http://techsylvania.co

1. Alternative Media
Partnerships For Scaling
Your Business
Rossen Tzvetkov
Nova Broadcasting Group, Bulgaria

2. 'Doing business without
advertising is like winking at a
girl in the dark. You know what
you are doing but nobody else
does.‘
Steuart H. Britt

3. When it comes
to business
priorities,
advertising
should come
on top of your
“To Do” list.

4. Seed Start-up Growth Stage Second Round Expansion
Media Investment
When Should a Company
Invest in Media?

5. Alternative Media
Partnerships
• Affiliate
• White Label
• Media 4 Sales
• Media 4 Equity

6. Affiliate Advertising
• Revenue sharing , pay-per-sale/cost-per-action models. You only pay money
when you make money.
• Both B2B and B2C oriented. The advertiser provides the offer, and the
media promotes it.
Advertiser Media
Affiliate Agreement
Audience
Purchases
Revenue Share

7. Affiliate Advertising
Considerations
• Affiliate networks vs propriety programs
• Choosing the right affiliate partners – profile of audience, track record and
reputation
• How much of the revenue to share
• Cost of content production
• Advertisers should not rely on its affiliate partners to replace its sales team
• Limited ability to control the media/publishers
• Easy to track for web, but not so for other media types
• Big media may not be interested;

8. Affiliate Success Stories
GROUPON
• Direct relationship with affiliates
• Extensive creative portfolio
• Up to 12% affiliate fee
• Detailed reporting
• More than 10 000 online publishers in 30
countries
Grabo.bg
• Direct relationship with affiliates
• Extensive creative portfolio
• Detailed reporting
• Up to 18% affiliate fee
• More than 5 000 online publishers

9. White Label
• Media builds own brand;
• Media benefits from return
business;
• Media promotes the white
label service via different
media that is otherwise
difficult to track with
affiliate;
• Media can expand the
Merchant’s value
proposition.

10. Media 4 Sales
• Company builds its own
service;
• Media promotes the
services in return for the
right to sell and retain the
advertising sold on
Company’s site,
application, etc.

11. Media 4 Equity
• Innovative funding concept, where advertising space (ad coins) is
exchanged for equity;
• Alternative where venture capital is not plentiful.
Family & Friends,
Accelerators
Media:
TV, Web, Mobile,
Print, Radio, Outdoor
VCCompany
Angels, Banks

12. Media 4 Equity Considerations
• A great idea for companies ready to scale through marketing but need their
cash to finance their growth
• Reputation and experience in investing in start-ups
• Cross-market and cross-media capabilities
• Valuation

13. M4E Success Cases
Zalando
• M4E deal with SevenVentures (Pro7Sat)
• 85% brand awareness in Germany 2 years after founding
• Today present in 14 countries, and bln. $1.8 revenue in 2013

14. • MTG
is
the
leading
media
company
in
several
markets
MTGx M4E

15. MTGx M4E
• Scaling and growth made faster and easier with direct access to MTG media
• Pan-territorial launch across CEE and CIS
• Access to market knowledge and local org. for consulting
• Establish a future relationship with local media partner
• One single point of access through MTGx

16. Primary interest
Areas of interest:
• Games
• Sport
• Music
• E-commerce
• Dating
• Travel
• Betting
• Classifieds
• Entertainment portals
Criteria for investment shall apply:
• Area fit
• Possibility to turbocharge company
with media
• Profitable business model
• Cash for operations raised
MTGx invest primarily with media for equity to take the venture across the
borders throughout MTG territory and further internationally

17. Thank You
Rossen Tzvetkov
Business Development Officer
Nova Broadcasting Group, Bulgaria
Rossen.tzvetkov@ntv.bg