Crackpot Inc. Business Model

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the crackpot.cube速

Your Voice. Your World

Enclosed is a general description of our three-dimensional multimedia platform we call the crackpot cube along with additional information about developing partnerships.

Prepared for: Internal Use, ALL INFORMATION IS CONFIDENTIAL AND IS STRICTLY PROHIBITED FROM DISTRIBUTION WITHOUT PRIOR CONSENT FROM CRACKPOT INC. For intellectual property information please contact Edward F. Behm, Jr. BARNES & THORNBURG LLP 1000 N. West Street, Suite 1500 Wilmington, DE 19801-1058, Phone 302-300-3444


'krak-pät “One with eccentric or bizarre notions.” Crackpot Inc. (originally Our Home Game Inc.) was formed in 2011. The aim of which was to deliver to a grossly under served marketplace too long suffering from the effects of an impoverished imagination, an unprecedentedly unique and content heavy, threedimensional platform for crackpot concepts. We have spent the greater part of the past two years developing and improving its functionality and it is now ready for broader commercial use and is optimized for delivery to mobile devices on a global scale. Additional information related to the management team, board, and early clients may be available with engagement of an NDA and a defined scope of desired services. What’s right, what’s wrong, what’s confused What’s right is simple. The democratization of opportunity via mobile technologies has positively transformed the concept of connectivity. What’s wrong is becoming increasingly obvious. The technology (ideas) industry has devolved into an overly technical, impersonal and chaotic place, flooded with spam oriented-information sharing philosophies. People are becoming overwhelmed and inundated with data while being underwhelmed with effective and concise content in an imaginative setting. People are showered with unfiltered information in a largely unregulated and unorganized environment. This has caused people to become tentative and only use a small portion of the technology capabilities readily available to them. What’s confused is the marketplace. Money is being thrown in egregious amounts towards mobile marketing efforts to no avail. There is a gaping void for a product that combines connective, concept to consumer power with the effectiveness of creative and convenient communication, in an inventive and hands on environment.


Product & services The crackpot cube is a three-dimensional, space-multiplying, blank canvas for creativity. Widget flexibility: • Continuous remote audio uploading • Image uploading and cropping (can be done remotely and includes live auto-rotation of images) • Multiple video uploading (both created on the fly and pre-recorded with virtually unlimited amount of content) • Print uploading (html 5, viewable on all devices; because of refactoring capabilities virtually unlimited amounts and all viewable without leaving the cube) • e-Commerce (giving businesses the ability to showcase and deliver products from the cube) • Interactive quizzes and other educational driven content • Full integration of specialized cube analytics providing more extensive client data • User controlled advertising with end results being purchase or other desired action • Live mapping • Live links to any net location (and or full extraction for better performance from our amazon cloud servers) • Social media integration • Click-2-connect (providing visitors to a cube the ability to get in direct contact with the cube creator via call, text or email) • V-card, producing live contact integration from the cube to end users personal contact list (can also be geo-locatable for multiple location identification needs) • Text, email, embed and crack the cube to social media or have it accessible from a cube holographic kiosk • Live tweeting (shows up directly on the cube and creates automatic hashtag link to the cube on twitter, so it in effect creates two-sided viral communication about the cube) What business are we in Information Communication Technology delivered when, where and how the customer wants it. We are providing both the microphone and the stage for the crackpots amongst us. Our product is the ultimate user friendly and collaborative tool for people to communicate any given concept in a highly personalized and biographical-like manner, in a uniquely first to market and effective way. The cube is the perfect social portal for high volume content accessibility, convenience and mass distribution. What value do we bring to our customer The ability to deliver your virtual personality with


unprecedented functionality using our simple but complete platform. The cube is remotely accessible via any device and provides a blank canvas to design your cube as a multidimensional ambassador of your information. There is a dire need for the reorganization and simplification of content heavy broadcasting. Three-dimensional models actually trigger neurophysiological reactions on viewers, thereby giving our customers an incomparably attractive and effective tool for connecting to a desired audience. User controlled content can be easily and instantly organized within the cube and is usable and deliverable in a precise and impressive manor to virtually anywhere and can be accessed from all devices. This allows our clients to proactively deliver their virtual presence to any given audience in an impressively comfortable, controllable and interactive manner. Sustainable market advantages Because we are a first to the market mobile technology, we are garnering conclusive market share worldwide. The multi-dimensional format of our cube is the first in the mobile world to decisively deliver our Information Communication Technology (ICT) in such a manner. Because of the natural and usable format of the cube, our customers are quickly adapting to using our product. When this is coupled with the content and delivery flexibility of the cube, customer adoption and fulfillment is sustainable. Business clients like working technology. Satisfaction equates to retained clientele, especially when the cube has the ability to meet all their future needs as they arise. Additionally, our strength in the field of intellectual property gives us a tactical advantage in virtual perpetuity. All of this and we are really only 40% of the way there in fully realizing our cube themed technological aspirations. With our over 700,000 initial lines of code in addition to our IP protection and adaptability, we can sustain our market leading innovation. As the global demand for digital commodities continues to explode in accordance with and satisfaction of globalization, we will increasingly become a horizontally integrated global economy, with an expanding importance being placed on the the power of the individual. The cube provides a uniquely expressive platform to its users in such an interconnected marketplace. People don’t live in a one or two-dimensional world but as of yet technology hasn’t effectively captured the inherently multi-dimensional nature of our lives. The cube will become the driving force for exploration and meaningful participation in the age old concept of social networking, which is nothing more than a community positively exploiting human nature’s innate need for selfexpression. The cube is the most organically efficient, creative and convenient communicative tool on the market. It is the future of mobile operating systems and is frankly a supreme method for marketing yourself and or your business. Our company’s principled imagination and first to market product, coupled with our passionate curiosity gives us real, tangible staying power.


The emerging mobile first world Mobile internet usage now makes up roughly 15% of all internet traffic, up from just 1% only 4 years ago. Our platform is defiantly leading the way in shrinking the concept of creative connectivity in this increasingly mobile first world. Eric Schmidt and Jared Cohen recently released their futurist bible “The New Digital Age: Reshaping the Future of People, Nations and Business.” In it they portray a mobile induced honey I shrunk the world future, the prospects of which are intriguing, enthralling, potentially perilous and every other thesaurus-themed appropriate description. One thing is certain, connectivity will fundamentally revolve around mobile devices. This is particularly true in the developing world where often an individual’s first online experience is with a mobile device rather than a big, heavy, clunky computer. Out of the top 15 mobile using countries, 10 are in the developing world. In India for example, more people use mobile devices to browse online than PCs. Website visits via mobile devices has doubled in the last year alone demonstrating that mobile devices are increasingly used for browsing and researching. The Shakespearean tragedy of the historical human condition is changing with unprecedented rapidity. The traditionally vertical and corporate hierarchical structure of ideas, of companies, of commerce on a global scale, is being transformed into an inverted bottom up one. The cube will be the tool for the ever curious and optimistic in any given society, the crackpots amongst us. The cube has the power to make monopolies, anomalies.


Admittedly, we are still in the verse one Genesis stage of the democratization of opportunity, but it is real, it is well underway and the cube will unquestionably be its catalyst.

Why the cube? Attraction & Interaction • The cube positively exploits the viewers’ innate curiosity • The cube’s user-initiated, transparent, self-navigable & tangible nature necessitates interactivity • Three dimensional models trigger a unique neurophysiological reaction in the viewer • Because of the visually and physically stimulating effect of the cube, it literally transforms into a verb meaning to impel one’s brain to switch from one perspective & perception to another through action • The cube is a shortcut for a multi-dimensional dataset • A content heavy platform with familiar & attractive visualization enhances learning and productivity The prophetic Schmidt-Cohen future requires and posterity demands more intimate, convenient and virtually tangible mobile platforms that instinctively transform information into real-time communication. The user experience must be totally controllable, from content creation to content distribution and everything in between for us to fully harness and ultimately realize the positive, transformative power of our pocket PCs. The cube is necessarily emerging out of the abyss to provide an all encompassing voice for the rebellion against mobile mediocracy. As William Winter simply stated, “Self-expression is the dominant necessity of human nature.” The future will be paved by the passionately curious and the cube will be the preferable and superior tool for achieving yet unknown aspirations now achievable because of our platform.


Business Models a framework of market penetration strategies through creative dissemination

Concept-2-Consumer -->Consumer-2-Consumer Consumer-2-Concept<--

BlankE Canvas Ideology ndless Expressions Viral Interactions

boundless business models for cube creators


Concept-2-Consumer/cube it forward approach $79.95 STARTUP FEE FOR THE PLATFORM FOR CONCEPT CREATORS *FULL CUBE CAPABILITIES IN PERPETUITY (25+widgets, text-email-embed-post 2 social media)

$5.95 PER CUBE/PER MONTH THEREAFTER App is free to download, free for non-commercial, personal use (widget limitations apply) *THIS DOES NOT LIMIT A SMALL ONE OFF BUSINESS FROM HAVING A CUBE OR TWO AT 5.95 A CUBE. THEY JUST WILL NOT BE ABLE TO CONTROL ADVERTISING AND OFFER EXPONENTIAL GROWTH

OUR PLATFORM PROVIDES DYNAMIC YET SIMPLE MOBILE CONTROLLABILITY OF THE CUBE & TOTAL INTERACTIVITY WITH CUSTOMERS..

grow grow grow


Share concept with consumers

Update remotely and receive interaction from consumers

Consumers get their own cube and cube it forward

Remotely access all things cube from our radically simple, free app

Information Communication Technology The cube is the culmination of all media served up over the past two decades in a form that’s highly accessible and uncompromisingly enjoyable for the wildly whimsical, the crackpots amongst us.


THE EARTH ISN’T ROUND Let’s start with why and slide seamlessly into the how. The cube’s greatest asset is its self-evidence. Upon viewing the cube, its multi-dimensional nature is immediately apparent and is a much more organic mechanism for processing information. Whatever message you are delivering to the end viewer is easily understood and immediately usable and transferable. The how becomes the crystal clear strategic advantage for its use . The internet has become a convoluted information dump and this information becomes ridiculous to process when it comes to mobile devices. The amount of information actually retards its own ability to communicate when it is on a small , focused screen such as mobile devices. There in lays the tactical advantage and utter beauty of the cube. The essence of the cube is focus. Our brains process in a three-dimensional nature and actually are somewhat confused when it comes to translating from a two-dimensional world. Additionally, the spinning-accessible nature of the cube along with the beam box pop ups from the panes further multiply content presentation. The beam boxes are sized properly, giving unlimited depth as the user scrolls down what we refer affectionately to as the rabbit hole.

Delivering your voice to your world

.

one cube at a time


GEO and Psychographic search Geo and Psychographic search for what they need or are interested in finding information about. Restaurants, types of food, living spaces, shopping, nightlife, community groups et al.

ALERTED OF MATCHES TO SEARCH

DROP YOUR OWN CUBE

Our app shows them matches by both the highest rated match plus the ones that they have private alerts where their friends have dropped cubes. So now they view and go (or don’t go) to location depending on review.

They now can drop their own personal or public cube that remains in the relevant location for their friends to experience what they experienced, or can leave it public for anyone to see. They can also always send their cube personally to individuals via email or text or social media.

DROP A CUBE PERSONAL USAGE/VIRAL FUN Because the small businesses are in our directories and associated directories, when a customer searches for pizza in a given geographical area they are alerted that Joe’s Pizza shop which has a cube is close by along with others. Once pulling down Joe’s Pizza shop their alert vibration goes off and they can see in Joe’s private alerts that their buddy Pete dropped a cube at Joe’s Pizza shop. They can then see exactly what their buddy thought about his experience at Joe’s, through pics and vids. Maybe he says the pizza tastes like cardboard but the waitresses are easy on the eyes and leaves a funny video and animated GIF’s of his experience. They then can drop their own cube of they’re own experience and mark it either pubic or private for their friends to view. If public it can be viewed immediately by all and if private, it will go out to everyone that has favorited them on our network. They can also just send an alert for a single dropped cube to an individual on their cube network or email or text their contacts their cube.


A re-imagination of product education -->real-time pane by pane analytics -->interactive -->enjoyable -->rewarding $$ Pay-per-use PRODUCT EDUCATION CUBE(S) ARE CREATED

CUBE IS SENT TO EMPLOYEES OR OTHER DESIRED AUDIENCE

VIEWER REVIEWS THE INFORMATION ON THE CUBE, INTERACTS WITH CUBE VIA QUIZ, QUESTIONNAIRE...

EMPLOYEES RESPONSES ARE ANALYZED

EMPLOYEE IS REWARDED FOR PARTICIPATION


Bridging the divide between you

and your employees

and the cube it forward cycle continues...

EMPLOYEE IS ASKED IF THEY WANT THEIR OWN CUBE OR WANTS TO DROP A CUBE ON THE PRODUCT

CONTINUAL PUSHED INFO FROM COMPANY TO EMPLOYEE

OTHERS SEE EMPLOYEES CUBE AND GET THEIR OWN


Detailed, dictionary description of all encompassing Concept-2Consumer model i.) Small or franchised businesses (B-2-C) Businesses use the platform to make a cube to be distributed in any manner they desire to current and prospective customers depending on the method of delivery (text-email-social media-embedded) to introduce and educate the public on their products and services. Consumers have full view of the cube on any device and can use the Information Communication Technology (ICT) provided by the cube to understand the content on the cube and thereafter engage in real time interaction. The consumer then has the ability to share the cube through email, text, social media as well as embed the cube on sites which allows previously unavailable audiences to enjoy that businesses content. When a business sends their cube, the audience is not only learning about a particular business’ products and services, they have the ability to get their own free cube, the advertising of which can be controlled by the originating business. They are always capable of getting their own cube on a subscription basis to the exclusion of outside advertising if they so choose, at which point the process starts over. The missing link in the infant mobile world is direct and mutually beneficial communication between businesses and consumers. SEO-ish promises from a million and one internet marketing agencies are seemingly meaningless.The most fundamental purpose of the cube is to eradicate the ineffectiveness of current, futile mobile marketing trends for businesses irrespective of size. The cube has the curiously unique ability to increase one’s exposure exponentially by delivering concepts to consumers in a comfortable and creative manner, with the end result being multiplied retained customers. i.a.) Kiosks Beam Cube The beam cube has all the functionality of the crackpot cube but includes the ability to have live streaming video (beaming) which enables real time, live customer service via twoway video streamed directly onto a given cube. This allows yet again a new avenue for first contact with customers that can become retained customers through our concept-toconsumer patented process directly from the kiosk. For example, when a person walks into a retail location and sees our crackpot kiosk, which will be an interactive flat screen, or holographic platform they can initiate an interactive customer service session via our beam cube. Currently, this would be activated by entering a search for a subject or in some stores it could be a constant customer service presence and could be activated simply by clicking/touching the screen. Before the customer service from live video feed (beamed in) starts to answer specific questions, the person may find their specific cube and not need help. This is also applicable if they get the message that the customer service is not available yet. Instead of just waiting they will have the ability to find the correct cube. After the person has the cube that is explaining all the pertinent information, the cube is beamed (texted, emailed or bumped) over to them on their own mobile device. The cube that is


now native on their mobile device includes a discount for using the kiosk which includes a bar code for ease of transaction finalization. At this point the person is directed to the proper aisle to look for their product. We do plan on making this service available on all commercial cubes on phones, but currently it will only be used at retail and will be initiated from a kiosk. Soon it will also be available from embedded cubes as well as from commercial cubes available through the search function of the cubes on our site and mobile app as well as through text or email. Additionally, the beam cube is different because it is only enabled where customer service has preset the cube widgets to be able to load cube information to then be transferred to the customer. Once the customer uses the beam cube they now are not just a visitor but an interactive and ongoing, retained customer. Now the retailer can update the customer’s cube with new advertising for the store. As a matter of fact, because the store has given the customer the cube they can offer for them to make it into their own cube and use it for family photos videos, events and so on. So the store gets to actively participate in an ongoing, comfortable relationship with the customer while furthering their relationship to the retailer. Sure there will be store advertising and information that will come on the cube, but in a very non-intrusive way that is highly valuable to the customer. This is the number one way the people will use and have access to the store information while on the run with their busy mobile lives, all the while immersed in the fun of using their cube for free, thanks to the newly formed, mutually-beneficial retailer to customer relationship. ii.) In-house data management/products and services educational model (interactive, real-time analytics) This cube also has the ability to be an effective cost-savings training manual for the emerging mobile world we all live in. Countless companies are consistently frustrated with the painstaking process of products and services education, both in-house and with the general public. Under this model a company will use the cube and its corresponding analytics as an invaluable educational tool to ensure that new and existing employees, students and customers are truly being educated in a first to market fashion. A company can create real-time interactive quizzes via the cube, the results of which can instantly be accessed and analyzed. These cubes can be sent to employees, student or clients’ mobile devices and can be easily tracked thereby ensuring that organizationally, the business or its clients can have a thorough and engaging learning experience. iii.) Scale-specific advertising model Banner ads are thankfully a dying breed and while their death may not be imminent, it is inevitable. The cube provides companies with the previously unavailable ability to actually engage viewers in a non-intrusive manner with its spatially efficient and controllable nature, making it an indispensable advertising mechanism. There are a multitude of pricing models in the agency advertising world - all of which need to be accommodated and employed according to the situational demands of each particular event. They vary by client, by agency, even by each campaign. Similarly, budgets are allocated in a variety of ways and so spending follows the allocation type. Compounding the issue is the intended use for


this by an agency, a rich media vendor, or a publishing company. A company that wishes to embed the cube both on their site and on third party advertising channels gets a cube and pays a fee relative to the scope and volume of distribution and estimated viewership of their cube. Additionally, a particularized form of joint venture or associated affiliate program with specific pricing options are available. This model is advantageous depending on the size of the company because they can choose to incorporate third party advertising on their cube if they wish, but more realistically the value of such a cube comes from the cube’s potentially viral effect of displaying a spinning three dimensional display ad on the web. Furthermore, they can make a profit from the people getting their own cube directly from their embedded cube, so it is really layered advertising from our product’s standpoint but also from the relevant display advertising on a particular cube. This product is greatly enhanced from our animated html5 banner or site preview embedding as well as the ability to email or text our animated gif cube, both of which when touched, cracks the actual cube on top of the website or in a full screen beam box on mobile devices.

Developing partnerships The following groups are either currently under negotiations with us and or are doing final tests with the cube and are preparing the launch of their products with our platform. As aforementioned, more specific information on our current and prospective clients and partners regarding contracts, MOUs and other applicable ongoing negotiations may be obtained with engagement of an NDA. Movie Studios Marketing Partners - Ping Mobile, Rubenstein Communications, Skytel India Customers - Universal, Lionsgate, Sony, Bollywood, Independent Movies Hotel Chains Marketing Partners - Ping Mobile Customers - Wyndham Worldwide

National Directories Marketing Partners - Ping Mobile, Skytel India Customers - British Telecom, Yellow Pages, Skytel/Bharti Airtel India Automotive Industry Marketing Partner - Ping Mobile Customers - American Honda Motor Co. Inc.,Toyota Motor Sales, U.S.A. (Lexus) Consumer and Commercial Real Estate Marketing Partners - Anchor Mortgage and Response Catalyst Customers - Amerispec, Safeguard, Terminix and Retail Brokers


After Market Auto Industries Marketing Partner - Schnair Sales and Service Inc, Customers - Radiator Specialties, Advantage Auto, O Reilly Auto Parts Political Marketing Campaigns Marketing Partners - Skytel LTD India - Response Catalyst Inc. Customers - Indian National Congress, American Republican Party, American Democratic Party Retailers Marketing Partners - Ping Mobile (US), Identibank (Australia), Skytel (India) Customers - Westfield Malls, over 4,000 independent retailers in Australia and over 100,000 independent and chain retailers in India Health Care Marketing Partners - Jai Capital, Live Advisors, Inventiv Customers - Intermountain Health, Pfizer, Eli Lilly

Personal endorsements “It is no longer possible for a company to market in one dimension. It is just as important to speak about social concerns and philanthropic efforts as it is to promote products. Up to this point that has been a very flat experience, linking these different aspects of a company. The crackpot.cube allows a company to tell the entire story in one cohesive unit. It fits together and flows and gives the audience a full picture. Further, it’s a myth to believe that your business world and personal world are isolated from each other. As if my Linkedin contacts are completely separate from Facebook friends. Consumers are more and more a single entity that encapsulate their business world, their friends, and their passions. The crackpot.cube allows you to see every human, every concept in a threedimensional way which is a much more realistic insight into who we are and how we want to be represented. I believe that the future of business and one’s personal and corporate presence is going to be centered around their virtual identity. Disruptive technology is the current term for innovations like the crackpot.cube but I see it as being more than just disruptive. It is clearly a transformative enhancement tool for the whole of the marketing world.” -Deirdre Bigley Global Leader, Marketing Communications Bloomberg Former VP Worldwide Advertising, IBM


“This is by far potentially the most productive product I have ever seen. My only problem is trying to keep focused on just some of the uses. My initial testing with Amerispec and American Home Shield as well as All State Insurance has been well received and is becoming a real focus for the companies for this fall.” -Matt Wendel, VP of Marketing, Amerispec Home Inspections “Political campaigns have a new, unprecedented voter outreach tool with the ability to text the cube to mobile devices.” -Doug Hibbeler, CEO, Response Catalyst, Inc. “The crackpot cube is perfect for the sales training of our over 70,000 employees. We’re proud to be currently working to implement the cube for Advantage Auto as well as O’Reilly Auto Parts as a product training device.” -Lee Hunt, VP of Product Development Radiator Specialty Company “Simply put the crackpot cube is tremendously disruptive as an advertising space multiplier coupled with its versatility for delivery. Now advertising or information real estate on mobile and web delivery can carry a minimum of 6 times as much media.” -Isaac Noar, CTO Ping Mobile

Management Founder & CEO: Stephen White Co-Founder & CCO: Joseph White CIO: Branislav Gjorcevski CTO: EIlija Misov VP of Administration: Dave Petersen Investor Relations: Alfred Rapetti

be a crackpot. change your world. get cubed.


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