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� The need for MeroDeal
� Benefits of MeroDeal
� How does MeroDeal work
� MeroDeal economics
� MeroDeal website
Why MeroDeal
Why MeroDeal
� MeroDeal website
� MeroDeal convenience and value
� MeroDeal people
� Contact MeroDeal
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The need for MeroDeal
Do you want new customers to come to your business?
Do you want to fill the empty seats/space/inventory that you could
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Do you want to fill the empty seats/space/inventory that you could
otherwise earn money from?
Do you want to advertise but find the costs to be too high?
With an increasing number of choices available to consumers today, businesses
face unutilized capacity and high customer acquisition costs
The need for MeroDeal
SpasFitness
centresHotelsRestaurants Beauty
salons
Concerts, films,
theatre etc.Adventure
travel
Specialized
retail
Unutilized
capacity – money left on the
table!
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High customer
acquisition costs
People are afraid of
trying new
things/places/activities
Advertising costs are
very high
By marketing with MeroDeal, you are assured new customers, advance cash flow,
and volumes
New customers
� Because of the deal, customers who have never come to your business will get a chance to try you out!
� These new customers will also bring friends with them
� Some of these new customers might become regulars, providing you with a steady income in the future
Benefits of MeroDeal
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Volumes
Advance cash
flow
� We provide volumes so that your high fixed costs are spread out over a larger number of customers
� Customers are required to pay before they use your services, thus giving you advanced payment
� Also, some customers may not use their vouchers at all, leaving you with free income
Unlike other advertising media, where you pay money hoping that customers
show up, MeroDeal guarantees that you only pay when customers come to your
business
Benefits of MeroDeal
Traditional advertising using newspapers & TV
(Upfont cost – Rs. 10,000 – Rs. 100,000)
MeroDeal
(No upfront cost!)
A fraction of the audience see the
advertisement
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advertisement
Advertisement is only relevant for
a fraction of the people
New customers
come in
New customers
come in
MeroDeal uses the concepts of group buying and social networking to generate
word-of-mouth advertising. Customers are able to purchase the vouchers through
an easy process, and our partners get their payment soon after
How does MeroDeal work
Customer sees the
“Deal of the Day”
Customer buys the
voucher – online, in
Customer receives
the voucher with
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“Deal of the Day” voucher – online, in
one of our collection
centers, or through in-
person delivery
the voucher with
his/her name and
unique voucher code
Customer tell friends
and family to also
purchase the deal
using e-mail,
Facebook etc.
We send you the
collected revenues after
deducting our marketing
fee. We also send you a
list of all the customers
with their voucher codes
Customers redeem their
vouchers. You check off
the names as they come in
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In spite of the heavy discounts, you will earn a profit on each voucher sold. You
will get paid for advertising with us!
MeroDeal economics
400
600
800
1000
Variable
costs
Example returns for a typical Rs. 1000 voucher sold for a restaurant Assumptions*
Gross margin % 60%
% vouchers
redeemed before
expiration
90%
% voucher
redeemed that are
below full value
20%
Average under-80% of voucher
Profit per
voucher
8
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Fin
al re
turn
Average under-
redemption80% of voucher
% Sales with
additional purchases40%
Average additional
purchase20% of voucher
% redeemers that
become regular
customers
20%
Average number of
visits by a regular
customer
Once a month
Average amount of
money regular
customers spend
Rs. 700
Note: *Based upon data from similar companies in the U.S. and conservatively reduced to reflect the Nepalese market
Case Study I: La Dolce Vita Restaurant, Thamel
MeroDeal case studies
Assumptions*
Voucher value Rs. 1000
Voucher price Rs. 500
Vouchers sold 11
Vouchers redeemed 11
% New customers 50%
No. of new customers 6
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No. of new customers 6
Average amount spent by each
voucher userRs. 1500
Average revenue per customer Rs. 875
Approximate variable costs per
customerRs. 600
Customer acquisition cost (Rs. 275)
La Dolce Vita gained 6 new customers and instead of spending
advertising money, it earned Rs. 275 for every new customer
Case Study II: Life clothing store, UWTC
MeroDeal case studies
Assumptions*
Voucher value Rs. 1000
Voucher price Rs. 500
Vouchers sold 21
Vouchers redeemed 21
% New customers 60%
No. of new customers 12
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No. of new customers 12
Average amount spent by each
voucher userRs. 1500
Average revenue per customer Rs. 875
Approximate variable costs per
customerRs. 750
Customer acquisition cost (Rs. 125)
Life gained 12 new customers and instead of spending advertising
money, it earned Rs. 125 for every new customer
Our website design will focus on your offering with an attractive picture and an
informative write-up
MeroDeal website
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When we feature your company on our website, you will reach out to thousands of
targeted users in Kathmandu who will engage with the content. In other words,
you will get thousands of rupees worth of advertisement for free!
MeroDeal website
2500+ fans on
Facebook will see the
deal in the newsfeed
200+ daily
visitors will
see the deal
on our
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deal in the newsfeed
500+ email
subscribers
will see the
deal in their
inboxes
on our
homepage
Note: Data is as of February 13, 2011
With the convenience and value of MeroDeal’s package, all you need to do is what
you do best – provide service to your customers!
MeroDeal convenience and value
Hassle-free
service
� We will come to your business a few days before the deal day, take attractive photographs, do the write-up, and make your business look great for our website. You will not have to lift a finger!
� We will send you the list of buyers the day after the deal, so that you are ready to serve the new customers
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Proven concept
� The voucher model is a proven marketing concept and is popular worldwide
“Athere’s currently a 120-deal waiting list in Chicago, where Groupon
launched late last year — because the deals bring a flood of new
customers, at least some of whom will hopefully get hooked and
become loyal clients A”
Wall Street Journal, August 2009
� In just 17 months since the launch of the original business concept, there are over 500 similar businesses around the world
MeroDeal is led by a young and enthusiastic team with prior experience in the
services and trading industries, both in Nepal and the U.S.
MeroDeal people
Raunak
Agarwal
� Raunak was a management consultant in Boston, USA before returning to Nepal. After a brief stint in the automobile spare parts industry in Kathmandu, Raunak decided to enter the industry that combined his two passions: internet and marketing. MeroDeal.com is his first venture in this area
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Sunniv
Shanker
Rajbhandary
� Sunniv finished his undergraduate business studies from the U.S. In just a year, he has helped start a small cooperative bank and turned around his family’s travel agency business. Sunniv is passionate about art and design and believes that MeroDeal.com will a great way to get the people of Kathmandu to experience new things
If you love our concept and would like us to come in to finalize the deal terms, or if
you have questions, please contact us using the information below
Contact MeroDeal
Sunniv
Raunak
Agarwal
� Raunak can be e-mailed at [email protected] or called at 98412-82017
� Sunniv can be e-mailed at [email protected] or called at
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Sunniv
Shanker
Rajbhandary
� Sunniv can be e-mailed at [email protected] or called at 97510-03450
Remember, we only win if you win!
