Banzai International, Inc. · NASDAQ:BNZI
Banzai International — SPAC Merger (December 2022)
37 slides from Banzai International's SPAC merger presentation, Dec 8, 2022
Slide 1: Banzai Video Engagement Platform for Sales & Marketing
Banzai Video Engagement Platform for Sales & Marketing Investor Presentation December 2022
Slide 2: Disclaimers
Disclaimers Basis of Presentation This Presentation (this “Presentation”) is provided for informational purposes only and has been prepared to assist interested parties in making their own evaluation with respect to a potential business combination between Banzai International, Inc . (“Banzai” or th
Slide 3: Disclaimers (cont'd) Forward Looking Statements
Disclaimers (cont’d) Forward Looking Statements (cont’d) These forward - looking statements are subject to a number of risks and uncertainties, including : changes in domestic and foreign business, market, financial, political and legal conditions ; the inability of the parties to successfully or ti
Slide 4: Disclaimers (cont'd) Important Information for Investors and Stockholders
Disclaimers (cont’d) Important Information for Investors and Stockholders The Potential Business Combination will be submitted to stockholders of VII for their consideration and approval at a special meeting of stockholders . VII and Banzai will prepare a registration statement on Form S - 4 (the “R
Slide 5: Executive Summary
Executive Summary banzai
Slide 6: Today's Presenters
Today’s Presenters EXECUTIVE SUMMARY Joe Davy CEO and Founder Mark Musburger VP Finance • Senior executive with track record of growing and scaling businesses • Grew Banzai from 2 people to more than 50 with no outside capital • GM, Avalara. Ran CertCapture and TrustFile business units • Senior exec
Slide 7: 7GC & Co Holdings Platform
7GC & Co Holdings Platform EXECUTIVE SUMMARY $2.0BN TECHNOLOGY CAPITAL DEDICATED TO PRIVATE GROWTH, TOP TIER FUNDS AND SPAC INVESTING 4. 1. 7GC & Co Fund I & Fund II ✓ $225M target AUM across Fund I & II with over 400 investments evaluated since 2018 2. Strategic Co - Investment ✓ Existing LPs recei
Slide 8: Client Meetings and Events are Foundational to Enterprise Spend
EXECUTIVE SUMMARY Client Meetings and Events are Foundational to Enterprise Spend 1% - 3% of an enterprise’s total revenue is spent on meetings and events 2 Client Meetings and Events are Foundational to Enterprise Spend 1% - 3% of an enterprise’s total revenue is spent on meetings and events 2 Mark
Slide 9: Business Combination Summary
Business Combination Summary EXECUTIVE SUMMARY Business Combination Structure ▪ 7GC & Co. Holdings Inc. (“VII”) intends to complete a business combination (the “Business Combination”) with Banzai International, Inc. (“Banzai”), a leading full - stack engagement marketing platform ▪ The Business Comb
Slide 10: Investment Highlights
Investment Highlights EXECUTIVE SUMMARY Banzai is a SaaS Video Engagement Platform that integrates lead generation, audience acquisition, automation, and analytics for 7,200+ customers today 1 Disruptive and differentiated technology platform focused on attractive virtual events marketing and advert
Slide 11: Banzai Overview
Banzai Overview banzai
Slide 12: Engagement is the future of Marketing. Video is the future of Engagement.
Engagement is the future of Marketing . Video is the future of Engagement . 12
Slide 13: Video is hard for Marketers because incumbent video tools lack data
Video is hard for Marketers because incumbent video tools lack data, automation, and marketing features. Marketers lose weeks in manual effort with each campaign and miss out on valuable leads. Executives can’t measure effectiveness. 13
Slide 14: Incumbent Video Tools Cost Marketers a Lot
Incumbent Video Tools Cost Marketers a Lot BANZAI OVERVIEW A $1B revenue company could lose $60M per year to inefficiencies caused by poor data, bad processes, and missing marketing features in its video tools. These shortcomings cost time and lead to lower conversion rates. Source: Management estim
Slide 15: Banzai Adds Analytics & Automation to Live Video
BANZAI OVERVIEW Banzai Adds Analytics & Automation to Live Video Marketing add - ons like analytics, data, integrations, and audience form a differentiated moat around our live video platform . Banzai integrates with 1,000+ tools. Hyros will drive greater customer lock - in through new integrations
Slide 16: An Integrated Engagement Marketing Platform
An Integrated Engagement Marketing Platform BANZAI OVERVIEW Banzai: The Engagement Marketing Platform Essential Solutions Marketers Need to Increase Efficiency and Drive More Revenue Engagement Analytics Powerful, Easy - to - Use Live Video No - Cookies, Privacy - Safe Customer Data Platform Drive M
Slide 17: Banzai is the 'HubSpot of Video'
Banzai is the ‘HubSpot of Video’ BANZAI OVERVIEW Email Marketing Video Engagement Platform Marketing Automation Platform Webinar Tools SMB Tool Mid - Market + Enterprise Platform Video Email 17
Slide 18: Expanding Addressable Market
Expanding Addressable Market BANZAI OVERVIEW Single Product Two Products To Full - Stack Platform 2022 Marketing Analytics Software $3.1B 13.9% CAGR (2021 – 2028E) 2021 UC Collaboration $15.0B 14.6% CAGR (2019 - 2025E) 2016 Virtual Events $110B 21.1% CAGR (2022 – 2030E) 2022 Virtual Events $110B 21.
Slide 19: Banzai Timeline
Banzai Timeline BANZAI OVERVIEW 2019 2018 2017 2016 2020 2021 2022 2023E Banzai Founded 50+ Banzai Customers 1 st product launch Reach release for audience acquisition 80+ Banzai Customers 1,300+ Banzai Customers Complete Series A Financing 4,200+ Banzai Customers COVID accelerates adoption of digit
Slide 20: The Team
The Team BANZAI OVERVIEW Leadership team built on the foundation formed working at Avalara Joe Davy CEO GM, Avalara Founded Banzai in 2016 Mark Musburger VP Finance Director, Avalara Simon Baumer CTO VP Engineering, Verivox Technology Marketing + Sales HR + Finance Esteban Robles Luna CTO, Hyros Ash
Slide 21: By The Numbers
About Us Customers Growth & Efficiency 2016 Founded 94 Employees – Combined Seattle Headquarters 28 Countries – Combined 7,200+ Customers – Combined 1 4,800,000+ Active Users – LTM Banzai 11,000+ Events Hosted – LTM Banzai 84.5% YoY Revenue Growth – LTM Combined 119.6% Net Revenue Retention – Banzai
Slide 22: Attractive Revenue Retention for Both Banzai and Hyros
BANZAI OVERVIEW Attractive Revenue Retention for Both Banzai and Hyros Total Pro Forma Combined Enterprise Customer Count 1 199 % Growth 1) Enterprise customers defined as having >=$3,000 ACV. Land & Expand >$3K in ARR Hyros Banzai Annualized Pro Forma Combined Average Customer Value – Enterprise 1
Slide 23: Measurable Value for Well-Known Customer Logos
Measurable Value for Well - Known Customer Logos BANZAI OVERVIEW Note: All numbers are based on customer usage for periods 2017 - 2022 unless otherwise indicated 23 1,600+ Hosted Sessions (YTD2022) 60 % Increase in Conversion Rate 2,300+ Increased Registrations 40 % Increase in Prospect Attendance 7
Slide 24: Banzai + Hyros Opportunity
Banzai + Hyros Opportunity banzai
Slide 25: Hyros Strategic Rationale
Hyros Strategic Rationale BANZAI + HYROS OPPORTUNITY Expands total addressable market, and adds ROI attribution and AI optimization capabilities Enhances Banzai’s role as a full - stack Engagement Marketing Platform by adding Hyros’ Customer Data Platform Acceleration of long - term revenue growth p
Slide 26: Banzai & Hyros: A Strategic Combination
Banzai & Hyros: A Strategic Combination BANZAI + HYROS OPPORTUNITY Banzai Customers Need to Measure Event ROI; Hyros Delivers This Capability As of 9/30/22 4,400+ Customers 2,700+ Customers 7,200+ Customers 1 Products Video Engagement Platform Audience Acquisition Customer Data Platform ROI Tracking
Slide 27: Hyros Transaction Overview
Hyros Transaction Overview BANZAI + HYROS OPPORTUNITY Strategic Rationale • Hyros’ strength is growing revenue attribution for digital marketers, helping enterprise and small and medium - sized business customers get accurate ROI data attributable to marketing campaigns . Hyros customers use this da
Slide 28: Hyros Transaction Overview (cont'd)
Hyros Transaction Overview (cont’d) BANZAI + HYROS OPPORTUNITY Potential for transformative longer - term growth synergies Opportunity to invest behind long - term efficient growth for combined entity across multiple strategic levers Integrate Hyros into existing Banzai product offering and pricing
Slide 29: Financial Highlights
Financial Highlights banzai
Slide 30: Unaudited Financial Results
$3.0 - $7.0 $11.9 $8.6 $5.3 $4.2 $5.7 $10.7 $7.7 $16.2 16.1 11.9 21.9 - $1.4 - $2.8 ($ in millions) Unaudited Financial Results FINANCIAL HIGHLIGHTS Consolidated Pro Forma Revenue Hyros Banzai Gross Margin FCF FCF Margin % $3.4 ($ in millions) $16.9 ($ in millions) $2.5 Consolidated Pro Forma Gross
Slide 31: Significant Operating Efficiency
14.0% 9.4% 9.2% 7.6% 15.7% 11.1% 7.6% 3Q 21 4Q 21 1Q 22 2Q 22 3Q 22 Median: 9.4% 1Q 21 2Q 21 S&M Payback Ratio (in months) 1.3 0.9 1.4 2.2 29.0 NM NM 1Q 21 2Q 21 3Q 21 4Q 21 1Q 22 2Q 22 3Q 22 Significant Operating Efficiency FINANCIAL HIGHLIGHTS 2 3 Median: 1.4 Operating Expenses: As a % of Revenue
Slide 32: Transaction Valuation & Benchmarking
Transaction Valuation & Benchmarking
Slide 33: Market Positioning
Market Positioning TRANSACTION VALUATION & BENCHMARKING Top 10 SaaS MarTech SaaS SMB SaaS SIMILARITIES • SaaS product • Similar monetization strategy • Recurring revenue model pricing DIFFERENCES • Different lifecycle maturation stage; larger market cap business • ACV scale and maturation with exist
Slide 34: Business Combination Summary
50.4% 39.7% 9.9% Rollover Equity VII SPAC / Equity Commitment VII Sponsor Business Combination Summary TRANSACTION VALUATION & BENCHMARKING • Implied pro - forma market capitalization of $580 million and EV of $380 million. • Existing Banzai shareholders will own 50.4% of the business following the
Slide 35: Appendix
Appendix banzai
Slide 36: Unaudited Non-GAAP Reconciliation
Unaudited Non - GAAP Reconciliation APPENDIX 36 Last Twelve Months as of ($ in millions) 2021 9/30/21 9/30/22 Net Income - Other Income + Interest Expense + Depreciation + Amortization + Bad Debt + Taxes + Hyros Distribution Payments/Misc. 1 - $9.9 0.9 1.6 0.0 0.7 0.2 0.0 6.8 - $6.1 0.9 1.0 0.0 0.5
Slide 37: Risk Factor Summary
Risk Factor Summary APPENDIX Actual events, circumstances, or results are difficult or impossible to predict and may differ materially from those contemplated in any forward - looking statements made in this Presentation and are due to a variety of risks and uncertainties including, but not limited