About
Dailybreak, founded in 2008 as CampusLive, provides brands with an opportunity to engage their customer base through a challenge-based, interactive, advertising system. Individuals who engage these “challenges,” which are actually “gamified” advertisements, are rewarded with prizes and coupons for their efforts. It offers a “pay-for-performance” model for clients, focusing on the growing Cost-Per-Engagement fee structure. Instead of charging for banner space that typically results in paid clicks or impressions, Dailybreak only charges for successful engagements with a sponsoring brand. Current clients include McDonalds, Dunkin Donuts, Microsoft, Budweiser, Ernst & Young, and Converse.
Thesis
Dailybreak represents the future of engagement advertising by enticing users to participate in their advertising. We believe Dailybreak’s model emphasizes the next generation of advertising.
People
John Federman, previously CEO of Searchandise Commerce and eStrata, is Dailybreaks’ CEO.
Key Board Members:
- Bob Davis (Highland Capital Partners)
- Jon Auerbach (Charles River Ventures)
Management Team
- Ryan Durkin, COO
- Previously Executive Director of the Massachusetts Soldiers Legacy Fund; UMass Amherst graduate
- Josh Ginsberg, VP of Sales
- Previously with Boston Beer Company; UMass Amherst graduate
Product
Dailybreak delivers an innovative way to view content that entertains, educates, and challenges consumers, while also creating value and driving digital social action for brand advertisers. The inventive format of advertisements incentivizes user engagement, making Dailybreak’s ads more successful than traditional advertising, both in terms of user engagement and brand association. Dailybreak uses contests, trivia, and rewards to engage its target audience, as well raffles, auctions, and prizes.
Potential
Dailybreak has enormous upside potential because of the unique structure of its advertising model. Individuals are rewarded for activity they engage in on the website by winning prizes, such as a flat screen television or “free coffees for a whole year” from McDonalds. Thanks to this innovative advertising structure, combined with the incentives for current members, we believe that Dailybreak will be able to sustain an aggressive, long-term growth model. Dailybreak appears to represent the future of online engagement advertising.
Megatrends
- Knowledge Economy
- Demographics
- Brands
- Internet
How Big Can This Be?
The upside potential for Dailybreak could be enormous as it continues to expand at a rapid pace, both acquiring more firms interested in advertising opportunities and generating increased traffic.
Predictability
Dailybreak has an engaging platform that keeps its users coming back to earn better prizes and bonuses. Once a user has been hooked, the probability that they remain actively involved on the website is high, as they pursue more desirable prizes.
Risks
The largest risk for Dailybreak is ensuring that traffic continues to grow at rapid growth rates for the foreseeable future. However, this risk is not unique to Dailybreak and is a risk for any online website.
