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Emerging Markets Break-Out Session Kelly Forese, VP Ops and Applications AppsDay April 8, 2005.

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Presentation on theme: "Emerging Markets Break-Out Session Kelly Forese, VP Ops and Applications AppsDay April 8, 2005."— Presentation transcript:

1 Emerging Markets Break-Out Session Kelly Forese, VP Ops and Applications AppsDay April 8, 2005

2 Overview of IGN Entertainment We are a digital entertainment company that transforms the creation, promotion, distribution and consumption of entertainment content and services.  Rapidly growing company, Acquisitions ~ 1/quarter  280 employees nationwide  HQ: Brisbane, CA with offices in NY, Chicago, LA and Irvine.  Revenue Model – 3 businesses in 1  Advertising Clients and Agencies – Online Media  Consumers - Subscriptions and Digital Distribution  Game Publishers - Technology Licensing and Services  >20 million unique visitors a month

3 IGN Entertainment Network Games. Gear. Movies. Music. The Insider’s Choice for Xbox Information The Latest Gaming News 24/7 Community and News for the RPG and MMO Gamer The Universe’s Best Video Game Fan Sites Covering 30,371 Games and Counting Insight info the Gamer Audience Multiplayer Gaming’s Home Page Where it All Begins for 3D Games for the PC A Bazillion Critics, One Opinion Download PC Games Direct to Your Hard Drive Free Games, Downloads, Mods, Patches, Maps, Trailers, Demos and Betas

4 The Value to our Customers Value-Add Services Developer / Publisher User (e.g.: Gamer) The Internet Research and Develop Educate and Inform Acquire Product Enhance Entertainment Experience Market and Promote Distribute Product Extend Product Lifecycle Evaluate content

5 Why we were looking for a Solution Today: We’ve outgrown a collection of largely independent applications, facilitated by manual business processes and controls… Financials: Solomon Order Management: Media Division only, a hosted ASP solution Inventory Management: Manual Billing/Revenue Recognition: Manual Fulfillment Systems: Ad Serving Email Marketing Registration and Subscription Systems – proprietary Several 3 rd party ad serving solutions Needed to automate our high volume core Media business from Quote/Proposal to Cash, including auto-provisioning the Fulfillment Systems and calculating Revenue Recognition

6 RFP Overview – Who we considered Tier 1 Vendors:  Oracle  SAP  PeopleSoft  cancelled with Oracle acquisition  Siebel (for CRM/OMS only)  Rated on Cost, Strengths/Weaknesses, match to our Key Objectives  Create 2 viable solutions for IGN:  Option 1: A single integrated application suite  Tier 1: Oracle Applications 11.5.10  Option 2: A best in class CRM/OMS with a lower cost Financials product and integrate them  Tier 2: Siebel 7.8 CRM/OMS & Great Plains Financials Tier 2 Vendors :  Great Plains  Solomon  Navision  Best Software 

7 Key Decision Factors: Workflow Management Proposal to Cash&RevRec Scalability Web Based Integration Ability Total Cost of Ownership  Acquisition &Integration  Ongoing Operational Std Functionality: Current & Future SOX 404 Upgradeability and Extensibility Technology Oracle scored 3.9 compared to 2 nd option score of 2.7 Scale: 0 to 5 (0 = Not Supported, 5 = Excellent)

8 Why Oracle? Continued Oracle Customers in our industry:  At least 10 customers in the online advertising space using Oracle  Yahoo, CNET and others Employee Feedback:  Strongly in favor of Oracle over other demonstrated solutions.  Depth of experience with Oracle within our finance and IT teams. One Time Costs:  Oracle 13% more affordable than 2 nd option in acquisition, implementation and integration cost.  Red Hat/Linux Platform and Hardware 30% more affordable than 2 nd option, and substantial experience within IGN already. Recurring Costs:  Fewer requirements for integration -> full time staff requirements were reduced as well in the areas of integration development and quality assurance.

9 Why Oracle? Continued Comparable CRM feature set to Siebel with stronger contract management. Leverage the more standard functionality with Oracle With a single integrated solution:  Utilize developer skills across the CRM and the ERP in a single development framework sharing the same data model across the solution.  No duplicate record masters  Upgrading does not require upgrading multiple applications  Deployment hardware requirement is significantly less The Oracle solution is based on the J2EE framework, on which IGN has a strong pool of talent. The Oracle eBusiness Suite also supports future IGN requirements like HR Management Systems, Planning, Budgeting, Incentive Compensation, etc. Implementation of these will not require major effort since they are part of the eBusiness Suite already or as optional licensing.

10 Project Scope and Phases Phase 1: (Q305)  CRM, Forecasting  Quoting, Proposal Generation  Advanced Pricing  Sales Contracts  Order Management  Custom Inv Reservations  GL, Sub-ledgers, Invoicing  Revenue Recognition  Internet Expenses  eProcurement Phase 1.5: (Q405)  Bi-directional ad server integration with full flow- through provisioning & delivery status  Initial eCommerce integration 2006 Phases:  Email Server integration  Other 3 rd party integration  HRMS/SS HR  Subscriptions/Support  Data Mining, Reporting

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