Promotica S.P.A. · MIL:PMT
Promotica — Investor Presentation (January 2021)
34 slides from Promotica's investor presentation, January 2021
Slide 1: Promotica S.p.A. Investor Presentation January 2021
Promotica S.p.A. Investor Presentation January 2021 1
Slide 2: Agenda
Agenda Company Overview page 2 Reference Market 2 page 8 Value Proposition page 12 3 Strategic Guidelines & Growth Drivers page 20 4 Financials page 23 Appendix 5 page 27 2
Slide 3: Key people
Key people Alvise Gnutti Board Member Gabriele Maifredi He graduated in Economics and General Manager and Vice Presidente of Commerce in 1991 from the University of the Board of Directors Brescia. In 1992 he has obtained the accountant qualification. Since 1996 he He graduated in Literature and beca
Slide 4: Key Investment Highlights
Key Investment Highlights 1 Leading player in the loyalty market, resilient and counter-cyclical A unique growth history thanks to best-in-class 2 management abilities Strong AI skills for the development of innovative loyalty 3 tools Important positioning in the GDO market with stable and 4 profita
Slide 5: Company Overview
Company Overview Broad portfolio of offered services SELF LIQUIDATING Promotica as «Full-Service Loyalty Provider» SHORT CATALOG COLLECTION OF AWARDS > Main player in the loyalty market in Italy (worth € 500 M in 2018 with a CAGR 2015-18: +14.5%)* 2 > Established in Desenzano del Garda (Brescia) in
Slide 6: At a glance: KPI (2019)
At a glance: KPI (2019) 22.2 66 325 m 60K CLIENTS CAMPAIGNS PRIZES AWARDED PALLETS HANDLED OPERATING KPI 2+2 31+5 231 11 2 OFFICES (Italy) 31 EMPLOYEES 231 SUPPLIERS PRODUCT LINES 2 AGENTS (Abroad) 5 COLLABORATORS OF WHICH 8 EXCLUSIVE DESIGNED PARTNERS FINANCIAL € 3.8m KPI € 37m (10.4%) € 2.2m +35.8
Slide 7: Governance
Governance BOARD OF DIRECTORS BOARD OF STATUTORY AUDITORS Diego Toscani Marco Giacomo Inverardi Chairman & CEO Chairman Gabriele Maifredi Alvise Gnutti Pier Federico Carrozzo Claudio Massaroli Perani Vice President Director Regular Statutory Auditor Regular Statutory Auditor Michele Grazioli Michele
Slide 8: Agenda
Agenda Company Overview page 2 Reference Market 2 page 8 Value Proposition page 12 3 Strategic Guidelines & Growth Drivers page 20 4 Financials page 23 Appendix 5 page 27 8
Slide 9: GDO: Focus on the Italian Food and Beverage Brands
GDO: Focus on the Italian Food and Beverage Brands Gruppo Conad Data in billion € CAGR +3% 83 Coop 78 82 Discount 76 Large distribution 72 73 Organized distribution 2013 2014 2015 2016 2017 2018 ITALIAN FOOD & BEVERAGE GDO MARKET (2013-2018) ITALIAN FOOD & BEVERAGE GDO MARKET (2013-2018) > About 97%
Slide 10: Value of Loyalty Market
Value of Loyalty Market Revenues Main Competitors Other Smaller Competitors PLAYER of CAGR Market 2015-2018 share % Sales Jakala S.p.A. 173,103 +11,6% 34,6% TCC Srl. 85,223 +13,7% 17,0% Volponi S.p.A. 76,163 +35,5% 15,2% Promotica S.p.A. 41,480 +56,2% 8,3% EU. Promotions Srl 38,451 +23,0% 7,7% Payba
Slide 11: Sales Price competitiveness
Reference Market: Competitive Context 12 10 8 Competitive positioning of Promotica assigning values to the variables Competitiveness of the Sales Price competitiveness 6 sales price (y) turnkey campaign and the Qualitative structure of the Proposal (x) in terms of 4 personalization, brand and breadt
Slide 12: Agenda
Agenda Company Overview page 2 Reference Market 2 page 8 Value Proposition page 12 3 Strategic Guidelines & Growth Drivers page 20 4 Financials page 23 Appendix 5 page 27 12
Slide 13: Activities and Services Offered: Promotica Campaigns
ACTIVITIES AND SERVICES OFFERED: PROMOTICA CAMPAIGNS 21.9 € 8.5 € 5.1 SHORT SELF mln CATALOG mln mln COLLECTION 59% LIQUIDATING 23% OF AWARDS 14% > Stamps and possible cash contribution > Mixed mechanics free/upon contribution, > Immediate reward campaigns or "spend using the digital point from the
Slide 14: Value Proposition
Value Proposition CLOSE CONNECTION WITH CUSTOMERS A SUCCESFULL BUSINESS MODEL > Consultant for the planning and promotional > PUSH approach development with a tailor-made approach > Speed of execution > Promotica Academy to train and engage > Return Management customer staff in consumer loyalty acti
Slide 15: Close connection with Customers
Close connection with Customers Client: % N° of Clients 60 60 66 21,7% 16,7% 100,0% 9,1% 80,0% 9,0% 60,0% 8,4% 40,0% 5,0% 4,1% 20,0% 1,8% 0,0% 1,8% 2017 2018 2019 2,0% Main Competitors Top 11-20 Top 10 > 66 clients, up from 60 in 2017 and 2018 > The incidence of revenues from the first 10 clients, a
Slide 16: Exclusive relations with Suppliers
Exclusive relations with Suppliers Provider Brand Agreement % Tupperware Excl. 38,7 n° of 241 205 231 Suppliers Alessi SpA Excl. pces 25,6 100,0% Forma Italia S.r.l. Excl. 8,00 80,0% Ind. Vetraria Valdarnese S. Coop Excl. 7,30 60,0% Frontini - 2,60 Illa SpA Excl. 2,40 40,0% Mercati Srl Excl. 2,40 20
Slide 17: A successful Business Model
A successful Business Model SPEED OF OUTSOURCED PUSH APPROACH EXECUTION LOGISTIC > Promotica has an internal structure to ensure rapid campaign > Promotica proposes promotional design. AWARD DELIVERY campaign based on loyalty market > Promotica is able to start the > Purchase of products according t
Slide 18: Successful partnership: Alessi case
Successful partnership: Alessi case 1 4 The Designer Jasper The final production process Morrison produces, at the begins with a double quality request of Alessi and control, from Alessi and Promotica, a line of tools for Promotica in order to respect cooking in 100% recycled also the management alu
Slide 19: AI investments
AI investments Investments in technology and Artificial Intelligence to refine activities, functional to: > Monitoring the campaigns; > Users profiling in real time, also through the analysis of social profiles and the interactions between touch points, social networks pages, blogs, web and CRM; > R
Slide 20: Agenda
Agenda Company Overview page 2 Reference Market 2 page 8 Value Proposition page 12 3 Strategic Guidelines & Growth Drivers page 20 4 Financials page 23 Appendix 5 page 27 20
Slide 21: Strategic Guidelines and Growth Drivers
STRATEGIC GUIDELINES AND GROWTH DRIVERS STRATEGIC GUIDELINES 1 2 SPECIALIZATION CONSOLIDATING VOP IN CAMPAIGNS OF WITH LOYAL NATIONAL CUSTOMERS IMPORTANCE GROWTH DRIVERS Increase the offer and participation in tenders with higher > To consolidate VoP through short collections historically importance
Slide 22: Strategic Guidelines and Growth Drivers
STRATEGIC GUIDELINES AND GROWTH DRIVERS STRATEGIC GUIDELINES 3 4 BUSINESS INTERNATIONALIZATION INTELLIGENCE ENHANCEMENT GROWTH DRIVERS Pursuing internationalization through: Strengthening of big data analytics processes, in order to > hiring a new internal sales representative for foreign markets; i
Slide 23: Agenda
Agenda Company Overview page 2 Reference Market 2 page 8 Value Proposition page 12 3 Strategic Guidelines & Growth Drivers page 20 4 Financials page 23 Appendix 5 page 27 23
Slide 24: Financial Results
Financial Results Revenues (€/m) EBITDA (€/m)* 55.3 6,5 6,3 15,9% 5,5 41.5 37 4,5 3,8 13,9% 3,5 25.9 2,9 2 11,4% 11,9% 22.9 2,4 2,5 1,9 9,9% 10,5% 1,5 10,3% 7,3% 7,0% 7,9% 0,5 2017 2018 2019 1H 2020 3 2020E -0,5 2017 2018 EBITDA 2019 1H 2020 EBITA margin 2020E 5,9% EBIT (€/m) 4 Net Profit (€/m) 2,2
Slide 25: Income Statement
Income Statement 31/12/2019 30/06/2020 €/000 2018 2019 YoY % Sales revenues, after a strong Pro-forma* Pro-forma* increase in 2018 (+59.7%), recorded a Sales Revenues 41.480 37.020 (11%) 37.436 22.947 slight slowdown in 2019, due to the Cost of goods sold (31.808) (26.940) (15%) (27.045) (17.265) di
Slide 26: Financial Highlights
Financial Highlights 30/06/2020 €/000 2018 2019 Pro forma* > In 2019, the variation in the Net Working Capital trend led to a cash absorption of € 6.9 million, mainly due to the reduction effect of debts to Fixed Assets 2.406 4.179 2.597 providers with the reduction of DPO > CAPEX in 2019 for € 2.2
Slide 27: Agenda
Agenda Company Overview page 2 Reference Market 2 page 8 Value Proposition page 12 3 Strategic Guidelines & Growth Drivers page 20 4 Financials page 23 Appendix 5 page 27 27
Slide 28: Main Successful Promotional Campaigns: 2 Million of Prizes
MAIN SUCCESSFUL PROMOTIONAL CAMPAIGNS: “2 MILLION OF PRIZES” > CLIENT: Coop Alleanza 3.0 > OBJECTIVE: development of a highly playful and engaging activity for Members and consumers both in store and online with the aim of communicating the second birthday of the largest cooperative in Europe. Devel
Slide 29: Main Successful Promotional Campaigns: Be Appy
MAIN SUCCESSFUL PROMOTIONAL CAMPAIGNS: «BE APPY» > CLIENT: Coop Centro Italia. > OBJECTIVE: To transform the “Coop Centro Italia” App into a tool for the relationship between the Members and the Cooperative; to reduce the environmental impact by not printing thousands of hard copies; simplify the ph
Slide 30: Main Successful Promotional Campaigns: The Nature Rewards You
MAIN SUCCESSFUL PROMOTIONAL CAMPAIGNS: "THE NATURE REWARDS YOU" > CLIENT: Unicoop Firenze > OBJECTIVE: Development of a highly playful and engaging prize competition for members and consumers both in store and online with the aim of raising awareness of sustainable consumption choices for end custom
Slide 31: Other Successful Promotional Campaigns
OTHER SUCCESSFUL PROMOTIONAL CAMPAIGNS COLOR REFLECTIONS SHORT The collection branded IVV, dedicated to Sigma customers of Consorzio Europa and Sigma COLLECTION Campania with the aim of generating, in the reference period, an increase in frequency and average receipt. The collection allows to pick u
Slide 32: Other Successful Promotional Campaigns
OTHER SUCCESSFUL PROMOTIONAL CAMPAIGNS A SURPRISE FOR YOU SHORT Also for 2020 Profar has renewed the edition of the catalog of awards for customers holding COLLECTION loyalty cards, who make purchases of the parapharmaceutical. The Profar consortium helps with the catalog "A surprise for you" the ph
Slide 33: Disclaimer policy
Disclaimer policy This Information Memorandum (the “Document”) was prepared by Integrae SIM S.p.A. (“Integrae”) for information purposes only, based on the data and information provided by managers of Promotica S.p.A. (“Promotica”) The scope of the Document is to provide a brief descriptionLeading o
Slide 34: Thank you
A unique growth history thanks to best-in-class 2 management abilities Thank 3 you 4 5 34