Bango plc · LSE:BGO
Bango — Investor Presentation (September 2021)
27 slides from Bango's investor presentation, Sep 16, 2021
Slide 1: Introduction to Bango
16 September 2021 Introduction to Bango © 2021 Bango PLC | bango.com
Slide 2: The Bango vision
The Bango vision Be the technology behind every payment choice We achieve this by: 1. Making online commerce frictionless, enabling ubiquitous payment options such as carrier billing, mobile wallets and subscription bundling 2. Using payment transaction data to make marketing more effective through
Slide 3: Bango leadership team
Bango leadership team Paul Larbey, CEO – joined Bango in 2019. He is responsible for driving growth and scale within the business to ensure Bango reaches its goal of becoming the technology behind every payment choice. Previously, he led Velocix from a small start-up to the world’s leading IP video
Slide 4: Bango history
Bango history • 20 years ago, we envisioned consumers using mobile devices to access the internet and predicted this would stimulate mobile commerce. • This prediction has become reality, and mobile commerce is now synonymous with online commerce. • By creating the infrastructure to enable this, we
Slide 5: Who we are today
Who we are today For 20 years Bango has been We have a vast and growing making online consumer database of payment transactions payments as smooth as possible by hundreds of millions of shoppers Applying analytics to the data we We are a trusted counterparty gather not only tells us how and when wit
Slide 6: Customer diversity – trusted by global brands
Customer diversity – trusted by global brands Online Payment App merchants providers developers 6 © 2021 Bango PLC | bango.com
Slide 7: Building a sustainable business
Building a sustainable business • Record engagement score in 2021 beating the previous 2020 record • NPS > 80% • Diversity – Core to our values • 18 different countries • 52% of managers & leaders identify as non- male • Responsibility • Carbon Neutral with commitment to maintain certification and r
Slide 8: Our business in numbers
Our business in numbers • 2020 : £1.9B • Dec 2020 : £5.8M EUS Cash • 1H 2021 : £1.3B • June 2021 : £7.1M • 2020 : £12.2M Bango • Dec 2020 : 1,946 Revenue Audience • 1H 2021 : £7.1M Days • June 2021 : 67,471 • 2020 : £4.6M App • Dec 2020 : >2,000 Adj EBITDA Developers • 1H 2021 : >£2M Engaged • June
Slide 9: Bango strategy – the virtuous circle
Bango strategy – the virtuous circle More effective • Bango Payments – driving transaction marketing Developers & volumes through the platform generating merchants thrive masses of data. • Bango Marketplace – utilizing the data to create Bango Audiences, a marketing tool that makes us indispensable
Slide 10: Bango Payments – one platform, any bill
Bango Payments – one platform, any bill Carrier Billing Subscription Bundling Mobile Wallets • Consumers pay for digital or physical • Enables the user to charge a • A digital payment method linked to a goods using their prepaid airtime or subscription to another bill. mobile phone number monthly mo
Slide 11: Bango Payments – more than just connectivity
Bango Payments – more than just connectivity We provide data driven insights to our partners that optimize customer acquisition, retention Case Study and conversion, including: • Re-engaging users that have stopped paying or have become inactive • du, the leading UAE mobile operator, used Bango Boos
Slide 12: Bango Marketplace – What we offer
Bango Marketplace – What we offer • Bango Payments business generates billions of dollars of transaction data • We create Bango ‘Audiences’ from this data to enable app developers and merchants to target their marketing campaigns on paying users. • Characteristics include: − Users that pay − how muc
Slide 13: Reach the 5% of app users who deliver over 80% of revenue
Reach the 5% of app users who deliver over 80% of revenue Revenue In-app purchase Bango identifies this audience 5x of paying users for app marketers to target In-app advertising User base 5% 95% 13 © 2021 Bango PLC | bango.com
Slide 14: Bango Marketplace – How it works
Bango Marketplace – How it works CONVENTIONAL Target X users in specific demographic Campaigns targeted with Bango Audiences Spender acquire more paying High Spender users, who spend Not paid more BANGO Target X users CASE STUDY in specific demographic • 3.9X higher Return on ad spend that pay • 3.6
Slide 15: The technology behind every payment choice
The technology behind every payment choice 20 years ago 10 years ago Today Search Like Buy Target based on what people Target based on what people Target based on what people look for say they like pay for 15 © 2021 Bango PLC | bango.com
Slide 16: Data Security – compliant and protected
Data Security – compliant and protected We ensure full data compliance and protection with our triple lock system. 1. Customer consent – is obtained by the primary data collector at the point of sale. E.g. when a customer signs up for a phone contract. 2. Transaction data – data is fully encrypted a
Slide 17: Bango business fundamentals
Bango business fundamentals Payments earns Marketplace ‘Audiences’ are ~0.5%-3.0% of the value bundles of targeted data of the transaction rented out for 7-10% of ad campaign spend A portion of revenue Current revenue dominated generated in Bango by Bango Payments, Bango Marketplace is shared Market
Slide 18: Bango revenue model
Bango revenue model Single Purchase Audience Processing usage fee Fee Bango Bango Platform Monetizable Payments Marketplace Licence Fee Data ‘Audiences’ Revenue Sources Subscription 3rd Party Processing Payments Fee Data Cost of sales 18 © 2021 Bango PLC | bango.com
Slide 19: Financial highlights
Financial highlights Record Growth Increasing Profitability Cash to fuel growth 19 © 2021 Bango PLC | bango.com
Slide 20: The market opportunity – Bango data is our 'moat'
The market opportunity – Bango data is our ‘moat’ Bango Marketplace Bango Payments More effective marketing Developers & merchants thrive Bango target Bango target market $1.2B market $18B Addressable market of mid sized More More $24B using developers is $15B. payment paying alternative payments. P
Slide 21: Payments – continued growth
Payments – continued growth X X X = Market expansion New types of AI to Acquire, Partnerships in existing and subscriptions Retain, Grow new verticals More More More More More users routes merchants insights payment data 21 © 2021 Bango PLC | bango.com
Slide 22: Payments – Power of the platform
Payments – Power of the platform n ( where n = Bango platform effect ) • Increasingly Bango is becoming the default platform for 3rd party service bundling • Key wins with industry leaders – BT, Verizon, + others • Platform SaaS revenue often incremental to payment revenue • Platform has its own vir
Slide 23: Purchase Behavior Targeting accelerating
Purchase Behavior Targeting accelerating X X = Growing EUS Channels and Purchase direct sales behavior targeting More More More More payment data app developers campaigns paying users 23 © 2021 Bango PLC | bango.com
Slide 24: KPIs to track progress
KPIs to track progress EUS Growth Revenue Growth 1400 8 1200 7 Revenue /£M 1000 6 EUS /£M 800 End User 5 600 Spend 4 3 400 2 200 1 0 0 1H 1H 1H 1H 1H 1H 1H 1H 1H 1H 1H 1H 201620172018201920202021 2016 2017 2018 2019 2020 2021 Revenue Bango Bango Audience Days Audience App Developers Days 5000 80000
Slide 25: Why Bango will succeed
Why Bango will succeed • Track Record – 20 years of innovation and growth in mobile commerce • Trust – Long-term partnerships with the world’s biggest internet companies • Platform effect – Each new partner benefits from the activity of all existing partners and improves the performance of everyone
Slide 26: The technology behind every payment choice
The technology behind every payment choice 20 years ago 10 years ago Today Search Like Buy Target based on what people Target based on what people Target based on what people look for say they like pay for 26 © 2021 Bango PLC | bango.com
Slide 27: Thank you
16 September 2021 Thank you © 2021 Bango PLC | bango.com