Investor Presentation

Transcription

1 Investor Presentation October 2013 Mobile marketing solutions that deliver personalisation leading to behavioral change and loyalty are the Holy Grail for brands

2 IMPORTANT NOTICE This Investor Presentation has been prepared and issued by VMob Group Limited ( the Company ). The statements in this Investor Presentation are made as of the date of its issue and are subject to change, completion or amendment without notice. Nothing contained in this Investor Presentation, nor any collateral communication (written or oral) of the Company, shall: constitute investment advice or a recommendation to proceed to subscribe for the new shares in VMob Group Limited; be deemed to be an assurance or guarantee as to the expected results of the performance of the Company, or the shares in the Company. The Company makes no representation or warranty (express or implied) as to the accuracy or completeness of the information contained in this Investor Presentation and is not obliged to update any information contained in this Investor Presentation nor to notify any person should any information be incorrect or cease to be correct. The Company, or its related companies, or its directors, officers or employees, do not accept any liability for the reliance of any person on information contained in this Investor Presentation. Further, they accept no responsibility for any loss or damage as a result of that reliance. 2

3 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonald's Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 3

4 Overview of VMob Group 1 Overview Leading provider of mobile marketing solutions to global tier 1 brands Headquarters in Auckland with 20 employees 2 History VMob business founded in September 2012 Backdoor listed on the New Zealand Alternative Market (NZAX) of NZX on 31 August Corporate Share Price of NZ 3.5 cents Market capitalisation of NZ 34M 4 Technology / business model VMob has built an enterprise grade mobile marketing platform that is infinitely scalable to manage big data for the world s biggest brands Highly scalable transactional business model 5 Channel partners Channel partners include Ommnicom, MediaCom and Salmat Enables an efficient and wide distribution capability across the globe 6 Clients Current clients incl. McDonald's, Exxon, Yellow Pages and Telkom Indonesia Leading pipeline of tier 1 clients in various stages of development 4

5 The VMob Team Scott Bradley CEO & Founder Ex Utilyx, Omnicon, AC Nielsen Background Digital startups, Energy Trading, Media, Data Phil Norman Non Executive Chairman Nortek Management Ex Xero Chairman Background - ICT, venture capital and investment banking Sean Joyce Non Executive Director Corporate Counsel Background - capital markets and securities law Bob Drummond COO Ex Deutsche Telekom, Geneva Technology, Open Cloud Background C Level in three successful software startups in ICT / Telco David Inggs CTO Ex Four Forces, Voola Background - Software product (ISV) and technology services businesses. Mark Talbot CFO Diablo management Ex Ernst & Young Background - CFO for biotechnology, software, mobile and energy companies. 5

6 VMob Solution = 3 VMob has built a mobile marketing platform that can deliver increased sales and revenue by: Driving Customers to 1 2 Increasing Loyalty 3 Enables ROI Measurement Store Personalisation is based on customers behaviour and interest data Personalised, location based offers drive maximum store visits Personalised offers have a 30% higher redemption rate than generic offers We build rich customer profiles that include all engagement, location, social and purchase history Deliver mobile loyalty solutions that eliminate physical cards and increase redemption Serve personalised rewards specific to each customer s behaviour Allow instant redemption of rewards Measure sales growth in relation to marketing spend Analyse effectiveness of add-on purchases Track customer redemption, frequency and lifetime value Identify the most effective digital channel for customer engagement 6

7 Our Business Model There are 3 components to the VMob revenue model. An upfront deployment fee, a monthly hosting/support fee and a transaction fee per voucher redemption or event. Fee per redemption (10c on average) Monthly Hosting & Support Fee ($2,000-$10,000 / month) Set Up Fee ($50,000-$200,000 one off) 7

8 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonald's Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 8

9 VMob has the ability to profile customers Profiling customers Once the client App is downloaded, data is collected from the mobile device and stored in the VMob platform. All data is captured in real time and stored against a known customer This live customer profile allows campaigns to be targeted and personalised to a specific customer Enables targeted promotions With an array of features that can be turned on or off, the ability to manage campaigns and data either centrally or locally, and the ability to integrate to virtually any existing system or database, the VMob platform is a complete digital solution 9

10 Targeted promotions The VMob platform allows the client to target promotions to a market of one based on any number of campaign criteria and data tags Customers current location Demographic tags Social tags Transaction / POS tags Location tags Behavioral tags CRM tags Loyalty tags Billing system tags 10

11 Measure ROI The VMob platform has real time analytics tools allowing: Campaign effectiveness Channel optimisation Promotional effectiveness Sales funnel & media optimisation A+B testing API s for integration to existing BI systems. 11

12 Key points about VMob s technology Hosted on Cloud All IP owned by VMob Works for Brands Works for Consumers Significant scaleability and functionality The VMob platform is hosted in the Cloud and is infinitely scalable and able to manage hundreds of millions of customer profiles and actions All key IP is developed in house and owned by VMob The flexible architecture means VMob can be deployed in Microsoft Azure or Amazion EC2 environments The technology is built on a modern Service Oriented Architecture specifically for the Cloud to provide almost infinite scalability. Integration components built on top of REST based API s using oauth2 security standards, Microsoft MVC 4 architecture and full Microsoft Azure Cloud deployment and auto scale capability Full Web based interface for all systems as well as Mobile Web offerings for retailer and consumer solutions. Native apps for ios (iphone and ipad), Android, BlackBerry as well as HTML5 The platform includes a massively scalable event driven decision engine (over 30,000 transactions per second). This engine uses in-memory database technology to handle decision-making such as what actions should be taken when a live activity is taking place. The event engine can accept, report and react live based on feeds from constant GPS information from mobile devices, live updates to and from social networks as well as items like POS transactions and voucher redemptions 12

13 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonald's Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 13

14 Case Study- McDonalds Netherlands The existing McDonalds mobile App allowed a customer to view the menu and find a restaurant There was no customer data, no sales data, no ability to measure ROI The requirement by McDonalds was to evolve the existing App into a rich, personalised user experience Enable rewards, loyalty and geo-targeted offers to be delivered with measurable results VMob partnered with Tribal Europe Tribal developed the App and VMob provided the platform to enable the program 14

15 McDonalds Netherlands 2.0 A new App was launched with a range of features to deliver the personalisation, loyalty and rewards required by the client The new App was launched in record of time of only 8 weeks as the VMob platform was available out of the box for the App developers to integrate to. Features Personalisation News and Activities Share Coupons Mystery Coupons Find a Restaurant Loyalty Rewards Order Special Offer Coupons Sweepstakes Push Messages Notifications Browse Menu Share with Friends Gift Coupons 15

16 McDonalds Netherlands Results Exceeded all user download and activity targets Significant increase in guest visits to restaurants Increased tray value for customers using the app Material increase in sales value and volume. 16

17 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonald's Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 17

18 Channel Partners We use a direct and channel partner strategy for sales A key channel partner is DDB Tribal which is part of the Omnicom Publicis Group the largest global advertising group VMob is currently working on client projects with DDB Tribal in the follow markets - UK, Netherlands, Norway, Hong Kong, Singapore, Japan, China, Australia, New Zealand, Indonesia, Philippines, Sweden VMob is also working with MediaCom which is part of the WPP Group, the worlds second largest advertising group on clients in Singapore, Thailand and Philippines VMob is working with Salmat in Australia on a range of client initiatives 18

19 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonald's Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 19

20 Current clients Client Key Contracts Deployed platform in Netherlands for 250 restaurants Deployment in development for Exxon Mobil Norway Pilot deployment for in New Zealand Deployment for wifi.id 1 million wi-fi hot spots in Indonesia 20

21 Extensive Pipeline VMob s key focus is bricks and mortar retailers around the globe. The sweet spot is high volume, low-mid value retailers looking to build stronger relationships with their customers. Example target industry verticals are Quick Service Restaurants Food and Beverage Department Stores / Retail Fashion Cinema Service Stations Supermarkets

22 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonalds Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 22

23 Key Investment Highlights ü Team VMob s board and management team, led by Phil Norman and Scott Bradley, have a strong track record and are well placed to capitalise on VMob s significant potential ü Technology VMob has built an enterprise grade mobile marketing platform that is infinitely scalable to manage big data for the worlds biggest brands ü Business Model Cost recovery from deployment and then ongoing maintenance fees Highly scalable transactional revenue, which aligns VMob and client interests ü Channel Partners Channel partners include Ommnicom, MediaCom and Salmat Enables an efficient and wide distribution capability across the globe ü Client Base Strong success with tier 1 global brands provides an excellent endorsement to gain new clients Leading pipeline of tier 1 clients in various stages of development

24 Table of Contents 1 Overview of VMob 2 Technology and mobile marketing capabilities 3 McDonalds Netherlands Case Study 4 Channel Partners 5 Current and Prospective Clients 6 Key Investment Highlights A Appendix 24

25 Appendix A Selected Key Risks* " Share market risks VMob s share price is subject to change due to a number of factors including the VMob s financial performance, as a result of external factors which are outside of the control of the VMob and the Directors, and changes to the overall market " or IT, telecommunications " " and advertising "" sectors. Liquidity risk Investors should be aware that they could face liquidity risks when buying or selling VMob shares. There may be relatively many or few buyers or sellers of VMob shares on the NZAX at any given time which could increase share price volatility. General economic conditions There are a wide range of macro-economic and political factors, outside the VMob s control, which may affect both the global and local economy and share market conditions in general. This may also influence VMob s operating and financial performance. Factors include; economic growth, inflation, exchange rates, interest rates, consumer spending and government fiscal, monetary and regulatory policies. Competition risk The IT, telecommunications and mobile marketing sectors are competitive and the competitive landscape can change quickly. There is a risk that existing or new competitors may have or develop better technology and services and be more success in signing up clients. Legislative and regulatory changes Changes to laws and regulations or accounting standards which may apply to VMob could have adverse impact on the VMob s financial performance. Legislative and regulatory changes could also affect VMob s financial and operational performance. Funding risks Successful implementation of VMob s business plan will require funding and there is risk that funding will not be forthcoming or that it will be available on favourable terms, which could adversely impact the VMob. Reliance on channel partners VMob relies on a number of channel partners to assist it in signing up new clients. Any loss of channel partner or change in the terms of its arrangements with its channel partners, could adversely impact VMob. Customers risk The success of VMob will be heavily dependent upon its ability to maintain its existing client base and generate new clients. There can be no assurance that VMob will be successful with maintaining and developing new clients which could adversely impact the performance of the business. Key personnel risk VMob s is heavily dependent upon the services of several board members and senior management. Any change in the board or senior management could adversely impact VMob. *This describes a range of selected risks associated with investment in VMob. The selected key risks outlined should not be considered an exhaustive list. 25