Zeta Global Holdings Corp. · NYSE:ZETA
Zeta Global — Investor Presentation (September 2021)
32 slides from Zeta Global's investor presentation, Sep 13, 2021
Slide 1: Investor Presentation September 2021
Exhibit 99.1 Investor Presentation SEPTEMBER 2021 2021 ZETA GLOBAL – PROPRIETARY & CONFIDENTIAL
Slide 2: Safe Harbor
Safe Harbor This presentation has been prepared by Zeta Global Holdings Corp. and its subsidiaries (together, the “Company”, “Zeta”, or “we”) and is made for informational purposes only. The information set forth herein does not purport to be complete or to contain all of the information you may des
Slide 3: Chris Greiner, Chief Financial Officer
Chris Greiner Chief Financial Officer 3
Slide 4: Co-Founders: David A. Steinberg and John Sculley
DAVID A. JOHN STEINBERG SCULLEY Co-Founder Co-Founder Chairman CEO 4 2021 ZETA GLOBAL – PROPRIETARY & CONFIDENTIAL 4
Slide 5: What We Do: Zeta's Marketing Platform
What We Do: Zeta’s Marketing Platform Empowers Enterprises to Deliver Better Experiences for Consumers and Higher ROI for Marketers. Patented Software & AI Proprietary Data Cloud Omnichannel Marketing 2021 ZETA – 20 P2 R1 OZET PRIETA A GLO RY BA & L CO –N P F R ID OEN PRTI IETA AL R | ZET Y & A CO G
Slide 6: Who Chooses Us
Who Chooses Us 1 34% of the Fortune 100 Leverage Zeta’s Marketing Platform Blue chip customer base With leading technology across multiple industries recognized by the experts 8 out of the 10 7 of the 10 largest 4 of the 6 largest largest credit card issuers auto insurance automotive in the US compa
Slide 7: How We Do It: Zeta Marketing Platform
How We Do It Zeta’s Marketing Platform (ZMP) Enables Enterprises to Identify, Reach and Engage Consumers Individually Across All Channels Large Identity-based Data Omnichannel Engagement Patented AI Engine & CDP+ 2021 ZETA GLOBAL – PROPRIETARY & CONFIDENTIAL 7
Slide 8: Why We Are Different
Why We Are Different Zeta’s Proprietary Database is Combined With A Customer’s 1st Party Data to Sharpen Targeting & Personalize Experiences at Scale Unique Global Digital Content Consumption 5.4B+ 1T+ Identifiers (1.5B Emails) Signals per Month Interest and People in US (Monthly) 225M+ 850+ 515M+ G
Slide 9: Our Data Is Durable
Our Data Is Durable In an evolving data privacy environment, Zeta’s proprietary identity data set and revenue have increased Data Privacy Regulation Global Zeta Total Zeta 1 & Browser Updates Opted-In Individuals Revenue $432M - 515M+ 481M 2020 CCPA $436M GDPR May 2018 LGPD $368M 406M Google SameSit
Slide 10: Why We Win
Why We Win Zeta’s Marketing Platform, Powered By Proprietary AI + Data, Creates Omnichannel Experiences And A Flywheel For Our Customers Resolve to Better More Data Outcomes Identity MARKETING PLATFORM Better Better Insights Experiences AI In 2Q’21, Zeta added over 30 new logo customers and won over
Slide 11: Case Study: Customer Acquisition, Data + AI = Intent
Case Study: Customer Acquisition | Data + AI = Intent Reaching The Right Audience Drives Better Outcomes For New Customer Acquisition 1 AUTO INSURANCE CASE STUDY SIZE AUDIENCE ~ 250 MILLION US ADULTS DRIVERS ~ 200 MILLION AUTO INSURANCE RENEWAL ~ 35 MILLION IN NEXT 60 DAYS MOST LIKELY TO ~ 15 MILLIO
Slide 12: ZMP Helps Customers Realize Strong ROI
ZMP Helps Customers Realize Strong ROI CASE STUDY: As Their Success On the Platform Takes Hold, ACQUIRE Insurance Customer Zeta's Revenue Scales With Them CAC AI and ML leads to significantly improving efficiency and customer outcomes $7,000,000 1 Minimum commitments steadily increase, incremental p
Slide 13: Case Study: Customer Acquisition Use Case
Case Study: Customer Acquisition Use Case A top-three car insurance company had goals to promote bottom-line growth by acquiring new, higher-value customers at lower costs Josh is exploring switching to a new auto THE SITUATION THE OUTCOMES insurance carrier. CUSTOMER WHY ZETA Scalable acquisition w
Slide 14: Competitive Landscape
Competitive Landscape Zeta Is The Only Competitor With Patented Software and AI, Proprietary Data, and Omnichannel Activation Capabilities All In A Single Platform Software, Data & Software Activation Proprietary Identity Data Marketing Automation Software and AI Omnichannel Activation Capabilities
Slide 15: Business Model and Financial Overview
Business Model and Financial Overview 15
Slide 16: Large, Growing, Attractive Market Opportunity
Zeta Is Well-Positioned To Capitalize On A Large, Growing, And Attractive Market Opportunity 9,558 $3.8M ~$36B X = COMPANIES ARPU US TAM 1 Number of large U.S. enterprises in Average Revenue TOTAL ADDRESSABLE industry verticals where Zeta Per User MARKET 2 3 maintains most relevance (within $1M+ coh
Slide 17: Multiple Drivers To Accelerate Growth
Multiple Drivers To Accelerate Growth GROWTH DRIVERS GROWTH CATALYSTS ARPU Expansion FLYWHEEL EFFECT A 10x opportunity to expand ARPU for 100K+ scaled customers Expand Sales Capacity and Partnership Ecosystem SCALE & REACH Capitalize on market opening with more resources selling Zeta solutions Incre
Slide 18: Unique Data Assets And Scalable Business Model
A Combination Of Unique Data Assets And A Scalable Business Model Has Resulted In Significant Business Momentum POISED TO ACCELERATE WITH SIGNIFICANT MOMENTUM… SCALABLE BUSINESS MODEL… Of the 39% YTY Growth in 2Q’21 FY’21 Revenue growth guidance BALANCED $107M in 2Q’21 Revenue vs. 20.3 Pts New Custo
Slide 19: Revenue Mix Split Between Recurring and Reoccurring
Revenue Mix Split Evenly Between Recurring and Reoccurring Business Pricing Model Revenue Model REOCCURRING Usage revenue generated from pilots and channels linked to shorter term UTILIZATION & ~50% contracts where customers have a OVERAGES multiyear history of replenishing budgets. MINIMUM RECURRIN
Slide 20: Increased Direct Platform Revenue Mix
Increased Direct Platform Revenue Mix Leads to Improved Operating Leverage 1 Continued Increase in Revenue Model Direct Platform Revenue Mix DIRECT PLATFORM 2Q’21 77% Revenue generated by the ZMP comprised of subscription software and utilization fees generated by channels owned and operated by Zeta
Slide 21: Scaled Customer Count Continues to Grow
Scaled Customer Count Continues to Grow, Along With Significant Opportunity To Expand ARPU Scaled Customers Generate >95% of TTM Zeta Revenue Greater than $1M $100K to $1M $3,962 $3,805 >10x OPPORTUNITY Revenue per TO EXPAND ARPU Scaled $382 Customer $356 FY ‘20 FY ’20 2Q ’21 TTM 2Q ’21 TTM 268 Cust
Slide 22: The Longer Customers Stay, The Bigger They Become
The Longer Our Customers Stay With Us, The Bigger They Become Scaled Customer Count and ARPU 61 Customers 141 Customers 141 Customers $200M OPPORTUNITY: Graduating the less $1,741K than 3-year customer cohort and growing them at a rate consistent with history $246M $915K $129M $467K C H A N N E L &
Slide 23: 2021 Guidance and Long-Term Targets
2021 Guidance Reflects Increased Revenue Visibility and Momentum On Growth Driver Execution Long-Term 3Q’21 FY’21 1 Targets Guidance Guidance Revenue $108M - $111M $432M - $436M Greater than 25% 2 % Growth YTY 13% - 16% 17% - 19% YTY Revenue Growth Excl. Presidential Cycle 17% - 20% 22% - 24% % Grow
Slide 24: Investment Highlights
Investment Highlights Comprehensive fully-integrated, purpose- Large and growing addressable built, AI-driven platform supplants multiple market of $36Bn point solutions 360-degree customer insight powered by Multiple drivers of long-term organic industry’s largest opted in consumer growth database
Slide 25: Appendix
Appendix 26
Slide 26: Opportunity Explorer Serves As A Doorway Into ZMP
Opportunity Explorer Serves As A Doorway Into The Zeta Marketing Platform 27
Slide 27: Opportunities Proven By Experiences
Opportunities Proven By Experiences • Personalized experiences across hundreds of channels • Orchestrates interactions for known and unknown users • Allows customers to use Zeta’s channels or plug into existing workflows 28
Slide 28: Accelerating Toward Long-Term Target of 25%+ Growth
Accelerating Toward Long-Term Target of 25%+ YTY Growth FY’21 Revenue Guidance 3Q’21 Revenue Guidance 22% to 24% Growth 17% to 20% $432M-$436M Growth $108M-$111M Work performed by Zeta specific to the 2020 US Presidential election that does not repeat in 2021 3Q20: $3M 4Q20: $12M 3Q’20 FY’20 3Q’20 F
Slide 29: Bridge To Adjusted EBITDA 2Q 2021
Bridge To Adjusted EBITDA And Adjusted EBITDA Margin 2Q’2021 2Q’2020 Net loss ($94,922) ($15,054) Interest expense 1,402 4,382 Depreciation and amortization 11,235 10,497 Stock based compensation 119,270 27 IPO related expense 2,705 - Gain on extinguishment of debt (10,000) - Income tax provision /
Slide 30: Bridge To Adjusted EBITDA H1 2021
Bridge To Adjusted EBITDA And Adjusted EBITDA Margin H1’2021 H1’2020 Net loss ($119,296) ($31,434) Interest expense 4,363 8,725 Depreciation and amortization 21,352 20,038 Stock based compensation 119,270 53 IPO related expense 2,705 - Gain on extinguishment of debt (10,000) - Income tax provision /
Slide 31: 2Q 2021 and 2020 P&L Bridge
2Q 2021 and 2020 P&L Bridge For the three months ended June 30, 2021 For the three months ended June 30, 2020 Stock One-time One-time Stock One-time One-time As Based IPO Other Depr. As As Based IPO Other Depr. As Reported Comp. Expenses Items & Amort. Adjusted Reported Comp. Expenses Items & Amort.
Slide 32: 2Q 2021 and 2020 Cash Flow
2Q 2021 and 2020 Cash Flow 2Q’2021 2Q’2020 Incr./(Decr.) Cash flows from operating activities: ($94,922) ($15,054) ($79,868) Net loss Adjustments to reconcile net loss to net cash provided by operating activities: 11,235 10,497 738 Depreciation and amortization 119,270 27 119,243 Stock-based compens
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