Kidpik Corp. · OTC:PIKM
Kidpik — Investor Presentation (May 2023)
23 slides from Kidpik's investor presentation, May 2023
Slide 1: Investor Presentation
CONFIDENTIAL INVESTOR PRESENTATION NASDAQ: PIK May 2023
Slide 2: Disclaimer
Disclaimer The information set forth herein contains statements that constitute “forward-looking statements” within the federal securities laws, including The Private Securities Litigation Reform Act of 1995, which provide a safe-harbor for forward-looking statements. In particular, when used in the
Slide 3: About Us
About Us Kidpik, founded in 2016, is led by a team of branding and merchandising experts with over 30 years of experience, including CEO Ezra Dabah, who was CEO and Chairman of The Children’s Place. Under his stewardship, The Children’s Place grew into an over-two- billion-dollar specialty retailer
Slide 4: Executives
Executives Ezra Dabah & key members of the kidpik team grew The Children's Place from $150M revenues to over $2.0B, from 1990 to 2007 EZRA DABAH – CEO Mr. Ezra Dabah has served as the Chief Executive Officer and director of the Company since April 2015 and as Chairman since October 2021. Mr. Dabah h
Slide 5: Leadership years of brand building
Leadership 40 years of brand building 30 years 40 years KIDS VERTICAL DESIGN & FAR-EAST MERCHANDISING EXPERTISE PROCUREMENT EXPERIENCE 6 years GREW BUILDING SUBSCRIPTION TECHNOLOGY & THE CHILDREN’S PLACE STORES PROPRIETARY ALGORITHM FROM 150 TO OVER 1,200 (1997-2007) We believe we have a strong comp
Slide 6: Investment Highlights
Investment Highlights • Proprietary technology and algorithm • Robust subscription member database • Scalable e-commerce shopping experience • Vertically integrated & in-house NYC design team • Brand with multi-channel capabilities • Seasoned management team with deep consumer branding and retail ex
Slide 7: Building a Brand
Building a Brand We believe our integrated approach allows us to offer great All apparel and shoes value to price-conscious at Kidpik are designed childrenswear and developed by our consumers while dedicated in-house NYC ensuring outfit team. coordination and consistent fit across our product. NASDA
Slide 8: We Bring the Store to You
We Bring the Store to You Using the expertise of our seasoned merchants and proprietary algorithm, Kidpik creates and delivers personalized mix-and-match outfits, enabling parents to effortlessly dress their kids in styles both parent and child will adore. Take 3-Minute Quiz Unbox The Fun Try Before
Slide 9: Kidpik is...
Kidpik is... PERSONALIZED CONVENIENT STYLISH FUN EXCITING CONFIDENT PARENTS LOVE IT KIDS LOVE IT KIDPIK BENEFITS • Happy, stylish kids • Exciting experience • Time-saving convenience FASHIONABLE • Hassle-free shopping ASPIRATIONAL • Personalized mail KIND • Personalized fashion • Expert stylists • S
Slide 10: Unique Selling Proposition
Unique Selling Proposition Personalized Styling Done By Experts With Zero Styling Fee Delivering Mix-&-match Coordinated Outfits In Each Box 7-day Try-on At Home, Easy Returns With Prepaid Envelope Amazing Presentation (Fun Unboxing Experience) Award Winning NASDAQ: PIK 10
Slide 11: Awards and Accolades
Awards and Accolades • Kidpik was voted the #1 Kids Clothing Subscription Box by Hello Subscription Readers in 2021and 2022. • Kidpik was selected as one of the winners of the 2021 and 2022 Good Housekeeping Parenting Awards by the publication’s panel of experts in a Dynamic Digital Platforms catego
Slide 12: Proven Technology
Proven Technology Internally developed subscription technology that we believe delivers an innovative, convenient, personalized, and frictionless shopping experience NASDAQ: PIK 12
Slide 13: Proven Proprietary Algorithm
Proven Proprietary Algorithm Allows us to scale and leverage with just a few stylists NASDAQ: PIK 13
Slide 14: Mission and Vision
Mission and Vision Kidpik uses social media channels, partners with influencers, and has a network of brand ambassadors and cross-promotes with other brands MISSION VISION To make shopping Empowering kids easy for parents by to express their delivering unique styles personalized, while simplifying s
Slide 15: Current Distribution Channels
Current Distribution Channels Our proprietary Kidpik brand provides the opportunity to sell through other channels Subscription Box Shop.kidpik NASDAQ: PIK 15
Slide 16: Operates in a Massive Children's Apparel Market
Operates in a Massive Children’s Apparel Market Estimated 2023 Children’s Worldwide Apparel Revenue1 WORLDWIDE $267B U.S. $53B NOTE: 1 Estimated by Statista, in its Children’s Apparel Report 2022 NASDAQ: PIK 16
Slide 17: Shipped Items (in 000's)
Shipped Items (in 000’s) 600 2,157 2,000 500 YoY Decline 32.5% 477 QoQ decline 21.6% 400 1,500 374 1,457 300 200 1,000 100 500 - YTD 2021 YTD 2022 4Q-2021 4Q-2022 Units Shipped Units Shipped NASDAQ: PIK 17
Slide 18: Shipment Keep Rate
Shipment Keep Rate1 70.0% 69.0% 68.3% 67.0% 66.1% 64.0% 61.0% 60.2% 58.0% 55.0% FY 2019 FY 2020 FY 2021 FY2022 (1) Total number of items kept by members divided by total shipped items to the same members in a given period NASDAQ: PIK 18
Slide 19: Revenue Net (in 000's)
Revenue Net (in 000’s) $5,000 $4,744 3Qo4Q increase 30.6% $4,000 $3,633 $3,000 $2,000 $1,000 3Q-2022 4Q-2022 Revenue, net (in 000s) NASDAQ: PIK 19
Slide 20: Revenue Net (in 000's)
Revenue Net (in 000’s) $6,000 $25,000 QoQ Decline 10.0% $5,272 $21,834 YoY Decline 24.5% $5,000 $20,000 $4,744 $4,000 $15,000 $16,478 $3,000 $10,000 $5,000 $2,000 $- $1,000 2021 2022 4Q-2021 4Q-2022 Revenue, net (in… Revenue, net (in 000s) NASDAQ: PIK 20
Slide 21: Gross Profit & Gross Margin
Gross Profit & Gross Margin 4Q 2021 4Q 2022 2021 2022 $3,500 80.0% 80.0% $3,000 $14,000 $3,094 $2,500 $2,793 $12,500 $12,998 $2,000 58.7% $11,000 58.9% 59.5% 59.9% $1,500 $9,500 $9,878 $1,000 $8,000 $500 $6,500 $- 40.0% $5,000 40.0% 4Q 2021 4Q 2022 2021 2022 Gross Profit (in 000s) Gross Margin Gross
Slide 22: Investment Summary
Investment Summary • Proprietary technology and algorithm • Robust subscription member database • Scalable e-commerce shopping experience • Vertically integrated & in-house NYC design team • Brand with multi-channel capabilities • Experienced management team 22
Slide 23: ir@kidpik.com www.kidpik.com
FOR ALL INQUIRIES PLEASE CONTACT: ir@kidpik.com www.kidpik.com