Rma Global Ltd. · ASX:RMY
Rma Global — Investor Presentation (March 2020)
31 slides from Rma Global's investor presentation, Mar 2, 2020
Slide 1: Half Year Investor Presentation
Half Year Investor Presentation March 2020
Slide 2: Important Notice and Disclaimer
Important Notice and Disclaimer The following notice and disclaimer applies to this investor presentation (Presentation or document) This Presentation does not constitute an offer to sell, or the solicitation of an offer to buy, any securities and you are therefore advised to read this carefully bef
Slide 3: Important Notice and Disclaimer
Important Notice and Disclaimer Past and future performance Disclaimer This Presentation contains certain "forward-looking statements" that are based on The information in this Presentation has been obtained from or based on sources believed by management's beliefs, assumptions and expectations and
Slide 4: Highlights
Highlights RMA is a platform to promote agents’ profiles and connect them with vendors Market leading position in Australia • 34,500 agents on the platform. • 80% of properties sold in 2019 were sold by agents with a claimed RMA profile. • Published over 730,000 verified reviews (>20x nearest compet
Slide 5: Business Overview
Business Overview 5 RMA Global Investor Update | March 2020
Slide 6: RMA promotes the profile and performance of agents
RMA promotes the profile and performance of agents. RMA connects vendors with the best agents Vendors seek the best agents RMA helps the best agents stand out RateMyAgent Products Across the Sales Cycle Property transactions are unfamiliar, important and stressful • Most people buy and sell a home o
Slide 7: Global opportunity, but near-term focus on the US, NZ and Australia
Global opportunity, but near-term focus on the US, NZ and Australia RMA platform is built to scale Opportunity spans many markets AU NZ US CAN UK SG HK • Highly scalable cloud product in multiple geographies Population (m) 25 5 329 37 68 6 7 • Architecture designed to support global rollout Date of
Slide 8: USA
USA 8 RMA Global Investor Update | March 2020
Slide 9: US claimed profiles exceed that in Australia
US claimed profiles exceed that in Australia. Target is 100,000 claimed profiles by end of CY20 Agents with claimed profiles Distribution of claimed profiles in US 45 US = 42,000 40 35 30 AU = 34,500 25 '000 20 15 First large MLS launch 10 5 NZ = 1,700 0 Source: RMA data 9 RMA Global Investor Update
Slide 10: Growth in US review volumes expected to accelerate
Growth in US review volumes expected to accelerate US cumulative reviews and requests Review growth strategy Review requests 35,000 • Automated “one-click” reviews through integration with brokerage transaction management systems in 2020 30,000 • Importing external verified reviews through API 25,00
Slide 11: In the US, RMA has a highly differentiated position in an attractive market
In the US, RMA has a highly differentiated position in an attractive market US market has positive dynamics RMA’s positioning is unique • Agents act for both vendors and buyers • RMA collects data that has an agent focus (e.g. reviews) which is distributed through multiple channels enabling greater
Slide 12: MLS rollout is proceeding rapidly
MLS rollout is proceeding rapidly MLS relationships underpin US growth plan Number of agents connected via MLS1 • MLS are data aggregation services for agents that facilitate communication and transactions Forecast 600 >30 MLS in active discussion • Agents upload data on all current and historic lis
Slide 13: US structure expected to lead to accelerated uptake
US structure expected to lead to accelerated uptake • Independent commission-driven micro-businesses • Salaried team members Typical agent business structures • Disparate systems, data and locations • Share systems, data and office • Personal reputation more important than agency • Primacy to agency
Slide 14: The US has ~25x more active agents than Australia
The US has ~25x more active agents than Australia Ratio: US/Australia Annual home sales 6.0m 0.4m 15 Annual agent ‘transaction sides’* 12m 0.4m 30 Average home price A$323K A$637K 0.5 Typical total commission rate 5% – 5.5% 2% – 2.5% 2.5 Commission/home sale A$16K A$13K 1.2 Annual agent commissions
Slide 15: Geography of reviews received is aligned with claimed profiles
Geography of reviews received is aligned with claimed profiles Reviews - Southern California Reviews - Florida 15 RMA Global Investor Update | March 2020
Slide 16: Example: Miami Realtors Promotion
Example: Miami Realtors Promotion 16 RMA Global Investor Update | March 2020
Slide 17: Example: Undisruptable campaign
Example: Undisruptable campaign RateMyAgent’s upcoming brand awareness campaign ‘Undisruptable’ features key industry influencers and ambassadors who share what it means to be ‘undisruptable’ and delivers the message on how RateMyAgent enables and accelerates agent connections with buyers and seller
Slide 18: US agent feedback
US agent feedback We have tried other platforms for getting Love the integration with social media! Love the ease of sending and getting reviews and this seems to be the only Has really helped my business! reviews and then seamlessly posting one they respond to. Definitely to social media. Thank you
Slide 19: Australia
Australia 19 RMA Global Investor Update | March 2020
Slide 20: In Australia, RMA continues to consolidate its market leading position
In Australia, RMA continues to consolidate its market leading position Market leading position Reviews on RMA platform (Australia) Reviewer Strong market engagement 800 Tenant • 34,500 agents on the platform 700 Landlord • Over 730,000 verified reviews 600 Buyer 500 • 80% of properties sold in 2019
Slide 21: Audience reach for RMA's agents has significantly expanded
Audience reach for RMA’s agents has significantly expanded API syndication with Domain: agents with a RMA ‘Everywhere Reviews’: agents can display RMA reviews on subscription can display their reviews on Domain (>17m websites including Google, Facebook and Instagram. visits per month1) 1 Similarweb
Slide 22: Growth in reviews and profile claims reflect the need for RMA's platform
Growth in reviews and profile claims reflect the need for RMA’s platform Claimed profiles Reviews 12% increase 29% increase 40,000 800,000 35,000 700,000 30,000 600,000 25,000 500,000 20,000 400,000 15,000 300,000 10,000 200,000 5,000 100,000 - - 2Q FY14 2Q FY15 2Q FY16 2Q FY17 2Q FY18 2Q FY19 2Q FY
Slide 23: Recovery in property market; Everywhere reviews and Review Syndication to drive subscription growth
Recovery in property market; Everywhere reviews and Review Syndication via API to drive subscription growth Agents covered by subscriptions1 Drop in home sales volumes impacted subscriptions 12,000 Up 3.9% since 10,000 September 8,000 Everywhere Reviews 6,000 and Domain syndication launched 4,000 2,
Slide 24: Financial Results
Financial Results 24 RMA Global Investor Update | March 2020
Slide 25: Financial results reflect the impact of the Real Estate market downturn and investment in US roll-out
Financial results reflect the impact of the Real Estate market downturn and investment in US roll-out 1H FY19 1H FY20 1H20/1H19 $AUD $AUD Revenue 3,601,324 3,473,832 -3.5% • Subscription revenues 1H FY20 impacted by the Real Subscriptions 3,047,772 2,949,106 -3.2% Estate market downturn in Australia
Slide 26: Australian subscription revenues recovered in 2Q FY20
Australian subscription revenues recovered in 2Q FY20 Australian revenues • Australian subscription revenues were impacted by the recent downturn $1,800 $350 in the market. Thousands Thousands Subscriptions $1,600 (LHS) • Subscription revenues are starting to recover, accelerated by the $300 increas
Slide 27: Resource investment in New Zealand has fueled revenue growth
Resource investment in New Zealand has fueled revenue growth New Zealand revenues $45,000 • Additional sales resources invested in New Zealand with a focus on $40,000 Subscriptions growing the subscription base $35,000 • Further investment will be made for Promoter in CY20 $30,000 $25,000 $20,000 $1
Slide 28: Company Board
Company Board David Williams Sigal Pilli Philip Powell Mark Armstrong Edward van Roosendaal Non-Executive Chairman Non-Executive Director Non-Executive Director CEO and Co-Founder CTO and Co-Founder David has 35 years’ experience Sigal has over 20 years’ Philip has over 20 years’ Mark is an experien
Slide 29: Summary
Summary • Attractive dynamics, 25x more agents than AU • Higher agent commissions and need to promote personal brand • MLS deals signed give access to ~350,00 agents • 42,000 agents have claimed their profile with RMA • Review volume growing, revenues to follow • Continue to consolidate market leadi
Slide 30: Q&A
Q&A 30 RMA Global Investor Update | March 2020
Slide 31: RMA Global Investor Update | March 2020
31 RMA Global Investor Update | March 2020