Rocket Internet Se · HAM:RKET
Rocket Internet — Investor Day (September 2015)
81 slides from Rocket Internet's investor day presentation, Sep 30, 2015
Slide 1: Agenda
Agenda Time Topic Presenter Part 1 Peter Kimpel 9:00 – 9.45 Proven Winners H1 2015 Financials CFO Rocket Internet Peter Kimpel 9:45 – 10:00 Update LPV and Underlying Assumptions CFO Rocket Internet Oliver Samwer 10:00 – 10:45 Update Rocket Strategy CEO Rocket Internet Path to Profitability – How to
Slide 2: HelloFresh
4) ROCKETINTERNET HelloFresh
Slide 3: Building the Leading Global Online Consumer Food Brand
Building the Leading Global Online Consumer Food Brand September 2015
Slide 4: Our Mission
Our Mission AT HELLOFRESH WE WANT TO CHANGE THE WAY PEOPLE EAT - FOREVER.
Slide 5: Bringing Innovation To A Massive And Underserved Industry
We Are Bringing Innovation To A Massive And Underserved Industry The average household eats 62% of their meals at home¹ While innovation for out of home dining has exploded, the at home market has gone 50 Years Without True Innovation Our Goal Is To Deliver Personalised Fresh Food At Home Source: Te
Slide 6: In Four Years We Created A New Market And Are The Global Leader
In Four Years We Created A New Market And Are The Global Leader Massive Growth at Scale 386% CAGR IN • Geographic expansion in MEALS DELIVERED Accelerated Global Brand Awareness Powered by Belgium • HelloFresh ships more than Mobile 4 MM boxes / month to 7 • HelloFresh crossed mobile different count
Slide 7: Why Consumers Love HelloFresh
Why Consumers Love HelloFresh No No No Planning Shopping Waste 1 Box Delivered Perfectly Portioned Personalised Easily Managed Weekly To The Ingredients For 3-5 Fresh Food, Via Subscription Door Meals Per Week Locally Sourced Platform 83
Slide 8: HelloFresh's Path To Hyper-Personalization
HelloFresh’s Path To Hyper-Personalization FUTURE Curation Taste Clustering Hyper-Personalization My friends call me their chef Jill Degree of Personalization My kids should eat healthy Jennifer I love sports, I live my job Jeff 84
Slide 9: HelloFresh Revolutionizes Food Consumption
HelloFresh Revolutionizes Food Consumption CURATION PERSONALIZATION PROGRAMMING SUBSCRIPTION MEAL CONSUMPTION ONLINE CONSUMPTION Compelling Online Platform Subscription Based Model Habit Forming Product Asset Light Infrastructure Data-driven Content Creati
Slide 10: Key Business Characteristics
Key Business Characteristics 1 Significant and Underserved Market in Largest Area of Consumer Spending 2 Global Leader on a Massive Growth Trajectory 3 Proprietary Technology Platform Powered by Big Data and Analytics Engines 4 Disruptive Supply Chain at Global Scale 5 Global Consumer Lifestyle Bran
Slide 11: We Target The Largest Area Of Household Spend
1 We Target The Largest Area Of Household Spend With Lowest Online Penetration, Ripe For Disruption <1% 10% 39% 15% 11% $83b $0.7tn $0.8tn $1.7tn $6.5tn Filmed Entertainment1 Travel Consumer Electronics Fashion Food $42bn $65bn $244bn $8bn Market size Online Penetration Online Champion / Market cap
Slide 12: HelloFresh Is The Global Leader In The Fresh Food Subscription Market
2 HelloFresh Is The Global Leader In The Fresh Food Subscription Market Number of Meals Delivered per Month1 Fresh Food Subscription Market (2015E)2 m €m SCANDI3 4.4 782 3.0 500 500 2.5 227 0.1 [●] Announced Announced Announced Announced as of Jul-15 as of Jun-15 as of Sep-15 as of Sep-14 Source: Ma
Slide 13: HelloFresh Growth Is Outpacing Other Leading Disruptive Consumer Brands
2 HelloFresh Growth Is Outpacing Other Leading Disruptive Consumer Brands Growth Above Key Disruptive Consumer Brands Revenue (€m) 300 Proof of Growth (1) Concept Kicks In 200 100 0 Year 1 Year 2 Year 3 Year 4 Source: Management data, company public filings, Capital IQ Note: Individual companies’ re
Slide 14: Proprietary Technology Platform Empowers Global Data Driven Business
3 Proprietary Technology Platform Empowers Global Data Driven Business HelloFresh Technology Platform LUCY 1 2 PAUL Personalisation Procurement Engine Engine Offering the right Sourcing high quality recipe for our ingredients at subscribers 5 attractive prices FRESH JULIA 3 Unified Application & 4 J
Slide 15: LUCY And Our Food Design Team Work Together For The Perfect Design
4 LUCY And Our Food Design Team Work Together For The Perfect Design Tom Rutledge Regional & Team Preferences Patrick Drake & Team Subscriber Chef Inspiration Feedback Exact Quantities Ingredients Database Cost Forecast Seasonality Internal & Trending External Items LUCY Testing Cooking Time Predict
Slide 16: HelloFresh Is Disrupting The Traditional Food Supply Chain
4 HelloFresh Is Disrupting The Traditional Food Supply Chain Typical Food Supply Chain HelloFresh Supply Chain Revolution 10 Days & 5 Parties 3 Days & 3 Parties Producer Wholesaler Producer Day 2 Faster & Fresher Day 1 Warehouse Day 4 2% Waste 5% Waste Day 2 No Food Waste Supermarket Day 6 Home Day
Slide 17: Data-Driven Demand Forecasting Minimizes Inventory And Waste
4 Data-Driven Demand Forecasting Minimizes Inventory And Waste Data-Driven Demand Forecasting 1 Planning menus 280,000 Minimal waste through the 8-10 Weeks and estimating steaks Ahead supply chain order quantities 2 1 Week Refining order 258,000 Ahead quantities steaks Minimal ongoing inventory 3 3
Slide 18: Increasing Automation Will Drive Efficiency
4 Increasing Automation Will Drive Efficiency Gradual and Selective Employment of Smart Automation to Drive Quality and Efficiency Transportation Box Pick and Pack Mix and match Sorting & Receive Pack & Labelling Construction for Meal Kits of meals Palletising Closing Today Tomorrow 94
Slide 19: Our Multi-Operator Model Creates A Massive Accessible Market
4 Our Multi-Operator Model Creates A Massive Accessible Market National Regional High Density Own Last Mile Local Couriers Logistics Partners • Develop “Best-in-Class” agreements • Utilize local expertise • Achieve lowest cost per drop where • Exploit global scale • Achieve “Best-in-Class” rates in
Slide 20: Virality Is Our Fastest Growing Subscriber Channel
5 Virality Is Our Fastest Growing Subscriber Channel “Fantastic meals that are healthy and fresh” Melissa 33% “I can’t ask for more… I’m hooked! P”atty “Nothing short of of new customers awesome!” come via referral Courtney 96
Slide 21: We Leverage JESSICA To Track 360° Of Data
5 We Leverage JESSICA To Track 360° Of Data Across All Brand, Acquisition And Retention Channels Reporting INPUT: Key Marketing Metrics Data Warehouse Output: Automated KPI Reporting Word of Mouth Real-Time Daily Weekly Monthly TV Brand PR Cooperation HelloShare Acquisition Gift Cards & Inserts Onli
Slide 22: Make Customers Their Best Brand Ambassadors And Create A Thriving Community
5 The Ultimate Goal For Every Brand Is To Make Its Customers Their Best Brand Ambassadors And Create A Thriving Community Social Events Supplier Our thriving Community Facebook World Magazine & Blog 98
Slide 23: Our Mobile App Has Proven To Be A Strong Driver Of Engagement
5 Our Mobile App Has Proven To Be A Strong Driver Of Engagement Average Session Duration in mm:ss (DE) + 61% Engagement 06:13 03:51 Web iOS Mobile App Source: Google Analytics 99
Slide 24: Unique Business Model With Attractive Unit Economics
6 Unique Business Model With Attractive Unit Economics Recurring Subscription Based Revenues Predictable Subscriber Behaviour Scalable and Profitable Customer Acquisition Model Attractive Target Margins at Scale through Demonstrated Operating Leverage Negative Working Capital with Minimal Inventory
Slide 25: Strong Financial Performance
6 Strong Financial Performance €268m run-rate revenue1 based on Q2 2015 – 408% y-o-y Significant growth in H1 2015 Growth At Scale 429% y-o-y growth in active subscribers2 in Q2 2015 352% y-o-y growth of meals delivered in Q2 2015 Demonstrated Profitable pre-marketing for the Group Profitabi
Slide 26: Three Years After Launch, We Have Sustained Growth At Tremendous Scale
6 Three Years After Launch, We Have Sustained Growth At Tremendous Scale Unique Growth Rate Since Launch Net revenue (€m) Run-rate Net revenue (€m)1 123 268 Y-o-Y 408% 112.5 CAGR 448% 69.6 22.2 14.2 2.3 2012 2013 2014 H1 2014 H1 2015 Source: Audited IFRS financials for FY2012, FY2013 and FY2014 and
Slide 27: Growth Fuelled By Exploding Number Of Subscribers And Meals Delivered
6 Growth Fuelled By Exploding Number Of Subscribers And Meals Delivered Hyper-growth in with Net Revenue Active Subscribers… …and in Meals Delivered per Meal Driven by Mix Effects Active Subscribers (‘000s)1 Meals Delivered (m) Net Revenue per Meal Delivered (€) Y-o-Y 429% Y-o-Y 352% 402 10.7 Y-o-Y
Slide 28: Strong Operating Leverage With Clear Path To Sustained Profitability
6 2Strong Operating Leverage With Clear Path To Sustained Profitability – Benelux EBITDA Positive Since H1 2014 Historically Profitable Business pre-Marketing Group – Adj. EBITDA Margins 13.4% 15.2% 1 (7.9)% (17.6)% (18.0)% (38.6)% Benelux H1 2015 Adjusted (162.8)% EBITDA Margin: 2.4% (238.4)% 2012
Slide 29: Multiple Levers For Operational Leverage To Achieve Attractive Target Margins
6 Multiple Levers For Operational Leverage To Achieve Attractive Target Margins At Scale Overview of Key Cost Items1 140.7% Direct Costs 87.2% 77.8% 69.4% (COGS + Fulfilment) FY 2012 FY 2013 FY 2014 Benelux 2014 75.6% Marketing 30.7% 31.0% 26.1% Costs FY 2012 FY 2013 FY 2014 Benelux 2014 SG&A and 14
Slide 30: HelloFresh Is On A Clear Path To Become A Global Lifestyle Brand
HelloFresh Is On A Clear Path To Become A Global Lifestyle Brand Modern Healthy Eating Explore World Lifestyle of Food Enjoy the Community Meal Experience Make More Than A Meal Focused Trusted Food Wholesome & Fresh Convenience Brand 106
Slide 31: Global Fashion Group
4) ROCKETINTERNET Global Fashion Group
Slide 32: Rocket Internet Capital Markets Days: Global Fashion Group
Rocket Internet Capital Markets Days Global Fashion Group | September 30th 2015
Slide 33: Agenda
AGENDA 1/ Introduction to GFG 2/ Strategic Priorities & Integration Initiatives 3/ Financial performance 109
Slide 34: GFG Is The #1 Fashion E-tailer In Emerging Markets
GFG IS THE #1 FASHION E-TAILER IN EMERGING MARKETS GFG legend Russia Population : 2.5+ Bn Ukraine Fashion Market : 300+Bn Eur Kazakhstan Belarus Countries: 28 210m+ Online Fashion €75bn (% Penetration) 5.2% UAE Oman Indonesia Bahrain Vietnam Qatar India Philippines Brazil Kuwait 1 260m+ Singapore Me
Slide 35: GFG Is Positioned In Large And High Growth Markets
GFG IS POSITIONED IN LARGE AND HIGH GROWTH MARKETS 2014FY, EUR bn GFG addressable market • GFG markets as large as US and EU • Online Fashion 219 282 308 Penetration ~3-4x lower 14-18 CAGR: • Growing 14-18 CAGR: ~22% ~12% 14-18 CAGR: <10% ~10-12% faster 28 33 8 than US and EU GFG‘14 Rev: ~€0.6bn Sou
Slide 36: Lack Of Offline Retail Infrastructure And Limited Online Competition
LACK OF RETAIL OFFLINE INFRASTRUCTURE AND LIMITED ONLINE COMPETITION REINFORCE THE OPPORTUNITY GFG 28,272 18,496 11,801 28,633 129,798 1,150 2,799 Russia & CIS Latin America Middle East Asia Pacific(1) India US EU(2) Online competition limited limited limited limited high high high GFG position in r
Slide 37: Unique And Hard To Replicate End To End Value Chain
WE HAVE BUILT UNIQUE AND HARD TO REPLICATE END TO END VALUE CHAIN Brand relationship: Direct access to 3000+ international and local brands Customers Direct Online Customer Production Fulfilment Delivery Payment access to Marketing Service ~7M 3000+ clients Brands: served •International •Local •Excl
Slide 38: Where Are We On The Journey?
WHERE ARE WE ON THE JOURNEY? 2015/2016 Integration & Path to Profitability 2013/2014 Consolidate leadership position in each 2011/2012 Scale region and drive toward profitability Foundation Geographic expansion into adjacent markets Leverage the scale of GFG to deliver synergies across the 5 r
Slide 39: Agenda
AGENDA 1/ Introduction to GFG 2/ Strategic Priorities & Integration Initiatives 3/ Financial performance 115
Slide 40: GFG Strategic Priorities
GFG STRATEGIC PRIORITIES Talent Assortment – management & access to key best practices Brands sharing IT Platform Purchasing synergies synergies Focus on Private Mobile Label Marketplace 116
Slide 41: Unique Growth Opportunity For International Brands
WITH REACH ACROSS 28 EMERGING MARKETS, GFG OFFERS A UNIQUE GROWTH OPPORTUNITY FOR INTERNATIONAL BRANDS Arcadia – portfolio of highstreet brands Arcadia illustration • Access: All brands of the Arcadia group • Uniqueness: GFG is the only online retailer in our markets covering Arcadia brands • Scale:
Slide 42: GFG Is Leading The Way On Mobile Commerce In Emerging Markets
GFG IS LEADING THE WAY ON MOBILE COMMERCE IN EMERGING MARKETS ~10M downloads across • High potential: ~2/3 of global the Group smartphone penetration growth will happen in the GFG markets, outside EU and US • GFG Mobile share: Doubled over last Namshi iOS app is 12 months. Up to 80% of revenues in #
Slide 43: Build The Marketplace For Fashion Brands And Sellers
BUILD THE MARKETPLACE FOR FASHION BRANDS AND SELLERS THE GLOBAL STRATEGY… …ALREADY DELIVERING PROMISING RESULTS IN SEA Increase selection and de-risk Zalora SEA % NMV from MP Key Highlights I inventory • Acceleration of marketplace “Enable brands to share, >10% in SEA ; up to list their entire catal
Slide 44: Scale A Profitable Private Label Business
SCALE A PROFITABLE PRIVATE LABEL BUSINESS ZALORA • Top success story across the Group (both volumes & margin levels) III • Contributes ~1/3 of SEA Operational II excellence sales volumes with over Positioning • Sourcing: Direct 150% growth YoY access to top supplier • Trendy: Built around • Unique e
Slide 45: In Market Consolidation Of Specialist Sites
IN MARKET CONSOLIDATION OF 2 SPECIALIST SITES TO REINFORCE OUR POSITION IN KEY CATEGORIES SPORT AND KIDS +30% to Dafiti Integration and synergies + 2014 net revenue + July 2015 • Acquisition announcement Distinct positioning grows Sep • Acquisition closed customer base by ~40% 2015 to nearly 4.5 mil
Slide 46: Agenda
AGENDA 1/ Introduction to GFG 2/ Strategic Priorities & Integration Initiatives 3/ Financial performance 122
Slide 47: Global Fashion Group
GLOBAL FASHION GROUP In EURm; unless otherwise stated H1 2015 Net Revenue Growth, 63% 81% 41% 206% 117% 27% YoY (3) 418 (1) (1) 107 111 95 (1) (1) 59 45 Pro-forma combined (2) (2) (2) (2) RUB 6,884m BRL 368m AED 183m INR 4,107m Source: Unaudited consolidated financial statements based on IFRS and ma
Slide 48: Home24
4) ROCKETINTERNET Home24
Slide 49: The Market Leader And Go-To-Destination For Home & Living Online Shopping
THE MARKET LEADER AND GO-TO-DESTINATION FOR HOME & LIVING ONLINE SHOPPING September 2015 Rocket Internet Capital Markets Day 125
Slide 50: Welcome to Home24
Welcome to Home24: The market leader for Home & Living online shopping 126
Slide 51: Key company highlights
Key company highlights Massive, highly fragmented global Home & Living market ripe for disruption and 1 offering huge potential for ‘game-changing’ online concepts Lean and highly scalable business model underpinned by best-in-class operations 2 and technology and a symbiotic combination of platform
Slide 52: Massive, global addressable market for Home & Living
Massive, global addressable market for Home & Living, 1 benefiting from particularly attractive industry economics… Total addressable market1 by country €bn, 2014 3rd largest consumer category with an addressable market Europe – Total market €180bn of over €500bn globally, representing a multi-decad
Slide 53: Huge potential for disruption through online concepts
1 …offering huge potential for disruption through online concepts Online penetration levels of various verticals hint to… …the huge potential of Home & Living online shopping Example: Germany, 2014 Media products 36.6% Total market €500bn Consumer €71bn 19.5% electronics @ 14.2% online penetration A
Slide 54: Lean and highly scalable business model supported by operations and technology
Lean and highly scalable business model supported by best-in- 2 class operations and technology Systematic leveraging of customer information Technology Data Merchandising Sourcing Warehousing Delivery Sophisticated data-driven approach to identify and address customer needs Continuous analysis of G
Slide 55: Undisputed assortment authority in Home & Living
3 Undisputed assortment authority in Home & Living Online assortment benchmarking Home24 assortment mix Size of assortment in # of SKUs Share of gross order value by categories 2.5x Lighting >170,000 Accessories Bedroom Small furniture Other ~60,000 Upholstery Living and dining >20,000 ~11,000 >9,50
Slide 56: Proven international appeal and business portability
4 Proven international appeal and business portability Europe Latin America Successful international roll-out Well-balanced sales by region1 2009 2013 Latin America 2011 2014 D/A/CH 2012 2014 Other Europe 2012 2014 Proven track record of successful internationalization into 2 continents 1 As per FY
Slide 57: Strong financial track record and clear path to profitability
Strong financial track record with highly dynamic growth and a 5 clear path to profitability… Top-line growth track record Substantial improvement in unit economics €m In % of basket size Adj. Net sales EBITDA (121)% (34)% (31)% margin COGS 160 Logistics Payments 93 CM II 62 Marketing CM III 2012 20
Slide 58: Update since last Capital Market Day – Private Label
Update since last Rocket Internet’s Capital Market Day – Key highlights Substantial progress in Private Label assortment 7 private label brands launched in 2015 ─ 5 months per project from start to finish ─ Current run-rate of 1.5 private label launches per month Dedicated Private Label organization
Slide 59: Update since last Capital Market Day – Logistics
Update since last Rocket Internet’s Capital Market Day – Key highlights Logistics footprint ready for next phase of growth Latest warehouse launch in August 2015 ─ 55,000m3 facility in Northern Germany ─ Home24 CapEx at ca. €10m; mainly for shelving, machinery, and IT setup ─ Total handling capacity
Slide 60: Home24 Private Label brands – 7 collections launched in 2015
Home24 Private Label brands – 7 collections launched in 2015 so far Smood KINX Kollected Skøp Loistaa KiYDOO smart Says Who 136
Slide 61: Private Label example: Loistaa lighting collection
Private Label example: Loistaa, Home24’s own lighting collection Key highlights Private Label collection Loistaa launched end of August with total of 38 SKUs Collection offers trend-oriented lighting at affordable prices covering Scandinavian, industrial and experimental elements Products developed
Slide 62: Home24 – Financial update H1 2015
Home24 – Financial update H1 2015 Key Financials and KPIs Key highlights H1 2015 revenue growth of 98% FY FY H1 H1 versus previous year EURm 2013 2014 2014 2015 Revenue growth positively driven Net revenue 92.8 160.1 59.4 117.6 by order backlog reduction and % growth 72.5% 97.8% increasing average b
Slide 63: 139
139
Slide 64: Lazada
4) ROCKETINTERNET Lazada
Slide 65: Rocket Internet Capital Markets Day: Lazada
September 2015 Rocket Internet Capital Markets Day
Slide 66: Lazada aims to be the online destination platform in South East Asia
Lazada aims to be the online destination platform for buyers and sellers in South East Asia Lazada Ecosystem Buyers Sellers Assortment and Logistics Enabler Category Strategy Domestic and Cross-border Sellers and Brands Scalable Seller Solutions Payments Solutions Technology Full range of payment Su
Slide 67: Lazada geographical presence
Lazada geographical presence Moscow Tech hub China HK / Shenzhen Sourcing hub Vietnam #1 Philippines Pop: 92mn #1 Pop: 100mn Launch: 2012 Thailand Launch: 2012 #1 Pop: 68mn Launch: 2012 HCMC Tech hub #1 Malaysia Pop: 30mn Launch: 2012 Singapore Pop: 6mn Launch: 2014 Indonesia #1 Pop: 252mn Launch: 2
Slide 68: Lazada by the numbers
Lazada by the numbers 1 PLATFORM ~$1billion ~8 million ~5 Annual GMV Total buyers Daily visits 2 ASSORTMENT ~80% ~27,000 ~7 million Marketplace Active seller partners1 Active SKUs GMV 3 LOGISTICS 70 62 ½ Logistics Last mile Of orders partners distribution hubs delivered via own fleet in Philippines
Slide 69: Undisputed destination site in SEA
1 Undisputed destination site in SEA LAZADA IS #1 ACROSS MAJOR LAUNCH COUNTRIES Estimated monthly website visits (million) of key B2C eCommerce players INDONESIA MALAYSIA PHILIPPINES THAILAND VIETNAM Lazada 48.3 Lazada 12.2 Lazada 43.6 Lazada 25.0 Lazada 16.1 Metrodeal 3.4 Welove- Thegioid- Bhinneka
Slide 70: Strong mobile traction is extending market leadership
1 Strong mobile traction is extending market leadership MARKET-LEADING MOBILE PLATFORM… ~60% OF GMV COMES FROM MOBILE Best-in-class Android and iOS applications Mobile optimized site for all major browsers Innovative mobile marketing leveraging chat apps 19% 30% 34% 35% 38% 51% …WITH STRONG TR
Slide 71: Positive response to new mobile app
1 Positive response to new mobile app catering for brands and massive assortment growth New Android and iOS apps with more real estate for brands and promotion of new categories Strong increase in user engagement (duration and screenviews per session) Featured on both Apple Appstore and Google
Slide 72: Outsized growth demonstrating scalability of platform
1 Outsized growth demonstrating scalability of platform GROSS MERCHANDISE VALUE (US$ MILLION) 433 384 ~4x ~4x 74% 58% 110 95 33% 7% 2013 2014 1H14 1H15 GMV 3P Share Source: Company data 148
Slide 73: Outsized growth demonstrating scalability of platform (cont'd)
1 Outsized growth demonstrating scalability of platform (cont’d) KEY FINANCIALS AND KPIS HIGHLIGHTS USDm FY 2013 FY 2014 H1 2014 H1 2015 Solidified market leadership in South East Asia supported by cross-border marketplace accelerating GMV(1) 94.8 383.8 109.8 433.4 assortment growth with total acti
Slide 74: Marketplace continues to drive rapid seller and assortment growth
2 Marketplace continues to drive rapid seller and assortment growth CATEGORY FOCUS TOTAL ACTIVE SKUS (‘000S) 3,185 LOCAL 3P CROSS- BORDER 3P ~14x 1,565 3,079 EXCLUSIVE 1,027 BRAND PARTNERSHIPS 677 1,483 927 364 232 577 253 126 LOCAL 111 107 100 100 82 106 BUYING 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 Active
Slide 75: Cross-border marketplace – the one-stop-shop into South East Asia
2 Cross-border marketplace – the one-stop-shop into South East Asia ONE-STOP-SHOP INTO SOUTH EAST ASIA… …ENABLING EXPLOSIVE ASSORTMENT GROWTH Jan '15 Feb '15 Mar '15 Apr '15 May '15 Jun '15 Jul '15 Aug '15 Unique value proposition for sellers to grow sales in new markets and for buyers to access new
Slide 76: Brand partnerships – complementing assortment growth
2 Brand partnerships – complementing assortment growth with exclusive products and special offers SAMPLE PARTNERSHIPS PARTNERSHIP OBJECTIVES Electronics Lenovo and Alcatel launched exclusive models in SEA leveraging Lazada’s platform EXCLUSIVE PRODUCT LAUNCHES New OEM brands leapfrogging traditi
Slide 77: Operations strategy – deliver lower cost and better customer experience
3 Operations strategy – deliver lower cost and better customer experience LOWER COST CUSTOMER EXPERIENCE Lazada SEA Fulfillment Network Lazada Promise & Adaptive Track & Trace Fulfillment route in To be opened service Integration with regional networks Delivery day promise given to all customers
Slide 78: Lazadaexpress is at the cornerstone of the operations strategy
3 Lazadaexpress is at the cornerstone of the operations strategy 1 ENABLING NEW TRANSPORT CAPACITY FOR LAZADA New dedicated capacity via own fleet of owner-operators LEX network allows to plug in new 3PLs 2 MODULAR, SCALEABLE OPERATING MODEL TAILORED TO E-COMMERCE Common tech platform providin
Slide 79: Lazadaexpress is continuing to expand capability and performance
3 Lazadaexpress is continuing to expand capability and performance LEX EXPANSION LEX DEVELOPMENTS LEX FLEET # of LEX hubs Coverage 58 61 61 hubs (end Q2) from which we deliver to our 45 customers 36 20 24 LEX has reach of >70% of Lazada customers and covers ~100 cities 1Q14 2Q14 3Q14 4Q14 1Q15 2
Slide 80: Key Takeaways
Key Takeaways Continued market leadership in the key SEA markets and significant growth with secular shift from offline to online Early success with mobile, now representing ~60% of GMV, is extending market leadership Successful transition from retail to marketplace model with assortment having g
Slide 81: 15min Break
4) ROCKETINTERNET 15min Break