Slide 1: DateTix Group (ASX:DTX) Investor Presentation
DateTix Group (ASX:DTX) Investor Presentation October 2016 Join us in building a leading global dating portfolio
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Datetix Group Ltd. Each recipient of this presentation is deemed to have agreed to accept the qualifications, limitations and disclaimers set out below. None of Datetix Group Ltd. and/or its subsidiaries or their respective directors, officers, emplo
Slide 3: Demand for Dating Services is Soaring
Demand for Dating Services is Soaring Demographic shifts and cultural trends are driving rapid growth in demand for dating services Growing number of singles worldwide People are choosing to stay single longer Number of adults in North America, Western Europe and other % of US population aged 16 and
Slide 4: Online Dating is Becoming a Social Norm
Online Dating is Becoming a Social Norm The Internet is now the #1 preferred way to date for many people Online dating gaining widespread social acceptance Use of dating websites/apps has soared % of people who agree that online dating is good way to meet people % of adults in the US who have ever u
Slide 5: A Multi-Billion Dollar Global Market Opportunity
A Multi-Billion Dollar Global Market Opportunity Online dating is a massive ~A$5.0 billion market globally that is seeing strong growth in Asia 2015 online dating market (A$ millions)1 2,300 Key growth markets 1,200 519 500 290 275 112 U.S. Europe (ex. U.K.) China U.K. India Australia Rest of World
Slide 6: Dating Apps Are Strong Revenue Generators
Dating Apps Are Strong Revenue Generators Dating apps dominate top revenue charts across iOS and Android Top non-gaming apps by revenue on iOS and Android in 20141 1 2 3 4 5 6 7 8 9 10 Dating App ¹App Annie Top App Trends of 2014 6
Slide 7: Online Dating Assets Are Getting Bought at Substantial Valuations
Online Dating Assets Are Getting Bought at Substantial Valuations Dating platforms have become popular takeover targets in recent years Target Acquirer Acquisition Date Valuation Stake Acquired June 2016 A$73 million 100% Private investors May 2016 A$489 million 100% July 2015 A$762 million 100% Aug
Slide 8: DateTix Group Overview
DateTix Group Overview A leading dating platform currently operating in Hong Kong, China, Singapore and the UK Service Target age group Price points Mobile social platform for casual dating and social networking 18 to 35 Free – A$32/month Premium online dating platform for serious relationships and
Slide 9: Broad Geographic Footprint with Asia Focus
Broad Geographic Footprint with Asia Focus China Hong Kong Singapore United Kingdom 1.4 billion population 7 million population 5 million population 65 million population Established Presence Across Major Global Markets 9
Slide 10: Distinctive Competitive Positioning
Distinctive Competitive Positioning Clear brand positioning to effectively capture distinct market segments Older eHarmony Match.com Casual Serious Dating Relationships Coffee Meets Bagel Happn Bumble Tinder Younger 10
Slide 11: Substantial Revenue and User Footprint
Substantial Revenue and User Footprint Strong growth momentum across key financial and operating metrics A$2.1 million 94,000+ 3,600+ FY16 pro forma revenues1 Monthly active users in Active paying subscribers at September 20162 end of September 20162 Globally Scalable Dating Platform 1 Pro forma rev
Slide 12: Scalable Business Model with Diverse Revenue Streams
Scalable Business Model with Diverse Revenue Streams Attractive and diverse monetisation model built on top of large & engaged user base Membership 1 2 Virtual Items Online Subscriptions Revenues 3 Advertising 4 Social Commerce Offline 5 Matchmaking 6 Events Revenues Large & Engaged User Base Multip
Slide 13: Diversified Revenue Base Across International Markets
Diversified Revenue Base Across International Markets High revenue visibility from recurring membership subscriptions FY16 revenue by product1 FY16 revenue by geography1 1.8% 1.0% 6.4% 6.7% 14.5% 6.4% 0.4% 43.5% 35.1% 84.1% Membership subscriptions Advertising United Kingdom Australia Events Others
Slide 14: Asset-Light Software-Driven Business Model
Asset-Light Software-Driven Business Model Highly scalable software platform in place to support large growth in member base Global revenue base with minimal physical presence Software-driven business model with high margins Centralized R&D and online marketing Asset-light business model Multilingua
Slide 15: Profitable and Scalable Customer Acquisition Channels
Profitable and Scalable Customer Acquisition Channels Multiple proven channels for profitable, repeatable and scalable user and customer acquisition Organic growth Online marketing Offline marketing • Word-of-mouth referrals • Social media (e.g. • Train/tram/bus ads from highly satisfied users Faceb
Slide 16: Glowing Testimonials from Satisfied Customers
Glowing Testimonials from Satisfied Customers We have helped start many thousands of love stories across the world Hazel & Michael Polly & Rob Vanessa & Matthew Zara & Nigel “I joined Lovestruck after moving to “We both joined Lovestruck after “After a few months I spotted “After a few months on Lov
Slide 17: Corporate Snapshot
Corporate Snapshot Capital structure (ASX:DTX) Board of directors Top shareholders Market capitalisation 1 A$12M Anthony Harris – Non-Executive Chairman Mr Michael Ye – 14.6% 2 Michael Ye – Founder & CEO JM Financial Group – 12.6% Shares on issue 31.06M Leigh Kelson – Non-Executive Director Gold Res
Slide 18: DateTix – Location-Based Social Platform
DateTix – Location-Based Social Platform Mobile social platform to meet new people nearby for local date activities 1 Choose date activity 2 Invite people 3 Confirm date Select an interesting date Invite people who you like to Chat with your matches activity near you meet for the date activity to co
Slide 19: Attractive Mobile-First Millennials User Base
Attractive Mobile-First Millennials User Base Younger millennials user base seeking casual dating and friendship Who uses DateTix? Why use DateTix? 35 26yo 87% 58% Casual Friendship Serious Anything Others dating relationship Median age Under age 35 Male Date Types Top Platforms Meal Drinks Events 6
Slide 20: Exceptional Growth Momentum
Exceptional Growth Momentum The DateTix app has seen strong user growth momentum since launch in February 2016 Registered users Monthly active users +79% 77,400+ growth +97% 32,300+ growth 43,300+ 16,400+ Jun-16 Sep-16 Jun-16 Sep-16 Proven user traction with strong growth momentum 20
Slide 21: Lovestruck – Premium Online Dating Platform
Lovestruck – Premium Online Dating Platform Premium online dating platform for serious relationships and marriage • Scalable world-class software platform • Full multilingual engine • Expandable and adaptable globally • Device-agnostic: 4 platforms • iOS app • Android app • Website • Mobile website
Slide 22: High Income Urban Professionals Demographic
High Income Urban Professionals Demographic Highly educated and affluent user base seeking serious relationships Who uses Lovestruck? 35 34yo 45% 60% A$60k/yr 73% Median age Over age 35 Male Average annual College or above income education level Where do they work? 11% 7% 6% 6% 5% 4% 4% 4% Banking a
Slide 23: Trusted and Highly Reputable Dating Brand
Trusted and Highly Reputable Dating Brand Multi award-winning and trusted dating brand with a tier-one URL domain name Leading reputation in the industry – Winner ‘Online Dating Brand of the Year’ 2015/16 • Match.com (Highly Commended) • Guardian Soulmates (Highly Commended) Lovestruck (Winner) • Th
Slide 24: Premium Brand Positioning with High ARPU
Premium Brand Positioning with High ARPU Lovestruck is a premium, aspirational brand that commands high subscription price points Revenue per Monthly Active User (A$) $37.10 $20.34 $14.53 $2.49 Match Group MeetMe Momo Market cap (A$)1 $5.7 billion $404 million $5.5 billion 2015 Revenue (A$) $2.3 mil
Slide 25: Highly Profitable and Attractive Unit Economics
Highly Profitable and Attractive Unit Economics Proven profitable ROI in paying subscriber acquisition driven by award-winning marketing ROI on Marketing Spend (A$)1 United Kingdom Hong Kong Singapore 24% 58% 24% ROI ROI ROI $10.3 million $3.0 million $8.3 million $2.1 million $1.9 million $1.7 mill
Slide 26: Lovestruck Infinity – Premium Matchmaking Services
Lovestruck Infinity – Premium Matchmaking Services High-end personalised matchmaking and matrimonial services • Service packages typically priced from A$2,000-3,000 • Guaranteed number of handpicked dates • Personal matchmaker to understand client requirements • Highly personalised and curated exper
Slide 27: Traditional Matchmaking Still Thrives in Asia
Traditional Matchmaking Still Thrives in Asia Dating services market in Asia is dominated by traditional matchmaking 2015 online dating market1 2015 matchmaking market1 2015 online dating market2 2015 matchmaking market2 A$0.5 billion A$1.3 billion A$2.3 billion A$0.4 billion 1 iResearch, 2015 2 IBI
Slide 28: Substantial Synergies with Online Platforms
Substantial Synergies with Online Platforms Lucrative opportunities to upsell premium matchmaking services to Lovestruck and DateTix user base Outbound Leads Inbound Leads Qualified Prospects from Lovestruck + DateTix databases Sales Team Arrange Consultations with Qualified Prospects One-on-One Con
Slide 29: Growth Strategy
Growth Strategy Multiple growth drivers underpinning long-term growth Growing active user base in existing markets Geographic expansion into new markets Increasing user-to-paying user conversion rates Increasing average lifetime revenue per user Pursue M&A and strategic partnerships 29
Slide 30: Geographic Expansion Roadmap
Geographic Expansion Roadmap Replicate business model and marketing playbook to expand into major markets globally 2016-17 2018 2019 Asia-Pacific and United Kingdom North America Rest of world Australia Indonesia South Korea Canada Argentina Italy China Japan Taiwan United States
Slide 31: Our Vision and Roadmap
Our Vision and Roadmap Our vision: to build a leading global portfolio of dating brands EBITDA Acceleration EBITDA growth accelerates from operating leverage Revenue Acceleration 2020 Revenue growth accelerates from user growth and monetization 2019 Leading Global 2018 Dating Portfolio Platform Laun
Slide 32: Six Reasons to Invest in DateTix Group
Six Reasons to Invest in DateTix Group DateTix Group offer multiple compelling investment characteristics Large and growing Highly scalable across High profit margins as addressable market multiple markets business scales Diverse revenue Defensible businesses Multiple exit options models with networ
Slide 33: Join us to build a leading global dating portfolio
“Join us to build a leading global dating portfolio” Thank you! 33