Tell us a little about yourself. What’s your background? How did you start the business?
I’m a developer for 18+ years and worked for several companies in the United States, United Kingdom, Australia, Israel, Germany, etc. After several years of hard and honest work for my employers, I’ve decided to start my own business, OfferDaddy. I put a lot of work into it during the first 3 years until it was mature enough to relax a bit and the revenue was good enough to attempt other venues. I also own Zensurveys.com and I’m in the process of developing a custom made network like HasOffers ( by Tune ). The business started slowly and growth also slowly at the beginning, but after some time it started to take traction and get known. I started to make connections and relations with industry leaders and then I was able to get better and better offers and improve the offer wall several times. OfferDaddy also has a surveys only wall. Surveys are the main focus and revenue stream of the business, which is completely automated. Integrated by the best MR Marketplaces like CINT, Dalia Research and Luc. id ( previously know as Fulcrum). Currently, the business operates 100% automatically, everything via API, the only thing needed is to once a month send emails to billing departments of the few advertisers I work with ( I say few because I chose to work just with a small number integrated via API).
As an e-Commerce business, where are your products made?
OfferDaddy does not sell anything, it is based on the CPA/CPE/CPI/CPS/etc model, which is called “incentive marketing”, which means that the end-user is rewarded to make an action, for example, subscribe to an email list, to reach to level 10 in a mobile game, watch a video and many other things. So, this business does not sell anything. And you never pay for clicks that do not generate revenue for me. You can receive 10MM clicks and pay $0 if there was not a rewarded action. That is why I state in my listing that the ROI is always positive. Advertiser, the providers of the offers are many and of different types, and they don’t charge anything to allow me to showcase their offers. Some of them are very difficult to accept new partners, but as I said, OfferDaddy has a name in the industry and we partner with Advertisers like Adaction, Cactus Media, Panthera Interactive (Inc 500 company for 2 years) and others.
How have you marketed the product and where are your customers originating from?
OfferDaddy is a platform that just showcases the Advertisers offers with custom technology to improve the most earnings from my publishers. There is no need to market or spend on advertising. The best way to promote the business is to be present in those sites/apps that are well known like Swagbucks.com, InstaGC.com and others. When potential publishers see the offer wall in those sites, they immediately try to have it also on their sites. I have a database of 14,000+ publishers some active and some not, but can be attracted easily with good deals. For example offer them $x as base monthly payment knowing that the publisher can reach that base payment or if it does not, the traffic they provide increase revenue giving me the ability to negotiate better payout tiers with Advertisers because of the increased traffic, the presence of OfferDaddy in their sites is also very valuable and compensate in excess the few 100s dollars the base payment. there are many other ways that I can explain to the buyer or whoever is seriously interested.
Is the asset on your listing owner-operated, how much time does it take to run the business, who else is needed on the team, and what is automated?
Currently, it is 100% automated. If the buyer wants to, he/she may hire 1-3 virtual assistants to perform daily tasks which greatly increase the value of the business, like handpicking offers, fix or correct the descriptions of the offers, adjust payout tiers for different publishers, manually inspect offers that have a low conversion rate, and several more tasks like business development ( send a few emails per day ). This increase a lot the potential of the business and with little time it is notorious the benefit of such work. Currently, I’m not interested in attending those tasks, because I’m willing to move to other levels in the same industry and focus on surveys technology.
What does someone need to do to continue operating the business in its current form?
Nothing. Just change payment details in the different advertiser’s platforms, maybe some other changes in ownership of advertisers accounts, etc. In the operating aspect, it would be good to hire at least 1 virtual assistant, just half time, to perform some basic things like attend claims by users that have not received their reward, something which happens 5-10 times a day (of 1000’s of conversions), the assistant needs to see the proof provided by the user ( this feature is already working in OfferDady), the proofs are often up to 3 screenshots or pictures proving that the user reached, for example, level 11 on a game, or things like that, so the assistance can click a button and award the conversion for that claim. Maybe I’m missing something, but that would cover the basics of what the new owner should do to start immediately. With respect to development. The system is working acceptably, but as with any business online, technology evolves constantly and it would be a good idea to hire just a single developer with a good level of experience to continue the development of new features and maintenance.
Can you list a few opportunities for a potential new owner to continue growing the business?
There are many. 1) As a result of some bad investments and money loss I’ve had trading cryptos, I had some debt with some publishers. That is the reason why you see a deep reduction in traffic and earnings compared to one year ago. What is owed is about $15K. If the new owner can pay that to the publishers, they will be very happy to come back to OfferDaddy with my help of course talking to them and the traffic and revenue can increase a lot. 2) The API OfferDaddy provides can be much better optimized. 3) I have contacts, very loyal, in China, which manages apps with 10’s of millions of users in Vietnam and other countries in the far east. I can bring back those apps in a few days and they send really server crushing traffic. 3) With a few weeks or less of work, there is an Open GPT version of OfferDaddy that allows ANY website, even not having a rewarding system for their users to incorporate the offer and/or surveys wall with just 1 line of code. There are many more possibilities, but those are the immediate ones I would focus on if I were to buy this business.
What has been the evolution of this asset since its launch?
Always growing, never backwards, the industry is evergreen. Always positive ROI. you pay just when you get paid for the action. So, if you take care of the business better than me, the owner can have a very lucrative business for years.
How does this business make money? What are the current revenue streams?
The Advertisers send me their offers, via API for now, we implement technology to improve and measure the effectiveness of those offers, we show the offers to the publishers’ users and we just pay the publisher when the advertiser tells me that it will pay me x amount. So, you just deduct your share, in my case, between 25-40% and then notify the publisher that will pay him y amount. Everything is automated, the notifications are saved to server communications ( called postbacks ).
What marketing channels are most profitable for the business?
The better verticals we work with are mobile offers, which are very lucrative and surveys. The business is in the incentive marketing channel.
How does the business currently acquire customers and what is your breakdown for marketing costs?
We don’t incur marketing costs. We never do advertisement. Customers come to OfferDaddy just by seeing the offer wall on other sites and word of mouth. Advertisement is not effective, the best way is to offer a recognized website or app in the industry that implements rewards a good deal to implement my platform.
How big is your current team? How many people does it take to run this business?
Currently, it’s just me. No employees.
What’s the reason for selling your business on Flippa?
I’ve made very bad decisions in the management of my money and lost a lot of trading crypto. I need to sell OfferDaddy, to be able to invest in new projects, hire a team, etc.