

61

71

81

91

101

111

121

131

141

151

161

171

181

191

201

211

221

231

241

251

261

271

281

291

301

311

321

331

341

351

361

DaysfromLaunch

ExampleLTVCurve

Page 17: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 17

PLATFORM REVENUE PAYMENTSP

aym

ents

$0

$40,000

$80,000

$120,000

$160,000

$200,000

Week After Launch

0 4 8 12 16 20 24 28 32 36 40 44 48 52

Page 18: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 18

NET CASH POSITIONN

et C

ash

Po

sitio

n

-$400,000

-$320,000

-$240,000

-$160,000

-$80,000

$0

$80,000

$160,000

Weeks After Launch

0 4 8 12 16 20 24 28 32 36 40 44 48 52

Net Cash Position

first becomes

Positive

First App Store

payment hits bank

account

Spending $5,000/

day on ads

Page 19: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 19

USING UNPAID REVENUEN

et C

ash

Po

sitio

n

-$400,000

-$320,000

-$240,000

-$160,000

-$80,000

$0

$80,000

$160,000

$240,000

$320,000

$400,000

Weeks After Launch

0 4 8 12 16 20 24 28 32 36 40 44 48 52

Net Position Net Position w Revenue Recycling

Recycling revenue allows you

to stay cash flow positive with a

fraction of the starting budget.

Or leverage up and do much

more UA with the same budget.

Page 20: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 20

HOW TO FINANCE GROWTH

VENTURE FUNDING

Product

Team

Acquisitions

DEBT FUNDING

Marketing/Paid User

Acquisition

Financing projected

cash flow

Page 21: Prepare to Join the App Millionaires Club | Martin Macmillan

21

HOW DO DEVELOPERS BENEFIT?

Do more with your money at an earlier stage

Keep control of your business

Remove ad network credit hassles

Unbiased training to maximise your return on UA

Prepare to Join the App Millionaires Club

Page 22: Prepare to Join the App Millionaires Club | Martin Macmillan

CASE STUDY: PIXONIC

Top 100 Grossing Game on iOS

Founder: Philipp Gladkov

Offices: Berlin, Moscow

Company Size: 55

Backed By: Kite Ventures, TA Associates

Known For: Walking War Robots (iOS + Android)

Prepare to Join the App Millionaires Club

Page 23: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 23

“Working with Pollen made it possible to increase

the revenue of our game Walking War Robots

sixfold and to double the size of our team. I think

that Pollen offers a great opportunity to game

studios that require a boost in development.” -

Philipp Gladkov, CEO, Pixonic

Launch Budget: $100,000

Reinvestment Rate: 40-85% weekly

REINVESTING REVENUE IN GROWTH

• Reinvested revenue 30-67 days earlier

• With an identical cash position, with Pollen Walking

War Robots Revenue to 3x more over 10 months

$0

$8,000

$16,000

$24,000

$32,000

$40,000

1 2 3 4 5 6 7 8 9 10

With Pollen Without Pollen

*indexed figures

Page 24: Prepare to Join the App Millionaires Club | Martin Macmillan

Prepare to Join the App Millionaires Club 2424

Reinvest directly

into advertising

Acquire more users

faster

Draw down earnings

on a daily basis

A NEW WAY…