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Introducing A Genuine Turnkey Digital Signage Solution for the SMB Market
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Introducing A Genuine Turnkey Digital Signage Solution for the SMB Market

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  1. Introducing A Genuine Turnkey Digital Signage Solution for the SMB Market Vernon R. Slack Office: 801 623 8252 vernonslack@aopen.com

  2. TODAYS AGENDA • What is a GenuineTurnkey Digital Signage Solution? • A brief Market Update • How do we address the Customer’s Pain Points? • Current Market Constraints • The Optimal Digital Signage Solution for the SMB Market • The Solution Ecosystem • The ‘Services’ Overview • What is our SolutionMethodology? • What’s our Value Proposition? • Who is your Solution Support Team? • What does your collateral look like?

  3. Offers the customer strategic consulting services to help plan, select, evaluate and deploy the optimal digital signage solution Includes all of the required hardware, software and infrastructure to meet the customer’s business and communications requirements over the life of the network Is easy to use, highly reliable and scalable built around a certified software stack and commercial grade components to meet the special needs of unattended systems Seamlessly integrates components, software and infrastructure with existing systems to insure minimal disruption to the customer's business continuity Offers a suite of cost effective ‘Managed Services’ for Help Desk support, remote monitoring & repair, mobile & social engagement services and viewer analytics Delivers to the audience relevant and timely digital media Provides the customer with asingle point of contact during the planning, evaluation and deployment phases and a single service provider over the life of the network through strategic partnerships A Genuine Turnkey Digital Signage Solution …

  4. A Brief Digital Signage Market Update

  5. US Digital Signage Market Update • There were 1,250,000digital display systems installedin the US at the end of 2010; a 25% unit growth over 2009 • Over50% were in the SMB Market • The ‘average’ Digital Signage Network is 75 to 100 displays • 62% of the 2010 shipments were networked • 300,000+ Displays inRetail &100,000+ Workplace Communications Displays • 425,000+ Ad Network Displays with 2010 Ad Revenue of $2.1 Billion on 200 Ad Networks • Still a very fragmented market

  6. Three Types of Digital Signage Networks Point of Wait Point of Transit Point of Sale

  7. Three Digital Signage Business Models Merchandising/Ad-Supported Networks Retailers, restaurants, hotels, Return on Investment Increase Sales and Lower Costs Enhanced Customer Experience Return on Objectives Better informed audience, more efficient communications, Information - Entertainment Networks Schools, workplaces, Digital Out of Home (DOOH) Advertising Networks Malls, airports, train stations, doctor’s waiting rooms, clinics, Return on Investment Advertising Revenue

  8. The Six Businesses of Digital Signage (US Total Available Market) $2,500M Digital Content Production $1,4500M Technology $2,150M Operations $150M Deployment New Market Measurement $2,100M Ad Networks The 2010 Total Available US SMB Market - $3.1 Billion

  9. The Market Constraints • The market is extremely fragmented and the supply chain is overly complex • There is little experience among users and vendors on how to plan, select,evaluate, deploy and operate digital signage networks … for every 12 digital signage projects announced, only 1 is ever fully deployed • There is little capability among users to cost effectively produce timely and relevant digital media • 2010 Average CAPEX at $3,720 per systemis down 50% from 2005 (hardware, software & installation) … but the ‘Total Cost of Ownership’ is only down 15% from 2005at $5,900/system ($16.15/day)

  10. The Overly Complex Supply Chain Schedule Mgt. Reporting/ Analytics Video Cabling Standard Mounts Network Monitoring Managed Services Display Installation Video Walls Onsite Service/ Repair Outdoor Enclosures Custom Enclosures LCD Displays Fixtures/ Enclosures Large LEDs Deployment Services Mounting Hardware Displays Application Hosting Outdoor Kitting/ Distribution TVs Corp. Enterprise Network Hardware Configuration Display Tiles Player Imaging Ultra Thin Displays Internet ISP System Integrators Network Services Digital Signage Project Commercial PCs Satellite PC Players Cellular Commodity PCs WiMax Distributors & VARs Work- stations Agencies Servers Aggregators Ad Creative Industry Standard Servers Content Management Software Content Services SaaS Non-PC Players Brand Strategy For Ad Networks Work- stations Picture Frames Video/ Flash Data Feeds Networked Streaming Players Premise- based Standalone MPEG Players Templates

  11. Services - 80% of the ‘Total Cost Of Ownership’ CAPEX 1 $3,720 $1,740 3 Year Amortization $1,240 $2,030 Total Cost of Ownership = $5,900 per system per annum 1 30” display systems to video walls (excludes <30” displays and LED systems)

  12. Content Management SaaS Meets the functional requirements of each targeted vertical market Easy to use media management, playlist scheduling and placement Supports digital media from standard graphic packages - Photoshop, Illustrator, Flash, Adobe After Effects, MS PowerPoint, Quark, Triggers media from inputs such as viewer proximity and Anonymous Viewer Analytics Local input and control of a predefined area to present content relevant to the location Easily integrated with existing systems (PLU pricing, inventory, etc.) Remote Managed Services Help Desk support Hardware, software & network monitoring for remote problem detection Remote hardware and software repair using Intel’s vPro Software upgrades and changes to system’s configuration Optional ad placement and playlist delivery services Digital Content Managed Services Media production automation using our ‘Media Mapping’ methodology Integration with external data sources & feeds On-going creative services, digital media repurposing & Flash Template development Local digital media creation capability with centrally controlled processes to drive re-use What Services Are Offered?

  13. Mobile and Social Engagement Services Near Field Communication (NFC) Mobile e-wallet and QSR Codes for transactional business Facebook connection for mobile latent conversations Coupon downloads for immediate and future discounts Viewer Analytics and Customer Engagement Services Digital content Proof-of-Play data collection and analysis Anonymous Video Analytics (AVA) data synchronized with Proof-of-Play data Interactive usage data analysis for audience engagement measurement (touchscreen, mobile device, NFC,) Sales by product promotion from the retailers POS and/or Trade Promotion Management systems Digital Signage Consulting Services Requirements Discovery Module – Identify the client’s optimal usage model, business and communications goals and digital media requirements Qualification Module – How to cost effectively address the client’s key Business, Marketing and Communications goals Strategic Media ‘Blueprint’ Module – A roadmap for relevant and cost effective media production Evaluation & Production Deployment Modules - Program Management support What Services Are Offered?

  14. Retail Regional Grocery, Convenience, Specialty, Apparel, Home Centers, Card/Gift/Novelty, Auto Aftermarket, Sporting Goods, General Merchandising, Home Furnishing, Office Products, Financial Regional Banks, Credit Unions, Internal Communications Corporate Campuses, Hospitals, Back Office Restaurants (Menu Boards) QSR & Casual Dining (privately owned or franchises) Hospitality Hotels (privately owned or franchises), Casino’s What Vertical Markets will be Served?

  15. SMB Bundled Solutions • iCompel • Player appliance with software included • Controlled with a server • Advanced Player (Core2): $2,995 SuperSign • Basic Content Management functionality plus newsfeeds from CNN • 3 year agreement with PC Player + 47” Display + SaaS: $149/mo • Scala • QuickStart • HP PC Media Player: $1,120 • 47” LCD Monitor • SaaS: $45/mo • Vukunet • PC Media Player • No Cost Content Manager • Very basic functionality Our Genuine Turnkey Solution’s ‘Total Cost of Ownership’ is a third lower than the leading Digital Signage Bundled Solutions

  16. AOpen America – The largest supplier of commercial PC media players in North America AOpen’s ‘Open Services’ – Contracts with the customer for the required ‘Managed Services’ – Offers Content Management SaaS, Remote Monitoring & Repair, Automated Media Production, Mobile/Social Engagement, Audience Analytics and Strategic Consulting Services Content Management ISV’s – ‘Best of Breed’ Content Management software for each of the 5 vertical markets Certified System Builders – Build AOpen PC media players configured to meet customer’s specific hardware requirements and imaged with the software stack needed to insure seamless integration Partners – ‘The single point of contact for the prospect’ for coordinating the planning, evaluation and deployment a Turnkey Digital Signage Network … Open Services does all the rest over the life of the network Our Solution Ecosystem

  17. Turnkey Solution Deployment Model Hardware Distributors Ingram Micro, Avnet, Arrow, Bluestar, … System Builders Seneca, Micro Industries, M&A Technology, … AOpen America Certified Reseller’s AOpen Imaged PC Players Sprint Intel AOpen PC Media Player Commissioning Client Partners Digital Displays & Other Hardware Site Surveys & Hardware Installation

  18. What’s the Value Proposition?

  19. Using our ‘Remote Managed Services’ reduces operational labor costs at least 60% and maintenance costs by 75% Customers are able to display relevant and timely high-impact digital media using our automated ‘Media Production Services’ at 40% to 70% lower than the industry average Our ‘Consulting Services’ will reduce the time required to plan, evaluate and deploy a digital signage solution by up to 50% Our Turnkey Solution with ‘Managed Services’ significantly improves overall ROI by reducing the ‘Total Cost of Ownership’ at least 33% saving $2,000 per system per annum These savings recover all the CAPEX in 22 months The Customer Value Proposition

  20. What’s In It for YOU? • CLOSE DEALS FASTER - Accelerates the decision process by simplifying the planning, selection, evaluate and deployment • WIN MORE DEALS – The only Genuine ‘Turnkey Digital Signage Solution’ available for the SMB market with a simplified ‘Sales Engagement Model’ • MAKE HIGHER GROSS MARGINS – Focuses on the Total Cost of Ownership which shifts the customer away from obsessing over finding the ‘lowest cost’ hardware/software solution • CREATE A HIGH MARGIN RECURRING REVENUE STREAM – Creates recurring commissions for YOU from all contracted consulting and ‘Managed Services’ over the life of each digital signage network

  21. QUESTIONS? Call Vernon Slack 801 623 8252