Professional Diversity Network, Inc. · NASDAQ:IPDN
Professional Diversity Network — Investor Presentation (March 2017)
59 slides from Professional Diversity Network's investor presentation, Mar 14, 2017
Slide 1: Professional Diversity Network
PROFESSIONAL DIVERSITY NETWORK NASDAQ:IPDN March 15, 2017www.prodivnet.com
Slide 2: Safe Harbor Notice Regarding Forward Looking Statements
SAFE HARBOR Notice Regarding Forward Looking StatementsThis presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements regarding Professional Diversit
Slide 3: Cosmic Forward Limited (CFL) Overview
COSMIC FORWARD LIMITED (CFL) OVERVIEW
Slide 4: Cosmic Forward Limited Overview
COSMIC FORWARD LIMITED OVERVIEW CFL Is An Entity Owned By 4 Chinese Investors…. Zheng Yong Xiong Wang Maoji (Michael) Song Jing Bo Kou NanNan
Slide 5: Transaction Details
TRANSACTION DETAILS
Slide 6: Transaction Details
TRANSACTION DETAILS In two transactions, CFL purchased, in aggregate, approximately 55% of PDN’s common stock on a fully-diluted basis. The first transaction closed on November 7, 2016, and the second transaction closed on January 18, 2017. The purchase price of $9.60/share represents nearly 126% pr
Slide 7: Post-Transaction Expectations
POST-TRANSACTION EXPECTATIONS Provide Capital To Execute Strategic Growth PlanExpansion Opportunities In ChinaPotential Opportunity To Expand Product Offerings in USImproved Capital Structure For PDN
Slide 8: 2017 Initiatives
2017 InitiativesProfessional Networking Expansion to China (IAW) Education and Training in China and USAInternational Education For Chinese High School StudentsEnhance Current Business Operations in US
Slide 9: Professional Women Networking Expansion to China - IAW
Market Opportunity Core Offerings and Benefits Long Term Growth Strategy Professional Women Networking Expansion to China—IAW—
Slide 10: About Us
About Us IAW is an international social association that PDN established in 2017 to provide comprehensive services for women in education and training. IAW will include many experts, such as elite women with influence in various industries. IAW will promote its members' career development through cu
Slide 11: Core Value Proposition
Core Value Proposition . 11 IAW is an international brand based on combining Chinese and Western resources and culture, including our existing 850,000 members in the US and our large Chinese membership pool to create unprecedented global resources. 中西方合并资源Combined Resources of China and Western Cult
Slide 12: Market Perspective
Market Perspective One out of every five women on the planet is a Chinese womanThe population of mainland China in 2016 reached 1,382,710,000, with 48.79% of the population being female. Chinese women rank number one in terms of employment rate and in technology. Chinese women represent 73% of the w
Slide 13: Why Join Us
Why Join Us Link with international trajectory To explore human network Self improvement . Children can enjoy priority international education Networking through Experiential Travel . Enjoy international high-end private customized service IAW
Slide 14: Target Group
Target Group 4 1 3 2 Those officers, entrepreneurs and innovative talents who want to explore their network resources through IAW and discover businesses opportunities Executives and Entrepreneurs White collar workers who want to improve their professional skills training High-Level Professional Wom
Slide 15: Membership Levels
Membership Levels All benefits of level with RMB200,000 We select one lucky day each month and send you a bunch of flowersAsset allocation specialist consultantsFree private tailored tours once a year Attend all our events or freeDeliver speeches at our events for three times to promote your busines
Slide 16: Core Offering and Benefits
Core Offering and Benefits Create a community online AND in-person where professional women NETWORK with others, DEVELOP personally and professionally, PROMOTE themselves and their businesses and ADVANCE their careers. 16 Members Engage Online Through A Virtual eChapter, And Local Chapters Nationwid
Slide 17: Platform Online Service
Platform Online Service Free training courses IAW provides an online social platform service for members in which they can communicate online and discuss relationship issues and topics about the work place. Live Video Sharing The online live streaming on IAW’s website provides a live streaming platf
Slide 18: IAW Offline Services
IAW Offline Services To organize officers and entrepreneurs to study in different scales, improving themselves and exploring their social network Officers and Entrepreneurs Training To provide exclusive, customized tourism routes for members. Members can try special tourism projects and experience V
Slide 19: Planning Extension Cooperation
Planning Extension Cooperation Converting your business from Good to Great. Provide customized resources that members desire in airline, hotel, travel agency, pick-up service, etc... Tourism Resource Offline training activities with major brands to provide members with glamorous new experiences Inte
Slide 20: 2017 Launch Event Cities
2017 Launch Event Cities Shanghai Beijing Guangzhou Shenzhen Shanghai is the undisputed largest and wealthiest city in China. With a name synonymous with world trade, Shanghai has the largest and busiest port in terms of containers and cargo tonnage, a grand business district, two large airports, th
Slide 21: Profit Model
Profit Model Capital Operation Members Fee Online and offline upsales to members Second Consumption Recruiting, support and placement agency activities Agency Fee Fees from marketing activities by third-parties who desire access to members Ads Profit
Slide 22: High-End Business Training and Service
Converting your business from Good to Great. Elite business people in China desire access to the elite business people who are already a part of PDN and its divisions. We will integrate top scholars and business professionals and create channels to make them available to Chinese business people with
Slide 23: Project Advantages
Project Advantages Competitive Market and PerspectiveAs the second largest economy, China has many entrepreneurs. With globalization developing faster and faster, communication between Chinese enterprises and international enterprises is getting closer and closer, while more and more Chinese entrepr
Slide 24: Project Advantages
Project Advantages Plenty of entrepreneurs. There is a huge consumers base.Competent consumption ability of Chinese entrepreneursCurrently, an uneven market price that is appropriate to lead industry priceHigher profit rate and high quality cash flow of education training industry
Slide 25: Our Advantage: International Education Resources
Our advantage We invite the top scholars from two countries in terms of economy, management, investment and financing, so that our members can enjoy their offerings in real-time. 1 2 To build a deep cooperation between Chinese and American top institutions that can bring you the splendid palace of a
Slide 26: Our Advantage: International Communication Platform
Our Advantage International Communication Platform Online and offline communication of Chinese and American entrepreneurs International information and horizon To examine the American enterprise interaction pattern To share international information and recommendations
Slide 27: Our Advantages: Reliable Resources
Our Advantages Reliable Resources The combination of online and offline communications mode Well-rounded customer tracking system High-quality hardware package service Rich Extension Service
Slide 28: Course Types and Fees
Trial Class(open Class) Topic Forum(Summit and meetings) Theme Courses Series Courses Course duration 1 Day 2 to 4 Days 6 to 10 Days 24+ Days Course Type Primary In person/Offline In person and Interactive online stream In person and Interactive online stream In person and Interactive online stream
Slide 29: VIP Primary Members
Expense 39800/person/year Members profits Unlimited public class attendance all yearAccess to the theme course once and the theme forum twice;Exclusive access to customized events in the primary members area;Attend the junior members club for free, provide the circle of entrepreneurs in high level a
Slide 30: VIP Intermediate Members
Expense 79800/person/year Members profits Enjoy all primary member rightsEnjoy the annual series courses onceAccess to the exclusive customized events in the intermediate members area;Attend the intermediate members club for free with online real-time communication; A priority right to attend the me
Slide 31: VIP Senior Members
Expense 158800/person/year Members profits Enjoy all intermediate member rights;Enjoy services courses twice and other courses with no limit;Attend the senior members club for free with online real-time communication, and access to exclusive customized events in the senior members area;Organize offl
Slide 32: VIP Top-Level Members
Expense 300000/person/year Members Profits Enjoy senior member rights;Enjoy all enterprise training courses with no limit;Attend the top-level members club for free with online real-time communication, and access the exclusive customized events in the top-level members area;Organize offline communic
Slide 33: VIP High Level Members
How Can We Achieve Our Goal 33 Fee RMB per person per year Profit of Members The members at this level can take part in national entrepreneurs forum or courses each year for free without time limits;To have the most updated info, both international and domestic, as well as top tier professionals’ ti
Slide 34: VIP Members Entitlement
How Can We Achieve This Goal 34 Fee RMB per person annually Members Entitlement The members at this level can take part in national entrepreneurs forum or courses per year for free without time limitsTo have the most updated info, both international and domestic, as well as top tier professionals’ t
Slide 35: Members Acquisition Model
Lead Generation through Live Courses Transferred Members Introduction Agency Development Members Acquisition Model
Slide 36: Introduction of China and US Joint Education Alliance
Introduction of China and US Joint Education Alliance With the support of the International Women Association, China and US Education Alliance in possession of American high-qualified education resources. The Chinese enterprises alliance and other platforms provide all over international education h
Slide 37: Market Perspective
Market Perspective Market grows steadilyWith worldwide development rocketing in the overseas study industry, the number of students who study overseas keeps increasing. During 2008—2010, the number of overseas students has increased over 20% compared with the amount in the same period. After this hu
Slide 38: US High Schools Overseas Study Market Analysis
US High Schools Overseas Study Market Analysis The students who go overseas to study are getting younger and younger, which has become a trend and they are the center of promotion of present overseas study agency. US high schools agencies have become a quite competitive market There are over 30-40 U
Slide 39: Existing Problems in US High Schools Overseas Study Market
Lack of homestay resources An Increase of students and a shortage of homestay resources that would prevent immediately changes to the homestay once it has problem Graduation Service We provide visa, internship, job searching, immigration, family investment and other service Overseas study agencies d
Slide 40: Business Model
Business Model To shape IPDN International Education as a platform gathering qualified high schools in the US and rich foreign services that can directly find suitable American high schools for students by connecting with national high schools, overseas study agencies, and personal agencies. And thi
Slide 41: Core Competitiveness
With many American high schools direct international recruitment proxy We have professional education teams with rich experience High efficient overseas service team We can arrange American high school membership exclusive interview meeting; students can have immediate admission; and they can have a
Slide 42: International Education Service Products
According to the development direction of the overseas study market and its needs, we can build up following international education service products: By utilizing faculty resources of American high schools and cooperating with national primary and junior high schools to launch international courses
Slide 43: Our Clients in 5 Types
Platform Members As members of IPDN platform, you can enjoy comprehensive customized international education service Non-Members After paying the service fee, you can enjoy comprehensive customized international education service National Junior High Schools Provide cooperating high school students
Slide 44: Profit Resource
Profit Resource PROFIT RESOURCE Membership Charges American high schools’ commission Non-members service fee Service suppliers on early stage Fee apportion Overseas study agency Foreign service proxy fee Foreign service fee Cooperation in running school(long term) Online American high schools (long-
Slide 45: PDN USA Overview
PDN USA OVERVIEW
Slide 46: PDN Overview
PDN OVERVIEW Professional Diversity Network Inc. (IPDN)Holding company with three business departments Noble Voice is a value-added lead generation system that also supports PDN’s Recruitment Business. PDN provides an online recruitment platform that harnesses the natural engagement of affinity netw
Slide 47: Strategic Partnership
Over 50 Diversity Organizations, Not-for-profit and Media Partners Strategic Partnership
Slide 48: Diversified US Market
Diversified US Market AMERICA A changeable situation in allocating human resources According to the US general survey,83% manpower growth will be from the new migrants and their children in US after the year of 2050. 2012 2050
Slide 49: New Registered Users
2016 In 000s 684 K NEW REGISTERED USERS Q4 2015 The growth performance on PDN registered users
Slide 50: National Association of Professional Women
NATIONAL ASSOCIATIONOF PROFESSIONAL WOMEN 45% ARE MANAGERS OR EXECUTIVES 75% ARE HOMEOWNERS
Slide 51: NAPW in Review: 2016
NAPW IN REVIEW: 2016 OVER 7NETWORKING EVENTS OVER 2,000Attendees per NATIONAL NETWORKING SUMMITS
Slide 52: Professional Diversity Network
5. Professional Diversity Network
Slide 53: NAPW Revenue Trends by Source
NAPW REVENUE TRENDS BY SOURCE New MembershipsTrends Impacted By Reduced Lead Spend, Size of Membership Coordinator Team.Steps Being Taken to Optimize Lead Spend and Membership Coordinator Performance To Improve Variable Contribution Opportunities to Expand Efforts Through Member to Member Initiative
Slide 54: Growth Strategy
PDN Expand Subscription Based ServiceExpansion Of Licenses DeployedGrow Services Within Existing LicensesIncrease Recruiter License Awareness NOBLE VOICE Expand Capacity To Capitalize on Market OpportunitiesAccelerate New Job Seeker Consultations50% Increase In Career Counselors In 2016Leverage Scal
Slide 55: Summary Capitalization Table
SUMMARY CAPITALIZATION TABLE SharesOutstanding % Common Stock 1,808,628 75.32% Equity Awards1 72,866 3.03% Warrants2 514,064 21.41% Unvested Restricted Stock 5,556 0.23% Fully Diluted Shares Outstanding 2,401,114 100% Data As of September 30, 2016 1 weighted average exercise price: $12.692 weighted
Slide 56: Statement of Operations
STATEMENT OF OPERATIONS Nine Months Ended September 30, Change Change In 000’s 2016 2015 $ % Revenues Membership fees and related services 13,048 18,885 (5,838) -31% Lead generation revenues 4,490 7,853 (3,363) -43% Recruitment services 2,296 2,433 (137) -6% Consumer advertising and marketing 177 20
Slide 57: Reconciliation of Net Loss to Adjusted EBITDA
RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA The Table Above Presents Adjusted EBITDA (A Non-GAAP Financial Metric) And Provides A Reconciliation Of Adjusted EBITDA To The Directly Comparable GAAP Measure Reported In The Company’s Consolidated Financial Statements Nine Months Ended September 30, 20
Slide 58: Balance Sheet
BALANCE SHEET Other current assets include Incremental direct costs, prepaid license fee, and other prepaid expenses.Other assets include goodwill and intangible assets net of accumulated amortization, merchant reserve, security deposits and other misc. assets.Source: PDN In 000s As of 30-September-
Slide 59: For Further Information
FOR FURTHERINFORMATION James KirschExecutive Chairman of the Board(312) 614-0921Chris WesserExecutive Vice President & Secretary(516) 659-8560
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