Kotak-ET Now Investor Presentation

The first mile is the last mile
Suresh Reddy
Advertising
! 2 Advertising and Commerce have been deeply interconnected for
centuries
Eye Balls
!
Advertising primarily took off through hoarding, print Ads,
and television in the early days.
The maxim goes: “Its all about the eye balls!”
Internet
In late 90s, Internet clearly became a medium that had
come to stay.
Internet attracted unprecedented number of “eye balls”
Hence it started to become another option to advertise.
Tracking and Targeting
Famous quote by John Wanamaker, considered the father
of advertising and marketing, in early 1900s says:
“Half the money I spend on advertising is wasted, the
trouble is I don’t know which half.”
Internet as a medium directly addressed this trouble as he
put it. This is only medium where we can track how the user
is responding to an advertisement on an one on one basis.
It gives the ability to run the Ad only to people who will
respond. This is called targeting in the online advertising
world.
Search and Mail
Early stage Internet was about Information and
communication.
Search Engines such Lycos, Google, MSN and Yahoo
became the portals to seek information and communicate
The way to target was based on what they typed and who
they were. Contextual and demographic based targeting.
Entertainment and Utility
Next stage of the Internet was through Entertainment, games
and shopping ( early E-commerce)
Companies like Gamesville, YouTube, Amazon, eBay were
amongst the few that facilitated this area.
Targeting ‘eye balls’ based on channels or your interests.
Connecting to Friends
!
As time went by Internet became a medium to connect with
your friends world wide.
Facebook, Twitter, LinkedIn and Pinterest created amazing
solutions.
Targeting your buying behavior based on your friends circle
and the company you keep. Social graphs in advertising.
Today
Today the users now access the Internet largely through
multiple devices. 1. Laptop/Desktop 2. Mobile Phones
3. Tablets 4. Smart TVs
Targeting users based on location.
18-29
72%
72% of all internet users are
now active on social media
72%
18-29 year olds
have an 89% usage
60%
The 30-49 bracket
sites at 72%
60 percent of 50 to 60 year
olds are active on social media
43%
Top 3
71%
In the 65 plus bracket,
43% are using social media
Time spent on Facebook per
hour spent online by country.
Here are the top three:
USA citizens get the top
gong at 16% followed by the
Aussies at 14 minutes and the
Brits at 13 minutes.
71% of users access social
media from a mobile device
Market
Size of the Internet Advertising market is over $120 billion
world wide. ( about Rs. 7 lakh crores)
Ybrant Journey
! 23 Then & Now - Ybrant’s Route
2000
Started as USA Greetings.com
USA Greeting rechristened as Ybrant Technologies later evolving into Ybrant Digital.
2005
Converted into a public limited company.
Set up 3 subsidiaries Frontier Data Management Inc (FDM), International Expressions (IE) and
Professional Business Systems (PDS) in USA.
2006
Ybrant Technologies Inc. merged with Ybrant India
Acquired :
1.  DW Ventures & Wordcents LLC in USA. Now known as MediosOne.
2.  Seenitex D.O.O. in Serbia. Now known as VoloMP.
3.  Pennyweb Inc in USA. Now known as AdDynamix.
Then & Now - Ybrant’s Route
2007
Acquired Oridian Media Solutions in Israel giving foothold in 13
countries
Raised $21 Mn from Sansar Capital and Passport Capital.
2008
Forayed into the Latin American market by acquiring an Argentinean network `dream Ad’.
Entered the APAC market by acquiring an Australian network Max Interactive.
Raised $32 Mn from Everest Capital.
2009
The name of the Company was changed to "Ybrant Digital Limited"
!
Then & Now - Ybrant’s Route
2010
Appointed as the exclusive representative with Yahoo in Ukraine and Facebook in Israel. Acquired
from Lycos from Daum Communications in Oct 2010. Giving us presence on Publishers. Raised
$18 Mn from Oak India and Batterymarch Financial
2011
Merger with LGS Global Limited and listed on BSE
2012
Acquired Web 3.0, Positive Mobile
2014
Took Minority Stake in Jaboo Kit. New Lycos Products
Presence in 24 countries. With Offices in Boston, Buenos Aires, Tel Aviv, Sao Paulo and Hyderabad.
Snap Shot
FY 2014: Top line Rs. 1700 crores PAT Rs. 220 crores
35 billion impressions with over 100 million unique visitors
across our network every month.
Raised about $100 million from PE Investors
One of the largest International partners of Facebook
Exclusively represent Microsoft across majority of South
America
Owner of Lycos Network
Future
! 29 Future:
We have a built a well oiled monetizing engine.
We will use Lycos to move the up the value chain yet again.
Internet of Things, Ephemerality and Crypto currencies interest us.
THANK
YOU
THANK
YOU
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