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Empowering a global audience to instantly connect and share through video self expression INVESTOR PRESENTATION SEPTEMBER 2014
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Empowering a global audience to instantly connect and share ...

Jan 27, 2023

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Page 1: Empowering a global audience to instantly connect and share ...

Empowering a global audience to instantly connect and share through video self expression

INVESTOR PRESENTATION SEPTEMBER 2014

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KEEK IS A GLOBAL LEADER IN SOCIAL VIDEO CONTENT

01

• Social mobile video sharing network in a market projected for exponential growth

• Exclusive 36-second video format

• 69 million registered users

• Available in 190 countries, in 6 regions, and in 36 languages

• Available on all major platformsiPhone (iOS), Android, Windows 8, Web

What is Keek?

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ASSEMBLED A BEST IN CLASS MANAGEMENT TEAM

02

Lin DaiChief Marketing Officer

Jamie KingChief Product Officer

Jonathan DillonVP Business Development, China

Iain WilsonVP Business Development, EU

Bill BlummerSVP Monetization

Pei HuangDirector of Analytics

Dimi PaunChief Technology Officer

Corporate History

Alex CameronChief Executive Officer

Joined Keek as CEO on April 23rd 2014

and assembled a team to inject new life into Keek with the vision to build a billion dollar company.

The team has a strong focus on

• Product Improvement

• Implementing Monetization

• Increasing Brand Recognition (through marketing, organic content growth / syndication, and partnerships)

Previous co-founders created a product that:

• Was first-to-market in the video space

• Grew with a strong base user population

• Had solid technological infrastructure (currently only

running at 25% capacity with 10B pageviews YTD in 2014)

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Video-sharing app Keek is ready for prime time.

03

What’s Happening?

With new lease on life, Keekbuilds executive teamThe mobile video social network […] has recently made a number of high-level hires and is expanding rapidly into the U.S. and Europe.

Keek Partners as Official Video App of iHeartRadio Music Festival Village

Keek Named Official App of the JanoskiansWorld Tour

TEEN CHOICE 2014 Partners with Keek to Find the Next Generation of On-Air Talent

Keek Initiates Revenue Path With StarcomMediaVest Partnering for First Social Video Campaign With Innovative Telco Company Saudi Telecom

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04

Forward Strategy

Develop, define,

unique selling

position – reason

for being “Best

Use”

Roadmap, live up

to position, make

it monetizable

Superior talent to support and

execute all pieces of strategy

Superior analytics

POSITION

PRODUCTPROCESS

PEOPLE

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ONLINE VIDEO’S FUTURE IS NOW…

05

• 89 million people in the United States are going to watch 1.2 billion online videos today.

• By 2017 2 billion users worldwide, or 81% of all internet users will use online video services

• Mobile data traffic will grow by over 300% in the next 3 years

The Online Video Market

AND ADVERTISERS HAVE ALREADY TAKEN NOTICE

• Online video production will account for more than one-third of all online advertising spending within the next five years

• The worldwide revenues from online video advertising is estimated to reach $11.4 Billion by 2016 from $8.3 Billion in 2014

• Video ads accounted for 35.6% of all videos viewed

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VIDEO NETWORK & MEDIA MARKETS

06

Micro-Form Content Long-Form Content

Short-Form Content

VineShort form, 6-sec videos. Acquired by Twitter pre-launch for reported $30 million.

InstagramShort form, 15-sec videos, extension of photo sharing.Acquired by Facebook for $1 billion.

SnapchatSelf-destructing short photo/video messaging service. Reported $10 billion valuation.

Maker StudiosLong form, rich content. Acquired by Disney for $500 million

AwesomenessTVLong form, niche content for tweens. Acquired by Dreamworks for $33 million (with up to $117 million for performance bonuses)

TwitchTVLong form, niche content for gamers. Acquired by Amazon for $970 million

YouTubeLong form platform and producer. Acquired by Google for $1.65 billion

Keek

• 36-second video network• More focused market position rollout• Unique “Keekback” video-response

value proposition

Market & Positioning

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Product Positioning

We are the “peek moments” which is what “Keek” actually means. You will see Keek peeks taking off in the USA.

We’re not a quick glimpse, we’re not a 5 minute episode, we’re a peek.

We’d rather be in the locker room than on the field, we’d rather be backstage than front row, we’d rather capture unique cultural perspectives or have more intimate moments into the lives of characters and personalities that interest our audience.

07

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08

The 36 Second Advantage

153 Seconds

115 Seconds

61 Seconds

21 Seconds

0 25 50 75 100 125 150 175 200

Poor

Completion

Average

Completion

Good

Completion

Best

Completion

Videos Watched to Completion (Facebook Platform)

36 seconds has consistently been found to be within the range of the best engagement with end-users in both on-platform and ad-optimization studies.

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09

22,656,218 Views@Jai_BrooksComedian, Prankster – The JanoskiansKeek is an exclusive sponsor of their The Janoskians world tour. They are currently also filming a movie with Lionsgate

Meet Some of Our Influencers

2,394,461 Views@AlexAllTimeLowLead Singer Guitarist, KeyboardBand member of “All Time Low”

9,875,970 Views@McKaylaMaroneyOlympic Gymnast, Actress

11,796,458 Views@JoshDevineDrums

DrummerOne Direction – multiple MTV VMA,

Teen Choice Award, and American Music Award winners

94,288,356 Views@5SecondsofSummer

Band AccountHottest New Emerging Boy Band

13,422,348 Views@KeeganAllen

ActorTelevision show “Pretty Little Liars”

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10And Some of Their Content Several brands and celebrities also jumped on board to use Keek as their video platform for the #ALSIceBucketChallenge

CONTENT DRIVES USER ENGAGEMENT, VIDEO VIEWS, MONETIZATION, & USER ACQUISITION

• Farrah Abraham, originally from the show Teen Mom, used Keek to call out the press on her porn video that came out. She took a stand and people noticed!

• Zoella, shows off her off-camera dance moves.

• Jai brooks from the Janoskians called out ArianaGrande telling her why they should date, she saw the keek and they ended up dating for a year!! When articles talk about how they met online this is how they met.

• Demi Lovato, is showing her down side. She is human and does love to relax from time to time.

• Keegan Allen, and the team from “Pretty Little Liars” get in on a viral Harlem Shake video.

Including:• Tim Leiweke (Maple Leafs

Sports and Entertainment)• Keegan Allen Pretty Little Liars• 5 Seconds of Summer• ET Canada• One Direction• Z.1035 Radio Team

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6.3 MinutesAverage Session TimeVery Healthy

11,058,786Unique VisitorsAug 2014

69 MillionRegistered UsersTotal

1.7 BillionVideo Views Year to Date

High Level Highlights

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Keek has had over 10 billion pageviews (YTD) in 2014

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54%32%

10% 4%

1%

30 Secs (54%) 90 Secs (32%) 10 Secs (10%)

2 Mins (4%) 15 Secs (1%)

Percentage ofAd Units by Time

Keek’s video clip length is the best suited to match native video ad-buys…

Introducing Monetization

Keek has a number of different ad-units which will be available to advertisers at launch:

• Native Video Advertising

• Mobile Banner Advertising

• Homepage Takeovers & Microsites

Keek will also be implementing different types of in-app purchases such as:

• Promoted Keeks• Affiliate purchases

(such as Music, Games)

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Monetization & Demographics

39.96% of ad-watchers sampled were between the ages of 15-34 years of age

23%

37%

24%

9%7%

13-17 (23%) 18-24 (37%) 25-34 (24%)

35-44 (9%) 45+ (7%)

Age BreakdownDemographics

• Partnering with Google DFP for Web-based ad inventory

• Partnering with Twitter MoPub for app-based ad inventory

• Also partnering with Twitter MoPub to power our first-to-market 36-second native ad-units in-app.

55% 45%

Gender Demographics

United States

33% 67%

Gender Demographics

Global

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Monetization & Revenue Sharing

Revenue share agreements will drive more content toward the platform, while also keeping current users engaged and loyal to Keek as a platform.

(Platform - Competitive)

(Platform - 45%)

(Platform - 50%)

(MCN)

(MCN)*MCNs are organizations that assist artists in creating and distributing original content for other platforms in exchange for a percentage of their earned ad revenue.

(Platforms – 0%)

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One of the advantages of our revenue share strategy is that it’s non-exclusive.

Artists can create and monetize long-form content on other platforms, while supplementing their short-form content monetization through Keek.

16

Content Strategy

Fashion / Beauty

Sports MusicComedy

Michelle Phan

Best video55M views

Mister Epic Mann

Best video105M views

Dude Perfect

Best video13M views

Megan Nicole

Best video47M views

Professional Video Creators…

* Example of Social Media Type Influencers Keek is Targeting

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• Keek has done exceedingly well in global markets in-part due to its cross platform development.

• There are currently +6.9 million Android installs in the Middle East.

• Keek is available in 190 countries, in 6 regions, and in 36 languages.

• Revenue share agreements with “influencers and products”

17\Global Markets LUMIN

Public Relations and Strategic Partnerships – Middle East

Creating innovative public relations campaigns that increase brand awareness through quality media coverage, strategic partnerships, top tier events, VIP gifting and social media, with a focus on Middle East society. Clients include Corona, Stella Artois, Peroni, and Lacoste.

RECENT HIRE – JONATHAN DILLON

Keek VP of Business Development, ChinaSpecialist at working with companies in-and-around the China market. Former Head of International at Baidu, responsible for worldwide M&A and strategic partnerships. Previously the VP of Corporate Development at Yahoo!, where he was responsible for global M&A efforts (including the Alibaba and 3721 investments in China).

25%Asia & Oceana

12%Middle East

19%Europe

18%NorthAmerica

RECENT HIRE - IAIN WILSON

Keek VP of Business Development, EuropeMore than 15 years of business development in multiple markets. Formerly the Director of International Partnerships at YuMe, Country Manager at eBay UK, and the Director of Business Development at Yahoo! in the UK.

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Exclusive Meet & Keek Opportunity on the red carpet. Audition entries exclusively via Keek, and winners selected via Keek.

During the Sunday of the show, Keek saw a usage increase* of:• 299% in sessions• 198% in unique visitors• And a 33 & 27% increase in time

spent on the web and mobile apps respectively

*In comparison to the consecutive 4 Sundays prior.

18

Partnerships & Business Development

HOT 97’s Summer Jam featuring Keek as the official video app at the world’s biggest hip hop festival at MetLife Stadium

Featured as the exclusive video app of the social media driven music request show Saturday NIGHT ONLINE “AskAnything”. Exclusive 36 Second Interviews with artists like Demi Lovato, Neon Trees and Britney Spears. Artists answered listener submitted question via Keek

Our Agency of Record, hottest boutique agency serving NBC, GE and Cole Haan -known for their work with Flipboard and Shazam.

Week long summit and institution for leading brands, media agencies, creative agencies, social media companies, traditional media companies. Keek will have significant visibility.

UX Design Team helping us to speed up our product roadmap work with a goal of Keek 3.0 Launch in 120 days – Award Winning Design Firm

EXTENSIONS OF THE KEEK TEAM

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BrandingOverall branding update and

refresh to strive towards a

more focused position

AmplificationImprovements to the ease of being

able to share a Keek over all

available social networks through

the use of embedded players,

Twitter cards, and native

Facebook posting. As well as

driving 3rd-party integrations

through our API.

Search & DiscoveryEnhanced content search and

discovery experience with a

recommendation engine and

user relevance targeting

CurationImprovements to the speed in

which a user can search for the

content they’re looking for.

Also, improvements to how we

curate and display popular content

for users to discover

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Product Enhancement Roadmap

UsabilityImprovements to the overall

ease of use of the application,

as well as speed

improvements for quicker

viewing and creation times.

L+R’s UX Design Team (award winning firm of Apple’s “App Store Best of 2013” for Cameo) is consulting with us to lend their expertise to the newest release of our Keek 3.0 product.

*Screenshots of new Windows 8 design

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Early Iterative Improvements

Our restructured product team has already made significant gains in product improvement. One example is the change to remove a “Sign Up” flow from the Now Playing pages. Initial testing has shown a significant decrease in bounce rates on these pages.

0.00 25.00 50.00 75.00 100.00

July 26-29

Improvement

July 22-25

43.74%Improvement

15.46%

59.20%

*Screenshots of page that was updated

Bounce Rate (Lower is Better)

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ALEX CAMERONChief Executive OfficerAlex Cameron has won numerous awards for her management skill set over a media career that spans two decades across radio, television, print and digital. She brings extensive experience in product development, sales management, and operations with a specialty in monetization, growing revenue, beating market performance, establishing new revenue streams and modeling around content. Alex is the former SVP, GM for globally recognized HOT 97 the iconic hip hop brand with one of the largest worldwide digital audiences known to radio. She was listed on Radio Ink’s 2013 “Best Managers in America” She is credited with inking the deal that brought HOT 97 into living rooms across America with “This is HOT 97” the innovative TV series that aired on VH1, as well as developing the revenue sponsorship model for Summer Jam, the world’s biggest hip hop music festival. She was also previously recruited by Clear Channel to develop new revenue through integrated brand programs with its asset portfolio as Director of Market Development in New York.

Executive Team

LIN DAIChief Marketing OfficerPrior to joining Keek, Lin was VP of Digital Programming & Entertainment at Emmis NY/HOT97, where he launched major programs such as Boost Mobile Summer Jam and Rock The Bells Festival live streams, the largest live streaming Hip Hop events in history, and VH1’s critically acclaimed comedy TV series "This Is Hot97”. Previously as SVP, Programming and Development for Alloy Media + Marketing, Lin was responsible for marketing, social media and digital development for Alloy’s entertainment properties, including Gossip Girl, Vampire Diaries, Pretty Little Liars and more. Lin also established the Alloy Digital Network, the largest digital advertising network for teens and young adults, reaching over 100 million viewers monthly. In 1999, Lin founded Kiwibox.com, the first social networki and online magazine for teens, and successfully took the company public. Lin graduated Summa Cum Laude from Tepper School of Business at Carnegie Mellon University, followed by a one-year tenure as the youngest adjunct professor at CMU, developing and teaching the first ever credited courses on Web Publishing for its School of Business.

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BILL BLUMMERSVP Monetization and Sales Solutions KeekBill has held Digital Media Sales leadership positions at some of the most successful media companies and cutting edge adtech startups that have changed the face of media and content delivery. Prior to Keek, Bill was Vice President for Demand Media in NYC. Bill also led Sales in NY for AOL Video and has worked in Sales leadership positions with CBS and Exponential. Bill is an early pioneer of digital media; while in Silicon Valley; was VP of Sales of the startup @Home that became Excite@Home, the first consumer broadband media Network. Bill has deep knowledge of the digital media landscape and has high level contacts at both clients and agencies nationwide and globally.

JAIME KINGChief Product OfficerJamie King was an original co-founder of RockstarGames, where he served as their VP of Development for ten years. During his tenure at Rockstar, he directly contributed to developing and launching billion dollar game franchises including the Grand Theft Auto Series. After Rockstar, Jamie raised venture capital, creating original content and licensed properties for Def Jam and NBC Universal before transitioning into the mobile space.

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DIMI PAUNChief Technology OfficerDimi Paun founded Zipalong, a social travel platform. Prior to Zipalong, he provided technical leadership in building a world-wide mail tracking system, still used today by the International Postal Corporation in nearly 90 countries. Under his leadership, GM launched GMBuyPower.com, the largest Java site in existence at the time. In the mobile space, Dimi founded Radiobin and Flex where he led the product and development teams. He was involved in business development and raising venture capital, including from Google Ventures and KPCB.

ROGER RAIVice President Business DevelopmentRoger was the Director of Development at C.O.R.E. Feature Animation who produced the children animation movie called “The Wild.” Previously Roger was the founder and VP, Business Development of Fastvibe Inc., a web casting company that provides rapid transmission of client content worldwide via the internet. Roger also held various managerial positions at Rogers Cablesystems and Rogers Wireless, Canada's largest Communications company.

Roger currently is an advisor to Chobani, Inc., a retail food services company, and is the founder and on the board of the ONEXONE foundation, a charitable organization focussed on global child welfare.

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Matt SchecknerMatt Scheckner is President & CEO of AdWeek which is owned by Stillwell Partners, a New York-based boutique consultancy. Among Stillwell’s clients are the Apollo Theater; Clear Channel; Electronic Arts, the Kennedy Center Mark Twain Prize for American Humor; The Huffington Post; the Library of Congress Gershwin Prize for Popular Song; Panasonic and the Tribeca Film Festival. In addition, Scheckner serves as Executive Director of Advertising Week, the largest annual gathering of advertising, marketing & media decision-makers in North America, a position he has held since 2003. Scheckner is responsible for day-to-day management including strategic development and execution of all aspects of The Week.

New Board Director

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25Summary & Investment Highlights

• Social video sharing network in a growing market

• Exclusive 36-second video format• 69 million registered users• Available in 190 countries, in 6 regions,

and in 36 languages• Available on all major platforms

iPhone (iOS), Android, Windows 8, Web• Strong technological infrastructure

• Initiated first phase of monetization with a first advertiser

• Implementing a revenue-share program to attract and retain more exclusive content to the platform

• Enhancing the application with new design, branding, and user experience improvements

• Focused market position of “the peek” which gives our product context and purpose

Market Cap:(May 31, 2014)

C$45 Million Approx.

Shares Outstanding:(May 31, 2014)

342.88 million

Average Trading Volume:1.2 million

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Limitations of Key Metrics & Other Data

This presentation contains estimates and information concerning our industry, including market size and growth rates of the markets in which we participate, that are based on industry publications andreports. This information involves a number of assumptions and limitations, and you are cautioned not to give undue weight to these estimates. Keek has not independently verified the accuracy orcompleteness of the data contained in these industry publications and reports.

The industry in which Keek operates is subject to a high degree of uncertainty and risk due to variety of factors. These and other factors could cause results to differ materially from those expressed in thesepublications and reports.

Keek reviews a number of metrics, including registered users, unique visitors, page views per visit, interactions per keek, keekviews, and total keeks, to evaluate its business, measure its performance,identify trends affecting its business, formulate business plans and make strategic decisions.

Keek is a 36 second format video social network and as such, Keek management believe that articulating Unique Visitors (“UVs”), Average Session Time (“AST”), Video Views (“Keekviews”) and page views pervisit as the best measurements to reflect and disclose activity on the platform. The clear definitions of key metrics are as follows:

Unique Visitors – The number of visitors on Unique Devices or Unique Web Browsers who visited the Keek platform in a given time period.Unique Device – A mobile device with a unique ID, distinguishable from all other mobile devices.Unique Web Browser - A web browser operating on a computer with a unique fingerprint, distinguishable from all other browsers.

The numbers of user registrations, interactions per keek, Keekviews (or video views), and total keeks presented in this presentation are based on internal company data, whereas UVs, page views per visit,and AST are based on both internal company data and Google Analytics. While these numbers are based on what Keek believes to be reasonable estimates for the applicable period of measurement, thereare inherent challenges in measuring usage and user engagement across Keek’s large user base around the world.

For example, there are a number of false or spam accounts in existence on Keek’s platform. Keek currently estimates that false or spam accounts represent less than 5% of the metrics. However, thisestimate is based on an internal review of a sample of accounts and Keek applies significant judgment in making this determination. As such, Keek’s estimation of false or spam accounts may not accuratelyrepresent the actual number of such accounts, and the actual number of false or spam accounts could be higher than Keek has currently estimated. Keek is continually seeking to improve its ability toestimate the total number of spam accounts and eliminate them from the calculation of its UV's.

Keek treats multiple accounts held by a single person or organization as multiple users for purposes of calculating its unique visitors because Keek permits people and organizations to have more than oneaccount. Additionally, some accounts used by organizations are used by many people within the organization. As such, the calculations of Keek’s UVs may not accurately reflect the actual number of peopleor organizations using its platform.

In addition, Keek’s data regarding user geographic location for purposes of reporting the geographic location of its user is based on the IP address associated with the account when a user initially registeredthe account on Keek. The IP address may not always accurately reflect a user’s actual location at the time of user engagement on Keek’s platform.

UVs are a measure of the size of the active and potentially monetizable user base. The standard presentation period for the disclosure of UVs is monthly figures, corresponding to the calendar months ofthe year. Keek utilizes Google Analytics to record and report monthly UVs and controls the quality of these reports by directly comparing this third party data to Keek’s internal systems and log data. WhenKeek detects material discrepancies in the data reported by Google Analytics, the internal log data is contrasted and supplemented into the Google Analytics reports to explain significant variances until suchvariances are reduced to an immaterial level. Qualitative and reasonableness assessments are also performed to ensure the quality of the reports.

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175 Varick Street 2nd FLNew York, NY 10014

1 Eglinton Ave East, Suite 300Toronto, Ontario M4P 3A1

O: 416-639-KEEKE: [email protected]

THANK YOU!