“Disfrutando la vida en todas pates” “Enjoying life everywhere” SOMOS New York “We are New York”

BUSINESS CONCEPT SOMOS New York magazine, is a city magazine Focuses on New York’s Hispanic/Latino culture. Spanish written guide for tri-state residents, new immigrants and visitors.

TARGET CUSTOMER Estimated Hispanic/Latino population in New York is 1.9 million. Age group: 18 to 35 years old

COMPETITIVE EDGE One-stop shop magazine for all local information. Online version, translated into English. 24 issues per year –Retail price $3.99 –Yearly subscription is $48.00 –Online access: $20.00

DISTRIBUTION Magazine distributors and wholesalers. Bodegas, newspaper stands, supermarkets, etc. Subscriptions purchased through somosnewyork.com and mailing subscriptions directly from consumers.

FOUNDING TEAM James Perce, Publisher Indra Rodriguez, Advertising/Marketing Director Sheila McGeough, Editor in Chief

INDUSTRY MARKET ANALYSIS Publishing industry annual revenues $24.77 billion. In 2004 $12.4 billion spent on magazine advertising 2003 vs Hispanic/Latino magazine titles grew by 15.9%

INDUSTRY MARKET ANALYSIS In 2004, top 50 magazine advertisers spent $8.1billion, which include: –Procter & Gamble, $620 million. –General M&otors $480 million. –Altria Group Inc. $420 million.

COMPETITIVE ANALYSIS 2004 Sales AOL Time Warner: $42.1 billion Advanced Publications Inc.:$5.9 billion Hearst Corporation: $4.1 billion Primedia Corporation: $1.3 billion

DIRECT COMPETITOR Time Out New York, based London England. Current circulation 139, Revenues of $45 million

COMPETITVE ADVANTAGE Hispanic/Latino consumers High density population: Puerto Ricans, Dominicans, Mexicans,etc. Brand Loyalty

DEMOGRAPHICS US Hispanic population:35,305,818 Hispanic purchasing power $767 billion in 2005 $1 trillion by 2010

MARKET SEGMENTATION NY Hispanic/Latino population 18 to 35 yrs old : 1,974,551 Acculturated: 60% of population. Bilingual Assimilated: 20%. English only Isolated:20%. Spanish only.

DISTRIBUTION Single copies: Newsstands distributors, bodegas, supermarkets, bookstores. Subscriptions Website

ENTRY STRATEGY Mailing list Postcards Promotional letters Sample magazines

PRODUCT DESCRIPTION Editorial content: Sections of the magazine Characteristics: Pricing Technology Assessment: website Prototyping and testing: Test mailing Intellectual Property: Patent, copyrights

OPERATIONAL PLAN Location Production and operation procedures Distribution methods Quality Control Auditing Organization Customer Service procedures

ORGANIZATIONAL PLAN Philosophy Legal structure Organizational chart

MARKETING PLAN Purpose Business identity Target market Unique market niche Plan to reach first customer Marketing Advertising strategy

FINANCIAL PLANS Break-even analysis Financial statements Plan for funding

GROWTH PLAN Expansion of Somos Publishing magazines Ancillary Products

CONTINGENCY PLAN Strategies for dealing with deviations from the plan –Selling –Going Public –Venture Capitalist –Employee buy-out

TIMELINE TO LAUNCH 2006 June: Target market July: Editorial content August:Circulation plan September: Test mailing 2007 January:To Launch 1 st publication

THE END GRACIAS