1. spark! Culture Cave Business Plan
Aysegul Kacar Allison Leach Shalini Sardana Lisa Woods
California College of the Arts | Business of Design | Spring 2012

2. Industry Overview
Current Market Trends
Children are overloaded with entertainment options. From comic books to
iPad games, the landscape for toys is vast and varied. Ours is a unique time
period in which traditional hands-on games compete with novel interactive
software.
Yet the ways in which children learn about culture are often via disparate
and disconnected experiences. A child’s first encounter with a foreign
country might take place in trying a new food or listening to a new song.
Maybe he or she will complete a Google search afterwards, or ask a trusted
adult to learn more. But chances are, the child’s learning experience is
short-lived and incomplete.
Few products on the market take advantage of today’s unparalleled
opportunity space to integrate traditional and modern interactive tools in a
cultural transmedia learning experience.
The Missing Link
Children are curious about new cultures and enjoy a mix of entertainment
options, from non-tech to tech.
Parents want to teach their children about the world, but have limited
knowledge and time.
Culture Cave offers a holistic transmedia learning experience?
2 spark! Culture Cave
Discovery
Learning
Disconnect

3. spark! Culture Cave 3

4. 4 spark! Culture Cave

5. The Solution: Culture Cave
spark! Culture Cave 5
Our Value Proposition
The spark! Culture Cave is a cultural immersion experience for kids between
the ages of 6 and 10.
At the core of this idea is:
• an iPad app that features a new traditional story each month.
The culturally-rich story provides context for a wealth of ancillary
information, games, and activities included in each app.
• a sound-equipped tent with Velcro walls that kids can decorate with a
world map, architectural cut-outs, and other country kit materials. This is
a place a child can claim as a kids-only cool hangout.
• monthly country-specific activity kits filled with open-ended, and
hands-on activities that a child will look forward to
We at spark! believe that the best way to teach kids about culture is through
traditional stories enhanced by interactive, open-ended, and hands-on
activities that spring from that narrative.
Our Mission
To be the leading provider of fun, holistic, immersive and interactive cultural
education for children.
Our Vision
To help raise the next generation of global citizens.
Our Values
We will always put kids first.
We will provide multicultural education that is fun and promotes respect.
We will encourage children to continuously explore and question.

6. target market
Current iPad Market (US)
• Parents own approximately 61% of all iPads.
• In 2012, parents owned 25.5 million iPads.
• Overall iPad ownership is on the rise­­­with
a
projected 31% growth by 2014. The total
number of iPad-owning parents will likely
increase proportionally to 37 million by 2014.
• Approximately 40% of all school children in
the US are between the ages of 5 and 9.
• We thus estimate our total market—iPad
owning parents with children between the
ages of 5 and 9 in the US­—
to be around 10
million.
• Of that population, we will target 1 million
people in Phase 1.
Sources:
New Media Trend Watch, April 2012
The Financial Telegraph, April 2012
National Center for Education Statistics, 2011
New Media Trend Watch, April 2012
The Financial Telegraph, April 2012
6 spark! Culture Cave
projected
iPad users
( 2014 )
all iPad owners
( 2012 )
iPad owning
parents
( 2012 )
our target
market
60.8 million
41.9 million
25.5 million
1 million

7. spark! Culture Cave 7

8. research
iPad User Experience Trends Among Professionals
IDG Connect “iPad for Business Survey 2012,” January 16th, 2012
• 60% of iPads never leave the home (US).
• 70% of iPad usage occurs in the living room (US).
• 79% of professionals say they “always” use their iPad on the road
(globally).
• The proportion of professionals who describe their iPad as a “complete”
or “partial” substitute for TV/DVD players, games consoles and MP3
players ranges between 30% and 40% (globally).
• Nearly 75% say that owning an iPad has reduced the frequency with
which they purchase newspapers and books (globally). Half say that
owning an iPad means they are less likely to purchase films on DVD.
These markets for physical media are already in decline. Based on this
evidence, tablet computing will likely hasten their demise.
Tablet Spending Trends (US)
Adobe Digital Marketing: The Impact of Tablet Visitors on Retail Websites, 2012
• In an analysis of 16.2 billion visits to the websites of more than 150
retailers in 2011, Adobe Digital Marketing Insights found that those who
visited using a tablet spend over 50% more per purchase than visitors
who use smartphones, and over 20% more than visitors who use desktop/
laptop computers.
• Tablet visitors appear to spend more because of their demographics, the
nature of the tablet user experience, and the environment in which they
shop online.
8 spark! Culture Cave
2012 Tablet Market (US)
Wired Magazine, January 6, 2012
• Apple holds 73% of the U.S. tablet marketshare.
2012 iPad Demographics (US)
Silicon Republic, February 17th, 2012
• A study from The NPD Group suggests that iPad owners are older and
richer than other tablet owners.
• Of survey respondents who have an income of US$100,000 or more,
40% owned iPads and 26% owned other types of tablets.
• Consumers who were buying tablets towards the end of last year were
50% more likely to have an income of less than US$45,000, while 33%
were more likely to be under 34 years old, CNET reported.
2011 iPad Demographics (US)
Journalism.org, “The Tablet Revolution,” October 2011
• Eighteen months after the introduction of the iPad, 11% of U.S. adults
now own a tablet computer of some kind.
Apple Headlines, “iPad Statistics,” April 2011
• 7.8 million people own an iPad in the U.S.
• iPad owners’ annual income:
6.4% less than $25K
11.9% $25K to $50K
15.9% $50K to $75K
16.4% $75K to $100K
49.4% above $100K

9. spark! Culture Cave 9

10. Stop-animation setup at
the Children’s Creativity
Museum, San Francisco
10 spark! Culture Cave

11. competition
spark! Culture Cave 11
Kiwi Crate Little
Passports
National Geographic
Magazine for Kids
Children’s
Creativity Museum Culture Cave
Primary
Offerings
Monthly subscription
of materials for arts and
crafts, science activities,
and open-ended play
For kids ages 3 to 7
$19.95/month
Monthly subscription of
materials focused on learning
about other countries
For kids ages 5 to 10
$10.95 to $13.95/month
Monthly magazine with
information about animals,
science, technology,
archaeology, geography,
and pop culture - plus jokes,
games, and activities.
For kids ages 6 to 14
$15.00/10 issues
An interactive art and
technology museum for kids
For kids ages 3 to 12
Memberships range from
$69 to $159/year
Monthly subscription of
materials that encourage
learning about
foreign cultures
For kids ages 5 to 10
$35 to $45/month
Strengths
Founded by a former eBay
and PayPal executive, a
PayPal cofounder, and an
ex-Yahoo product manager.
Kits address specific
developmental areas
such as creating,
moving, discovering,
communicating, and caring.
Activities encourage
parent involvement
Includes a letter from
fictional travelers Sam
and Sofia describing their
foreign country adventures
Subscription includes
access to online games
and activities
Little Passports offers
parents an “Agent
Opportunity.”
Agents earn up to 30%
of all personal sales.
Kids have free online access
to games, videos, photos,
“fun stuff” and news.
National Geographic is
a well-known and well-respected
brand.
National Geographic has
been in business for 35 years
and has strong brand loyalty.
The museum offers many
hands-on activities.
Membership includes:
• e-newsletter
• exclusive members-only
events
• workshops, exhibit
openings and special
performances
• museums store discounts
• carousel rides discounts
• birthday party discounts
at the museum
Culture Cave offers
a dedicated sound-equipped
play space,
iPad-based games and
hands-on activities.
Kids can share their
favorite work online.
Parents have access to a
rich online community.
Activities are designed for
both parent and child, as
well as for the child only.
Weaknesses
Kiwi Crate doesn’t address
cultural education.
Kiwi Crate has no integrated
digital component, no
online community, and no
dedicated play space for kids.
Little Passports mostly
appeals to girls.
Little Passports has minimal
online digital content, no
sharing community, and no
dedicated play space for kids.
National Geographic’s
magazine has little
content and lots of
advertising for candy,
video games, and movies.
The museum has limited
hours from Wednesdays to
Sundays, 10am to 4pm.
Activities are not
designed to involve both
parents and kids.
The Museum doesn’t
address cultural education.
Culture Cave costs
more than most
subscription products
for kids.

12. Product
2 Receive your Setup Kit Your Setup Kit will arrive in a
couple of weeks. It includes the Culture Cave tent, a world map, a
passport, and instructions for the iPad app.
12 spark! Culture Cave
1 Sign Up Online We offer 3 monthly subscription levels.
3 Receive your Monthly Country Kit The Monthly Kit
includes a traditional story, hands-on activities, and an iPad app
secret story code. Each month, a new country is featured.
Kids like cool hangouts, they want your iPad, and
they love getting surprises.
Imagine teaching kids about cultures from around
the world in a cool hangout, through interactive
iPad games and many fun hands-on-activities.
Here’s how it works:

13. spark! Culture Cave 13

14. 14 spark! Culture Cave

15. product
The Unique iPad App
Unlike other subscription products for kids on the market, the Culture Cave
App leverages the iPad’s video, audio, interaction, and camera functionality
to deliver an immersive and holistic cultural educational experience. The Coolest of
spark! Culture Cave 15
A Variety of Proven Activities
Kids can do Culture Cave activities on their own or with their parents or
friends. Our activities are created by native country experts and then vetted
by educators, parents, and kids.
Hangouts
No other subscription service
offers Culture Cave’s tent—a
place kids can claim as their
own, and where they can enjoy
an immersive audio experience.
A Vibrant Online Community
The Culture Cave website hosts a Forum for parents to share experiences
and ideas, a Gallery for kids to upload their favorite works, and a Cultural
Event Calendar to learn about upcoming happenings.

16. consumer journey map
16 spark! Culture Cave
DISCOVER
Other parents
Facebook mentions
Twitter mention
Mommy blogs
and other bloggers
Scholastic catalog
Google SEO
YouTube videos
Trial subscription for educators
iTunes App Store search result
spark! local launch event
spark! blog
spark! community upload page
Press releases for media
mention (NYT, SF Gate, etc.)
Parent’s
Experience
Friend mention
YouTube video
School event
Teacher mention
Parent mention
Child’s
Experience
EVALUATE
Google search
spark! website
Mommy blogs
Free spark! app sample
Customer testimonials
spark! representative in person
spark! information packet
Exterior packaging
(Phase 3 retail)
DECIDE
Choose a plan
(3-, 6-, or 12-months)
30-day money back guarantee
Choose 1 of 3 countries
(Phase 3 retail)

17. spark! Culture Cave 17
OUT-OF-BOX
Easy to set up and get started
High parental involvement
Both kid(s) and
parent(s) involved
Thrill of “gift” coming in the mail
Simple tasks child can do
Carrying case for the tent
and accessories
30-minute setup
Download app
Watch online video on
tablet for setting up tent
USE
Parents note kids are more
informed and inquisitive
Activities bring parents and
kids together
Kids sharing with parents
their creations
Using code to download
new country app
Parents arrange playdates with
other “Culture Cavers”
SHARE
Comment on spark! forum
Facebook/YouTube/Twitter
mentions
Blog posts
spark! community upload page
iTunes review
word-of-mouth
Review country on spark!
website
Teacher recommendations
Both kid(s) and parent(s)
involved
Thrill of “gift” package
coming in the mail
Simple tasks child can do
Carrying case for the tent
and accessories
spark! Gallery (showcase of
kid-generated work)
word-of-mouth
Kids sharing activities
with each other
CONFIRM
Open access to spark! forum
Confirmation
email from spark!
1-week welcome
notification postcard
1-week welcome
notification postcard

18. Branding
18 spark! Culture Cave
Color Palette
Brand Attributes
Culture Cave Logo
Brand Typeface
spark! Logo
cheerful inspiring insightful
curious surprising creative
silly trustworthy
Brandon Grotesque:
Thin Light Regular
Medium Bold Black
spark!
spark!

19. MARKETING
Awards
To raise awareness for Culture Cave and earn our customers’ trust, we will
enter top toy competitions such as:
• Parent’s Choice Award
• Good Housekeeping’s Best Toy Awards
• National Parenting Center Awards
We will also strive to be featured in the top app lists of premier tech product
review destinations such as:
• Wired’s App Guide
• CNET.com
Events
We will participate in different activities and events throughout the year
such as storytelling events, play dates, and school book fairs, as well as major
toy, technology and educational conferences.
iTunes
We will have an iTunes App Store page for downloading our basic app.
spark! Culture Cave 19
Our Website
One of the main touchpoints where our customers will learn information
about us and interact with us will be our website. In addition to product
details about the Culture Cave, we will also prominently feature:
• videos and photos from our customers
• a Gallery for kids to upload their favorite work
• a private Forum for parents to actively contribute to the Culture Cave
community by sharing their stories and experiences. This sharing will
allow us to get feedback directly from our users to improve our product.
• a Cultural Event Calendar for upcoming events and announcements
• a blog
Social Media
Facebook, Twitter, YouTube, and Pinterest
spark! Culture Cave will use the power of social networks to raise awareness
among our future customers. Facebook and Twitter will be utilized to
inform people about promotions, surprise packages, events and activities.
Social sharing will be encouraged via multiple social media channels with
conveniently located buttons. A public YouTube channel will be created for
our customers to post videos about their unique experiences.

20. marketing
Advertising
spark! Culture Cave will run advertisements in different media channels
such as travel and family magazines, mommy blogs, Scholastic catalog and
children-focused websites.
Complimentary sample kits
We will reach out to top media reviewers and educators and provide them
with free samples to test our product and generate buzz.
Word-of-Mouth
Our customers will also learn about us through different personal
social circles such as from children’s classmates, teachers, friends, and
other families.
“Imagine traveling all
over the world from the
20 spark! Culture Cave
same place!”

21. BUSINESS MODEL
Our Core Capabilities
• We are excellent UX designers who have unique international
backgrounds for building multicultural education.
• We are modern strategists who know how to integrate familiar media
with emerging technologies in an innovative way.
• We are culturally-sensitive education planners whose enthusiasm for
teaching kids about new countries respects the inherently complex
nature of cultures.
Our key partners
• Content creators: authors, editors, illustrators, and programmers.
• Manufacturers of physical materials: tent, arts and crafts, etc.
• Distributors: in addition to our own website, we will be selling our product
through Amazon and Scholastic catalog.
spark! Culture Cave 21
Who do we serve?
• Elementary school kids
• Parents of elementary school kids who have a high disposable income
• Elementary school teachers, administrators, and librarians
What do we provide?
• Holistic and interactive cultural learning experiences for children
• Our products educate kids about other cultures while they have fun

22. BUSINESS MODEL
How we provide our product
Our distribution channels
To begin, we will sell Culture Cave through our own website, Scholastic
catalog and Amazon. As business picks up, we will increase our tablet
compatibility to include non-iPad platforms. Finally, we will extend our
distribution channels to include existing stand-alone retail stores, and create
a Culture Cave retail store.
How our customers will discover us
• spark!’s website
• Social media (Facebook, Twitter, Pinterest, YouTube)
• Events (from school book fairs to major toy, technology and educational
conferences)
• Scholastic magazine
• Amazon.com
• iTunes App Store
• Ads and reviews in various media channels
• Word-of-mouth
How our customers will interact with us
After submitting an order, the parent will receive a confirmation email with
a link to spark!’s website for online access to discussion forums and other
activities.
22 spark! Culture Cave
One week before shipment, the parent and child will receive a welcome
postcard informing them that their initial Culture Cave package is on its way.
When the package arrives, the parent and child will receive a code to
download the Culture Cave app. In addition to downloading each month’s
country story on the app, the parent and child can also access the Culture
Cave community using the app.
After experiencing our products and services, members can visit the spark!
website to write their feedback and comments in private forums and share
their videos and photos.
One week after the last country kit has shipped, the parent and child will
receive a goodbye postcard to thank them for their service and encourage
subscription renewal.
Our Competitive Advantage
How we are different
spark! Culture Cave is a unique experience shared by both the child and
parent. While many culture-related products have only one means of
interaction, our product is accessible on various levels (multisensory and
multimedia), as well as accessible in different environments (the tent, the
home, or even the car).
Our sustainable advantage
Other companies could reproduce the Culture Cave tent, activities, or the
iPad app individually. However, they cannot offer the seamless connection
between our physical and digital components created by a valuable team
of writers and artists native to each country. This holistic approach is our
valuable asset.

23. How we make money
We charge our customers for the initial setup kit, as well as monthly country
packages and tablet content.
Our major costs include:
• Software application development
• Website development
• Payroll
• Marketing
• Fees to Scholastic catalog for distribution
• Materials (tent, Velcro background, country kit materials, and passport)
• Fulfillment (packing, mailing, assembly, and warehousing)
• Content development
• Platform compatibility and version updates
• Patents for our technology and tent
spark! Culture Cave 23
Subscription Plans
We offer three subscription plans. Customers have the option of purchasing
either a 3-month, 6-month, or annual subscription.
3 months
6 months
12 months
$45 per kit
$40 per kit
$35 per kit
3 countries
6 countries
12 countries

24. FINANCIALS
24 spark! Culture Cave
Annual Budget
YEAR ONE YEAR TWO
Revenue $ 499, 875 $ 999,750
Service Costs $ 156,000 $ 312,000
Overhead costs
Salary and
Administration $ 195,000 $ 195,000
Marketing $ 78,000 $ 117,000
Vendor Relations $ 74,981 $ 149,962
Support $14,996 $29,993
Total Costs $518,978 $803,955
Annual Income ($19,103) $195,795
Startup Costs $207,000 —
Gross Profit Margin — 24%

25. spark! Culture Cave 25
Revenue Projections
The average price for a kit is $40.
Having shipped 250 kits per week by the end of Year 1, spark! Culture Cave
will generate $499,875 in revenue.
With an estimated of growth rate of 100%, revenue is projected to reach $1
million by the end of Year 2. Due to this growth, spark!’s annual income will
increase from a loss of $19,103 to a net profit of $234,795.
Budget Distribution for Year Two
36% Salaries and Administration
15% Marketing and Public Relations
14% Vendor Relations
3% Support
30% Cost of Services
0% Annual Income
20% Salaries and Administration
12% Marketing and Public Relations
15% Vendor Relations
3% Support
31% Cost of Services
20% Annual Income
Budget Distribution for Year One

26. COMPANY GROWTH
26 spark! Culture Cave
Future Projections
End of Year One
We plan to sell 12,500 kits in Year One.
End of Year Two
We plan to double our sales to 25,000 kits in Year Two.
Plan of Action
PHASE 1
In Phase One, we are planning to sell our product to middle-class parents
who live in the US and own an iPad, at a cost of $12 a kit and a goal of 250
kit sales per week. We will be selling through our own website, Scholastic
magazine, and Amazon.
PHASE 2
In Phase Two, we will develop software compatibility with other tablets and
establish partnerships with gaming platforms such as Wii. We will introduce
a Netflix-style queue to allow parents and kids to arrange their own list of
countries.
PHASE 3
As our business picks up, we will extend our distribution channels to include
retail stores such as bookstores, airports stores, museum stores, toy stores and
specialty stores - and eventually implement a stand-alone Culture Cave store.
Airports
Museum
Gift Stores
Toy Stores
More Countries
Queue
PHASE 1 PHASE 2 PHASE 3