Camplify Holdings Ltd. · ASX:CHL
Camplify — Investor Presentation (June 2023)
76 slides from Camplify's investor presentation, Jun 22, 2023
Slide 1: Investor Presentation - Camplify Holdings Limited June 2023
For personal use only Investor Presentation Camplify Holdings Limited - June 2023
Slide 2: Disclaimer & Important Notices
Disclaimer & Important Notices For personal use only The information contained in this presentation or subsequently provided, orally or in writing, to any recipient of this presentation, or any other information discussed at the presentation by or on behalf of Camplify Holdings Limited ACN #647 333
Slide 3: Disclaimer & Important Notices
Disclaimer & Important Notices For personal use only Forward looking statements The Confidential Information may contain forward looking statements which are statements that may be identified by words such as “may”, “will”, “would”, “could”, “expects”, “intends”, “anticipates”, and other similar wor
Slide 4: Acknowledgement of country
For personal use only Acknowledgement of country We pay our respects to the traditional owners, their elders past and present, and the value their care and custodianship of these lands. CHL is a proud Newcastle company built on the lands of the Awabakal & Worimi people. Today, we present on the land
Slide 5: Agenda
For personal use only Agenda 01 Chairman: Travel and Tourism board overview 02 Caravan Industry Association: Industry overview 03 CEO Address 04 CFO: Modelling overview 05 CMO: Marketing strategy 06 CEO MyWay: MyWay overview and strategy 06 CEO: Summary 5
Slide 6: Our brands
For personal use only Our brands 6
Slide 7: 2023 Adventure travel reimagined
2023 For personal use only Adventure travel reimagined 7
Slide 8: Our mission
For personal use only Our mission To cultivate adventure travel and entrepreneurship by making the outdoors accessible to all through innovative and scalable tech solutions. 8
Slide 9: Our vision
For personal use only Our vision A world where outdoor adventures and RV travel are accessible to all. 9
Slide 10: Our Board
Our Board For personal use only Trent Bagnall Justin Hales Andrew McEvoy Helen Souness Karl Trouchet Stephanie Hinds Chairperson and Chief Executive Officer Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director and Executive Director 10
Slide 11: Industry overview
For personal use only Industry overview 11
Slide 12: Industry information
For personal use only Industry 792,713 information 15.1 Million Trips in 2022 66,291 Camper vans (Australia) ● As at December 2022 there were over $10.45 Billion in 792,000 RV registrations in Australia. annual spend in ● A substantial number of available RV assets 2022 on drive 726,422 holidays(+42
Slide 13: Caravan and Camping Performance Visitors
For personal use only Caravan and Camping Performance Visitors Visitor Economy Performance ● Solid growth over the past decade ● Return to trend post COVID ● Caravan Park Occupancy up 4ppt YTD Source: TRA, 2023 13
Slide 14: Industry Performance: RV Manufacturing and Imports 1975 to 2022
For personal use only Industry RV Manufacturing and Imports 1975 to 2022 Performance COVID and bushfires ● 48,529 unit manufactured in 2022 GFC ● ~150k vehicles entered the market in the last 3 years ● YTD, local production up 21% ● YTD Imports up 1% Source: NEMAustralasia, 2023 14
Slide 15: Australian travel sentiment
For personal use only Australian travel sentiment The majority of Australians rank travel highest on the discretionary spend list in 2023. 70% of Australians surveyed will purchase insurance for their travel in 2023 3/4 Australians say leisure & enjoyment are primary motivations to travel in 2023* 7
Slide 16: Visitor Economy Outlook
For personal use only Visitor Economy Outlook ● No significant decline in intention to travel, slight decline in spend. Source: NEMAustralasia, 2023 16
Slide 17: International arrivals -42.7%
For personal use only International arrivals -42.7% According to the Australian Bureau of Statistics the international arrivals into Australia still have not yet returned to their pre-covid numbers. For period April 2018 to April 2019 the international arrivals were 9,271,580. The same comparable pe
Slide 18: Key takeaways
For personal use only Key •Demand for travel remains high, however how people travel, will change. takeaways •International inbound is yet to return, opportunities for the industry. •Not all our consumers are going to feel economic pain and many Australians have invested into the RV lifestyle in the
Slide 19: Introduction to Camplify Holdings Limited (CHL)
For personal use only Introduction to Camplify Holdings Limited (CHL) 19
Slide 20: Our values
For personal use only Our values Empowerment Adventure Inclusivity Innovation Simplicity By sharing our Adventure is at the We embrace diversity, As a tech startup at We keep things simple – technology, we heart of our company. equity and inclusion in heart, technology and whether it’s the products
Slide 21: Our Executive Team
Our Executive Team For personal use only Justin Hales Andrea MacDougall Stephen Short Dirk Fehse Yulia Burkhart Chief Executive Officer Chief Financial Officer Chief Operations Chief Investment Chief Integration Officer Officer Manager Joshua Fischer Jonathan Milgate Alastair Mccausland Danny Tobisc
Slide 22: P2P digital marketplace
For personal use only P2P digital Provide RV for Rent Pay for their rental Set their own pricing Pay for their rental protection marketplace Set their rental type Purchase additional goods and services Australia CHL is the parent company of Camplify New Zealand and PaulCamper and is one of the leadi
Slide 23: Strategy
Strategy For personal use only Become the leading RV rental platform in market Grow current markets Fleet focus Enhance our platform development Help more hirers enjoy van life Build a beautiful efficient business 23
Slide 24: Why RV
For personal use only RV Owners Hirers Why RV Monetise underutilised assets Rent assets short term, on-demand Owners earn approximately $5,000 per See immediate availability of all RVs vehicle with many Owners earning over available from only $60 per day $15,000 per annum for their RV owners and SME
Slide 25: Case studies: Owners building new businesses
Julia & Sam, Brisbane QLD For personal use only • Launched on Camplify in winter 2020 as local COVID-19 restrictions lifted Case studies: • Started as a side hustle has resulted in a full-time business, ‘Open Road Campervans’ Owners • In just 9 months, their fleet has expanded to three custom camper
Slide 26: Focus on Other Key Markets
For personal use only Focus on Other Key Markets 26
Slide 27: PaulCamper strategic acquisition and European expansion
CY22 $57.9m AUD 12,965 headline 14.68% numbers* GTV fleet For personal use only $132.4m PaulCamper is a 40,549 bookings of the 12,449,000 leading European Across all International arrivals AUD GTV founder-led, PaulCamper into Germany in 2020 European pro-forma peer-to-peer RV operated countries. wer
Slide 28: The European market opportunity
Active by Camplify and PaulCamper Potential Expansion # Represents no. of RVs 127k For personal use only 174k The European 394k market opportunity 133k 570k 5.6M privately owned RVs in Europe 3 806k 1,397k 345 103k days per year private RVs remain unutilised 4 0.4% 73k of all RVs are on RV rental pl
Slide 29: NZ travel sentiment
NZ travel sentiment For personal use only Of those 231,279 monthly As at 30 November 2022, visitors; the monthly international 231,279 tourism spend in New Zealand was $306,948,448. In November 2022 the 42.5% 34.37 % 47% In the same period in 2019, number of monthly or 98,478 or 79,491 were the mont
Slide 30: Performance by the numbers
For personal use only Performance by the numbers 30
Slide 31: YTD 01/07/22 - 31/03/23
For personal use only YTD 01/07/22 - 31/03/23 31
Slide 32: Marketplace highlights
For personal use only Marketplace highlights $94.3m $24.9m Total Transaction Value Total Revenue YTD FY23 +162% (pcp Q3FY22 YTD) +129% (pcp Q3FY22 YTD) ● Q3FY23 was the first full quarter with PaulCamper ● integrated into the business reporting period. GTV growth of 162% (YTD pcp) to over $94.3m. 26
Slide 33: Continued strong global momentum for Camplify RV holidays
For personal use only Continued strong global momentum for Camplify RV holidays ● Hirers continue to enjoy longer trips leading to continued strong YOY growth in Average booking length. ● Average spend per day is also increasing, with a 6.5% increase in the GTV per booked day in H1FY23 compared to t
Slide 34: Growing owner and hirer community
For personal use only Growing owner and hirer community ● Continued positive growth in the platform at strong CAC performance due to a combination of proven marketing growth drivers, network effects and continued positive industry trends. ● Platform investment allowed Camplify to scale with new cust
Slide 35: Future bookings
For personal use only Future bookings Note ● Future bookings are bookings that have been booked and paid for via the Camplify platform. ● These take place in the future generally within the next 12 months. ● GTV and Revenue is only reported once the booking starts. ● These numbers provide an indicat
Slide 36: Marketplace highlights H1FY23
For personal use only Marketplace highlights H1FY23 $1,799 23% ● Retained hirers (repeat customers) globally sits at 23%, and in individual markets is calculated as follows: Average booking value Retained global hirers AU 27% UK 9% NZ 7% ES 1% = $473 revenue to Camplify ● NZ growth has impacted glob
Slide 37: Financial highlights
Financial highlights For personal use only Camplify has achieved a GTV CAGR of 81% with a focus on GP margin improvement. Take rate impacted by focus on higher margin product and PaulCamper’s lower take rate. 37
Slide 38: Revenue Model
For personal use only Revenue Model 38
Slide 39: Camplify Revenue Model
For personal use only Camplify Revenue Model RV Hirers RV Owners - Owners & Hirers ● Commission ● Depending on the type ● In AU/NZ Mandatory of member: Accident Excess ○ Commission Reduction ○ Insurance ● Optional AER upgrade ○ Premium Membership (PM) Revenue is recognised based on Revenue is recogn
Slide 40: PaulCamper Revenue Model
For personal use only PaulCamper Revenue Model RV Hirers RV Owners - Owners & Hirers ● Commission ● Commission ● Optional Travel Insurance ● Day rate for casual Insurance Revenue is recognised based on date Revenue is recognised based on date booking is accepted by the owner for all booking is accep
Slide 41: Strategy Marketing
For personal use only Strategy Marketing 41
Slide 42: For personal use only
For personal use only 42
Slide 43: Cost effectively building fleet
For personal use only Cost effectively building fleet 43
Slide 44: Owner Needstate Segmentation
Owner Needstate Segmentation For personal use only Who we target Utiliser Income seeker Van-trepeneur Hands-off investor Millennial Opportunity Age of current owners Length of ownership 44
Slide 45: Spotlight on Owner Marketing
For personal use only Spotlight on Owner Marketing 45
Slide 46: Owner acquisition
Owner acquisition For personal use only Nurture from Owned Earned Paid awareness to listing Awareness Consideration Conversion 46
Slide 47: Driving year round hirer demand
For personal use only Driving year round hirer demand 47
Slide 48: Hirer acquisition
Hirer acquisition For personal use only Creating desire and Owned Earned Paid interest in van life Awareness Consideration Conversion
Slide 49: Who we target: Hirer Traveller Segmentation
Who we target For personal use only Hirer Traveller Segmentation Comfort seeker Comfort campers Urban escaper Luxe explorers Taking it Adventure slow seeker Active explorers Economical escaper Roughing it Adventure seekers
Slide 50: Who we target: Millennial Opportunity
Who we target For personal use only Millennial Opportunity
Slide 51: How do we reach them?
How do we reach them? For personal use only Dreaming Planning Booking Experiencing Sharing 51
Slide 52: Nurture Organic Content
Nurture Organic Content For personal use only
Slide 53: Brand partnerships
For personal use only Brand partnerships Part of Camplify’s global marketing strategy is finding cost-effective ways to reach target audiences through brand partnerships and collaborations. 53
Slide 54: Continued strong earned media
For personal use only Continued strong earned media 54
Slide 55: CHL in-house marketing approach
For personal use only Strategy & Planning Growth Marketing CHL in-house marketing approach Creative Brand & Comms 55
Slide 56: MyWay Overview & Summary
For personal use only MyWay Overview & Summary 56
Slide 57: Wherever you are
i ke S O > > O ® fe) S ® S Wherever you are,
Slide 58: MyWay Insurance allows CHL to establish its own insurtech
For personal use only MyWay Insurance allows CHL to establish its own globally operating insurtech. 58
Slide 59: Why an MGA?
For personal use only Why an MGA? Definition: A Managing General Agent (MGA) is an insurance agent equipped with underwriting authority, acting on the behalf of one or many insurers (risk carriers). Upsides: ▪ Increase insurance revenues (commission, performance bonus on surplus) without bearing car
Slide 60: The insurance business adds value for customers and shareholders
The insurance business adds value for For personal use only both CHL’s customers and shareholders. 60
Slide 61: Purpose
For personal use only Purpose The vision for MyWay is to become CHL’s global vehicle for insurance products and services. Although the predominant purpose is to enhance access and operations of insurance solutions related to CHL’s global rental businesses, MyWay’s scope is not limited to this. In th
Slide 62: MyWay creates shareholder value through
MyWay creates shareholder value through For personal use only Customer satisfaction Top-line growth Bottom-line efficiency Provide insurance solutions and Establish insurance-related Create synergies from concentrating services, so that our customers can revenues as constant and growing insurance ex
Slide 63: MyWay Insurance allows CHL to grow beyond typical target groups and markets
MyWay Insurance allows CHL to grow far beyond its For personal use only typical target groups and markets. 63
Slide 64: Target groups
For personal use only Target groups MyWay will be … … the solution provider for insurance matters within CHL … addressing members and consumers with retail insurance products … serving other platforms with white label insurance services and products … a potential lead generation vehicle for CHL’s pl
Slide 65: Initial structure
For personal use only Initial structure MyWay Holding MyWay MyWay Insurance MyWay Insurance Europe Insurance UK AU NZ DE AT NL ES UK MyWay initially covers CHL’s existing markets, additional countries will be developed over time (e.g. MyWay Insurance Europe holds licenses for all EU countries as of
Slide 66: Revenue effects
For personal use only Revenue effects CHL insurance revenues over time: Base line: ▪ CHL’s insurance-related revenues will grow roughly in line with rental business (organic) Base line - effects ▪ Future acquisitions (inorganic) or new market entries can occasionally boost revenues above the usual M
Slide 67: Next objective: bring MyWay fully up to speed
After a successful start, it’s our next objective For personal use only to bring MyWay fully up to speed. 67
Slide 68: Flashback – Previous milestones last months
For personal use only Flashback – Previous milestones last 9 months Commitment to MyWay MyWay budget FY24 Focus on Spain CHL commits to launching MyWay MyWay’s activities are explicitly The burdensome insurance solution as the group’s own insurance planned in CHL’s 2024 budget in Spain is replaced w
Slide 69: Roadmap – Highlights next months
For personal use only Roadmap – Highlights next 12 months Focus UK Insurance software suite Additional revenue streams A new motor insurance solution is Insurance software is up and MyWay generates revenues from new implemented in the UK to support running in selected countries business (new product
Slide 70: Success Factors for a speedy launch of MyWay Insurance
For personal use only Success Factors for a speedy and fruitful launch of MyWay Insurance People Recruit and develop talent with focus on global insurance activities Country specific differences Balance local specifics CHL integration (regulation, market needs, etc.) and standardization (products, S
Slide 71: Summary & appendix
For personal use only appendix Summary & 71
Slide 72: Summary
Dominant position in Australia, New Zealand For personal use only and Germany being the leading operator in the New Zealand market, and increase in tourism across all three markets. With over 26,000 RVs on the platform, CHL still has less than 1% of the total RV market. Summary Creating a truly glob
Slide 73: Key risks
Key risks Platform risks As the Company operates a two-sided platform, the Company’s future growth and profitability is dependent on that platform being vibrant and For personal use only active. The Company’s business relies on both Hirers utilising the platform and on Owners listing RV’s on the pla
Slide 74: Key risks (cont'd)
Key risks Competition The Company recognises the potential risk that existing competitors or new entrants to the market may increase the competitive landscape and For personal use only have an adverse impact on the financial performance of the Company which in turn, would erode the Company’s revenue
Slide 75: Key risks (cont'd)
Key risks Compliance with laws The Company operates in a sector where the laws and regulations around its operations are evolving. There is a risk that new laws or regulations For personal use only and regulations generally may be enacted, or existing laws and regulations may be amended in such a wa
Slide 76: Thank you
For personal use only Thank you
Camplify Holdings — Investor Presentation (June 2023) on 6ix