AdSpace S.L.

Author

Albadalejo Ghanime, Robert 
Suñé Campoy, Àlex

 

Abstract

Currently and increasingly, there are less differentiated products ("commodities") and more competitive services, but the demand remains the same or even lower due to current circumstances. At this point, companies need to maximize sales in the face of fierce competition. While consumers are increasingly analytical (comparative and selective) with a clear quality / price focus. They need an attractive model on which to make smart purchasing decisions.
From this dual need arises AdSpace, 1 ads marketplace or meeting point between companies and consumers dedicated 100% to video advertising, since it is the most attractive in the eyes of the consumer. But what differential advantage do consumers get when viewing business ads? A system of accumulation of points, which they get for each visualization and a posteriori change in the offers of the promoted products or services (owned by the client companies) to apply a discount that we take care of.
That said, the profitability of the business model lies in the sale of contracts to companies (clients). Those who will see this situation a huge opportunity to advertise on the platform that will leave behind the unattainable advertising investments forever, surpassing in price even the emerging Google Ads and Facebook Ads that have emerged as the main source of advertising, linked to the incessant boom of the digital world that we intend to exploit.
In terms of market size, a virtue of the business model is that it is not limited to a segment of companies, but rather encompasses all types of companies. In Spain there are millions, all interconnected to the Internet and with the need to advertise but most with limited resources.
Sales of € 579,933 are expected for the first year, and € 801,772.50 and € 1,048,341.50 for the immediate financial years, basically supported by the huge investments in marketing. In reality, these sales are not so high taking into account the important variable expenses inherent to the sales that occur after collecting them and that we will detail throughout the TFG.
The initial investment is € 160,000 and financed as follows. On the one hand, a capital of € 135,000 made up of € 50,000 contributed by the partners (€ 25,000 each) and the remaining € 85,000 contributed by external investors. On the other hand, a long-term bank loan of € 25,000 at an interest of 4% and a maturity of 5 years. All this under conditions that respect an optimal debt ratio in accordance with the economic and financial viability of the business.

 

Director

Martínez Guillén, Mari Carmen

Degree

IQS SM - Undergraduate Program in Business Administration and Management

Date

2020-05-11