The Future Of Fantasy Sports Benjamin Lipson CEO / Founder [email protected] m www.sportstradex.co m
The Future Of Fantasy Sports
Benjamin LipsonCEO / Founder
Summary
Fantasy Sports: any competition in which participants select and manage a team of athletes and compete based on the actual statistical performance of those athletesDaily Fantasy Sports: fantasy sports games based on a single day or week of professional sporting events
Salary Cap Games: the predominant daily fantasy sports game format in which participants select their players subject to a predetermined budget
The Problem
Fans desire to engage with their favorite sports team and players
Season long fantasy games require too much commitment and suffer from attrition
Sports betting is illegal
Fantasy Sports gives them that engagement
Daily fantasy contests provide immediate gratification and require less commitment
Real money fantasy sports is legal
Market Size
51.6M
5.2M
= 56.8M (35%)
Market Spending
Daily Fantasy Sports (“DFS”) Driving Overall Growth
$15B Market
Market Growth
Competitive Landscape
All Salary Cap Games$1B+ companies w/
investments from NBA, MLB Disney etc.
legitimacy awareness growth
Competitive Analysis
Fanduel and Draft Kings are building awareness and proving the model
All users play multiple daily fantasy sites
Sports Tradex distinguishes itself with unique products (game formats)
Our Games
Draftstarted July ’14
Pick’emstarted May ’13
started May ’13
2014 Gross Rev = $1.355M2015 Projected > $3M
Trading
Fanduel’s Growth
165% growth
172% growth$11.5MQ3 2012
49k
$ $ $ $ $$31.3MQ3 2013
130k
$ $ $ $ $$ $ $ $ $
$ $ $ $ $
SportsTradex’s Growth
376% paid user growth
1165% revenue growth$34k
Q3 2013
$ $ $ $ $
$430kQ3 2014
581
$ $ $ $ $$ $ $ $ $
$ $ $ $ $$ $ $ $ $
$ $ $ $ $ $ $ $ $ $$ $ $ $ $ $ $ $ $ $
122
Sports Tradex Users
Acquisition costs include Google AdWords, our affiliate program, and other online marketing channels
Acquisition Cost $150
Lifetime Value $900As site grows, increased liquidity yields increasing user value
Industry Headlines
Tomorrow’s Headlines Today1. Daily Games Do For MLB, NBA &
Others What Fantasy Did For NFL
2. Sports Bars, Cable Providers Get In The
Game3. Armchair Quarterbacking: Stadi-
ums Offer Interactive Games From Your Seat4. M&A, Growth Power DFS Past
Traditional In The Standings
SportsTradex Team
Benjamin Lipson, CEO
Michael Cohen, COO
Technical Community Leader and Author15 years software development experience
Jonathan Birkholz, CTO
Former CEO of poker website (~$5M in lifetime profits)Daily Fantasy Expert with $2M+ in net profits
2012 Texas MBAFormer Commodities Trader at Macquarie BankHired team and raised $1M in multiple rounds
Jeff Soffer, Marketing & BD DirectorUT Law Class of 2012Former Associate @ Serpe, Jones PLLC.
Benjamin LipsonCEO / Founder
Thank You – Q & A