1. Idea For a Domestic Pilot Trackers for Consumers and SME's Group 8 S-72.3510

2. Agenda Rationale Current state and SWOT analysis Product offering Competitors R&D Roadmap and Marketing Risks Organization Investments and payback period Scenarios and market size

3. Rationale Vertical and Horizontal focuses have both Pro's and Con's Indagon has high-level technical knowhow. R&D-focused revenue structure? Could the results from highly-specialized solutions be cost-effectively transferred to other clients? In other words: what could be a low-risk approach to an LBS vertical?

4. Company positioning: SWOT Analysis StrengthsWeaknesses Know how Technology Nokia connection No productizing Corporate identity Not understanding consumers (B2C not in focus) OpportunitiesThreats Only one competitor Good partner Expansion New competitor(s) Change Management Size of company

5. Fleet Management trends Growing market in Europe – 16.4% Growth expected 2010 – 1.5 million units in use Q4-2009 Not much competition in Finland Many players abroad Avg. Price 200-400$ Different solutions – USB, Watch, Black box Competed market, but fast-growing http://www.berginsight.com/ReportPDF/Summary/bi-fm5-sum.pdf

6. Competitor Positioning Global competitor communication still quite professionally oriented  no easy looking consumer brand existing Huge market in the US None of them uses 3G technology An existing gap in the value proposition: – High Value with consumer-friendly look and feel & competive pricing Indagon strength: Capability to produce high value (technical knowhow)

7. HOW TO ENTER THE MARKET?

8. Teleoperator Joint Venture Decrease risks Vertical knowhow Existing strong channels and distribution network Knowhow from mass-market solution selling Existing consumer trust CHeap marketing through partner channels

9. Product in a nutshell Easy to use affordable GPS tracker 2 Models – Wearable and vechile Easy to buy from any electronic store Tracking website with many devices Pro version with additional features Example from RTV5 of liveviewgps.com Monthly Service Plan Is: $29.95 Per Month - Flat Rate Unlimited Use. 10 Second LIVE Vehicle Position Updates, With NO CONTRACTS! Includes streaming live wireless service, web tracking portal intergrated with Microsoft Virtual Earth, unlimited online and emailed vehicle reports (Microsoft Excel formatted), and unlimited alerts. Monthly Service Includes: You will have unlimited use and login to our web portal, unlimited cell phone alerts and emails. There are no other charges. There are no long term contracts.

10. Use Cases Child, elderly and dog tracking Cars, boats and trailers Teenage speed tracking Group sports, training (running), orienteering Paintball (teammate visibility) Hunting, hiking and avalanche Fleet management Logistics, truck speeding control Public sector: Police, Paramedics and Security Taxi and rent cars

11. R&D Focus Areas Take strengths from international competitors Low power consumption Small size Competitive price (aim to find the lowest price-point with satisfactory quality) Easy to use & consumer-friendly look and feel Existing accuracy (@Fokus and complementary technologies)

12. Marketing Awareness building with strong commercial appeal – Attractive pricing – Easy to use – Low energy consumption Raise smalll business interest thrgouh WOM from consumer – Idea: Consumer version covers costs (e.g. track one device), Pro version brings revenues (e.g. track many devices and advanced features) Associate with sport teams and families Sponsorship

13. Risks Negative attitude from customers (privacy) Unclear value offering in relation to mobile phone based tracking applications (Needs to be clearly distinguished from "just applications“) Another smart competitor Another low end device supplier Weak execution in first two years (fast evolving technology field) Health risks Security

14. Level of risk Comparable cost: Base stations 5 * 10 000e = 50 000e How much does the R&D of a gadget cost? Partner hosting the tracking website – Sharing website development costs – Utilization of partner's marketing channels = low cost Management hours

15. Opportunity size ideation Cars, boat, trailers – ca. 75 000 new drivers in Finland anually – Over 3 million cars in use in Finland with 250 000 new cars registered annually Sports – 35 00 people engage in orienteering in Finland – Over 300 000 people have hunting licences Tourism – Ca 2.5 million registered overnights in Lapland in 2008 – Direct tourism inco 567 million Euro http://www.ake.fi/AKE/Tilastot http://www.lapinliitto.fi/ http://www.slu.fi/liikuntapolitiikka/liikuntatutkimus2/ http://www.rktl.fi/tilastot/metsastystilastot/

16. Summary Pilot from project oriented to more customer oriented solutions with one case Big domestic market to take over if: – Proper partners are found – Customers get a good picture from company and product Initial latent demand identified and a means to cover the demand Validation required.