Mozilla Foundation Board Meeting December 2013 Section 0 summary - PowerPoint PPT Presentation

Mozilla Foundation Board Meeting December 2013

Section 0 summary

A quick history Current MoFo work started in 2009 w/ Drumbeat. Have grown revenue from 0.2M in 2009 to $13M in 2013. And built contributor community of 10k+ people.

Webmaker Where we are now: 3 timely, relevant, fundable programs compelling to: Open Badges + more cities, ✓ Lead users BadgeKit and OBI ✓ Mozillians New Communities ✓ Funders + new policy program

In 2014+, we need to scale these programs by: G row community and adoption : build clear ladders of engagement and drive impact. Fuel the machine: grants, donations, earned income, engagement, mobile, web literacy.

Section 1 a quick history

1n 2009, we set out to: A. Get people to embrace the open web . B. Find the next million Mozillians . 2009 2010 2011 2012 2013 2014

We needed to gather resources and build credibility. 2009 2010 2011 2012 2013 2014

⬅ Revenue $0.26M $1.37M $3.32M $8.5M $13M excluding investments 2009 2010 2011 2012 2013 2014

We needed to experiment and build programs. 2009 2010 2011 2012 2013 2014

2009 2010 2011 2012 2013 2014

These efforts led to Webmaker $8M maturing programs that give us credibility and drive revenue. Open Badges $4M + more cities, BadgeKit and OBI New Communities $7M + new policy program 2009 2010 2011 2012 2013 2014

We’ve focused on two main strategies Teach Build Web New Open about open Maker Badges Communities open source More cities web + BadgeKit + OBI tools + new policy program ... and are doing well

Now we need to focus on our goals as well Goal#1 Goal #2 Web New Open People Next Maker Badges Communities embrace million More cities open web + BadgeKit + OBI Mozillans + new policy program ... need to strengthen and grow

Section 2 2014 priorities

1n 2014+, we need to: A. Fuel and strengthen our programs B. Grow our community and adoption 2012 2013 2014 2015 2016 Beyond

Webmaker Fuel the machine = Open Badges shift from experimenting to iterating and operating + more cities, BadgeKit and OBI 2014: use new management team, New Communities program structure and solid funding base to deliver what people want and use + new policy program 2012 2013 2014 2015 2016 Beyond

Grow adoption Goal#1 = gain relevance and give People people new tools and skills embrace open web 2014: focus on ‘lead users’ who will build, teach and bring friends 2014: Make our tools easier to adopt , use and plug into 2012 2013 2014 2015 2016 Beyond

Grow community Goal #2 = main MoFo metric this year Next million Mozillans 2014: focus on ‘lead users’ who will build, teach and bring friends 2014: build systematic engagement ladders that guide and empower community 2012 2013 2014 2015 2016 Beyond

Strengthen Webmaker.org and Hive . Web Grow community. Go mobile. Maker 2014 baseline: Lead users: get educators to bring content / learners. 29 headcount Funded. $5.4M expenses Engagement: recruit1000s more educators + partners. Funded. 2014 growth: ~5 headcount? Adoption: build out Appmaker , MakeAPI, curriculum. Appmaker + weblit Needs headcount and funding. 2012 2013 2014 2015 2016 Beyond

Appmaker = Webmaker revenue “So far I’ve published 5 opportunity. Funders want mobile. apps!” Funders and educators also want more rigorous curriculum. Should be fundable. $10M+ pipeline, but early days with many of the funders we’re talking to. 2012 2013 2014 2015 2016 Beyond

Productize our tools into BadgeKit Open Scale OBI through community and partners. Badges 2014 baseline: Lead users: co-create BadgeKit with early adopters. 15 headcount Funded $3M expenses Engagement: run campaigns and find add’l partners. Partially funded 2014 growth: 5+ headcount? Adoption: build and package BadgeKit as SaaS. for BadgeKit Needs more headcount and funding 2012 2013 2014 2015 2016 Beyond

BadgeKit is chance to move into earned income . 10 cities meeting in Chicago this week. Likely to use BadgeKit. Also, many grant opportunities still exist. Initial grants from Mott, Irvine, Gates. 2012 2013 2014 2015 2016 Beyond

Replicate Open News success in science and New Communities internet policy . Expand MozFest. 2014 baseline: Lead users: find community leaders to build with 10 headcount Funded $3M expenses Engagement: build contributor funnels, expand MozFest Partially funded Adoption: these programs still experimenting, too early 2012 2013 2014 2015 2016 Beyond

Nascent policy program sets us up to move into major gifts. 100% funded by grants (except MozFest). Still more room to grow here. However, ‘niche’ nature of these programs also lends itself to major gift fundraising. 2012 2013 2014 2015 2016 Beyond

Some good news: Positive external environment Mozilla strategy is relevant and compelling to funders and public 2012 2013 2014 2015 2016 Beyond

Webmaker Growing interest / money for digital literacy, code, etc. Public wants disruption Open Badges in education (e.g. MOOCs) + more cities, BadgeKit and OBI Privacy, trust, etc. New Communities becoming hot topics + new policy program 2012 2013 2014

Questions as we go into 2014 Best path to leverage / community growth? How much fuel? For what revenue? 2012 2013 2014 2015 2016 Beyond

Section 3 2014 budget

Budget proposal Revenue target of $17M (+ carry over $1M in 2013 grants). This is conservative projection based on $12M already signed royalty and grant contracts plus pattern from last few years of revenue growth. Proposal: expenses of up to $18M . Increase of $4M from 2013. Fuels Appmaker, BadgeKit, fundraising -- chance to take existing programs and revenue much further if we invest a little up front.

⬅ Revenue $0.26M $1.37M $3.32M $8.5M $13M excluding investments 2009 2010 2011 2012 2013 2014

2010 - 2013 - Grant Deals Closed Grants grow 60% $11,000,000 or more over $10M last four years. $8,250,000 $5,500,000 Also, we are finding $4M $2,750,000 funders well aligned with $2.5M Mozilla -- great partners $1.5M for our brand and cause. $0 2010 2011 2012 2013

1,500,000 Donations grow 50%+ for last 3 years. 1,125,000 2011 - 2013 Individual Donations 750,000 Still early, but 2013 looking like we will meet or surpass this. 375,000 Also: messaging is resonating. 60,000 supporters / potential 0 Mozillians on our list. Mar June September December 2011 actuals 2012 actual 2013 projected 2013 YTD

Budget proposal Revenue target of $17M (+ carry over $1M in 2013 grants). This is conservative projection based on $12M already signed royalty and grant contracts plus pattern from last few years of revenue growth. Proposal: expenses of up to $18M . Increase of $4M from 2013. Fuels Appmaker, BadgeKit, fundraising -- chance to take existing programs and revenue much further if we invest a little up front.

2014 Revenue 2014 Expense proposed = up to 18M projected = $16.8M 9% 9% 9% 13% 36% 46% 78% Program Engagement Leadership/Ops Donations Grants Royalty Other

2014 Baseline Expenses Per Program Dollars Percentage Webmaker $5.7M 39% Open Badges $3.1M 21% New Communities $2.4M 16% Engagement $2M 14% Leadership and Ops $1.5M 10% Total $14.7M 100% 2013 projections based on Sept 30 close.

2014 Baseline Headcount Total Unrestricted Restricted Webmaker 29 19 10 Open Badges 15 6 9 New Communities 10 10 Engagement 9 9 Leadership and Ops 7 7 Total 70 40 30 2013 projections based on Sept 30 close.

Approved 2014 budget of approx ~18M to: G row community and adoption : build clear ladders of engagement and drive impact via Mozilla programs. Fuel the machine: grow grant, donations, earned income, engagement, mobile, web literacy.

Mozilla Foundation Board Meeting December 2013