Slide 1: Investor presentation
Investor presentation Your springboard to bigger e-commerce August 2021
Slide 2: Disclaimer
Disclaimer This material (and the information contained herein) (“Presentation”) was prepared by Shoper S.A. with its registered office in Kraków (the "Company") for informational purposes only. In particular, it does not constitute an offer to sell, solicitation, or invitation to submit an offer or
Slide 3: Agenda
Agenda 1 Introduction 2 Shoper Platform 3 Market 4 Strategy 5 Financial data & KPI 3
Slide 4: Introduction
Section 1 Introduction ansin.pl
Slide 5: Key management
Key management Experienced SaaS and e-commerce executives Marcin Kuśmierz 25 years in online and e-commerce Former CEO of home.pl CEO Member of advisory boards in international tech companies Management Board Experience in managing international expansion (Fly On the Cloud) 16 years in e-commerce Kr
Slide 6: One-stop-shop
One-stop-shop Growing ecosystem of services needed by small & mid-size merchants Shoper provides merchants operating in the e-commerce industry a ready-made SaaS platform for running an online store Payments Value added Online Erp Box Gateway for all types of services (VAS) marketing payments e.g. B
Slide 7: 15+ years of experience
15+ years of experience Unmatched knowledge of polish e-commerce and merchant needs 2008 2015 2017 2019 2021 Introduction of a Introduction of Introduction of Partnership with Acquisition of Partner Program Shoper Payments Shoper Premium Allegro, Facebook the Erp Box platform 2005 2010 2014 2016 201
Slide 8: Unthreatened leadership position of Shoper
Unthreatened leadership position of Shoper Our scale and financial resources provide major competitive advantage With fewer resources for marketing, development and customer support, minor market players are unable to compete in the long run Shoper’s offer is significantly more affordable than its f
Slide 9: Shoper Platform
Section 2 Shoper Platform Shoper
Slide 10: Subscription plans designed for different customer needs
Subscription plans designed for different customer needs Standard Shoper Shoper Premium Shoper Standard is a basic subscription solution, with universal Shoper Premium is an advanced offer for more demanding merchants that functionality addressing a wide range of entrepreneurs generate higher traffi
Slide 11: Comprehensive, flexible and growing services offer within one platform
Comprehensive, flexible and growing services offer within one platform 4,2% 4,4% 5,5% 6,7% Preparation, optimization and implementation of advertising campaigns for the merchants Average percentage of Shoper platform users Shoper currently has partnerships with Facebook, Google, Allegro and Instagra
Slide 12: Diversified merchant base and revenue stream
Diversified merchant base and revenue stream Top three categories account individually for Top-10 merchants generated in 2020 more than 10% of the total merchant base only 4% of revenues Merchants’ product types on Shoper platform TOP 10 4% 16% home and garden 28% 12% clothes 11% health and beauty 9
Slide 13: SaaS is the best value for money for SMEs
SaaS is the best value for money for SMEs Shoper cost effective platform appeals to small and medium size merchants Platform SaaS Open Source Go-To-Market ✓ Instant and off-the-shelf ? Prep-time, coding / hosting / security know-how required Ongoing Maintenance and Support ✓ Little ongoing maintenan
Slide 14: Market
Section 3 Market sklep.kanalsportowy.pl
Slide 15: Growing complexity of online commerce favours SaaS
Growing complexity of online commerce favours SaaS SaaS adoption grows with economic development Solution market share by volume of SaaS penetration and GDP per capita merchants in Poland [thousand, %] 83 Nominal GDP per capita (USD thousand) 71 10.0% 60 63 8.0% 5.0% 6.9% 48.0% 53.2% 57.0% 54.9% 38.
Slide 16: Shoper operates in the fastest growing part of e-commerce
Shoper operates in the fastest growing part of e-commerce Megatrends reinforce the role of independent stores Independent Merchants on the rise Growing value of the basket ● Independent stores have a stable, dominant position in Poland ● Better tools to support product recommendations drive value ●
Slide 17: Accelerated transition to online commerce
Accelerated transition to online commerce Retail goods market value in Poland – channel structure, 2017-2026 (PLN bn) CAGR +5.4% 813 707 CAGR +4.0% Brick & Mortar: 635 CAGR 17-19: 4.5% 590 594 559 CAGR 19-20: -3.2% 528 CAGR 20-21: 6.0% 80% CAGR 21-26: 3.7% 83% 85% 90% 86% 91% 92% Online: CAGR +11.8%
Slide 18: Number of customers in e-commerce channel still growing in Poland
The number of customers in the e-commerce channel is still growing in Poland and has a lot of catching up compared to other markets Users who purchase from e-shops Shoppers in e-commerce channel in Poland (million of buyers) (16-74 years old, %) 82 2017 CAGR +5.6% 90 80 2020 88 (1) 2019 21.2 21.6 79
Slide 19: E-commerce is growing, but e-stores are booming
E-commerce is growing, but e-stores are booming Number of e-commerce merchants in PL (thousands) CAGR 4.9% Own Stores So far, the number of vendors in this channel has been growing rapidly (2017 – 2020 CAGR - 9.4%), but now there is a noticeable CAGR 11.3% trend of adding other channels to own store
Slide 20: Strategy
Section 4 Strategy kurkawodna.com.pl
Slide 21: Shoper strategy
Shoper strategy Shoper customers’ growth is faster than market growth 2018-2020 GMV 80% Shoper GMV 25% CAGR on Polish Cloud driven platform 2018-2020 CAGR market equipping online shops with AI and ML providing fully scalable hosting platform protecting merchants with advanced security 20.5 27.9 46.9
Slide 22: Shoper has significant growth potential reflected in targets for 2026
Shoper has significant growth potential which is reflected in targets for 2026 2020 level Targets 2026 Platform strength Further strengthening of omnichannel From subscription to pay-as-you-grow 50% >80% revenues correlated with Pay-as-you-grow 20.6k 50k 7k SaaS merchants merchants merchants using E
Slide 23: Expanding the business through potential external opportunities M&A
Expanding the business through potential external opportunities M&A In April 2021 Shoper acquired a 60% stake in WEB-Com Group Sp. z.o.o., which owns the e-sales management platform Erp Box Erp Box is a SaaS solution enabling integration of webshop with additional services like: different sales Expa
Slide 24: Conducting business in a responsible manner
Conducting business in a responsible manner has always been important for Shoper Shoper’s commitment to ESG activities Merchants Equal opportunity workplace We are committed to: We value a diverse and creative workplace Clean and correct advertising and marketing Diverse work by gender (43% female a
Slide 25: Financial data & KPI
Section 5 Financial data & KPI dluta.pl
Slide 26: Shoper - consistent growth of crucial KPI
Shoper - consistent growth of crucial KPI Monthly Recurring Revenue (subscription only) ARPU [PLN thousand] (PLN) 1 548 2.9x CAGR +32.6% 539 2 873 3 053 2 179 1 635 apr.18 may.18 jun.18 jul.18 apr.19 may.19 jun.19 jul.19 apr.20 may.20 jun.20 jul.20 mar.21 feb.18 feb.19 feb.20 feb.21 mar-18 mar-19 ma
Slide 27: Strong growth of number of Standard and Premium merchants
Strong growth of number of Standard and Premium merchants Number of clients (with private label partners) Number of clients (with standard and premium subscriptions) CAGR 25 000 9.2 % 21 271 CAGR 20 582 20 000 17 023 20.4 % 15 794 20 000 17 267 17 235 1 168 4 788 4 248 15 000 1 029 11 967 15 000 10
Slide 28: High revenue and EBITDA growth rates
High revenue and EBITDA growth rates Revenue (PLN m) Quarterly data During 2018-2020 revenues grew at 51% CAGR, exceeding the market growth rate CAGR 2018-20: 51% The high revenue growth was supported by improving EBITDA and net profit margins which have grown from 32% to 46% and 53,5 from 15% to 27
Slide 29: Key advantages
Key advantages 1 Comprehensive offer within one platform 2 Operating in highly attractive SaaS model 3 Highly diversified and dispersed client base 4 Scalability and robust business growth 5 High margins with great cash conversion rate 6 Leader on the Polish market 7 Experienced management team 29
Slide 30: Thank you
Thank you Your springboard to bigger e-commerce