Enhancing and Restoring Safety & Quality Cultures - Dave Litwiller - May 2024...
Identifying growth platforms
1. PROPRIETARY AND CONFIDENTIAL
Identifying growth platforms through a brand-driven innovation process
A case study on the Sci Fi channel
Michael Million
mmillion@fullsurge.com
University of Chicago
Graduate School of Business Innovation Roundtable
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2University of Chicago GSB Innovation Roundtable
Sci Fi Channel – Background
• A 14 year-old, niche cable channel offering
both syndicated and original shows
• Parent company: GE / NBC Universal
• Ranked #7 basic cable channel, after USA,
TNT, TBS, FX, SPIKE, and LIFE
• Revenues: $435 million (primarily from
licensing and advertising fees)
• Operating profits: 34%; Ratings growth: 8%
• Fully distributed in 88M U.S. homes, with
operations in Europe
• SciFi.com ranked #1 Sci-fi website
• Core audience: Older males, average age: 42
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3University of Chicago GSB Innovation Roundtable
Sci Fi Channel – Background
Strides to change perceptions were being
made (more contemporary shows / branding)
Although there were stereotypes of
the Sci-fi genre ….
Freaks, geeks, and pocket protectors
… Opportunities to become a “category
killer” existed
Space, aliens, dark / apocalyptical,
Star Trek
Sci-fi genre includes the top grossing movies
Others successfully grew beyond TV platform
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4University of Chicago GSB Innovation Roundtable
The Project
Business Strategy & Innovation
• Assess strategic business opportunities
• Formulate business cases for extending the Sci Fi brand through various concepts
• Identify new, innovative products and services the Sci Fi brand could offer
• Help prepare for S1M discussions (strategic planning process)
Brand Strategy
• Understand the sci-fi / fantasy genre from the consumer perspective
• Explore the potential extendibility of the Sci Fi brand beyond its core television platform
• Refine the brand strategy to allow for significant business growth with a target audiences
Objective:
Identify growth platforms by re-imagining the entire business and brand in
ways that significantly increase opportunities for expansion
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Approach
Art
Science
External Internal
Size New Businesses
Redefine the
Sci Fi Brand
Define Target
Segments
New Media
Consumer
Electronics
Travel &
Leisure
Retail
Explore New Offers
Growth Platforms
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Process
• Defining target consumers
• Redefining the Sci Fi brand
• Brainstorming offer concepts
• Narrowing in on attractive businesses
• Recommendations
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Sci Fi Segments
InvolvementNone High
Religion
Realists
16%
Escapists
16%
• 41
• Female
• $50K
• Married / Kids
• Low College
• Heavy TV
• Heavy Readers
• Love Fantasy
• 40 - 50
• Mothers
• Married
• Southern
• Moderate TV
• Light Internet
• Conservative
• Love God &
Family
• 31
• Male/Female
• $45K
• Single
• Ethnic. Diverse
• Heavy TV
• Heavy Gamers
• Love Thrills
Screamers
19%
• 27
• Male
• <$40K
• Single
• Ethnic. Diverse
• Heavy TV
• Heavy Movies
• Love Being
Scared
TV Snobs
17%
• 40
• Male/Female
• $45K
• Married
• Caucasian
• Light TV
• Readers
• Love Learning
Young
Marvels
16%
SciPhiles
16%
• 42
• Male
• $55K
• Married
• College
• Light TV
• Heavy Internet
• Love science
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Addressing shortfalls with the Sci Fi segments
• Segmentation based primarily on TV watching behaviors – tomorrow's segments will
have to be based on broader entertainment consumption
• There was limited future potential with how targets were defined (we did not know
enough about them outside of the TV / sci-fi categories)
• High potential groups (children) were not included in the segmentation
Address the shortfall
• We developed a hypothetical consumer framework more useful and actionable for
future offer development
• We validated and refined those hypothetical consumer groups with inputs from the
qualitative research
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Tomorrow’s target will:
• Look very different than today’s core viewing audience
• Skew considerably younger
• Move toward more of a gender balance, but might slightly skew male
• Consume more forms of entertainment (including digital) vs. traditional TV
• Have higher incomes and more sophisticated tastes
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Target Audiences
Adults Children
Young adults w/ no
kids (18 – 30)
Families w/
children 4 – 12
Tweens
(8 - 12 )
Young Kids
(4 – 8)
All large groups with significant purchasing power and/or influence
~ 35M (people)
~ $750B (total spend)
~ 35M (HH)
~ $1,650B (HH
expenditures)
~ 15M (people)
~ $85B (total spend)
~ 20M (people)
~ $105B (total spend on
kids)
§ Significant purchasing
power
§ Extremely tech savvy
§ Hungry for exploration,
self expression, sharing
of information and new
experiences
§ Many interested in sci-fi
related genres
§ Increasingly
influenced by
children
§ Increasingly
difficult to target as
interests within
family fragment
§ Significant influence on parents / family
§ Establishes a pipeline for future offers
§ Less likely to have limiting associations of “sci-fi”
§ Increasing buying power
§ Extremely tech savvy
§ Media-centric – they spend
6.5 hours/day online and/or
watching TV
§ Offers developed could be
leveraged into young adults
§ Has an affinity for the
unknown / sci-fi
§ Tech savvy
§ Heavy TV watchers
§ Heavy readers
§ Impressionable
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An iterative process to redefine the brand and determine the best
concepts to consider
• Development of
multiple offer ideas
from different
sources
• From: TV-centric
• To: a broader
definition to direct
future concept
development
• Combining multiple
ideas into bigger ,
broader, more
digestible concepts
• Packaging ideas to
generate
excitement and
elicit internal
feedback
• Overall Appeal
• Differentiation
• Brand Extendibility
Idea Generation
Brand
Redefinition
Concept
Development
Evaluation &
Prioritization
Diverge Converge
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Process
• Defining target consumers
• Redefining the Sci Fi brand
• Brainstorming offer concepts
• Narrowing in on attractive businesses
• Recommendations
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Idea Generation
Participants Internal
• Sci Fi
• NBC Universal
• Prophet
• Agencies
partners
Creative
Consumers
Pulled from
panels consisting
of creative
thinkers
Genre
Enthusiasts
Self identified
enthusiasts of the
Sci-fi genres
Methodology • Management
Interviews
• Channel Retreat
- over 50
internal
participants
• Full group
discussions and
break-outs
• 3 - 4 sessions
• Each group to focus on distinct
topics to provide breadth of ideas
• Warm-up – getting participants in
the right frame of mind (“all things
sci-fi”)
• Multiple techniques used
• Several short-burst discussions
Facilitators • Professional facilitator specializing in creative thinking,
innovation, and new product development
• Trained to strike appropriate balance between “blue sky”
ideation, and idea generation that is more pragmatic
Hundreds
of Ideas
& Brand
Insights
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Brand Definition & Concept Development
Brand Themes and Filters / Criteria
1. Be entertaining and fun
2. Be thought-provoking
3. Be mysterious / a little quirky
4. Be significant
Hundreds of Ideas & Brand Insights
Business Concepts
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Brand Theme: “Transform”
Transform
From - To
Moment-in-
time
Another
Realm
Role Playing
New
Experiences
Escape
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“Transform” Business Concepts
University of Chicago, GSB Innovation Roundtable Slide 16
• Brand a large plot of land, or
self contained property
• Stage fantasies for 6-8
people who share similar
fantasies
• Transport consumers to a
different time, place, under
an assumed role
• Sell take-home products,
subscriptions to an online
community
Fantasy Destinations
• A room within houses that
enables transformation to a
different time or place
• “Dynamic media wall”
• Additional accessories
(e.g., music, objects,
furniture) to enhance the
transformation
• Revenues from user fees
and media fees
Changing Room Interactive Role Play
• Sci Fi MMORP, based on
new sci-fi themes and
existing programs
• Participants subscribe to
game and purchase
characters and tools to
advance to higher levels
• Tie-into actual Sci Fi TV
content, with winners
determining the fate of
characters, outcomes
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Brand Theme: “Explore”
Explore
The
Journey
Uncover
Unknown
Discovery
Soul
Search
Mysterious
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“Explore” Business Concepts
• A kiosk that uses virtual reality
technology to provide users with
an exploration of the unknown
• Themes to include “time travel”
to numerous different
combinations of location and time
(e.g., space, the human mind,
etc.)
• Kiosks could be freestanding or
reside in a mall
• An overnight train ride that
stages an exploration of themes
relating to sci fi
• The staff, always in character,
interact with passengers to
facilitates exploration
• Periodic stops along the journey
brings the exploration to life
• Children and adult versions
Fantasy Train Virtual Reality Pods
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Brand Theme: “Create”
Create
Self-express
Enabled
Play
Personal
Connect
Community
Experiment
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“Create” Business Concepts
• Sci Fi stages themed social
events; includes creating party
entertainment kits
• Event planning that taps into
social trend of kid-designed,
creative entertainment
• Themes to include space
travel, extreme adventure,
special effects, alien abduction,
etc.
• Web-based, user-generated
story creation contest, using
tools from Sci Fi including video
clips, characters, sample scripts
• Consumers form virtual teams
and create a “finished product”
• The winning team has story
produced by Sci Fi into multiple
media forms
Networked Story-building Staged Events
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Qualitative research to gain insights on the Sci Fi brand and
business concepts
• 8 Total Groups (2 hour sessions)
• 3 U.S. Cities
• 3 types of participant make-ups, 8 participants each
• Trend-setting young adults w/ no kids (4 groups)
• Progressive adults with kids 4 – 8 (2 groups)
• Social Tweens 11 - 13 (2 groups)
• Key Topic Areas
• Attitudes, perceptions and behaviors relative to entertainment and sci-fi genres
• Reactions to business ideas (favorable or not, why, improvement modifications)
• Perceptions of Sci Fi brand (equity / extendibility relative to business ideas)
• Reactions to brand positioning platforms / identities
• Refinement of ideas (to increase their value, differentiation, and credibility to Sci Fi)
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Evaluation:
Appeal and differentiation were based on three things
+
• Fantasy Destinations
“If Sci Fi did an amusement
park”
• Immersion Pods
“It would have to be close to
home video games now –
high definition”
+
• Fantasy Destinations
“You can role play..you can
create…it’s a fun family
thing”
• Mind Bar
• Role Play Game
• Creativity Game
+
• Changing Room
“I can put anything I want
on it - even Johnny Depp”
• Role Play Game
• Fantasy Destinations
-
• Virtual Reality Gear
“Earlier versions were
crappy”
• HH of the Future
“A little out of reach; too
futuristic”
-
• Immersion Pods
“So isolating…it’d be more
fun if there were others to
interact with”
-
• HH of the Future
“It loses the appeal of home
– there is no comfort, no
warmth”
Believability Interactivity Customizable
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Evaluation:
Credibility came primarily from digital gaming and experiences
Digital Games Home ProductsEntertainment/Experiences
Networked
Story Building
(UGC)
Creativity
Game
(Education)
Mind Bar
(Restaurant)
Fantasy
Experiences
(Leisure/Travel)
Changeable
Living
Spaces
(Furnishings)
Immersion
Pods
(Virtual Reality)
Interactive Role
Play Game
(MMORPG)
Household of
Tomorrow
(Appliances/Design)
Bou-tech
(Retail)
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24University of Chicago GSB Innovation Roundtable
Based on the insights, we refined what the brand should stand for in
the future
Fueling the
Imagination
From To
For those with curious minds and a love for entertainment, Sci
Fi is the lifestyle brand that allows consumers to escape to new
realms through continuous transformative experiences
Transformative Escapes
OptimisticMind-blowing Immersive Wonderfully
Eccentric
The Sci Fi Experience The Sci Fi Personality
Human
Stimulating
High-Quality
Risk-taking
Smart
Relatable
Inviting
TV-Centric Experiential (at home, on-the-go, destinations)
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25University of Chicago GSB Innovation Roundtable
Process
• Defining target consumers
• Redefining the Sci Fi brand
• Brainstorming offer concepts
• Narrowing in on attractive businesses
• Recommendations
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26University of Chicago GSB Innovation Roundtable
Category Distillation
1. Aerospace & Defense
2. Agriculture
3. Auto. & Transport
4. Banking
5. Beverages
6. Business Services
7. Charitable Orgs.
8. Chemicals
9. Computer Hardware
10. Computer Services
11. Computer Software
12. Construction
13. Consumer Products
14. Consumer Services
15. Cultural Institutions
16. Education
17. Electronics
18. Energy & Utilities
19. Envt. Svcs, & Equip.
20. Financial Services
21.Food
22.Foundations
23.Government
24. Health Care
25. Industrial Mfct.
26. Insurance
27. Leisure
28. Media
29. Membership Orgs.
30. Metals & Mining
31. Pharmaceuticals
32. Real Estate
33. Retail
34. Security Pdcts & Svcs.
35. Telecom. Equipment
36. Telecom. Services
37. Transportation Svcs.
Started with 37 SIC codes
Media
Consumer
Products
Leisure
Ended with 3
Categories
B2C
Entertainment
or Educational
Lifestyle
Oriented
Sci Fi Screens
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Related Industries – Opportunity Landscape
• Conventions
Accessories
• Mobile
• merchandise
Gaming Hardware
• Consoles, devices, PCs
• Gaming gear
Home Appliances
• Sci Fi inspired
smart appliances
Ready to Assemble
• Changeable
Living Spaces
HH of tomorrow
Architectural
Lighting
• Illuminated
wallpaper
Lighting units
• Line of floor,
desk & wall lights
Technology enabled
apparel & jewelry
• Multi-function
wearable device
• Bou-tech
Multiple IPTV
channels
Service
Provider
Content Extensions
• ringtones &
Ring backs
• Wallpaper
• Text Alerts
Hotels & Resorts
• Fantasy
Destinations
Amusement
Parks /
• Fantasy
Destinations
• Arcades / FECs
Gaming Software
• Video Games, Online Games,
Mobile Games, Computer games
• Interactive Role Play Game
• Creativity Game
Home Storage,
Org. Products, &
accessories
Audio Video
Equipment
• Media Wall
• Immersion
pods
Internet / Digital
Music Distribution
& Downloads
Cable TV
Broadcast
TV
Production &
Distribution
Motion Picture
Production &
Distribution
(long format)
Travel
Services
• Staged events
Leisure
MusicMedia
Consumer
Products
(non-retailing)
Commemorative
Products
Television
Film &
Video
Book
Publishing
Periodicals
• Online story-
building
Trading Cards
& Comic Books
Digital Content
Distribution
Online
story-buildingPublishing
Consumer
Electronics
Toys &
Games
House wares
Home
Furniture
Lighting
Appliances
Apparel &
Jewelry
Lodging
Entertainment
Specialty Eateries
• Mind Bar
Restaurant & Cafes
Training
Services
(support)
Mobile
8
7
6
5
4
3
2
1
3 Categories
18 Industries, 8 high priority
36 sub-industries, 13 high priority
(darker backgrounds)
Concept bundles from bottom-up
exploration
#
Abcd
Opportunity Landscape
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Industries were profiled across key dimensions
Entertainment - Theme
Park (Experience/Ride)
Restaurant
(Themed Full Service )
Lodging
(Mid-Level Hotel)
Entertainment
– Conventions
Entertainment –
Arcades / FECs
Economics § $11.3B market
§ 3% CAGR
§ 20-30% op. margin
§ Avg. $67 for one day ticket /
$115 for multi-park
§ $510 (total), $174B (themed
restaurants)
§ 6-7% CAGR
§ 10-20% op. margin
§ Avg. HH spend / year: $2,434
§ $121B (total), $42M (mid-
level)
§ 5% CAGR
§ 35-35% op. margin
§ Avg. spend for leisure: $85 -
90 / night
§ $10.8B market
§ 5% CAGR
§ Low op. margins
§ $1.4B market
§ (2-3%) CAGR
§ 10% avg.op. mgns.
§ Wide range of op.
margins fr. 0 – 17%)
Market
Outlook &
Trends
§ Mature, saturated market w/ low
growth and limited revenue
opportunity
§ High OPEX required, as an
operator
§ Industry in transition
Revenue drivers:
§ Admission fees (55% of
revenue), then food, games,
and merchandise
Trends
§ Increasingly sophisticated (and
costly) rides – more immersive,
interactive
• Mature, saturated market w/ low
growth and limited revenue
opportunity
• Difficult business to sustain
growth (23% restaurants fail by
year one, 60% by year three)
Revenue drivers
• Traffic, revenue per table, high
margin items (i.e., dessert,
liquor)
Trends
§ Migration from price to
experience (“eater-tainment”)
§ Less expansion, more
remodeling / re-invention
§ Mature market w/ low growth
§ Higher rev. generation
opportunity
§ High OPEX required, as an
operator
Revenue drivers:
§ Occupancy and room rates,
other services (food, spa)
Trends
§ From function to experience
§ Many competitors reinventing
offers with design, ingredient
brands (Heavenly, Bliss)
§ Slowly growing
market with low op.
margins
§ Coordination
intensive
Revenue drivers:
§ Qty. of shows /
fees, growth in
segment
Trends
§ Increased role of
conventions as
promotional tools
§ Small, declining market
w/ stagnant prices
§ Severe competition from
substitutes (in-home &
mobile video games)
Revenue drivers:
§ Games, admission fees,
repeat attend.
Trends
§ Decreased availability of
new games
§ Neg. public image
Competition § Top five operators account for
most indust. revenues)
Critical Success Factors:
§ Location (near large tourist
destinations)
§ Continuous innovation
§ Ability to bundle services
§ Access to capital
§ Brand reputation
Major players:
§ Disney: 48%, $5.4B
§ Universal: 10%, $1.1B
§ Six Flags 10%, $1.1B
§ Anheuser-Busch 10%, $1.1B
§ Highly fragmented, regional,
multiple entrants and exits
Critical Success Factors:
§ Differentiated offering
§ Location
§ Access to capital
§ Op. & HR management
§ Recognized brand
Major players:
§ McDonalds: 1.4%, $7B
§ YUM!: 1.2%, $5.9B
§ Darden: 1.2, $5.7B
§ Wendy’s: 0.5%, $2.4B
§ Landrys 0.3%, 1.2B
§ Somewhat fragmented
Critical Success:
§ Advantage comes
§ Differentiated offering
§ Location
§ Access to capital
§ Op. management
§ Strong brand portfolio
§ Loyalty programs
Major players (%- rooms):
§ Cendant: 9.9%, $3,.3B
§ Marriott: 8.7%, $11.5B
§ Hilton: 8.1%, $4.4B
§ Starwood: $5.9B
§ Highly fragm., few
large operators
assoc. w/ major
centers
§ Low entry barrier
§ Accounts for 1/3 of
hotel revs.
Critical Success:
§ Strong planning /
coordination
§ Alliances
§ Word of mouth
Major players:
§ The Freeman Co.:
9.3%, 1B
§ Fragmented: largest
eight account for <30%
of revs.
§ High fixed cost and
capital expenditures
Critical Success:
§ Location
§ New games
§ Control on op. exp.
Major players:
§ D&B: 25%, $0.4B
§ Chuck E. Ch.: $0.7B
§ Game Works: 4%, $60M
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Each industry was scored to determine attractiveness
Entertainment / Other Restaurants Lodging (Hotels)
Amusement Parks Conventions Arcades / FECs
Financial
Objectives
(revenue &
profit potential)
§ Moderate size ($11.3B)
§ Slow growth (3%)
§ Healthy op. margins (15%)
§ High fixed costs
§ Moderate size ($10.8B)
§ Slow growth (5%)
§ Low op. margins
§ Small market ($1.4B)
§ Declining (-2-3%)
§ High failure rate
§ High fixed costs
§ Large market ($510B)
§ Slow growth (6-7%)
§ High failure rate (60%)
§ Limited rev. potential
§ Large market ($121B)
§ Slow growth (5%)
§ High op. margins
§ High OPEX
Business
Strategy
(alignment w/
strategy)
§ Limited potential to broaden
viewer ship but high potential to
monetize brand
§ Will diversify business well
§ Very synergistic w/ other offers
and Universal
§ Limited potential to broaden
viewer ship or monetize
brand, but relatively easy to
enter
§ Not as diverse as others,
more for mktg. than rev.
§ Limited potential to
broaden viewer ship or
monetize brand
§ Could diversify bus. &
increase exposure, only
if large scale
§ Limited potential to
broaden viewer ship
§ High potential to monetize
brand
§ Will diversify business
§ Somewhat synergistic
§ Limited potential to broaden
viewer ship
§ High potential to monetize
brand
§ Will diversify business
§ Somewhat synergistic
Brand
Strategy
(reinforces
future
aspirations)
§ Very good oppty. to be
“transformative” / immersive /
fun / unique
§ Good oppty. to change limiting
perceptions of Sci Fi
§ Natural fit wit the brand
§ Limited potential to be
“transformative” /
immersive
§ Risk of perpetuating current
brand image
§ Won’t help change
percpetions
§ If executed well, can be
“transformative” /
differentiating
§ Neg. perceptions of
industry could reflect
poorly on brand
§ If well executed, can be
“transformative” / diff.
§ Oppty. to change limiting
perceptions of Sci Fi
§ Food elements could
diminish “escape”
§ If well executed, can be
“transformative” / diff/
§ Oppty. to change limiting
perceptions of Sci Fi
§ Current perceptions might
limit trial
Target
Segments
(fit with target
segments)
§ Very good fit with target’s
preferences & behaviors (avg.
age: 25 – 44, esp. families)
§ Captive audience (avg. stay is
5.3 nights)
§ Increasing interest by adults
(1/2 of those visiting Disney
World) , rejuvenile phenom.
§ Good fit with target
(families, tweens), but
limited exposure to mass
audience
§ Conventions for sc-fi
related content is growing
in popularity
§ Trends moving away
from entertainment ctrs.
and more toward themed
restaurants (eater-
tainment) and in-home /
mobile games
§ Possible oppty. with
tweens, but untested
§ Very good fit with target’s
preferences & behaviors
§ Increasing spend and
traffic of families
§ Increas. popularity of
themed eater-tainment
restaurants w/ families
§ Good fit with consumer
trends (blend of uses –
lifestyle oriented)
§ Those who choose a
destination based on a TV /
Movie more likely to be
younger, higher income,
college educated, w/ children
Overall
Attractiveness
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We then developed financial models for each industry
Aggressive Scenario
INCOME STATEMENT
Revenues
Cost of Goods Sold
Gross Profit
Gross Margin
Operating Payroll
Operating Profit
Operating Margin
CASH FLOW PROJECTIONS
Operat. Cash Flow
Capital Expenditures
Net Cash Flow
OPEARTING DATA
FIXED ASSET DATA
Total Investment
Moderate Scenario
INCOME STATEMENT
Revenues
Cost of Goods Sold
Gross Profit
Gross Margin
Operating Payroll
Operating Profit
Operating Margin
CASH FLOW PROJECTIONS
Operat. Cash Flow
Capital Expenditures
Net Cash Flow
OPEARTING DATA
FIXED ASSET DATA
Total Investment
1
Established
appropriate line
item details for a
5-year pro forma
Conservative Scenario
Year 1 Year 2 Year 3 Year …
INCOME STATEMENT
Revenues
Cost of Goods Sold
Gross Profit
Gross Margin
Operating Payroll
Operating Profit
Operating Margin
CASH FLOW PROJECTIONS
Operat. Cash Flow
Capital Expenditures
Net Cash Flow
OPERATING DATA
FIXED ASSET DATA
Total Investment
2
Determined scenarios to
model conservative to
aggressive projections
3
Made educated assumptions for key financial
inputs based on secondary industry data from
analogous companies and offers
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Process
• Defining target consumers
• Redefining the Sci Fi brand
• Brainstorming offer concepts
• Narrowing in on attractive businesses
• Recommendations
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Six platforms to grow the business
Non-Media Related ($15MM: License: $12MM, Memberships: $3MM)
Online gamin ($5MM) Mobile ($5MM)
Programming for Youth Market ($15MM Ads)
Home – Sci Fi Surround ($20MM)
Low-hanging Fruit – Extensions ($30MM)
Media Related ($15MM: $6MM License, $9MM Content)
Custom Devices ($20MM license)Media / Gaming Content ($10MM)
Mobile – Sci Fi Jolt ($30MM)
International Extensions ($40MM)
Low-hanging Fruit ($30MM)
Gaming – Sci Fi Blast ($85MM)
Video Games
($10MM
Licensing)
Online Games ($60MM)
(Content: $50MM; Ads: $10MM)
Destination
Games
($15MM
Licensing)
Household Products ($10MM Licensing) Multi-media Home Theater ($10MM Licensing)
Children Adults
1
6
3
2
5
4
33. SUBSECTION TITLE
33University of Chicago GSB Innovation Roundtable
The expected revenue growth from these opportunities is $220 MM
over the next 5 years
Sci Fi
Channel
(20XX)
Low-hanging
Fruit
Gaming
(Sci Fi Blast)
Home
(Sci Fi Surround)
Total 20XX
$0
$500
$750
$436MM
$720 MM
$MillioninRevenues
Mobile
(Sci Fi Jolt)
InternationalSci Fi Channel
Incremental
(20XX-20XX)
$64MM
$250
$30MM
$40MM
Video &
Destination
($25MM)
Online
($60MM
)
HH
Products
($10MM)
Multi-media
home
theater
($10MM)
Devices
($20MM)
Content
($10MM)
Youth market
programming
$15MM
§ DVDs
§ New Broadband Channel
§ Digi-sodes
§ Print Publishing
§ Mobile extensions
§ Toys & games
§ Accessories
§ Consumer electronics
§ Logo-wear apparel
§ Conventions
§ Clubs
34. SUBSECTION TITLE
34University of Chicago GSB Innovation Roundtable
Developments driven by our recommendations
Gaming
• Compiled list of 40 potential acquisition/partnership
target based on following criteria:
1. Specializes in games that appeal to SCI FI audience
2. Develops games across platforms
3. Is of a manageable size allowing for rapid acquisition
4. Has track record of releasing successful games
5. Has operations in close proximity, with similar culture
6. Has publishing experience/capabilities
Low-hanging Fruit Extensions
• New Broadband channels:
• Exploring creation of “Sci Fi classics”
broadband channel utilizing public domain genre
programming
• SCI FI Anime – early stage exploring acquiring
or partnering with existing library companies
• Print Publishing:
• Structuring deal with Hollywood Entertainment (book
packager) for novelizations of SCI FI Pictures movies
• SCI FI mobile storefront being developed
through NBCU Digital team (content to include
ringtones, wallpapers, games - launching X)
• “Digi-sodes” – Establishing a MGM/Stargate
deal for iTunes/Amazon
International Extensions
• Soon to launch in Scandinavia, Australia
• Developing Asia, Latin America
• Structuring a global brand management
infrastructure
Programming for the Youth Market
• Kids
• Exploring Joint Venture with BKN to create a Sci Fi
branded Saturday morning on-air programming
block and corresponding broadband portal - to
include ad sales (on-air, online), DVD & licensing/
merchandising
• Youth/Young Adults
• Negotiating Joint Venture with Virgin Comics - initial
scope to co-develop/own 5 properties to be executed
as comic books, then owned asset to develop TV, film
merchandise efforts.
35. SUBSECTION TITLE
35University of Chicago GSB Innovation Roundtable
In Conclusion
• Brands are very important to consider when innovating - they can
either be a source of inspiration or limiting factor of inflated ego
• Brands are typically more or less credible in entering new businesses / offerings than
companies think they are
• Rarely do companies know exactly how far their brand can / should stretch as they
innovate for white space opportunities
• Flexibility around process is also important
• A iterative art / science and top-down / bottom-up approach can garner the best
results, but an overly structured approach could limit uncovering the best insights
36. SUBSECTION TITLE
36University of Chicago GSB Innovation Roundtable
Michael Million Bio & Contact Information
Michael is a partner at FullSurge, a management consultancy focused on driving growth through
brand, marketing and innovation strategies. He has over 20 years experience advising companies on
customer, brand, and go-to-market strategies, as well as the communication and design systems
driven by those strategies. Michael’s ability to solve a broad set of underlying business challenges
comes from his extensive knowledge of insight methodologies, conceptual and strategic skills, and
ability to clarify the complicated.
Prior to FullSurge, he was a partner at VSA, where he built the agency’s strategy practice to address
broader business issues of its clients. Prior to VSA, Michael held senior level positions at top tier
brand consultancies including Prophet and Landor Associates. Throughout his career, Michael has
successfully led large engagements for a wide variety of Fortune 500 clients including GE, IBM,
DuPont, Boeing, CDW, Cargill, Textron, KeyCorp, Kohler, and United Airlines, as well as mid-sized
companies such as the College of American Pathologists, Sea Ray Boats, the Syfy Channel, and the
Blue Bird Bus Company.
Michael has guest lectured on branding and strategy at the Kellogg Graduate School of Management
at Northwestern University and Haas Business School at University of California, Berkeley. He has
facilitated workshops for the American Management Association, was a panel member for high-
ranking business schools, and has frequently spoken at Board Meetings for his clients.
mmillion@fullsurge.com
312-957-5801
312-498-1515 C