Yuser: Pitching a New Social Networking App
(6 pages of text)
Yuser Inc. (Yuser) was a new social networking start-up based in London, Ontario. Well-established social media platforms like Facebook and YouTube had begun to restrict social media influencers’ monetization of their user base, and this had opened an opportunity for a new social media network to make three-way interactions among users, social media influencers (SMIs), and corporate sponsors completely stable and transparent. Yuser granted SMIs freedom in terms of the content they posted, allowing companies to identify influencers who helped their marketing efforts and to financially reward them using Yuser’s cryptocurrency. Rather than facilitating two-way relationships, as most platforms did, Yuser would help build triangular relationships among companies, target markets, and SMIs. However, Yuser’s business concept was complex, making it difficult for the company’s chief operations officer to pitch Yuser’s value proposition to external investors. In June 2018, she needed to find a delicate balance that would allow her to inform investors of the venture’s potential without overwhelming them in a sea of confusing details.
This case was designed for an entrepreneurship course and can be taught at the undergraduate, graduate, and executive levels. The case can also be used in finance and communications classes. The case was written to demonstrate the decisions and challenges of creating an effective pitch presentation to attract investor financing. After discussing the case and assignment questions, students will be able to do the following:
- Identify the essential market problem(s) a new venture intends to solve, and explain how elements of the business model work separately and in combination to address each of these.
- Explain what investors are looking for in a new venture pitch.
- Describe a balanced approach that will both inform investors and maintain a clear focus on the underlying value proposition.
Information, Media & Telecommunications
Canada, Small, 2018
$4.25 CAD / $4.25 USD Printed Copy
$3.75 CAD / $3.75 USD Permissions
$3.75 CAD / $3.75 USD Digital Download