I attended this webinar today.

Not much new there from RaaS - and nothing really new from Airtasker in presentation

But I did manage to get a couple of questions partially answered plus a few other useful questions by others

It was a bit difficult to record answers and listen as couldnt rewind - hopefully they publish the recording with Q&A

1)

Does this equity ad media model create a disincentive or restriction to having additional media deals within US or UK markets?

i.e. Impact of media from first placement doesnt perform but they get rewarded if other media investors come in

Didn't sound like they had really spent much time thinking about this - or at least didnt get a clear answer.

In Australia they had the benefit on one main media investor

However Tim responded with:

• Its better for them to have one media investor trying to make it work than multiple
• Theres the potential for the media investor to increase their investment
• The model is perceived as very good for media investor as they have a guaranteed exit mechanism
• With their Australian experience they have very good case study with metrics that make it easy to make these deals

I guess its also depends on how the deal is done (equity vs convertible note)

2)

Someone else asked how long it takes for these media deals to happen

If I heard the answer clearly, Tim said the first one in US took 9 months but now they had a reference case it should be faster.

3)

Also I asked Mahendra (CFO):

Can you provide some insight into the metrics around the cost of acquisition

i.e. 

How does Cost of Acquisition compare to LTV in the mature Australian Airtasker market?

How long does it take to recoup $1 dollar of advertising spend in revenue?

Got a very generic answer

• Marketing investment is made up of: (1) Paid Performance e.g. google (2) PR - outsized return (3) Above the line - awareness (where media inv goes)
• They have learnt they need both paid performance + PR/Awareness

But he also said:

• They don't believe au is mature market (i.e. lots more growth there) - so obviously they see these media deals as profitable (so hopefully have done the modelling well)
• Ad payback: Not 1 year. Probably a payback over 3 years (so this is best indication on effectiveness)

4) Someone else asked them what growth they are looking for from media investments over next 1-2 years

• AU: Double digit growth
• US: Over 100% growth
• UK: Didnt quite pick that up

Said we should see growth picking up in over next couple of quarters

So effectively we have Airtasker going back into growth - but its a bit challenging to calculate intrinsic value with all these media investments.