Licerio

1. Introduction
   We live in the world where the Internet and social networks have become an
   integral part of our daily life. According to research data, more than 70% of
   customers are searching for new goods and services in the Internet and these are
   social networks that have become the main source of business development. Social
   networks community numbers 3 billion users and worlds advertising budget is U. S. $77 billion and with each year this number is increasing. But now creating a smart advertising campaign and getting a long-waited client is a really big deal; advertisers spend 50% of their advertising budget for paying VAT, covering bank charges as well as for covering expenses of paying for marketing managers job
   and dont cover all their expenses in all cases. Besides that, there are issues related to high competition, incompetent advertising campaign adjustment and adblocking software programs as well. We are creating LICERIO — the platform where brand is advertised by customers by reposting advertising materials in social networks and as a reward they can get a discount for an item of goods/services equivalent to the number of collected likes. The platform is based on influence marketing principle and its ecosystem is based on Blockchain technology with its own cryptocurrency — LCR Token. LICERIO platform allows reducing advertisers expenses to 5% and reliably involving
   customers into his business what will give the opportunity for growth for small and
   medium-sized businesses throughout the world.

2. LICERIO platform benefits
   Here is a short list of key features of LICERIO platform
   Quick advertising campaign development
   Reduction of labour and time costs
   Ease of use and availability
   Global coverage
   Operating costs and commission charges reduction
   Free marketing tools
   Customers` acquisition guarantee

3. Market Analysis
   Future belongs to social networks. Brands interact with social networks community
   more and more often.
   With the development of the Internet, new types of advertisement have appeared
   that are available not only for the audience of your region or your country but
   throughout the whole world. Online advertising is very efficient. Being placed in a
   smart way with all the peculiarities of the Internet taken into account, advertising
   materials can get dozens of thousands views in a day.
   Nowadays, it is commonly known that social networks are a powerful tool of brands
   and customers interaction.
   Research shows that only for the last year the number of users of social networks
   has increased by 13% worldwide. At the beginning of 2018 the number of potential
   consumers has reached 3.196 billion people which is 42% from the total number of
   global population. The growth of social networks popularity is determined by the
   convenience of their use as they allow people not only communicating with each
   other outside local boundaries but also offer them content exchange and sharing.
   The main benefit of social networking platforms is a broad coverage.
   More than three billion people in the whole world use social networks not less than
   once a month with 90% of social networks users are using mobile devices for that.
   Brands are investing more money into advertising for their interaction with the
   audience, however, it doesnt appear to be so convenient because of the large fragmentation of mass media content. In 2017 the volume of global advertising market in social networks amounted U. S. $43.78 billion. And at the beginning of 2018 the revenue of this segment of the market already reached U. S. $51.304 billion. At the same time it is known that the average return is U. S. $17.24 per user. Experts predict that these values will increase by 10.5% by 2022 resulting in market volume reaching more than U. S. $76 billion. A great number of marketing managers establish contacts with customers using services of opinion leaders; however, such policy puzzles consumers more and more and due to large-scale involvement of such collaborations consumers tend to trust the recommendations of their acquaintances more. One-third of respondents actively reacts to ads reposting made by their friends. Making a research of this phenomenon attention should be drawn to the audience behavior. A private message that contains an ad received “from a friend” attracts attention of not less than 33% of surveyed what increases the efficiency of advertising by 13%. The number of “likes” in posts also has a good influence on the reaction of consumers as it is associated with information relevance and popularity. These are advertising integrations via acquaintances that have the strongest public response among potential customers. Information that is transferred via social networks has a format that is different from the standard type of advertisement as users themselves spread the information, therefore, advertising material is transferred by itself by means of buzz marketing and doesnt require any effort to be made on the side of advertiser. When posted
   content systematically gets a big number of “likes” or “reposts”, the flow of new
   customers continuously increases without any additional expenses on advertising
   and information that is obtained this way immediately takes the form of
   recommendation and the level of confidence in it is accordingly higher.

4. Market Issues
   The first problem: The tendency of inflated prices of advertising spots on the
   Internet
   Regardless of their quality and traffic, the owners of web resources try to recover
   costs for web-site maintenance and development by selling advertising space at
   fabulous prices. It is nearly always explained not by greediness and dishonesty of a
   web-site owner but by the lack of basic knowledge in economy. Today one should
   take into account that advertising will be efficient if the profit from traffic conversion
   is three times higher than the cost of advertising. Today the cost of advertising at
   many famous web-sites doesnt meet this requirement. The second problem: Falsification of indicators There are special “clicker” programs that can automatically follow your ad links, thus, ruining your budget and you dont get new clients.
   The third problem: Ad blocking programs
   If such programs as AdBlocker are installed on users computer, then your ad wont
   be displayed to him.
   The Fourth Problem: Working with opinion leaders
   You have ordered advertising from an opinion leader, spent your money, but didnt get new clients and it is because bloggers audience is not your target one and his
   account has probably been exposed to different ways of advertising cheats.
   During the process of research, 145 advertisers placing their advertisements in the
   Internet as well as other media have been surveyed. The nature of the reasons that
   inhibit the growth of Internet advertising market is mostly based in the lack of
   customers` confidence in the reliability of Internet deals:
   The lack of confidence of potential customers in e-commerce due to the
   lack of complete and reliable information about it;
   Fear of not getting the item of goods that has been paid in advance;
   The lack of system of payments development;
   Fear of credit cards fraud;
   Concerns related to the unauthorized use of personal data;
   Practically total lack of legal coverage of the activity.

5. Product Review

Issues with Internet advertising and business development have inspired us to
create LICERIO that is a platform where brand is advertised by customers and
which ecosystem is based on Blockchain technology with its own cryptocurrency —
LCR Token, what will allow reducing operating costs, improving brand interaction
with customers and what will make the platform transparent for all its users.

Starting your advertising campaign with 2 clicks

You will have no difficulty in starting your advertising campaign — you will only
need to choose social networks for reposting, adjust user filtering and create ads.
Users will be reposting advertising materials of your brand in social networks and
getting a discount for an item of goods or services equivalent for the number of
collected “likes” as a reward for that. When starting advertising campaign brand
specifies the number of LCR tokens it wants to spend for that; the system will
forecast the number of “likes” and views that it will get. When total number of
“likes” collected by users equals the one requested by the brand, then the ad wont be further displayed. As soon as the customer comes to get a discount and finally gets it, his “likes” will expire; the system charges commission in the range from 1% to 5% for providing a customer to the brand and the ad is being displayed again. If the user hasnt come to get a service for 20 calendar days from the time of
advertising campaign completion, then his “likes” and discount will expire.
Retargeting groups

Brand may collect groups of users that have committed certain actions, for
example: they watched the ad, hid it, reposted it, left a “like”, made a purchase. This
will allow the brand to use the audience data both inside the system and for native
advertising in social networks as well.
Internal CRM and Analytics

Each customer that has made a purchase or got a service will be recorded into the
internal CRM by the system that will calculate the economy and make up the profile
of brand`s target audience.
Customers beside you

LICERIO platform will allow getting customers not only by means of advertising
campaigns but instantly. There will be “Discounts beside you” section in the mobile
application, where the map with brands
cooperating with LICERIO platform will be
displayed when it is launched. Brands will
be displayed within 1 km range and the
farther the distance to a sales point, the
bigger discount customer will get when
he comes to get a certain service.
Customer is selecting the sales point of interest and the application will map the
route to it; customer will watch discount increase while moving towards the sales
point.
Contests

Brand may arrange a contest, setting up its terms and conditions and an item of
goods or service sold by it may be used as a reward for winning in that contest.
Users will be actively reposting advertising materials what will give positive publicity
to the brand, thus, building brand awareness. After contest is over, the system will
automatically choose a winner by using a random number generator and notify
him about it. A certain number of tokens will be blocked on brands account before the winner gets an item of goods or service. After the user has got the item of goods/service at stake, tokens will return to brands account with service fee written
off of it.
Transparency
Every customer can submit a review and rate the brand what will help to attract the
attention of new customers and increase the level of their confidence in the brand.
Accessibility features
Such tools as posting to social networks will be available for a brand, which will
allow easily spreading information through all platforms. Merchandize catalogue for
Instagram is a tool that allows brands that are selling goods in this social network to
create their own unique mobile-friendly webpage at which customers can look
through a merchandize catalogue and make an order and pay for it if it is possible.
Besides that special widgets will be provided for e-commerce purposes. These
widgets will allow customers to get a discount at brands website. 5.2 LICERIO for agencies and freelancers Not only a brand but an advertising agency or a freelancer can sign up in LICERIO platform that can adjust their advertising campaign, create a good-quality advertising material for their brand and get a reward for every customer they have attracted. 5.3 LICERIO for webmasters LICERIO platform will have its own partner program on CPA & CPL models which any website owner who wants to monetize his website traffic will be able to connect to. Brands
advertising materials will be displayed on the
web-site. Webmasters will get rewards for each
attracted customer.
5.4 Brands and customers interaction
Brand creates an advertising campaign and customers are reposting
advertising materials in social networks. Brand has a broader coverage with its
advertising materials and guaranteed customers and customers get discounts from
the brand equivalent to the number of collected “likes”. In order to provide a
discount for its customers, brand should specify the amount of provided services in
“LICERIO Ad” mobile application and customer should scan QR-code from brands device with the help of “LICERIO Client” mobile app. The size of a discount that the customer should get will be indicated by brands mobile application (brand can
adjust the size of a possible maximum discount in its profile). Customers purchase and name are logged into advertisers CRM and the number of “likes” that is
equivalent to the size of customers discount expires. 5.5 Brands and agencies interaction Brand can interact with freelancers or agencies that will adjust its advertising campaign and create a good-quality advertising material (copywriting, graphics, etc.) and agency will get a part of brands commission fee as a reward. Brand can
find an executant at a special webpage within the system. Agencies are listed in
accordance with their rating but one can also pay for the premium placement. Each
agency has a portfolio of completed advertising campaigns that is created
automatically. Brand selects an executant and as soon as the executant has
confirmed his application, brands advertising campaigns become available in agencys profile and connected accounts will be displayed in brand`s profile which
access rights can be set up or totally switched off.

1. Platform economy
   LICERIO platform will charge a commission fee for each customer attracted
   for a brand. Commission rate may vary from 5% to 10% depending on methods
   used for attracting the customer. For example, if a brand has indicated the display
   of advertising materials on partner websites, then the commission rate will be 7.5%
   and if a brand has also used services of an advertising agency or a freelancer, then
   the commission rate will be 10% and in case a brand has independently adjusted its
   advertising campaign, then the commission rate will be 5%. LICERIO takes 5% from
   the total amount of commission fee to maintain its operating activity and high
   quality of provided services, the rest amount of commission fee is distributed
   among webmasters, advertising agencies and freelancers.
   All transactions inside the platform are carried out with direct use of
   cryptographic LCR token that provides high quality of the web resource and
   prevents any intrusion of third parties into the processes inside the system. Token
   value will be maintained not only by using it as a method of payment but it will also
   be supported with a possibility of receiving additional income by token holders.
   Token holders will be able to use them at popular cryptocurrency stock exchanges
   where potential users will buy them for their further use at the platform.
   The system of rewards for active use of the platform will be used at LICERIO
   platform; the more tokens a user has on his account, the more opportunities the
   platform gives him.

2. Road map