MARKETERS 2.0Silvia Bernardi

Francesca Crepaldi Christoph KohlmayrSilvia Mezzasalma

Chiara Pitoni Daniela Zagolin

INNOCENTIVEInnoCentive is a privately held venture capital-backed Firm, headquartered

near Boston, in Waltham, which has also a European office in London.

During the years, the company has posted more than 1.650 Challenges to its global solver community, in addition to thousands of internal challenges executed by customers.

Innocentive enables challenges in a wide variety of disciplines, including business and entrepreneurship, chemistry, computer and information technology, engineering and design, food and agriculture, life sciences, Math and Statistics and physical sciences. The company frames these as «challenge problems» for anyone that must be solved.

Innocentive is an open innovation and crowdsourcing Company that enables organizations to solve their key problems by connecting them to

diverse sources of innovation. They crowd source innovation from the world’s smartest people, who compete to provide ideas and solutions to

important business, social, policy, scientific, and technical challenges.

WHAT INNOCENTIVE DOES

COMBINATION OF:

Global network of problem solvers

Challenge methodology

cloud-based innovation management platform

help the clients in transforming their

economics of innovation through rapid solution

delivery, developing sustainable open

innovation programs

IN ORDER TO:

By unleashing human creativity, passion and diversity, they can solve problems that matter to business and society.

Their methodology is called Challenge Driven Innovation: an innovation framework that accelerates traditional innovation outcomes by leveraging open innovation and crowdsourcing in order to develop and implement actionable solutions to key problems, opportunities, and challenges.

WHAT INNOCENTIVE BELIEVES

“We believe that innovation and problem solving need to evolve in order to meet the challenges of the 21st Century”.

2001A. Bingham, together with J. Panetta, D. Carrol and J. Hensley, created the Company thanks to the financing of Eli Lilly. It was considered as a branch.

2005Innocentive was spun out of the Eli Lilly with the investments of Spencer tracks, a venture that unites both investors and entrepreneurs to build valuable companies.

2006

The Company signed an agreement with the Rockefeller Foundation to add a no-profit area designed to generate science and technology solutions for the developing world. It was a successful join because, in 3 years, it has posted 10 challenges on Innocentive, with an 80% of success rate. Innocentive stipulate another partnership with Prize4life and together they launched Grand Challenges based on healthcare (such as ALS biomarker prize) and life technologies.

2012Innocentive acquired Omnicompete, a European Company specialized in innovation competitions. It promoted open innovation through various prize challenges worldwide

INNOCENTIVE HISTORY

1998The idea of Innocentive arise from A. Bingham and A. Schatch, while they worked together at Eli Lilly, a pharmaceutical Company, following a project focused on the application of the Internet to its business.

Online platform for crowdsourcing innovation

problems to talented minds from all over the world who compete

to provide novel ideas and solutions to important Challenges

It is a SaaS-based idea generation software platform designed for innovation idea creation, idea

sharing and knowledge sharing from employees and invited

audiences in a well-structured environment

Cloud-based enterprise innovation management platform for building collaborative internal

innovation communities to harness the collective intelligence of your employees and partners

High-profile Challenge programs and innovation competitions,

uniquely tailored to your needs, for solving big problems and

encouraging breakthrough innovations

INNOCENTIVE PRODUCT & SERVICES

INNOCENTIVE@WORK

Product and services used to find solutions for :• CORPORATIONS

• THE PUBLIC SECTOR & GOVERNMENT• NON-PROFIT AND FOUNDATIONS

PREMIUM CHALLENGES INNOCENTIVE IDEA MANAGEMENT

CUSTOM CHALLENGE PROGRAMS

GEOGRAPHICAL EXTENSION OF THE PLATFORM Since August 2013 300.000 users, 200 Countries.

USER GROUP

Science PhDs

Technicians

Students

Engineers

More than 50% of

registered solvers

Russia India China

Most of the problem solvers are well-educated, with a majority (65.8%)

holding a PhD

AGREEMENTS

Chinese and Russian national science Academies. As motivation for Russian Universities, for example, a solver’s academic department can get 10% of any award.

GEOGRAPHICAL EXTENSION OF THE PLATFORM

INNOCENTIVE BUSINESS MODEL

It explains how resources are brought together to create monetizable value, where

resources are based on crowds

MARKETPLACE

BUSINESS MODEL

Marketplaces are characterized by matching buyers and sellers of services and financing through mechanisms including bidding and competitions. Marketplaces, as Innocentive, cover service marketplaces, competition platforms, crowdfunding, equity crowdfunding, microtasks, innovation prizes and innovation markets.

SUCCESS FACTORS

Factors that are essential for success in implementing business

models based on crowds

payable by both clients and service providers in order to participate in the

platform, service or value creation

playing as a broker between clients and service providers, so they ask

transaction-based payments as bidding fees

on well-defined tasks or services

fees that can be charged for taking tests on capabilities such as language abilities

or software skills

when the company acts as an interface to the end-client through relationship

management and quality control

Contributor breadthContributor quality Buyer breadth Buyer quality Public reputation measures Project management capabilities

MEMBERSHIP FEES

TRANSACTION FEES

PAY PER TASK

TEST FEES

CUSTOM SERVICES

MONETIZATION

As the majority of crowdsourcing Companies, Innocentive sees the presence of different elements that

contributes to its success

Seekers Solvers

Who are the partners? Who are the suppliers?

INNOCENTIVE SUCCESS

Corporations large and small, no-profit organizations and government entities which needs an international flexible

platform to locate existing solutions or to solve challenging issues and create

profit advantage.Innocentive offers to them time,

money and an high probability to find a solution through potential solvers

Creative thinkers who need:• a public recognition;• an enlargement of their action plan;• an appurtenance to an elite group;• a financial award

Innocentive offers to them the possibility to work for powerful

Companies.

The partnership has created a program which dovetails with “Economist Ideas” focusing on topics such as innovation, human potential,

and intelligent infrastructure.

It is a software and consultancy social platform focused on

innovation and idea management, involving customers and partners.

It is a world leader in consulting services, and it joins forces with Innocentive to help commercial

and government organizations to solve relevant Challenges.

NPG is a pioneer in the use of Web 2.0 technologies. The partnership offers the opportunity for scientists worldwide to

realize practical uses of their research and win cash awards, contributing to significant scientific advances, solving global problems

It is a strategy and innovation consultancy which has helped its clients to build deep

innovation capabilities and develop creative strategies for sustainable growth.

Science and technology enthusiasts will be able to solve

global scientific problems, with the alliance of the two Companies in

2013.

SUPPORTERS PARTNERS

InnoCentive Partner Program

A “WIN-WIN-WIN”“InnoCentive partnerships represent a win-win-win opportunity for your organization, your audience, and your members. Becoming an InnoCentive Partner is a smart, innovative way to strengthen your relationships with those most important to you.”

InnoCentive as your ENGAGEMENT PARTNER“We help you engage your constituents by offering them a chance to make a meaningful impact on the world. To solve Challenges that matter.”“Or you might be part of an organization that provides products, services, or solutions that help organizations innovate and want to introduce your clients to challenge-based problem solving.”

4 Types of Alliance Ecosystem PARTNERS

“We believe that innovation is a team sport, and so do our partners. Together, we push the

boundaries of open innovation, crowdsourcing, and prize-based competitions.”

Network Partners (for premier publishing

companies)

Integration Partners (for consultancy

companies)

Affiliate Partners(for leader in product lifecycle and portfolio

management)

Regional Partners (for local market

leaders)

DEFINITION: «InnoCentive Solvers are the people or organizations who solve InnoCentive Challenges. Solvers can work within our Challenge Platform, they can be selected by an

organization looking to connect to a specific audience (e.g., customers, partners, suppliers), or they can be part of our growing community of more than a quarter million diverse and

creative people from around the world who register (for free) on InnoCentive.com to become an InnoCentive Solver.”

WHY SOLVE?

Start making a difference, become

a Solver today!

Exercise your brain! Forget Sudoku, Challenges

are real problems requiring critical thinking, research, creativity, and

synthesis of knowledge. Developing a solution is incredibly

rewarding and an unparalleled mental workout.

Demonstrate your expertise,

become a Solver today!

You could be next, become a Solver today!

Earn awards:We've awarded more than $14 million to thousands of

brilliant Solvers from around the world.

SUPPORTERS SOLVERS

Out of the entire Global Solver Community there are 16 different Solvers that represent the top ten in terms of total winnings and/or total number of

Challenges won*

* The solver must report at least 3 winnings rewarded with a minimum amount of $ 1.000.

TOP SOLVER 2013

United States44%

Others16%

Russia14%

Germany9%

India6%

Canada5%

UK2%

Italy2%

China2%

INNOCENTIVE SOLVERS DEMOGRAPHICORIGIN DATA

*Data coming from “Innocentive.com”, referring to 2013

Bachelors6%

Masters12%

Others13%

Post Doc.20%

Ph. Doc.50%

INNOCENTIVE SOLVERS DEMOGRAPHIC

EDUCATION DATA

*Data coming from “Innocentive.com”, referring to 2013

Total Registered Solvers:

from nearly 200 countries

Total Solver Reach:

through the strategic partners

Total Solution Submissions:

Total Award Dollars Posted:

Total Awards Given:

40.000

85%

355.000

500.000

$40 million

1.650

1.500

13 million

$5.000 to $1 mln

Premium Challenge Success Rate (2013):

External Challenges & thousands of Internal

Challenges (employee-facing)

Total Challenges Posted:

based on the complexity of the problem and Nature of the

Challenge

Range of awards:

PERFORMANCE MEASURES OF THE PLATFORM

Project Rooms Opened to Date:

MAIN PROJECTS DEVELOPED THROUGH INNOCENTIVE CREATIVITY

VITA CHALLENGE OSRI CHALLENGE

Low-cost Rainwater Storage System

Oil Spill Recovery Challenge

PURPOSE PURPOSE

To give an help to families of developing Countries in order to

facilitate the access to clean water, addressing a real and huge

problem

To find a method for separating oil from water on oil recovery barges in response to 1989 Exxon Valdez

oil spill disaster, dealing with Arctic and Sub-Arctic waters

1° CHALLENGE: THE LOW-COST RAINWATER STORAGE SYSTEM

SOLUTION

Joern Lutat a foil inlay within a tough woven bag that was already mass

produced for packaging dry materials and it could contain a ton of water, providing also impermeability. The

product is lightweight, easily transportable and folded into a small

retail package

A simple, affordable and scalable product: “BOB”

The solution was launched in 150 households in Uganda. The ease of transport, low cost ($54 USD) and large storage volume are the KSFs of sales. As result millions of women are now able to spend more time working in the fields or taking care of children, with a concrete economic benefit for their families.

In March of 2011 “Bob was formally launched in 3 districts in Uganda with a promotional campaign using existing commercial channels like radio, print and live events.

2° CHALLENGE: THE OIL SPILL RECOVERY ISSUE

SOLUTIONsimple solution using an existing product commonly used in the concrete industry

John Davis (an Innocentive Solver from the USA) and his expertise proposed a tool which uses vibration to keep cement in liquid form. By attaching a long pole and inserting the tool into the oil recovery barges, it would keep the oil from freezing into a viscous state and allow the oil to be easily pumped from the barge

“The InnoCentive Marketplace allows us to step outside the box and look at more creative solutions”

Scott Pegau (OSRI Research Program Manager) said about the solution:

http://www.youtube.com/watch?feature=player_embedded&v=gGaLUTpfxxo

The project has been advertised on ORSI Website in order to spread the news of the important discovery which has a strong positive impact on the environment. Many other social media has been used like Facebook, Twitter, LinkedIn which have helped people to become aware about the problem and the solution found.

TALKWALKER: INNOCENTIVE SOCIAL MEDIA STRATEGY

GENDER

COUNTRIES INVOLVEDTYPE OF SOCIAL MEDIA USED

*Data refers to the last year (2013-2014)

NegativeNeutralPositive

INNOCENTIVE SENTIMENTS

GOOD sentiments > NEGATIVE sentimentsGood sentiments (31.8%) are signs of the high Premium

Challenge Success Rate (85%)

*Data refers to the last year (2013-2014)

BIBLIOGRAPHY• «Getting Results from Crowd - The definitive guide to using crowdsourcing to grow

your business» R. Dawson, S. Bynghall; Paperback, Advanced Human Technology, 2° Ed. 2012;• www.innocentive.com;• www.talkwalker.com;• www. economist.com;• www.linkedin.com/company/strategos;• www.pws-osri.org;• www.socialmediaawards.ug;• www.nos.co;• www.businessweek.com/open-innovation;• www.strategos.com;• www.boozallen.com;• www.nature.com;• www.scientificamerican.com;• www.investing.businessweek.com;• www.twitter.com/InnoCentive;• www.facebook.com/InnoCentive