Slide 1: Interim Results Presentation H1 2013/14
Interim Results Presentation H1 2013/14 11th February 2014
Slide 2: Table of Contents
dotDigitalGroup dotDigitalGroup Table of Contents 2 Interim Results Presentation December 2013 Table of Contents Company Background 3 Director Profiles 4 Time Line 5 Trading Performance - Continuing Operations 6 Divisional Performance 7 Statement of Financials 8 Low Dependency on Any One Client 9 Fi
Slide 3: Company Background
dotDigitalGroup Company Background 3 Interim Results Presentation H1 2013/2014 Company Background dotDigitalGroup was People & Places Significant Shareholders established in 1999. Originally 171 people Management providing a wide range of • Sales & Marketing 69 people • Ian (Tink) Taylor 15% • IT &
Slide 4: Director Profiles
dotDigitalGroup Director Profiles 4 Interim Results Presentation H1 2013/2014 Director Profiles Stable and experienced executive management team complimented by Peter Simmonds FCCA, aged 55 CEO & CFO “Tink” Ian Taylor, aged 40 Chief Operating Officer Simon Bird, aged 38 Chief Technical Officer a non
Slide 5: Time Line
dotDigitalGroup Time line 5 Interim Results Presentation H1 2013/2014 AS OF 9/02/2014 Time Line SHARE PRICE 30.75p MARKET CAP £85m “Whilst our business has changed almost unrecognisably from our formation in 1999, some qualities remain: a commitment to excellence, dedicated people and a profitable b
Slide 6: Trading Performance - Continuing Operations
dotDigitalGroup Trading Performance 6 Interim Results Presentation H1 2013/2014 Trading Performance - Continuing Operations H1 H1 Growth 2013 2012 % £’M £’M Revenue 7.6 5.7 32.5 Cost of Sales (0.5) (0.4) 28.2 Gross Profit 7.1 5.3 32.7 Administrative Expenses (4.9) (3.3) 47.3 Operating Profit 2.2 2.0
Slide 7: Divisional Performance
dotDigitalGroup Divisional Performance 7 Interim Results Presentation H1 2013/2014 Divisional Performance dotMailer Discontinued Central Cost Consolidated Dec-13 Dec-12 Growth* Dec-13 Dec-12 Growth* Dec-13 Dec-12 Growth* Dec-13 Dec-12 Growth* £’m £’m % £’m £’m % £’m £’m % £’m £’m % Sales 7.6 5.7 32.
Slide 8: Statement of Financials
dotDigitalGroup Trading position & Cashflow 8 Interim Results Presentation H1 2013/2014 Statement of Financials Position (Balance Sheet) Cashflow Dec-13 Dec-12 Dec-13 Dec-12 £’m £’m £’m £’m Assets 3.9 4.0 Net cash generated from operations 2.0 1.4 Other Current Assets 3.1 2.7 Net cash used in invest
Slide 9: Low Dependency on Any One Client
dotDigitalGroup Low Dependency on Any One Client 9 Interim Results Presentation H1 2013/2014 Low Dependency on Any One Client • Largest client only 2% of total revenues • Top 100 clients account for 24% of total revenues
Slide 10: Financial Summary
dotDigitalGroup Financial Summary 10 Interim Results Presentation H1 2013/2014 Financial Summary High proportion Healthy balance Large percentage sheet, strong cash of recurring under contract position and revenues no debt Good US High gross traction margin
Slide 11: Accelerated Investment: Progress update
dotDigitalGroup Accelerated Investment: Progress update 11 Interim Results Presentation H1 2013/2014 Accelerated Investment: Progress update What we achieved so far What we said we * • Investment added in 38 new staff throughout the business were going to do? • Invest up to £3m in Marketing, • Total
Slide 12: A Closer Look at a New Client Win
dotDigitalGroup A close look at a new client win 12 Interim Results Presentation H1 2013/2014 A Closer Look at a New Client Win • Online Fashion Brand • Magento Connector • Consultancy services • Setup of Triggered Programs, Wish list & Abandoned Basket email campaigns Over 5,000% ROI Sample email c
Slide 13: US Office
dotDigitalGroup US Office 13 Interim Results Presentation H1 2013/2014 US Office • New Offices in Manhattan, New York • 7 People in the office including the Chief Operating Officer • 27 new customers signed • Average Spend of $3,100 New Business & $600 Recurring spend • Revenues from the US region i
Slide 14: The Power Behind the Growth
dotDigitalGroup The power behind the growth 14 Interim Results Presentation H1 2013/2014 The Power Behind the Growth Our year on year sustainable business Higher value prospects growth is underpinned attracted by our advanced by our three brand pillars marketing automation platform that delivers res
Slide 15: Product Strategy
dotDigitalGroup Product Strategy 15 Interim Results Presentation H1 2013/2014 Product Strategy • Rebrand to reposition offering for mid to large clients • Launch Customer Insight module & Lifecycle tool • Continued development on our world class integrations with CRM & Ecommerce platforms • Value ad
Slide 16: Magento Connector
dotDigitalGroup Magento Connector 16 Interim Results Presentation H1 2013/2014 Magento Connector • Officially launched in September ‘13 • Average monthly spend per customer of £700 • Full time development team • Over 75 Customers including Segmenting using order history inside dotMailer 7dayshop, Pa
Slide 17: Estimated Market Share
dotDigitalGroup Market Share 17 Interim Results Presentation H1 2013/2014 Estimated Market Share Estimated addressable market 10% for UK ESP is c£150-£170m*. Total market size of £495m 8% estimated by Econsultancy 7% includes Agency creative and 6% 6% 6% inhouse resources. 5% 4% 4% 4% 4% 4% 3% 3% 3%
Slide 18: Sustainable Differentiation Strategy
dotDigitalGroup Sustainable differentiation strategy 18 Interim Results Presentation H1 2013/2014 Sustainable Differentiation Strategy Our core strategies to maintain Marketing competitive advantage are: Automation • Delight customers with friendly, Value Add Client maturity / Sophistication knowled
Slide 19: The Five Stages of Marketing Automation
dotDigitalGroup The Five Stages of Marketing Automation 19 Interim Results Presentation H1 2013/2014 The five The Five Stages phases of of Marketing Email Marketing Automation Automation Adoption level Automatic content created of Email Marketing Auto segment creation and share tools. Automation Lif
Slide 20: Improving Economic Climate
dotDigitalGroup Outlook 1 20 Interim Results Presentation H1 2013/2014 Improving Economic Climate Infographic courtesy of Econsultancy Infographic courtesy of The Drum
Slide 21: Outlook
dotDigitalGroup Outlook 21 Interim Results Presentation H1 2013/2014 Outlook Investing for Growth £1 • Key Strategy remains focussed on continued successful organic growth invested in email • Investment in effective marketing, sales & account management marketing generates • Winning and retaining fa
Slide 22: Sample Client List
dotDigitalGroup Sample Client List Interim Results Presentation H1 2013/2014 Sample Client List dotMailer is the trusted email marketing partner of huge success stories including DHL, ODEON, ITV Studios, REISS, Renault Trucks and Nationwide Building Society. Recent client wins include Adecco Group H
Slide 23: Contact Details
dotDigitalGroup Contact Details 23 Interim Results Presentation H1 2013/2014 Contact Details If you have an enquiry about any matter raised in this document please do not hesitate to contact a member We are of the team direct using the details below here Peter Simmonds CEO & CFO of dotDigital group
Slide 24: Disclaimer
dotDigitalGroup Disclaimer 24 Interim Results Presentation H1 2013/2014 Disclaimer This presentation contains certain forward-looking By their nature, forward-looking information and undertaking, to publicly update, correct or revise any of information and statements. Such forward-looking statements